The largest trade debt creditor was magazine printer Worldcolor, which was listed as being owed $1.59 million. Next came fellow printer R.R. Donnelley, which is owed $1.41 million. Other notable creditors include Hallmark Data Systems ($532,661.38), Brown Printing ($207,814.64), ON24 ($114,577), QuadGraphics ($81,885.48) and direct marketing media company Walter Karl ($63,273.72).
SUSSEX, WI—One of the most compelling transactions in the history of the printing industry rocked a relatively serene M&A landscape when it was announced that Quad/Graphics had agreed to purchase Worldcolor—the second-largest printer in North America—and become a publicly traded company. But the move was as jaw-dropping as it was logical.
This deal may be exciting from the merged balance sheet and even superficial marketing perspectives. However, Quad’s operations team has never ever had this kind of a challenge to boot strap a printer of this size before.
The litigation trustee alleges preferential transfers of $18.8 million were made to the company before the commercial printer filed for bankruptcy protection.
Along with printing Personal Creations’ catalog program, Worldcolor will provide integrated multichannel solutions utilizing variable data print, email and microsites.
MacAskill retired from Quebecor in 1998 after 25 years of executive operational management responsibilities, principally in gravure and retail operations.
It is fascinating to note what market influence the recession has visited on the book market, beyond the tempering of consumer confidence. But even in an atmosphere of printing platform right sizing and other business-related reconciliation, it is difficult to take any view but an optimistic one of the past year and the coming fortunes in 2010.
The salary excesses in the financial/investment banking world that fueled widespread public outrage, however, won't be found among the earnings of principal officers at the largest publicly held printing companies.
Worldcolor generated combined consolidated revenues of $769.9 million compared to $993.6 million in the third quarter of 2008. Its operating income was $51.5 million compared to $33.7 million and consolidated net income totaled $13.3 million compared to a net loss from continuing operations of $63.6 million for the same period in 2008.
Worldcolor has appointed Daniel Scapin as president of Logistics and Premedia. Scapin, a 30-year industry veteran, has served as president of logistics at RR Donnelley, Moore Wallace and Quebecor World, and is credited with the creation and growth of the world’s largest print logistics businesses.
