Moore Wallace CEO: Cross-Selling Will Be Key After Acquisition
Chicago-based commercial printer RR Donnelley prints books and magazines for New York-based media firm Time Warner Inc., but it can't print the invoices for those publications nor the scannable labels they're shipped in. Nor can it send monthly statements to Time Warner's cable TV customers. "That will change forever in about 120 days," said Mark A. Angelson, the current CEO of Moore Wallace, who will be RR Donnelley's CEO when its $2.8 billion acquisition of Moore Wallace closes early next year.
Cross-selling opportunities are a major reason why RR Donnelley acquired Moore Wallace. Pending regulatory and stockholder approval, the combined company would be a full-service commercial printer with approximately 50,000 employees and more than $8 billion in annual sales (large enough to qualify for the Fortune 250). It will be based in Chicago, called RR Donnelley and be traded on Wall Street under the symbol DNY.
Mail-Well Reorganizes
Mail-Well Inc., Englewood, Colo., announced a company-wide reorganization into two business segments: commercial (serving the needs of direct customers) and resale (serving wholesalers and value-added resellers). Manufacturer PrintXcelSM and its brands Discount Labels, Lancer Label, DealerLabel, VersaSeal® and Wisco Envelope are part of the resale segment. The brands will be marketed separately.
The reorganization is part of the company's Total Customer Solutions strategy, by which Mail-Well can "uniquely offer their customers one-stop-shopping for a full spectrum of visual communications products and services," including e-services, direct mail and digital printing, according to a press release.
"This organizational change will make it easier for our customers to do business with Mail-Well and to access the broad portfolio of products and services we offer," said Paul Reilly, the company's chairman of the board, president and CEO. "During the past few years, we've restructured the company and improved our operating leverage. This change focuses on our customers, and I am confident it will drive sales growth."
Prior to the restructuring, Mail-Well was organized around three product lines: commercial printing, envelopes and printed office products.
ROI Technologies BuysAmerican Label Company
Baltimore-based label converter ROI Technologies Inc. acquired selected assets of American Label Company, East Hanover, N.J. The acquisition adds UV flexo and UV screen technology to ROI's capabilities in unsupported films, pressure sensitive labels and direct mail printing. The company's production will be centralized in ROI's Baltimore facility.
Promo Edge Acquires Label Dollars
Promo Edge Company, a provider of in-store promotional solutions in Elk Grove Village, Ill., acquired Label Dollars Inc., Denver. The acquisition advances the company's position as an innovator of in-store marketing products. Label Dollars delivers preprinted manufacturers' coupons directly from retailers' existing weigh scales at the time of purchase, driving incremental brand volume through relevant cross-promotional offers.
Reynolds Creates Loyalty Solutions Group
The Reynolds and Reynolds Company, a manufacturer based in Dayton, Ohio, created a new Loyalty Solutions Group to provide automotive retailers with a suite of solutions to increase customer retention. Reynolds' loyalty solutions work in various areas of dealerships, including sales to service departments, to "maximize customer interactions throughout the vehicle ownership lifecycle," according to a press release.
Earnings Rise at MeadWestvaco
MeadWestvaco Corp., a paper supplier based in Stamford, Conn., announced profits of $27 million for its third quarter ended Sept. 30, citing cost-cutting and the performance of its paper segment as the main reasons. The company said it earned 14 cents per share in the quarter, compared with a loss of $2 million (or 1 cent per share) in the same quarter last year.
Weyerhaeuser to Close Alberta Mill
Weyerhaeuser Co., a supplier of paper and building products based in Federal Way, Wash., said it will eliminate 156 hourly and salaried employees when it closes its Grande Cache, Alberta, lumber mill on Feb. 8, 2004. The company said it will take an $8 million fourth-quarter, after-tax charge (or 4 cents per share) for the closure.
