FedEx to Acquire Kinko's
Memphis, Tenn.-based FedEx agreed to acquire quick printer and office products giant Kinko's for $2.4 billion in cash. The transaction is expected to close in the first quarter of this year. It's not expected to have a material impact on FedEx' fiscal 2004 results, but is expected to be accretive to earnings in fiscal 2005, which begins June 1, 2004.
Privately-held Kinko's operates approximately 1,200 stores worldwide and estimates annual revenue of about $2 billion for its fiscal year ending Dec. 31. Kinko's management team is expected to remain in place, and company headquarters will continue to be located in Dallas.
All 1,200 Kinko's locations worldwide will offer new or expanded FedEx shipping options for greater customer convenience. As Kinko's exclusive shipping provider since 1988, FedEx currently operates full-service, staffed counters in 134 Kinko's stores. These services now will be offered in all Kinko's stores, increasing FedEx Ground retail access in the United States and Canada, and improving the retail presence for FedEx Express in key international markets, according to a press release.
ProDocumentSolutions, Ennis Survive Earthquake
Manufacturer ProDocumentSolutions, Paso Robles, Calif., and the Paso Robles plant of Ennis Business Forms Inc. withstood the 6.5-magnitude earthquake that rocked California's central coast on Dec. 22.
The quake lasted for approximately two minutes, but no major damage resulted, said Cris Highnote, sales manager of ProDocument Solutions. The firm lost three shifts on its production schedule, and one collator was damaged. A wall in the facility developed a major crack. After the quake, ProDocument Solutions immediately sent employees home to check on family, Highnote said. Two employees' houses were declared unsafe for habitation, and the company is allowing the employees to work on a flexible schedule.
Myles Crebs, plant manager at Ennis' Paso Robles facility, said its building had no structural damage. The 96 people present at the plant followed evacuation procedures and were sent home, he said. None of them suffered personal losses, and all of them reported to work the next day. Paso Robles is in San Luis Obispo County, which suffered $180 million worth of damage. The quake killed two people in the county.
Océ Creates Global Outsourcing Brand
Digital printing equipment supplier Océ N.V., based in the Netherlands, created the global brand Océ Business Services this month to handle document management outsourcing services. The new brand combines two of Océ's largest services units, Archer Management Services in the United States and Océ Facility Services in Europe.
"Most organizations are just beginning to understand their ability to optimize business processes through improved document management," said Marten Kingmans, vice president of Océ Business Services. "Whether a client's needs are single-site, multi-site or multi-national, Océ Business Services applies a proven, consistent methodology to optimizing solutions for printing, office services and document management."
Océ N.V. employs more than 22,000 people and operates research and manufacturing centers in the Netherlands, the United States, Germany, France, Belgium, the Czech Republic and Japan. Océ's North American headquarters is in Chicago, and the firm operates business units in New York City; Boca Raton, Fla.; San Jose, Calif.; Salt Lake City; and Coventry, R.I.
Appleton Acquires European Firm
Paper supplier Appleton, Appleton, Wis., acquired BemroseBooth, headquartered in Derby, England, for approximately $60 million. BemroseBooth's products include security printed vouchers and payment cards, mass transit and car parking tickets, variable data labeling, high-integrity mailing and niche publishing.
Appleton CEO Doug Buth said the deal provides his firm with immediate access to security product markets in the United Kingdom and Western Europe. He said Appleton will provide resources to enable BemroseBooth to accelerate growth while continuing to operate independently.
Kodak Completes Acquisition of Scitex
Eastman Kodak Company announced the completion of its acquisition of the assets of Dayton, Ohio-based Scitex Digital Printing (SDP) from Scitex Corporation Ltd. Kodak acquired the assets of Scitex for $237 million, and funded the acquisition through available cash. Scitex Digital Printing will now operate under the name of Kodak Versamark Inc. Kodak expects the acquisition will help to accelerate the company's growth in the $30 billion digital commercial printing industry and complement its existing commercial printing operations.
AccuLink Completes Expansion
AccuLink (formerly AccuCopy/QuickTabs), a manufacturer in Greenville, N.C., completed a $3.5 million expansion after relocating to a new 85,000-square-foot production and warehouse facility in Greenville. The printer's core services include digital imaging, offset printing, binding, mailing and fulfillment. Its QuickTabs division is one of the largest producers of custom index tabs in the Southeast. The company's expansion was fueled by rising demand for e-commerce and fulfillment services, said Lindsay Gray, AccuLink's vice president and co-owner.
