CONSOLIDATORS - Slowing, but Growing

PI: How would you characterize this year on the consolidation front, both from your company's perspective and the industry at large?

Norton: The year 2000 was a year in which it appeared there were very few acquisitions by consolidators or even strategic buyers, probably because: 1. anticipated acquisition prices in the prospective sellers' minds had reached unprecedented heights; 2. the financial markets viewed printing companies less than favorably; and 3. many of the most active consolidators missed their earnings projections, their stock prices took a beating, and then they began to focus on internal operations and the repayment of debt.