McIlroy--Are We in Worse Shape Than Anyone Thinks?

Print sales have been strong throughout the '90s, in keeping with a robust economy. While sales have been strong, profitability has remained constant for the last decade and continues to average about 3 percent of sales—not a healthy margin (the 1999 record was only 3.36 percent).

As the printing industry moves into the next decade, printers face overcapacity, but an ongoing need to invest in new capital equipment to improve efficiency and quality is only likely to increase overcapacity along with pricing and profit pressures.