Schawk Signs Gravure Cylinder Supply Agreement, Posts Sales Decline

• Entertainment accounts sales for the first quarter of 2011 of $6.4 million, or 6.0 percent of total sales, were essentially comparable to the $6.5 million reported in the same period of 2010.

Gross profit was $38.8 million in the first quarter of 2011, a decrease of $3.1 million from the first quarter of 2010. First-quarter 2011 gross profit as a percentage of sales decreased to 36.1 percent from 37.5 percent in the 2010 first-quarter period. The decline in gross profit percent was largely driven by the reduced operating leverage resulting from the lower period-over-period revenue.