Quad/Graphics

MAPLE GROVE, MN—Newspaper publisher Gannett Co. has sold the heatset portion of its printing operation to Sussex, WI-based Quad/Graphics Inc. As a result, 140 Gannett employees lost their jobs, the Star Tribune reported.

Although Wall Street mostly yawned when Quad/Graphics announced this week it is acquiring Brown Printing, the pending transaction is a big deal for many major publishers. And it provides some interesting insights into the U.S. printing and publishing industries and even into the U.S. Postal Service.

Rather than trying to squeeze more years out of ancient equipment, as some Worldcolor plants used to do, Brown kept pace with Quad and RR Donnelley when it came to investing in new presses and bindery lines. But it wasn’t enough.

Gannett Co. on Wednesday sold the heatset portion of its printing operation in Maple Grove, MN, to Quad/Graphics, the large Wisconsin-based commercial printer. The transaction resulted in 140 lost jobs at the facility, executives said.

Employees who lost their jobs will be eligible for open positions at Quad/Graphics plants around the country.

Quad/Graphics Inc. and Brown Printing today jointly announced a definitive agreement whereby Quad/Graphics will acquire Brown, which serves premier publishers and catalogers with printing, distribution and integrated media solutions. The acquisition will enhance Quad/Graphics’ position as a leader in the printing industry. "This acquisition is consistent with our ongoing strategy to transform Quad/Graphics and create value for our clients and shareholders," said Joel Quadracci, Quad/Graphics chairman, president and CEO. "Brown is a well respected, financially strong company focused on delivering superior quality and impeccable customer service to a diverse range of clients."

At the BrewExpo America show, April 9-10, at the Colorado Convention Center in Denver, Quad/Graphics Inc. will highlight its innovative packaging solutions—including graphic and structural designs, inventory management and interactive print applications.

Commercial printer equipment installations and other news from Printing Impressions’ April 2014 edition, featuring Ryan Printing, Copresco, The Harman Press and Fox Printing, BR Printers, Allied Printing Services, Panaprint

Commercial Printing Industry News Briefs from Printing Impressions’ April 2014 edition, including Globus Printing & Packaging, Cummings Printing, RR Donnelley, RPM Solutions, Eastman Kodak

NEW YORK—The printing industry, which includes large commercial printers and local print shops, endured a variety of challenges over the past five years. According to IBISWorld Industry Analyst Omar Khedr, “Consumers are increasingly favoring digital alternatives, such as online media, over printed materials.”

The industry has struggled recently as consumers have increasingly favored digital alternatives to printing; going forward, this trend is expected to continue. For these reasons, industry research firm IBISWorld has updated a report on the printing industry in its growing industry report collection.

SUSSEX, WI—Quad/Graphics Inc. is strengthening its direct marketing platform with a multimillion-dollar expansion of its East Coast commingling center in Westampton, NJ. The expansion includes six new letter sorters housed in newly-leased space that will enhance clients’ postal savings opportunities and mail delivery efficiencies.