Banta Closes Catalog Plant Despite Record Earnings

Share this content:
Banta Corp. announced the closing of its catalog production facility in St. Paul, MN, yesterday, citing weak advertising and promotional spending in the direct marketing and publishing industries despite reporting record earnings for 2002.


The plant is "one of Banta's oldest and least efficient print operations," president/CEO Stephanie A. Streeter said in a statement. Banta's catalog production operations will be consolidated at its plant in Maple Grove, MN, and other facilities.


The company said it regretted any job loss resulting from the plant closure. The closing date and number of jobs the company expects to cut were not disclosed.


Banta said it expected to incur a one-time charge of $15 million to $18 million involving the closure. The closing is expected to save $8 million to $10 million yearly starting in 2004, plus a small savings expected for the end of 2003.


Given the soft economy, Banta has been examining its operations over the past several months to find ways to improve efficiency, Streeter said. However, excluding the cost of the plant closure and other pre-tax one-time charges, Banta achieved net earnings of $60.2 million in 2002, compared with $57.5 million in 2001, 5 percent increase, the company said.


Sign up to our newsletters

Company of the Week

Brightcove is the world's leading video platform. The most innovative and respected brands confidently rely on Brightcove to solve their most demanding communication challenges because of the unmatched performance and flexibility of our platform, our global scale and reliability, and our award-winning service. With thousands of customers and an industry-leading suite of cloud video products, Brightcove enables customers to drive compelling business results.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above