Transcontinental reports Q1 loss

Share this content:

Commercial printer Transcontinental reported consolidated totaled $604.1 mil­lion in the first quarter ended January 31, compared to $596 million during the same quarter in 2008.

However, excluding acquisitions and the positive impact of paper prices and the exchange rate, the company said its con­solidated revenues dropped 10%.

Transcontinental said its business was particularly affected by the cancellation, decrease or postponement of promotional and advertising campaigns, mainly by financial institutions and car manufactur­ers, which affected its US direct mail activi­ties, magazine publishing and commercial products printing.

The company's net income declined from $34.1 million in the first quarter 2008 to a loss of $6.4 million, a decrease of $40.5 million. On a per-share basis, net income decreased from 41 cents to a loss of eight cents.

To deal with the situation, Transcontinental said it will go forward with a rationalization plan that has included eliminating approxi­mately 1,500 jobs, half of which are in the US. In addition, certain plants and publica­tions have already been shut down, while others are slated for closure.

Sign up to our newsletters

Company of the Week

Since 1985, Melissa has helped thousands of companies clean, correct and complete contact data to better target and communicate with their customers. We offer a full spectrum of data quality solutions, including global address, phone, email, and name validation, identify verification - available for batch or real-time processes, in the Cloud or on-premise. Our service bureau provides dedupe, email/phone append and geographic/demographic append services for better targeting and insight. For direct mailers, Melissa offers easy-to-use address management/postal software, list hygiene services and 100s of specialty mailing lists - all with competitive pricing and excellent customer service.

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