$330m For 22 New Presses At Quebecor US Plants

Edited by the Printingtalk editorial team Aug 2, 2004

Quebecor World is to undertake a major strategic capital investment plan that involves the purchase of 22 new presses for its US manufacturing operations.

Quebecor World is to undertake a major strategic capital investment plan that involves the purchase of 22 new presses for its US manufacturing operations.

The purchase of new wide-web 48, 64, 96 and 128 page presses will allow it to renew and expand its customer base the company believes.

Quebecor World will place a firm order for 12 new presses and an option for 10 others.

The 12 presses will be commissioned in 2005 and 2006 at a cost of approximately $165 million.

The additional 10 presses will be commissioned in 2006 and 2007 at a cost of approximately $165 million.

The presses will be fitted with the latest robotic and automated systems to maximise efficiency.

Quebecor World is also working with its customers to evaluate certain customers-driven enhancements to the machines including closed-loop colour systems and ribbon control systems to further optimise quality and performance.

The investment is targeted at the company's magazine, catalogue, retail and book businesses.

The company believes that the new equipment will dramatically improve efficiency and through-put as well as enhance customer service by providing publishers and retailers with a more complete integrated and flexible multi-plant manufacturing network.

"During the last year and a half we have made significant strides in reducing our cost base and putting our house in order.

While this is an continuing effort, we are now at the stage where we can confidently invest in a way that will provide maximum benefit to our customers and return for our shareholders," commented Pierre Karl Peladeau, president and chief executive officer of Quebecor World.

"These investments are being targeted in areas where we see growth in the print market and where the new equipment can best serve the current and future needs of our customers," said Dave Boles, chief operating officer for the company's North America operations.

"This investment in new presses is being combined with the decommissioning of older, less efficient equipment which will improve our operating performance without significantly increasing capacity," added Peladeau.