Quebecor World Announces $500 Million Agreement With Time Inc.
Quebecor World Announces $500 Million Multi-Year Agreement With Time Inc.
Agreement includes 25% weekly volume increase
Montréal, Canada -- October 28, 2005 -- Quebecor World Inc. (NYSE:IQW, TSX:IQW.SV) today announced it has reached a major $500 million multi-year print agreement with Time Inc. Under the terms of the agreement Quebecor World will print and bind 15 Time Inc. titles, including weeklies such as, Time, Sports Illustrated, People, Entertainment Weekly, Time For Kids as well as bi-monthly title Fortune and other monthly titles including Money, Southern Living, Cooking Light, Coastal Living, Southern Accents and Progressive Farmer.
The work will be produced in several Quebecor World print facilities including Merced, Calif.; Lebanon, Ohio; Dallas, Texas; and Clarksville, Tenn. The agreement expands on a more than 30-year relationship between the Time Inc. and Quebecor World, and provides Time Inc. with a state-of-the-art, integrated, coast-to-coast print and binding platform. The agreement valued in excess of $500 million represents an approximate 25-percent increase in weekly volume.
"Quebecor World is committed to its major print customers, of which Time Inc. is among the largest. The recently announced investment in our U.S. print platform provides Time Inc. with the most cost-effective manufacturing platform available," said Chuck Miotke, President Quebecor World Magazine/Direct. "As North America's leading magazine printer we are able to provide Time Inc. and other leading publishers with a multi-plant manufacturing platform that not only reduces time-to-market, but also provides them with effective cost-reduction opportunities."
In 2004 Quebecor World announced an unprecedented capital investment plan that includes 22 new state-of-the-art offset presses. The first of these presses are now in operation in Merced, Calif., Dallas, Texas and Versailles, Ky. Two additional new presses will be operational in the fourth quarter in Jonesboro, Ark., and Taunton, Mass.