<![CDATA[Print Week Print Buying]]><![CDATA[Communisis targets £4m cost savings with Manchester closure]]>http://www.printweek.com//news/1186460/Communisis-targets-4m-cost-savings-Manchester-closure/The transfer of its base-stock cheque production work from Manchester to Leeds, which is expected to be complete by the end of the year, puts a possible 90 jobs out of 120 at Trafford Wharf at risk. Consultation with staff began last Friday (14 June).

Around 30 positions could be transferred to Liverpool or Leeds or remain in Manchester as part of a small clients services team that will be established, Communisis chief executive Andy Blundell told PrintWeek.

Additionally the company is to outsource "a substantial amount" of the commoditised direct mail work produced in Leeds, which employs around 400 staff, while retaining higher margin and specialised DM work at the site.

Blundell said that an agreement that would see the work outsourced locally had already been signed and would be effective "over the coming months".

He added: "There is over-capacity in direct mail so it makes more sense for us to outsource it. It is not appropriate for us to continue with our DM work in-house.

"These plans are aligned with the group's strategy to reduce its exposure to the more commoditised sector of the print market by focusing on higher margin specialist production and to improve margins by reducing costs and improving capacity utilisation," Blundell said.

Although he did not give specifics, Blundell said that some web production equipment would likely be moved from Manchester to Leeds, while the company also intended to invest in new kit for the site.

He said: "The kit profile will change as we get more specialised in terms of transactional and security work in Leeds. We will need to invest in new kit and we will make way for that by taking kit for commoditised DM work out."

He added that some equipment could also be moved to the company's 9,300sqm high-speed colour digital printing and transactional printing site in Liverpool, which employs around 350 staff.

Overall the restructure is expected produce annual cost savings of around £4m from 2014 and give rise to a net exceptional charge of £3.5m in 2013, with a cash cost of £2.8m in the second half of 2013 and £0.7m in the first half of 2014.

The company said that the restructure would help it deliver on its target to achieve double-digit margin on sales (excluding pass through) over the next three years while opening opportunities for planned reinvestment in new skills and services.

Blundell said: "For a while we have been clear about three strategic focuses for the group. One is to win new contracts and we have continued to do that, secondly restructuring to make sure our manufacturing engine is appropriate moving forward and finally mergers and acquisitions.

Blundell said that the group's H1 figures, due to be publsihed on 1 August, were expected to be very positive.

"We are on a steadily improving trend and the story is logical and in line with the strategy we have previously announced," he added.


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The transfer of its base-stock cheque production work from Manchester to Leeds, which is expected to be complete by the end of the year, puts a possible 90 jobs out of 120 at Trafford Wharf at risk. Consultation with staff began last Friday (14 June).

Around 30 positions could be transferred to Liverpool or Leeds or remain in Manchester as part of a small clients services team that will be established, Communisis chief executive Andy Blundell told PrintWeek.

Additionally the company is to outsource "a substantial amount" of the commoditised direct mail work produced in Leeds, which employs around 400 staff, while retaining higher margin and specialised DM work at the site.

Blundell said that an agreement that would see the work outsourced locally had already been signed and would be effective "over the coming months".

He added: "There is over-capacity in direct mail so it makes more sense for us to outsource it. It is not appropriate for us to continue with our DM work in-house.

"These plans are aligned with the group's strategy to reduce its exposure to the more commoditised sector of the print market by focusing on higher margin specialist production and to improve margins by reducing costs and improving capacity utilisation," Blundell said.

Although he did not give specifics, Blundell said that some web production equipment would likely be moved from Manchester to Leeds, while the company also intended to invest in new kit for the site.

He said: "The kit profile will change as we get more specialised in terms of transactional and security work in Leeds. We will need to invest in new kit and we will make way for that by taking kit for commoditised DM work out."

He added that some equipment could also be moved to the company's 9,300sqm high-speed colour digital printing and transactional printing site in Liverpool, which employs around 350 staff.

Overall the restructure is expected produce annual cost savings of around £4m from 2014 and give rise to a net exceptional charge of £3.5m in 2013, with a cash cost of £2.8m in the second half of 2013 and £0.7m in the first half of 2014.

The company said that the restructure would help it deliver on its target to achieve double-digit margin on sales (excluding pass through) over the next three years while opening opportunities for planned reinvestment in new skills and services.

Blundell said: "For a while we have been clear about three strategic focuses for the group. One is to win new contracts and we have continued to do that, secondly restructuring to make sure our manufacturing engine is appropriate moving forward and finally mergers and acquisitions.

Blundell said that the group's H1 figures, due to be publsihed on 1 August, were expected to be very positive.

"We are on a steadily improving trend and the story is logical and in line with the strategy we have previously announced," he added.


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<![CDATA[Inkjet world first for Bell & Bain]]>http://www.printweek.com//news/1186205/Inkjet-world-first-Bell---Bain/The colour inkjet web was first shown at Drupa last year. It has a compact, single-tower design and a print width of 540mm. It can print duplex CMYK at 100m/min at 600x600dpi, or 127m/min at 600x480dpi.

Glasgow-based Bell & Bain specialises in book and journal printing, including colour books. The company runs a range of conventional and digital equipment.

Managing director Stephen Docherty said he had initially been put off inkjet due to high running costs and questionable quality. "We'd seen and heard so much about inkjet, and spoken to so many people about it, but it was mind-boggling what it cost for service and clicks," he said.

Bell & Bain travelled to Fujifilm's technology centre in Brussels as part of the assessment process for the purchase.

"I couldn't believe how quick and simple the Jet Press was to operate, and it was actually an easy decision. There's no click charge and the service costs are reasonable. It makes it straightforward for us to work out our pricing," Docherty added.

The new press has a list price of around £1.2m, depending on configuration.

It will replace an existing Océ 9000 black-and-white continuous feed system when it is installed next month, and is being configured to run inline with Bell & Bain's Muller Martini Sigma binding line.

"We'll be using it for black-and-white work initially, the black tones are absolutely phenomenal so I believe our short-run black-and-white work will instantly migrate to it," Docherty said.

"We can also offer selected customers colour book options, for example market testing with a short run at relatively low cost."

Docherty said the firm was in the process of deciding upon a selection of papers. "We may streamline the choice a little to avoid holding lots of reels."

Chris Broadhurst, UK national sales manager at Fujifilm Graphic Systems, said Fujifilm was extremely proud about the order: "The 540W arrived in Brussels around Christmas time and we started to take customers over to see it in January and February. As soon as Bell & Bain saw the quality they could see it would suit their work," he said.

"It's great news for the UK print industry that well-established printers, such as Bell & Bain, are still investing to stand their business in good stead for tomorrow and beyond. To get the first sale for Fujifilm globally is quite a coup for us." he added.

The move caps a number of recent investments at Bell & Bain. This year it has added a B2 KBA Rapida 75 to its brace of Rapida 142 large-format litho presses, as well as a new Muller Martini Alegro perfect binder.

The 182-year-old firm employs 82 staff and is on track for sales of £9.3m this year.


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The colour inkjet web was first shown at Drupa last year. It has a compact, single-tower design and a print width of 540mm. It can print duplex CMYK at 100m/min at 600x600dpi, or 127m/min at 600x480dpi.

Glasgow-based Bell & Bain specialises in book and journal printing, including colour books. The company runs a range of conventional and digital equipment.

Managing director Stephen Docherty said he had initially been put off inkjet due to high running costs and questionable quality. "We'd seen and heard so much about inkjet, and spoken to so many people about it, but it was mind-boggling what it cost for service and clicks," he said.

Bell & Bain travelled to Fujifilm's technology centre in Brussels as part of the assessment process for the purchase.

"I couldn't believe how quick and simple the Jet Press was to operate, and it was actually an easy decision. There's no click charge and the service costs are reasonable. It makes it straightforward for us to work out our pricing," Docherty added.

The new press has a list price of around £1.2m, depending on configuration.

It will replace an existing Océ 9000 black-and-white continuous feed system when it is installed next month, and is being configured to run inline with Bell & Bain's Muller Martini Sigma binding line.

"We'll be using it for black-and-white work initially, the black tones are absolutely phenomenal so I believe our short-run black-and-white work will instantly migrate to it," Docherty said.

"We can also offer selected customers colour book options, for example market testing with a short run at relatively low cost."

Docherty said the firm was in the process of deciding upon a selection of papers. "We may streamline the choice a little to avoid holding lots of reels."

Chris Broadhurst, UK national sales manager at Fujifilm Graphic Systems, said Fujifilm was extremely proud about the order: "The 540W arrived in Brussels around Christmas time and we started to take customers over to see it in January and February. As soon as Bell & Bain saw the quality they could see it would suit their work," he said.

"It's great news for the UK print industry that well-established printers, such as Bell & Bain, are still investing to stand their business in good stead for tomorrow and beyond. To get the first sale for Fujifilm globally is quite a coup for us." he added.

The move caps a number of recent investments at Bell & Bain. This year it has added a B2 KBA Rapida 75 to its brace of Rapida 142 large-format litho presses, as well as a new Muller Martini Alegro perfect binder.

The 182-year-old firm employs 82 staff and is on track for sales of £9.3m this year.


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<![CDATA[Graphic Packaging to close former Contego Gillingham site]]>http://www.printweek.com//news/1185752/Graphic-Packaging-close-former-Contego-Gillingham-site/The site was part of Contego Cartons, formerly Nampak Cartons, which was bought by US food packaging group GPI in January. As well as the Gillingham site, the £91m deal included Contego sites in Leeds, Hoogerheide in the Netherlands and Portlaoise in Ireland, all of which are understood to be unaffected by the closure of Gillingham.

Unite has demanded an "urgent meeting' with the company, which launched a 45-day consultation at Gillingam last Wednesday (5 June) where the union said it will urge the US owners to "to look at all possibilities for re-location and the best possible deal for the workforce".

According to the union the company is proposing to close the facility on 30 September.

"This is a very difficult time for the workforce and they have a right to be angry that they face redundancy. Unite will be demanding the company does everything possible to support the workers affected," said Unite national officer Ian Tonks

"At a time when unemployment is high and good jobs are hard to find, employers should be going out of their way to find the best deal possible for workers who have given years of loyalty."

In an statement, Graphic Packaging International said that it had been reviewing its European manufacturing operations since the acquisition of Contego Cartons and AR Carton and while it praised the quality of the work produced at GPI Gillingham it said that the site did not fit in with its future requirements.

It added that it is currently consulting with the Unite and the Graphic Packaging Employee Information and Consultation Committee on the proposed closure.

In the statement, the company said: "These are always difficult decisions, but it is a necessary step in the company's continuous efforts to effectively align and optimize its supply chain footprint. We do realise the impact of this decision on our team members; their families and their communities and we remain committed to providing assistance under our policies to help mitigate the impact of this decision where possible."

The company added that work produced at Gillingham would most likely transfer to Leeds, however it said that business would continue as normal until then.

Graphic Packaging is a global packaging group with sales of $4.3bn and it employs 15,000 staff around the world, including locations in Australia, Brazil, Canada, China, France, Germany, Japan, Mexico, Spain, the UK and the US.

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The site was part of Contego Cartons, formerly Nampak Cartons, which was bought by US food packaging group GPI in January. As well as the Gillingham site, the £91m deal included Contego sites in Leeds, Hoogerheide in the Netherlands and Portlaoise in Ireland, all of which are understood to be unaffected by the closure of Gillingham.

Unite has demanded an "urgent meeting' with the company, which launched a 45-day consultation at Gillingam last Wednesday (5 June) where the union said it will urge the US owners to "to look at all possibilities for re-location and the best possible deal for the workforce".

According to the union the company is proposing to close the facility on 30 September.

"This is a very difficult time for the workforce and they have a right to be angry that they face redundancy. Unite will be demanding the company does everything possible to support the workers affected," said Unite national officer Ian Tonks

"At a time when unemployment is high and good jobs are hard to find, employers should be going out of their way to find the best deal possible for workers who have given years of loyalty."

In an statement, Graphic Packaging International said that it had been reviewing its European manufacturing operations since the acquisition of Contego Cartons and AR Carton and while it praised the quality of the work produced at GPI Gillingham it said that the site did not fit in with its future requirements.

It added that it is currently consulting with the Unite and the Graphic Packaging Employee Information and Consultation Committee on the proposed closure.

In the statement, the company said: "These are always difficult decisions, but it is a necessary step in the company's continuous efforts to effectively align and optimize its supply chain footprint. We do realise the impact of this decision on our team members; their families and their communities and we remain committed to providing assistance under our policies to help mitigate the impact of this decision where possible."

The company added that work produced at Gillingham would most likely transfer to Leeds, however it said that business would continue as normal until then.

Graphic Packaging is a global packaging group with sales of $4.3bn and it employs 15,000 staff around the world, including locations in Australia, Brazil, Canada, China, France, Germany, Japan, Mexico, Spain, the UK and the US.

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<![CDATA[Printing.com pre-tax profits fall by almost 29%]]>http://www.printweek.com//news/1185676/Printingcom-pre-tax-profits-fall-almost-29/Operating profits before exceptional items fell from £1.3m to £1.1m, while sales from its UK and Eire operations contracted from £13.8m to £12.6m, which the company said reflected a competitive marketplace and increased online competition.

Sales across France and Belgium showed marginal increases although its Dutch operations contracted by 5.3% to £6.1m.

Chief executive Tony Rafferty said that costs related to the development of its crowd-sourced graphic design initiative, TemplateCloud and its white label offering for the graphic arts sector, W3P, had impacted on overall profit on the year.

"The results hide the fact that we have evolved TemplateCloud and W3P to really significant Software-as-a-Service (SaaS) offerings internationalising them into eight languages. That has required development, operational and marketing costs," he explained.

Referring to Printing.com's print franchise network and online services Flyerzone, Drukland and BrandDemand, Rafferty said that these would remain central to the group and in the short term would continue to be the main source of earnings.

"The European market has been very challenging and that has pulled back some of the momentum we had in the previous year, so yes the earnings have tightened, but the underlying cash generation in the group remains strong. We have no debt in the group," he added.

Moving forward Rafferty said there was a refocusing of emphasis within the group, with three distinct revenue streams coming from its franchise and online channels, W3P.com, and TemplateCloud.com.

He said the company had reached the point where the new SaaS initiatives had moved from development to deployment and that the outlook for new international partners was "encouraging".

"We expect to attract a lot of digital and commercial printers to use the W3P platform. What we are offering is a game changer for web-to-print," he added.

"Our number one focus for the year is to gain momentum with our SaaS initiatives. That is going to incur cost so we doubt our earnings will significantly move forward this year but once they are firmly embedded the profits will begin to take care of themselves."

As part of the "repositioning" and refocusing of the group's operations Printing.com is to change its holding company name to Grafenia to "reflect the broad graphic nature of the group's activity" and to avoid confusion and misunderstanding when marketing the TemplateCloud and W3P offerings.

All brands including the Printing.com franchise, will remain the same.

"We are more than just a printing company. We are a software development house that offers slick, clever and innovative services and our name change reflects that," said Rafferty.

The name will be rubber-stamped at the company's next AGM.

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Operating profits before exceptional items fell from £1.3m to £1.1m, while sales from its UK and Eire operations contracted from £13.8m to £12.6m, which the company said reflected a competitive marketplace and increased online competition.

Sales across France and Belgium showed marginal increases although its Dutch operations contracted by 5.3% to £6.1m.

Chief executive Tony Rafferty said that costs related to the development of its crowd-sourced graphic design initiative, TemplateCloud and its white label offering for the graphic arts sector, W3P, had impacted on overall profit on the year.

"The results hide the fact that we have evolved TemplateCloud and W3P to really significant Software-as-a-Service (SaaS) offerings internationalising them into eight languages. That has required development, operational and marketing costs," he explained.

Referring to Printing.com's print franchise network and online services Flyerzone, Drukland and BrandDemand, Rafferty said that these would remain central to the group and in the short term would continue to be the main source of earnings.

"The European market has been very challenging and that has pulled back some of the momentum we had in the previous year, so yes the earnings have tightened, but the underlying cash generation in the group remains strong. We have no debt in the group," he added.

Moving forward Rafferty said there was a refocusing of emphasis within the group, with three distinct revenue streams coming from its franchise and online channels, W3P.com, and TemplateCloud.com.

He said the company had reached the point where the new SaaS initiatives had moved from development to deployment and that the outlook for new international partners was "encouraging".

"We expect to attract a lot of digital and commercial printers to use the W3P platform. What we are offering is a game changer for web-to-print," he added.

"Our number one focus for the year is to gain momentum with our SaaS initiatives. That is going to incur cost so we doubt our earnings will significantly move forward this year but once they are firmly embedded the profits will begin to take care of themselves."

As part of the "repositioning" and refocusing of the group's operations Printing.com is to change its holding company name to Grafenia to "reflect the broad graphic nature of the group's activity" and to avoid confusion and misunderstanding when marketing the TemplateCloud and W3P offerings.

All brands including the Printing.com franchise, will remain the same.

"We are more than just a printing company. We are a software development house that offers slick, clever and innovative services and our name change reflects that," said Rafferty.

The name will be rubber-stamped at the company's next AGM.

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<![CDATA[Express KCS expands offer with new marketing appointment]]>http://www.printweek.com//news/1185591/Express-KCS-expands-offer-new-marketing-appointment/The company has enlisted Hogarth Worldwide's ex-head of client production Nick Marlborough to the role of global business development consultant, Europe.

Traditionally a supplier of pre-media services to newspaper and magazine publishers, Express KCS said it was experiencing more demand from brand owners that wanted to work directly with the company rather than with agencies, as well as an increased demand for digital and video post-production work.

Marlborough has been recruited specifically to drive the business forward into these markets.

Before joining Hogarth Worldwide in January 2011, Marlborough, who specialises in developing corporate and creative client relationships, held a string of positions at global design and production agency Tag.

Express KCS chief executive Robert Berkeley said Marlborough's experience would enable the company to offer retailers and brand owners better value for money.

He added: "As brand owners look to make marketing spend work harder - reducing costs while maintaining brand integrity - we are seeing increased demand for our high-end creative and production expertise.

"Nick has first-hand understanding of marketing production and brand requirements coupled with experience of complex production workflows. He is widely respected among customers and will be a valuable addition to our team."

Marlborough said: "With Express KCS's wide range of creative services, their capacity, unique technology and the added benefit of providing efficient cost savings, I'm looking forward to bringing this new proposition to brand owners and retailers."

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The company has enlisted Hogarth Worldwide's ex-head of client production Nick Marlborough to the role of global business development consultant, Europe.

Traditionally a supplier of pre-media services to newspaper and magazine publishers, Express KCS said it was experiencing more demand from brand owners that wanted to work directly with the company rather than with agencies, as well as an increased demand for digital and video post-production work.

Marlborough has been recruited specifically to drive the business forward into these markets.

Before joining Hogarth Worldwide in January 2011, Marlborough, who specialises in developing corporate and creative client relationships, held a string of positions at global design and production agency Tag.

Express KCS chief executive Robert Berkeley said Marlborough's experience would enable the company to offer retailers and brand owners better value for money.

He added: "As brand owners look to make marketing spend work harder - reducing costs while maintaining brand integrity - we are seeing increased demand for our high-end creative and production expertise.

"Nick has first-hand understanding of marketing production and brand requirements coupled with experience of complex production workflows. He is widely respected among customers and will be a valuable addition to our team."

Marlborough said: "With Express KCS's wide range of creative services, their capacity, unique technology and the added benefit of providing efficient cost savings, I'm looking forward to bringing this new proposition to brand owners and retailers."

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<![CDATA[Polestar vaunts power of print at client event]]>http://www.printweek.com//news/1185481/Polestar-vaunts-power-print-client-event/Speaking at a client event last night, where the group launched the upcoming revamp of its web offset facilities to more than 450 guests, Hibbert delivered a tour de force in praise of the power of print.

He contrasted print's proven effectiveness against the comparatively miniscule revenues from digital publishing and other online channels.

"Of course we should embrace and encourage digital, but we shouldn't do that at the expense of a sound business model that has stood the test of time," he stated. "Without printing, none of you would have a digital stream to work with.

"We want to encourage you to continue to invest in the golden nugget of printing."

Hibbert also said Polestar was likely to make an acquisition in the digital content space "when the time is right". "We want to be a one-stop shop but the digital market is too fragmented at the moment, it's like the VHS and Betamax scenario. When the time is right we will acquire."

Clients including major newspaper, publishing and retailing brands attended the event.

Two months ago Polestar announced a £50m investment in new web presses from Goss International. It also plans to add two new high-speed perfect binding lines as part of the plan.

The first two 96pp Sunday 5000 presses are due to be installed in the first half of next year, but Polestar is still assessing options for their location.

Hibbert thanked customers for the long-term commitment of more than £900m of business over the next seven-to-eight years, which had made the spend possible.

Group finance director Peter Johnston said the financial picture at the £280m turnover group had been "strengthened immeasurably" since 2011, when Polestar nearly collapsed prior to the pre-pack acquisition by Sun European Partners.

"Despite the fact that we are operating in a very difficult economic climate we grew our earnings by 13% to £34m in 2012, and we expect to make a profit of £37m in 2013," he said.

"The printing industry in the UK is robust but the players in it are fragile, with weak balance sheets in the hands of private owners with limited access to funds. Polestar is the exception to that," Johnston stated.

Chief operating officer Peter Andreou said the new presses would result in Polestar becoming "one of the most technologically advanced web offset business in Europe, if not the world", with the capacity to produce 11bn 32pp sections per annum.

When installed, the new presses will provide "a 500% productivity increase over our current capabilities," said Andreou.

Goss International chief executive Rick Nichols, who made a flying visit to the UK in order to attend the event, said: "I've racked up more than 500,000 air miles visiting Goss customers in print and packaging since I joined the company 11 months ago, and Polestar is in the top five in terms of innovation and making a huge transformational change in their business."

He said the Goss webs would deliver "a sheetfed-type finish at web offset speed."

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Speaking at a client event last night, where the group launched the upcoming revamp of its web offset facilities to more than 450 guests, Hibbert delivered a tour de force in praise of the power of print.

He contrasted print's proven effectiveness against the comparatively miniscule revenues from digital publishing and other online channels.

"Of course we should embrace and encourage digital, but we shouldn't do that at the expense of a sound business model that has stood the test of time," he stated. "Without printing, none of you would have a digital stream to work with.

"We want to encourage you to continue to invest in the golden nugget of printing."

Hibbert also said Polestar was likely to make an acquisition in the digital content space "when the time is right". "We want to be a one-stop shop but the digital market is too fragmented at the moment, it's like the VHS and Betamax scenario. When the time is right we will acquire."

Clients including major newspaper, publishing and retailing brands attended the event.

Two months ago Polestar announced a £50m investment in new web presses from Goss International. It also plans to add two new high-speed perfect binding lines as part of the plan.

The first two 96pp Sunday 5000 presses are due to be installed in the first half of next year, but Polestar is still assessing options for their location.

Hibbert thanked customers for the long-term commitment of more than £900m of business over the next seven-to-eight years, which had made the spend possible.

Group finance director Peter Johnston said the financial picture at the £280m turnover group had been "strengthened immeasurably" since 2011, when Polestar nearly collapsed prior to the pre-pack acquisition by Sun European Partners.

"Despite the fact that we are operating in a very difficult economic climate we grew our earnings by 13% to £34m in 2012, and we expect to make a profit of £37m in 2013," he said.

"The printing industry in the UK is robust but the players in it are fragile, with weak balance sheets in the hands of private owners with limited access to funds. Polestar is the exception to that," Johnston stated.

Chief operating officer Peter Andreou said the new presses would result in Polestar becoming "one of the most technologically advanced web offset business in Europe, if not the world", with the capacity to produce 11bn 32pp sections per annum.

When installed, the new presses will provide "a 500% productivity increase over our current capabilities," said Andreou.

Goss International chief executive Rick Nichols, who made a flying visit to the UK in order to attend the event, said: "I've racked up more than 500,000 air miles visiting Goss customers in print and packaging since I joined the company 11 months ago, and Polestar is in the top five in terms of innovation and making a huge transformational change in their business."

He said the Goss webs would deliver "a sheetfed-type finish at web offset speed."

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<![CDATA[1st Signs & Graphics targets growth with Arizona install]]>http://www.printweek.com//news/1185396/1st-Signs---Graphics-targets-growth-Arizona-install/The Merthyr Tydfil, South Wales company serves the construction and property markets, with clients including Barratt Homes and Taylor Wimpey. It also provides a full board service to over 120 local estate agents, which the Arizona is predominantly being used to service.

"We were looking for something that would improve the range of services we can offer. Previously we might have had to outsource some work, with the addition of the Arizona we can produce everything in house," said managing director Terry Veale.

Veale added that the company was initially only looking to secure funding for a 20% deposit from Finance Wales to complete a five-year lease on the Arizona, but the RDA offered to finance an outright purchase with a loan for a "six-figure sum".

"I wouldn't exactly describe it as a pain free process, but when you take into consideration the amount of money, I would like to think that if you're fully prepared with all the information then it's a fairly straightforward process. It's probably no worse than trying to get bank funding to be fair, and I don't think I would have got a 100% loan from a bank either," said Veale.

He added the whole process took around 10 weeks.

The Finance Wales funding came from the organisation's £150m Wales JEREMIE fund, which aims to encourage investment amongst Welsh micro and small businesses.

The Arizona 460XT features six ink channels, including white ink, and is capable of 21m/hr in production mode. It can handle rigid media up to 2,500x3,050mm and 50.8mm deep or rolls up to 2,190mm wide.

The Arizona is 1st Signs & Graphics first flatbed machine and prior to its installation six weeks ago the company would print estate agent boards on vinyl and then laminate them to the required substrate, whereas now they can print directly on to the boards.

Following the investment the £700,000 company is looking to recruit two more staff to its team of 17.

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The Merthyr Tydfil, South Wales company serves the construction and property markets, with clients including Barratt Homes and Taylor Wimpey. It also provides a full board service to over 120 local estate agents, which the Arizona is predominantly being used to service.

"We were looking for something that would improve the range of services we can offer. Previously we might have had to outsource some work, with the addition of the Arizona we can produce everything in house," said managing director Terry Veale.

Veale added that the company was initially only looking to secure funding for a 20% deposit from Finance Wales to complete a five-year lease on the Arizona, but the RDA offered to finance an outright purchase with a loan for a "six-figure sum".

"I wouldn't exactly describe it as a pain free process, but when you take into consideration the amount of money, I would like to think that if you're fully prepared with all the information then it's a fairly straightforward process. It's probably no worse than trying to get bank funding to be fair, and I don't think I would have got a 100% loan from a bank either," said Veale.

He added the whole process took around 10 weeks.

The Finance Wales funding came from the organisation's £150m Wales JEREMIE fund, which aims to encourage investment amongst Welsh micro and small businesses.

The Arizona 460XT features six ink channels, including white ink, and is capable of 21m/hr in production mode. It can handle rigid media up to 2,500x3,050mm and 50.8mm deep or rolls up to 2,190mm wide.

The Arizona is 1st Signs & Graphics first flatbed machine and prior to its installation six weeks ago the company would print estate agent boards on vinyl and then laminate them to the required substrate, whereas now they can print directly on to the boards.

Following the investment the £700,000 company is looking to recruit two more staff to its team of 17.

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<![CDATA[ColourXpress targets growth after Ryobi spend]]>http://www.printweek.com//news/1185358/ColourXpress-targets-growth-Ryobi-spend/The 11-staff business installed a six-colour Ryobi 526GX in January, which was closely followed by a two-back-two Ryobi 524GXP in March, both from Apex Digital Graphics. The B3 presses replaced a 10-year old Ryobi 525HXX.

ColourXpress managing director Mike Corran said one of the reasons behind the investment was to introduce one-pass spot colour and coat on four colour jobs, which combined with the higher level of automation had substantially increased the company's productivity.

"Not only does it print faster, it also makes ready faster and when you combine that with the ability to seal in one pass, in effect we've been able to double the output of the five-colour HXX with the six-colour GX," said Curran.

He added that the PDSE inline scanning spectrophotometer was another major bonus of the investment.

"The two GXs have boosted the quality and consistency of our output, it was good before - its just better now," Corran said.

The £500,000 spend, which also included infrastructure improvements to the firm's facility, was partly financed through "meaningful five-figure" funding from ColourXpress's local RDA. The firm wasn't initially planning to buy the perfecting 524GXP, but following it securing a three-year NHS tender at the start of the year, which went live last month, it installed the second Ryobi.

The firm has taken on two additional staff following the installation of the second press and Corran said that he was planning to double staffing levels to around 20 by the end of the year. The firm had sales of around £750,000 last year and Corran said it's on course to achieve £1.2m this year.

"When you combine the productivity of the two new presses we've actually quadrupled our total capacity and we've already filled that. I'm not sure if we've just been extremely lucky, but we've won a lot of contractual work nationally and locally," Corran added.

The company secured its funding from Plymouth University and Western Morning News Growth Fund. Corran said he effectively took a month off from his "day job" to apply for the funding, which involved a full business plan, including forecasts and trading statements.

"It was definitely worthwhile though, because without the RDA funding we would not have been able to invest in the second press," said Corran.

The company offers a full cross-media service, including website design, e-marketing, variable print via its Xerox engines, as well as a fully functioning B2C storefront under a different name. It also has a physical high street presence as well as separate production facility.

"In these troubled times the printers that are left usually have decent machinery and staff, so you are competing with the best of the best and all you're left with is price. We don't want to do that, we focus on profit because it's not a dirty word. So we've focussed on adding value and services," said Corran.

]]>
The 11-staff business installed a six-colour Ryobi 526GX in January, which was closely followed by a two-back-two Ryobi 524GXP in March, both from Apex Digital Graphics. The B3 presses replaced a 10-year old Ryobi 525HXX.

ColourXpress managing director Mike Corran said one of the reasons behind the investment was to introduce one-pass spot colour and coat on four colour jobs, which combined with the higher level of automation had substantially increased the company's productivity.

"Not only does it print faster, it also makes ready faster and when you combine that with the ability to seal in one pass, in effect we've been able to double the output of the five-colour HXX with the six-colour GX," said Curran.

He added that the PDSE inline scanning spectrophotometer was another major bonus of the investment.

"The two GXs have boosted the quality and consistency of our output, it was good before - its just better now," Corran said.

The £500,000 spend, which also included infrastructure improvements to the firm's facility, was partly financed through "meaningful five-figure" funding from ColourXpress's local RDA. The firm wasn't initially planning to buy the perfecting 524GXP, but following it securing a three-year NHS tender at the start of the year, which went live last month, it installed the second Ryobi.

The firm has taken on two additional staff following the installation of the second press and Corran said that he was planning to double staffing levels to around 20 by the end of the year. The firm had sales of around £750,000 last year and Corran said it's on course to achieve £1.2m this year.

"When you combine the productivity of the two new presses we've actually quadrupled our total capacity and we've already filled that. I'm not sure if we've just been extremely lucky, but we've won a lot of contractual work nationally and locally," Corran added.

The company secured its funding from Plymouth University and Western Morning News Growth Fund. Corran said he effectively took a month off from his "day job" to apply for the funding, which involved a full business plan, including forecasts and trading statements.

"It was definitely worthwhile though, because without the RDA funding we would not have been able to invest in the second press," said Corran.

The company offers a full cross-media service, including website design, e-marketing, variable print via its Xerox engines, as well as a fully functioning B2C storefront under a different name. It also has a physical high street presence as well as separate production facility.

"In these troubled times the printers that are left usually have decent machinery and staff, so you are competing with the best of the best and all you're left with is price. We don't want to do that, we focus on profit because it's not a dirty word. So we've focussed on adding value and services," said Corran.

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<![CDATA[Fire strikes Polestar facility]]>http://www.printweek.com//news/1184988/Fire-strikes-Polestar-facility/More than 100 fire-fighters have now attended the scene of the blaze, which has destroyed around 50% of Polestar's work-in-progress storage facility at its Chaucer Business Park site in Launton Road, Bicester.

Employees on site tried to contain the blaze, believed to have started on a gas-powered forklift truck, but the fire and rescue service was called at around 1am. No-one was hurt.

Speaking from the scene, Oxfordshire Fire and Rescue's Rewley Road station manager David Bray told PrintWeek that the "temporary" nature of the building, which comprised a "heavy-duty plastic roof material", meant that clearing work was needed for the fire-fighters to gain access.

"The fire is now under control but because it is still smoldering and the building is falling in on itself we now have specialist contractors removing the steel structure so that we can get in and get the huge piles and pallets of print to stop smoldering," he explained.

He added: "I would imagine we will be here for at least the next 24 hours."

Bray said half of the storage facility had been lost but that crews had managed to save the remaining 50%. He added: "Most importantly we've saved all the other buildings around it."

Bray confirmed that no printing equipment was in the affected building and that work was continuing at Polestar. "They are working round us and we are working around them."

Polestar was unavailable for comment.

Among the raft of business, glossy and consumer titles printed at the site is free publication Time Out, of which more than 225,000 copies were destroyed, forcing the publisher to delay distribution until Thursday.

Time Out managing director Greg Miall said: "This is the first time that this kind of situation has arisen in over 44 years of production and whilst some magazines survived, we will not be able to distribute as usual until Thursday this week.

"We are just grateful that no-one was hurt in the incident and ask that our readers and users continue to use our website and continue to engage with us through our social networks and through comments and reviews."

The fire is believed to have been accidental and an investigation is underway.

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More than 100 fire-fighters have now attended the scene of the blaze, which has destroyed around 50% of Polestar's work-in-progress storage facility at its Chaucer Business Park site in Launton Road, Bicester.

Employees on site tried to contain the blaze, believed to have started on a gas-powered forklift truck, but the fire and rescue service was called at around 1am. No-one was hurt.

Speaking from the scene, Oxfordshire Fire and Rescue's Rewley Road station manager David Bray told PrintWeek that the "temporary" nature of the building, which comprised a "heavy-duty plastic roof material", meant that clearing work was needed for the fire-fighters to gain access.

"The fire is now under control but because it is still smoldering and the building is falling in on itself we now have specialist contractors removing the steel structure so that we can get in and get the huge piles and pallets of print to stop smoldering," he explained.

He added: "I would imagine we will be here for at least the next 24 hours."

Bray said half of the storage facility had been lost but that crews had managed to save the remaining 50%. He added: "Most importantly we've saved all the other buildings around it."

Bray confirmed that no printing equipment was in the affected building and that work was continuing at Polestar. "They are working round us and we are working around them."

Polestar was unavailable for comment.

Among the raft of business, glossy and consumer titles printed at the site is free publication Time Out, of which more than 225,000 copies were destroyed, forcing the publisher to delay distribution until Thursday.

Time Out managing director Greg Miall said: "This is the first time that this kind of situation has arisen in over 44 years of production and whilst some magazines survived, we will not be able to distribute as usual until Thursday this week.

"We are just grateful that no-one was hurt in the incident and ask that our readers and users continue to use our website and continue to engage with us through our social networks and through comments and reviews."

The fire is believed to have been accidental and an investigation is underway.

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<![CDATA[Wyndeham renews deal with The Camping and Caravanning Club]]>http://www.printweek.com//news/1184425/Wyndeham-renews-deal-Camping-Caravanning-Club/The print contract for the 108-year-old monthly flagship magazine, which has an ABC circulation of more than 267,000, includes a series of handbooks and guidebooks.

All of the products are printed and finished at Wyndeham Roche in Cornwall using its 72pp Lithoman IV and 16pp Komori 38 presses, with finishing completed in the site's perfect binding and mailing divisions.

The latest contract win for the Wyndeham Group follows the announcement two weeks ago that the company had renewed its contract to print the 210,000-circulation Economist magazine for a further three years at its Peterborough site.

Chief executive officer Paul Utting said: "The renewal of this contract for the Camping and Caravanning Club - such a long-standing client - highlights the continued support and satisfaction of the services Wyndeham Group is able to provide its customers.

"We are very happy the relationship has been extended for a further three years and this renewal is testament to the hard work of all involved at our Wyndeham Roche facility."

Camping and Caravanning editor Simon McGrath said: "Wyndeham Roche has been printing our magazine for many years.

"We've enjoyed a pro-active relationship with Wyndeham's people and we're looking forward to their continued involvement as we move forward."

]]>
The print contract for the 108-year-old monthly flagship magazine, which has an ABC circulation of more than 267,000, includes a series of handbooks and guidebooks.

All of the products are printed and finished at Wyndeham Roche in Cornwall using its 72pp Lithoman IV and 16pp Komori 38 presses, with finishing completed in the site's perfect binding and mailing divisions.

The latest contract win for the Wyndeham Group follows the announcement two weeks ago that the company had renewed its contract to print the 210,000-circulation Economist magazine for a further three years at its Peterborough site.

Chief executive officer Paul Utting said: "The renewal of this contract for the Camping and Caravanning Club - such a long-standing client - highlights the continued support and satisfaction of the services Wyndeham Group is able to provide its customers.

"We are very happy the relationship has been extended for a further three years and this renewal is testament to the hard work of all involved at our Wyndeham Roche facility."

Camping and Caravanning editor Simon McGrath said: "Wyndeham Roche has been printing our magazine for many years.

"We've enjoyed a pro-active relationship with Wyndeham's people and we're looking forward to their continued involvement as we move forward."

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<![CDATA[Consumer gift card and voucher sales up 4.6%]]>http://www.printweek.com//news/1184388/Consumer-gift-card-voucher-sales-46/Consumer gift card and voucher sales in the first quarter of 2013 grew by 4.6% year-on-year, new figures from the UK Gift Card & Voucher Association (UKGCVA) reveal.

"Over 4% growth across the industry is a very strong performance given the instability of the wider retail market," said Andrew Johnson, director-general of the UKGCVA, the trade body that represents the £4.7bn gift voucher, cards and stored value solutions industry.

"It's encouraging to see evidence that consumer confidence in vouchers so far seems to be relatively unaffected by fall-out from high street administrations and issues around voucher redemption. Many consumers still turned to vouchers as a gift option in the run up to Easter."

The report, compiled independently by Ernst & Young, showed that strong growth was seen across a variety of consumer gift card sales. Traditional paper and e-vouchers enjoyed "staggering growth" of almost 20% whilst restricted loop gift cards showed the highest growth of 35%, according to the figures.

Sherwood Press chief executive Jeremy Bacon said: "This is a growth market; there's no doubt about it. It's an important part of our business and we work with clients who supply most of the major retailers.

"One of the drivers for retailers is the amount of gift cards that are not redeemed - it's a very high-margin product for retailers. It's surprising how few cards are redeemed. Retailers are giving them more space in store.

Bacon said he believed the figures also reflected a huge amount of innovation. "Though online is a threat to all forms of print, if you are looking at traditional litho print on paper, there are so many value-added finishes such as foils and glitter, which make the product more attractive," he explained.

Windles Group senior manager Michelle Mills said: "Some of this increased growth will no doubt be on-line with e-vouchers. But gift cards are becoming more popular. Consumers have less to spend these days, so the concept of getting more for less through vouchers is huge.

"We don't foresee any decline in demand for printed gift cards and vouchers. On the contrary we've enjoyed manufacturing higher volumes. People like to touch and feel things, especially gifts. They enjoy receiving something physical and tactile.

Mills said the company was using innovative finishing techniques such as foiling and deep textured varnish. She added: "This is an area we create more value on printed material at relatively low cost."

Johnson said the association did not currently collate data on digital sales but would be starting from the second quarter of this year. Members were reporting increases in digital, which was still very much in its infancy, he said.

"Few high-street retailers have yet to incorporate digital into their gift card and voucher strategy. We expect to see a handful of digital launches for this Christmas with the pace increasing in 2014.

"It is unlikely Christmas 2013 or 2014 will be a digital Christmas but 2015 could pan out to be an interesting mix of paper, plastic and digital. The long-term view is that plastic will dominate with paper dwindling and digital increasing," he added.

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Consumer gift card and voucher sales in the first quarter of 2013 grew by 4.6% year-on-year, new figures from the UK Gift Card & Voucher Association (UKGCVA) reveal.

"Over 4% growth across the industry is a very strong performance given the instability of the wider retail market," said Andrew Johnson, director-general of the UKGCVA, the trade body that represents the £4.7bn gift voucher, cards and stored value solutions industry.

"It's encouraging to see evidence that consumer confidence in vouchers so far seems to be relatively unaffected by fall-out from high street administrations and issues around voucher redemption. Many consumers still turned to vouchers as a gift option in the run up to Easter."

The report, compiled independently by Ernst & Young, showed that strong growth was seen across a variety of consumer gift card sales. Traditional paper and e-vouchers enjoyed "staggering growth" of almost 20% whilst restricted loop gift cards showed the highest growth of 35%, according to the figures.

Sherwood Press chief executive Jeremy Bacon said: "This is a growth market; there's no doubt about it. It's an important part of our business and we work with clients who supply most of the major retailers.

"One of the drivers for retailers is the amount of gift cards that are not redeemed - it's a very high-margin product for retailers. It's surprising how few cards are redeemed. Retailers are giving them more space in store.

Bacon said he believed the figures also reflected a huge amount of innovation. "Though online is a threat to all forms of print, if you are looking at traditional litho print on paper, there are so many value-added finishes such as foils and glitter, which make the product more attractive," he explained.

Windles Group senior manager Michelle Mills said: "Some of this increased growth will no doubt be on-line with e-vouchers. But gift cards are becoming more popular. Consumers have less to spend these days, so the concept of getting more for less through vouchers is huge.

"We don't foresee any decline in demand for printed gift cards and vouchers. On the contrary we've enjoyed manufacturing higher volumes. People like to touch and feel things, especially gifts. They enjoy receiving something physical and tactile.

Mills said the company was using innovative finishing techniques such as foiling and deep textured varnish. She added: "This is an area we create more value on printed material at relatively low cost."

Johnson said the association did not currently collate data on digital sales but would be starting from the second quarter of this year. Members were reporting increases in digital, which was still very much in its infancy, he said.

"Few high-street retailers have yet to incorporate digital into their gift card and voucher strategy. We expect to see a handful of digital launches for this Christmas with the pace increasing in 2014.

"It is unlikely Christmas 2013 or 2014 will be a digital Christmas but 2015 could pan out to be an interesting mix of paper, plastic and digital. The long-term view is that plastic will dominate with paper dwindling and digital increasing," he added.

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<![CDATA[PCP completes trio of cup final jobs]]>http://www.printweek.com//news/1184376/PCP-completes-trio-cup-final-jobs/The programmes, for the Europa League final in Amsterdam, FA Cup final at Wembley, and last weekend's UEFA Champions League final also at Wembley, involved a total print run in excess of 150,000.

Paginations varied from 80pp to 112pp, with covers featuring matt lamination, spot UV varnish and foil blocking.

The text sections were printed on 130gsm Sappi Galerie Art, with covers on 250gsm Sappi Claro gloss. The paper was supplied by Antalis.

Haymarket Network senior account manager Jane Grist said PCP had done "a brilliant job" during an intense production period for the customer publisher.

Alex Evans, managing director at Telford-based PCP, added: "We were delighted to print these prestigious programmes for Haymarket who require the highest quality of print and production supported by a flexible and experienced customer service team.

"I am proud that PCP continue to work closely with the Haymarket team and look forward to developing our excellent working relationship in the future on more exciting projects."

PCP's setup includes three web presses: a 32pp Manroland Rotoman, 16pp Komori System 38 and 32pp Goss Universal, as well as a six-colour B1 sheetfed Mitsubishi UV press and 10-colour Heidelberg Speedmaster 102 perfector.

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The programmes, for the Europa League final in Amsterdam, FA Cup final at Wembley, and last weekend's UEFA Champions League final also at Wembley, involved a total print run in excess of 150,000.

Paginations varied from 80pp to 112pp, with covers featuring matt lamination, spot UV varnish and foil blocking.

The text sections were printed on 130gsm Sappi Galerie Art, with covers on 250gsm Sappi Claro gloss. The paper was supplied by Antalis.

Haymarket Network senior account manager Jane Grist said PCP had done "a brilliant job" during an intense production period for the customer publisher.

Alex Evans, managing director at Telford-based PCP, added: "We were delighted to print these prestigious programmes for Haymarket who require the highest quality of print and production supported by a flexible and experienced customer service team.

"I am proud that PCP continue to work closely with the Haymarket team and look forward to developing our excellent working relationship in the future on more exciting projects."

PCP's setup includes three web presses: a 32pp Manroland Rotoman, 16pp Komori System 38 and 32pp Goss Universal, as well as a six-colour B1 sheetfed Mitsubishi UV press and 10-colour Heidelberg Speedmaster 102 perfector.

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<![CDATA[MPG situation still unresolved]]>http://www.printweek.com//news/1184221/MPG-situation-unresolved/It had been expected that administrators would be appointed at the business yesterday (28 May), but no-one had been appointed at the time of writing on Wednesday.

Suppliers, employees and customers remain in the dark about what will happen next at the £19.4m turnover business, which employs more than 200 staff.

One employee told PrintWeek: "No-one knows what's going on. Unite the union have been in today, but they can't do anything for us until an administrator is appointed."

A supplier to the group, who wished to remain anonymous, described the situation as "a great worry".

"We are trying to find out what's happening. We're owed a reasonable sum of money as are many people in the industry."

There is understood to be interest in the company's well-invested King's Lynn digital printing facility from possible third-party purchasers.

Things came to a head at the company last week, apparently because of a cashflow crisis caused by overrunning costs at its new Cambridge facility, set up after MPG took over the former Cambridge University Press in-house print operation.

The resulting hiatus has resulted in a huge outpouring of comments on the printweek.com forum, but no statement from the company itself.

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It had been expected that administrators would be appointed at the business yesterday (28 May), but no-one had been appointed at the time of writing on Wednesday.

Suppliers, employees and customers remain in the dark about what will happen next at the £19.4m turnover business, which employs more than 200 staff.

One employee told PrintWeek: "No-one knows what's going on. Unite the union have been in today, but they can't do anything for us until an administrator is appointed."

A supplier to the group, who wished to remain anonymous, described the situation as "a great worry".

"We are trying to find out what's happening. We're owed a reasonable sum of money as are many people in the industry."

There is understood to be interest in the company's well-invested King's Lynn digital printing facility from possible third-party purchasers.

Things came to a head at the company last week, apparently because of a cashflow crisis caused by overrunning costs at its new Cambridge facility, set up after MPG took over the former Cambridge University Press in-house print operation.

The resulting hiatus has resulted in a huge outpouring of comments on the printweek.com forum, but no statement from the company itself.

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<![CDATA[Royal Mail hits back at CWU ballot]]>http://www.printweek.com//news/1183858/Royal-Mail-hits-back-CWU-ballot/In a statement, the postal operator said that it was "committed to seeking an agreement with the CWU on the way forward in Royal Mail that equips the business for the future and is fair to our employees".

The statement went on to respond to each of the four questions posed by the CWU to its members in the ballot, point by point.

On the issue of a possible boycott by CWU members of mail from DSA providers, Royal Mail said that it was committed to the delivery of DSA mail and that any disruption to that service would "adversely impact the business, our reputation and that of our employees".

It also highlighted that DSA mail accounted for almost half of the mail it handled and, while previously a loss-making service, it made a profit of £80m after it had been modernised.

Royal Mail also mirrored the concerns of the DM industry by stating that if the Royal Mail didn't deliver DSA mail its "customers may look for alternatives, including using more email".

However, a Royal Mail spokesman declined to be drawn on what action it would take should the CWU instigate a boycott of DSA mail.

Regarding the potential sale of Royal Mail, it said that as the government had indicated that it had no plans to invest in the postal provider, then a sale or partial sale, with the resulting private-sector backing, offered the best opportunity for Royal Mail to continue its evolution and "secure as many good quality jobs as possible".

It also dismissed any sale representing a threat to its universal service as it was "enshrined in law" and that Ofcom had ruled out any changes to the scope of the universal service.

Ofcom also responded to CWU's charge that it had ‘no strategy for dealing with end-to-end competition' referring the union to its previously published guidance.

"We also outlined the steps that could be taken in the event that competition poses a threat to the sustainability of the universal service, which it is our duty to secure. If such a threat emerges, we have clear powers to intervene," added an Ofcom spokesman.

On the final two issues of the CWU's pay claim and policy of non-co-operation - Royal Mail claimed it was committed to seeking an agreement and wanted to work with the union and its members to make it a more efficient business.

]]>
In a statement, the postal operator said that it was "committed to seeking an agreement with the CWU on the way forward in Royal Mail that equips the business for the future and is fair to our employees".

The statement went on to respond to each of the four questions posed by the CWU to its members in the ballot, point by point.

On the issue of a possible boycott by CWU members of mail from DSA providers, Royal Mail said that it was committed to the delivery of DSA mail and that any disruption to that service would "adversely impact the business, our reputation and that of our employees".

It also highlighted that DSA mail accounted for almost half of the mail it handled and, while previously a loss-making service, it made a profit of £80m after it had been modernised.

Royal Mail also mirrored the concerns of the DM industry by stating that if the Royal Mail didn't deliver DSA mail its "customers may look for alternatives, including using more email".

However, a Royal Mail spokesman declined to be drawn on what action it would take should the CWU instigate a boycott of DSA mail.

Regarding the potential sale of Royal Mail, it said that as the government had indicated that it had no plans to invest in the postal provider, then a sale or partial sale, with the resulting private-sector backing, offered the best opportunity for Royal Mail to continue its evolution and "secure as many good quality jobs as possible".

It also dismissed any sale representing a threat to its universal service as it was "enshrined in law" and that Ofcom had ruled out any changes to the scope of the universal service.

Ofcom also responded to CWU's charge that it had ‘no strategy for dealing with end-to-end competition' referring the union to its previously published guidance.

"We also outlined the steps that could be taken in the event that competition poses a threat to the sustainability of the universal service, which it is our duty to secure. If such a threat emerges, we have clear powers to intervene," added an Ofcom spokesman.

On the final two issues of the CWU's pay claim and policy of non-co-operation - Royal Mail claimed it was committed to seeking an agreement and wanted to work with the union and its members to make it a more efficient business.

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<![CDATA[LightBrigade secures Just Falafel contract]]>http://www.printweek.com//news/1183849/LightBrigade-secures-Just-Falafel-contract/Just Falafel has more than 650 franchise agreements in the Middle East and across 15 countries worldwide with 12 outlets opening in the UK over the past few weeks alone.

The company intends to grow its UK presence to 200 stores over the next three years and selected LightBrigade, through a competitive tender, to handle all of its brand development, PR and printed materials, such as menus, lightboxes, window applications, store branding, mailers and flyers.

Following the roll-out of the brand across the UK, Just Falafel will look at extending the refreshed identity across its global network.

LightBrigade director of strategy Matt Walker said that winning the contract with Just Falafel had given the company a fantastic opportunity to demonstrate its strategic and creative capabilities.

He added: "Their revolutionary ambition to change the fast food industry mirrors our own ambition to deliver as a really integrated agency that offers both flexibility and scale across the UK and globally."

Launched in 2009 as a result of Surrey-based litho firm Total Print acquiring B&P LightBrigade in Chertsey, the company employs around 50 staff and has an annual turnover of £5m, which it aims to double year-on-year - a feat it achieved last year.

The business has a client list that includes Samsung, Kuoni, John Lewis, Selfridges and Harvey Nichols and provides a range of services PR, design, brand management and print services from its Covent garden headquarters and its 1,100sqm Surrey print facility, which houses both large-format and litho kit, including four-colour Heidelberg presses alongside large-format flatbed and superwide roll-to-roll printers.

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Just Falafel has more than 650 franchise agreements in the Middle East and across 15 countries worldwide with 12 outlets opening in the UK over the past few weeks alone.

The company intends to grow its UK presence to 200 stores over the next three years and selected LightBrigade, through a competitive tender, to handle all of its brand development, PR and printed materials, such as menus, lightboxes, window applications, store branding, mailers and flyers.

Following the roll-out of the brand across the UK, Just Falafel will look at extending the refreshed identity across its global network.

LightBrigade director of strategy Matt Walker said that winning the contract with Just Falafel had given the company a fantastic opportunity to demonstrate its strategic and creative capabilities.

He added: "Their revolutionary ambition to change the fast food industry mirrors our own ambition to deliver as a really integrated agency that offers both flexibility and scale across the UK and globally."

Launched in 2009 as a result of Surrey-based litho firm Total Print acquiring B&P LightBrigade in Chertsey, the company employs around 50 staff and has an annual turnover of £5m, which it aims to double year-on-year - a feat it achieved last year.

The business has a client list that includes Samsung, Kuoni, John Lewis, Selfridges and Harvey Nichols and provides a range of services PR, design, brand management and print services from its Covent garden headquarters and its 1,100sqm Surrey print facility, which houses both large-format and litho kit, including four-colour Heidelberg presses alongside large-format flatbed and superwide roll-to-roll printers.

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<![CDATA[MailOnline revenue up 61% in DMGT first half results]]>http://www.printweek.com//news/1183691/MailOnline-revenue-61-DMGT-first-half-results/Parent company Daily Mail Group Trust (DMGT) said the decline was partly mitigated by the MailOnline's 61% revenue growth to £20m (2012: £12m), although this is still dwarfed by printed revenues.

Combined revenue for the Daily Mail, The Mail on Sunday and MailOnline declined by 4% to £306m, which was attributed to an 8% decline in overall print advertising revenue and the 6% decline in circulation revenue.

London's free paper Metro was hit by a post Olympics revenue decline of 8% to £40m (2012: £44m).

Overall DMG Media, the division comprising DMGT's newspapers, Zoopla, Wowcher and digital recruitment firm Evenbase, posted a 6% increase in operating profit on revenues of £406m (2012: £435m).

DMGT chief executive Martin Morgan said good overall underlying performance reflected the strength of the group's B2B companies and the resilience of its national consumer titles.

He added: "As expected, reported operating profit increased despite a decline in reported revenue resulting from recent disposals.

"Our UK consumer business, DMG media, continued to experience challenging conditions and underlying revenues were slightly down, although the increase in digital revenues more than offset the decline in print advertising revenues."

"We have continued to actively manage our portfolio of businesses and have made several acquisitions and disposals during the period and into the second half, to improve the overall quality and growth prospects of the group."

Morgan said that he expected comparatives in the second half of the year to be adversely impacted by the timing of biennial events and the Olympics, which were one-off benefits in the second half of the last financial year.

"Overall, the outlook for the full year remains unchanged," he added.

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Parent company Daily Mail Group Trust (DMGT) said the decline was partly mitigated by the MailOnline's 61% revenue growth to £20m (2012: £12m), although this is still dwarfed by printed revenues.

Combined revenue for the Daily Mail, The Mail on Sunday and MailOnline declined by 4% to £306m, which was attributed to an 8% decline in overall print advertising revenue and the 6% decline in circulation revenue.

London's free paper Metro was hit by a post Olympics revenue decline of 8% to £40m (2012: £44m).

Overall DMG Media, the division comprising DMGT's newspapers, Zoopla, Wowcher and digital recruitment firm Evenbase, posted a 6% increase in operating profit on revenues of £406m (2012: £435m).

DMGT chief executive Martin Morgan said good overall underlying performance reflected the strength of the group's B2B companies and the resilience of its national consumer titles.

He added: "As expected, reported operating profit increased despite a decline in reported revenue resulting from recent disposals.

"Our UK consumer business, DMG media, continued to experience challenging conditions and underlying revenues were slightly down, although the increase in digital revenues more than offset the decline in print advertising revenues."

"We have continued to actively manage our portfolio of businesses and have made several acquisitions and disposals during the period and into the second half, to improve the overall quality and growth prospects of the group."

Morgan said that he expected comparatives in the second half of the year to be adversely impacted by the timing of biennial events and the Olympics, which were one-off benefits in the second half of the last financial year.

"Overall, the outlook for the full year remains unchanged," he added.

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<![CDATA[PhotoBox scoops digital tie-up award]]>http://www.printweek.com//news/1183696/PhotoBox-scoops-digital-tie-up-award/The winning project involved a partnership between PhotoBox, web specialist Overthrow Digital and The Prince's Foundation for Children and the Arts.

The mammoth initiative resulted in 200,000 children's self-portraits, which had been submitted through UK schools and charities such as Mencap and Kids Company, being projected onto the front of Buckingham Palace for the Queen's Diamond Jubilee celebrations in 2012.

Each child's portrait was then included in an online photo-gallery, created by Photobox, from which visitors could buy mugs, t-shirts or mouse mats printed with the images. 20% of all revenue from the purchases went to The Prince's Foundation for Children and the Arts.

PhotoBox co-founder Graham Hobson said the project, which took nine months of preparation, had been a refreshing change.

"It was great for us to do something so creative rather than just for commercial purposes. We needed to think about how to interact with children rather than our usual target audience, particularly when it came to the type of products we were offering from the online gallery," he explained."

Hobson said that receiving the award was a great honour and the experience had been unforgetable, not only for the children whose self-portraits were projected onto the palace, but for the staff at PhotoBox.

"It was really a proud moment for us and our families," he added.

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The winning project involved a partnership between PhotoBox, web specialist Overthrow Digital and The Prince's Foundation for Children and the Arts.

The mammoth initiative resulted in 200,000 children's self-portraits, which had been submitted through UK schools and charities such as Mencap and Kids Company, being projected onto the front of Buckingham Palace for the Queen's Diamond Jubilee celebrations in 2012.

Each child's portrait was then included in an online photo-gallery, created by Photobox, from which visitors could buy mugs, t-shirts or mouse mats printed with the images. 20% of all revenue from the purchases went to The Prince's Foundation for Children and the Arts.

PhotoBox co-founder Graham Hobson said the project, which took nine months of preparation, had been a refreshing change.

"It was great for us to do something so creative rather than just for commercial purposes. We needed to think about how to interact with children rather than our usual target audience, particularly when it came to the type of products we were offering from the online gallery," he explained."

Hobson said that receiving the award was a great honour and the experience had been unforgetable, not only for the children whose self-portraits were projected onto the palace, but for the staff at PhotoBox.

"It was really a proud moment for us and our families," he added.

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<![CDATA[Cashflow crisis hits MPG]]>http://www.printweek.com//news/1183694/Cashflow-crisis-hits-MPG/Administrators from Zolfo Cooper are understood to be on-site at the firm, which was formerly known as MPG Books.

However, there has not yet been official confirmation that the business has gone into administration.

A source close to the situation said that while administrators were on-site, they might not be officially appointed until Tuesday, after the bank holiday weekend.

MPG has plants in Bodmin, King's Lynn, and recently opened a new plant in Cambridge following its takeover of the Cambridge University Press (CUP) printing operation last year, which resulted in a major restructuring of the group's manufacturing sites.

Chief executive Tony Chard was unavailable for comment at the time of writing, and the company's phones were diverting to an answerphone service.

The takeover of the CUP facility, and the resulting costs involved with relocating equipment and setting up a new MPG plant in Bar Hill, Cambridge, appears to have resulted in a cash crisis at the company.

Nigel Gawthrope, FOC at the Cambridge site, said: "There was a £500,000 budget to set the factory up, and it actually cost £1.7m. They didn't allow enough time for the machines to bed in and go into production.

"We knew there was a bit of a cashflow problem, but we thought it had turned the corner," he added.

Cambridge University Press operations director Sandra Waterhouse issued a statement this morning on behalf of the publisher.

She said: "The management team of MPG today announced it is to go into administration. In July 2012 Cambridge University Press placed a large proportion of its UK printing with MPG Books Group. The agreement also saw the Press's in-house printing department, and most of the staff, transferred to MPG.

"This transfer was undertaken in good faith and, as well as allowing the publishing groups the flexibility they need, was seen as a way of securing continued employment for staff otherwise facing redundancy through the potential closure of the Press's printing operation.

"Throughout the contract to date we have offered every support to MPG and we are sorry that the business is now facing administration as a result of cash flow problems. Our production directors are considering what this means for our production requirements and will be taking steps to minimise the immediate impact."

At the same time as setting up the new Cambridge facility MPG was also carrying out a £4m investment plan that involved a new Timsons T-Press and HP Indigo 10000 B2 digital press for its Biddles site in King's Lynn.

Just three months ago Chard said the group was "still highly acquisitive" and planned to use its revamped manufacturing platform to expand its services into "book-like products".

It was also poised to invest in high-speed colour inkjet technology with KBA, HP and Kodak in the frame as potential suppliers.

Its most recently-filed results are for the year to 31 December 2011, so exclude the major restructuring carried out over the past 18 months. In 2011 the business made a pre-tax profit of £813,000 on sales of £19.4m and had 238 employees.

Check printweek.com for updates on this story.

]]>
Administrators from Zolfo Cooper are understood to be on-site at the firm, which was formerly known as MPG Books.

However, there has not yet been official confirmation that the business has gone into administration.

A source close to the situation said that while administrators were on-site, they might not be officially appointed until Tuesday, after the bank holiday weekend.

MPG has plants in Bodmin, King's Lynn, and recently opened a new plant in Cambridge following its takeover of the Cambridge University Press (CUP) printing operation last year, which resulted in a major restructuring of the group's manufacturing sites.

Chief executive Tony Chard was unavailable for comment at the time of writing, and the company's phones were diverting to an answerphone service.

The takeover of the CUP facility, and the resulting costs involved with relocating equipment and setting up a new MPG plant in Bar Hill, Cambridge, appears to have resulted in a cash crisis at the company.

Nigel Gawthrope, FOC at the Cambridge site, said: "There was a £500,000 budget to set the factory up, and it actually cost £1.7m. They didn't allow enough time for the machines to bed in and go into production.

"We knew there was a bit of a cashflow problem, but we thought it had turned the corner," he added.

Cambridge University Press operations director Sandra Waterhouse issued a statement this morning on behalf of the publisher.

She said: "The management team of MPG today announced it is to go into administration. In July 2012 Cambridge University Press placed a large proportion of its UK printing with MPG Books Group. The agreement also saw the Press's in-house printing department, and most of the staff, transferred to MPG.

"This transfer was undertaken in good faith and, as well as allowing the publishing groups the flexibility they need, was seen as a way of securing continued employment for staff otherwise facing redundancy through the potential closure of the Press's printing operation.

"Throughout the contract to date we have offered every support to MPG and we are sorry that the business is now facing administration as a result of cash flow problems. Our production directors are considering what this means for our production requirements and will be taking steps to minimise the immediate impact."

At the same time as setting up the new Cambridge facility MPG was also carrying out a £4m investment plan that involved a new Timsons T-Press and HP Indigo 10000 B2 digital press for its Biddles site in King's Lynn.

Just three months ago Chard said the group was "still highly acquisitive" and planned to use its revamped manufacturing platform to expand its services into "book-like products".

It was also poised to invest in high-speed colour inkjet technology with KBA, HP and Kodak in the frame as potential suppliers.

Its most recently-filed results are for the year to 31 December 2011, so exclude the major restructuring carried out over the past 18 months. In 2011 the business made a pre-tax profit of £813,000 on sales of £19.4m and had 238 employees.

Check printweek.com for updates on this story.

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<![CDATA[Paperlinx launches 'win-win' revenue generator for printers]]>http://www.printweek.com//news/1183671/Paperlinx-launches-win-win-revenue-generator-printers/"Our customers are buying paper to print on and therefore add value to, their customers may well want to buy packaging, copier paper or whatever and we can facilitate that and fulfil those orders," said Paperlinx UK managing director Phil Carr.

"Printers have deep relationships with their customers so we're just trying to make that relationship stickier. What we're doing is providing an income stream that printers would not have had access to before, importantly, without tying up their cash. It really is that simple," he added.

The service is known internally as "printers' webstores" and the first webstore is expected to go live in the coming days, although Carr declined to reveal the name of the first user. PaperlinX is currently also in advanced discussions with another six customers.

In essence the service is a white label online storefront that printers can add to their websites. The storefronts will offer around 500 Paperlinx products, ranging from blank packaging, office paper, consumables and other media.

"Everyone we've spoken to sees the value in it, because we're all experiencing a decline in volumes. It's a low cost, no risk opportunity and people get that," said Carr.

"It stems from us trying to develop initiatives to enable our customers to bolt on new revenue streams. Of course if it's good for their business, it's also good for us because it continues our evolution from simply being a supplier of paper," added Carr.

The webstores will be branded in line with the printer's own branding. They will be full e-commerce enabled sites where customers can pay by credit card, although invoice options will also be available.

Once placed, the orders will be delivered direct to the printer's customers via Paperlinx's 250-strong logistics fleet, based across DeliveryCo's 24 distribution hubs.

The products will be supplied at a fixed price, to ensure a common pricing structure, which will be set by Paperlinx across all printers' webstores. Printers will then generate a pre-determined "healthy" commission based on order value, which will then be either paid directly to the printer or credited to their Paperlinx account.

"It's a simple value added service for the printer to their customers, it plays into our strengths of logistics and breadth of products. We as merchants should be helping our customers to offer solutions to their customers and this does exactly that, it really is a win-win for all concerned," said Carr.

The pilot "printers' webstores" service will initially be offered to 50 pre-selected Paperlinx customers, but Carr said over time it would be opened up. In terms of initial set up costs to the printer, Carr described them as "minimal", but he added that they would depend on a variety of factors, such as volumes.

While the service will initial focus on 500 products, Carr said that more products will be added over time - once the demand has been identified.

The scheme is being launched in the UK, but Paperlinx expects to roll it out across Europe by the end of the year.

Carr hinted that Paperlinx might introduce other similar initiatives in the near future, however he declined to reveal further details.

]]>
"Our customers are buying paper to print on and therefore add value to, their customers may well want to buy packaging, copier paper or whatever and we can facilitate that and fulfil those orders," said Paperlinx UK managing director Phil Carr.

"Printers have deep relationships with their customers so we're just trying to make that relationship stickier. What we're doing is providing an income stream that printers would not have had access to before, importantly, without tying up their cash. It really is that simple," he added.

The service is known internally as "printers' webstores" and the first webstore is expected to go live in the coming days, although Carr declined to reveal the name of the first user. PaperlinX is currently also in advanced discussions with another six customers.

In essence the service is a white label online storefront that printers can add to their websites. The storefronts will offer around 500 Paperlinx products, ranging from blank packaging, office paper, consumables and other media.

"Everyone we've spoken to sees the value in it, because we're all experiencing a decline in volumes. It's a low cost, no risk opportunity and people get that," said Carr.

"It stems from us trying to develop initiatives to enable our customers to bolt on new revenue streams. Of course if it's good for their business, it's also good for us because it continues our evolution from simply being a supplier of paper," added Carr.

The webstores will be branded in line with the printer's own branding. They will be full e-commerce enabled sites where customers can pay by credit card, although invoice options will also be available.

Once placed, the orders will be delivered direct to the printer's customers via Paperlinx's 250-strong logistics fleet, based across DeliveryCo's 24 distribution hubs.

The products will be supplied at a fixed price, to ensure a common pricing structure, which will be set by Paperlinx across all printers' webstores. Printers will then generate a pre-determined "healthy" commission based on order value, which will then be either paid directly to the printer or credited to their Paperlinx account.

"It's a simple value added service for the printer to their customers, it plays into our strengths of logistics and breadth of products. We as merchants should be helping our customers to offer solutions to their customers and this does exactly that, it really is a win-win for all concerned," said Carr.

The pilot "printers' webstores" service will initially be offered to 50 pre-selected Paperlinx customers, but Carr said over time it would be opened up. In terms of initial set up costs to the printer, Carr described them as "minimal", but he added that they would depend on a variety of factors, such as volumes.

While the service will initial focus on 500 products, Carr said that more products will be added over time - once the demand has been identified.

The scheme is being launched in the UK, but Paperlinx expects to roll it out across Europe by the end of the year.

Carr hinted that Paperlinx might introduce other similar initiatives in the near future, however he declined to reveal further details.

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<![CDATA[Postal union ballots members on DSA boycott]]>http://www.printweek.com//news/1183548/Postal-union-ballots-members-DSA-boycott/Around 112,000 CWU members will receive ballot papers asking them four questions (see below), one of which asks: "Do you support the boycott of competitors' mail".

While the ballot is primarily targeted at strengthening CWU's hand in negotiations with Royal Mail on pay, privatisation and working conditions - a strong yes vote on the question of boycotting DSA mail would give the union the mandate to introduce a boycott.

"This ballot is about protecting the interests of our members and the future of the UK postal service. It is time to challenge Royal Mail and send a strong message to the government and regulator. The consultative ballot deals with the complex issues facing our members and the postal industry. We're asking postal workers to support the union or allow Royal Mail a free hand to determine their future - there is no fence to sit on," said CWU deputy general secretary Dave Ward.

The ballot will run until 18 June, with the result expected the following day. The union stressed that the vote is not a ballot for industrial action.

The union claims that Royal and regulator Ofcom have no policy to deal with DSA competition and it fears that when TNT rolls out its own delivery network nationally, profits from DSA will be "wiped out". It also said that "Unfair competition has undermined the universal service obligation and the jobs of our members" and it hoped that a boycott will force the government and Ofcom intervene on the issue.

According to a CWU spokeswoman, the union would rather not take strike action. However, she added that a "strong yes vote" on the boycott would give it enough of a mandate to introduce it and, as the boycott would not be legally classed as industrial action, there was no requirement to give the mandatory seven days notice to Royal Mail.

"Anecdotally, at a lot of the conferences and forums we've had in the past four or five months there has been a lot of support for a boycott, but as there would be so many people involved in it, 112,000, we really would like to them to be able to have their say," she said.

"We won't be holding a separate industrial action ballot, as this is something different."

However, the union is entering uncharted territory by deeming the boycott as exempt from industrial relations legislation because it's unclear whether the boycott could mean that CWU members are in effect breaking their contracts of employment.

"It's never been done before, so it's very much a bridge to be crossed, so we're going to have to see how things pan out," said the spokeswoman.

"If we don't have to take the action, then we won't just take it bloody minded. The whole reason we're staging the ballot is to flag up what we see as unfair competition. If we can get that resolved [with regulator Ofcom] without having to take this action, then of course we will do that. But we haven't seen any movement on that in the past year," said the spokeswoman.

In March, Ofcom set out its measures to protect the universal postal service. However, the measure only applied to competitors providing an end-to-end service, not DSA operators.

CWU ballot questions

  • Do you support the CWU Pay claim?
  • Do you oppose the privatisation of Royal Mail?
  • Do you support the boycott of competitors' mail?
  • Do you support the policy of non-cooperation?

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Around 112,000 CWU members will receive ballot papers asking them four questions (see below), one of which asks: "Do you support the boycott of competitors' mail".

While the ballot is primarily targeted at strengthening CWU's hand in negotiations with Royal Mail on pay, privatisation and working conditions - a strong yes vote on the question of boycotting DSA mail would give the union the mandate to introduce a boycott.

"This ballot is about protecting the interests of our members and the future of the UK postal service. It is time to challenge Royal Mail and send a strong message to the government and regulator. The consultative ballot deals with the complex issues facing our members and the postal industry. We're asking postal workers to support the union or allow Royal Mail a free hand to determine their future - there is no fence to sit on," said CWU deputy general secretary Dave Ward.

The ballot will run until 18 June, with the result expected the following day. The union stressed that the vote is not a ballot for industrial action.

The union claims that Royal and regulator Ofcom have no policy to deal with DSA competition and it fears that when TNT rolls out its own delivery network nationally, profits from DSA will be "wiped out". It also said that "Unfair competition has undermined the universal service obligation and the jobs of our members" and it hoped that a boycott will force the government and Ofcom intervene on the issue.

According to a CWU spokeswoman, the union would rather not take strike action. However, she added that a "strong yes vote" on the boycott would give it enough of a mandate to introduce it and, as the boycott would not be legally classed as industrial action, there was no requirement to give the mandatory seven days notice to Royal Mail.

"Anecdotally, at a lot of the conferences and forums we've had in the past four or five months there has been a lot of support for a boycott, but as there would be so many people involved in it, 112,000, we really would like to them to be able to have their say," she said.

"We won't be holding a separate industrial action ballot, as this is something different."

However, the union is entering uncharted territory by deeming the boycott as exempt from industrial relations legislation because it's unclear whether the boycott could mean that CWU members are in effect breaking their contracts of employment.

"It's never been done before, so it's very much a bridge to be crossed, so we're going to have to see how things pan out," said the spokeswoman.

"If we don't have to take the action, then we won't just take it bloody minded. The whole reason we're staging the ballot is to flag up what we see as unfair competition. If we can get that resolved [with regulator Ofcom] without having to take this action, then of course we will do that. But we haven't seen any movement on that in the past year," said the spokeswoman.

In March, Ofcom set out its measures to protect the universal postal service. However, the measure only applied to competitors providing an end-to-end service, not DSA operators.

CWU ballot questions

  • Do you support the CWU Pay claim?
  • Do you oppose the privatisation of Royal Mail?
  • Do you support the boycott of competitors' mail?
  • Do you support the policy of non-cooperation?

]]>
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