Chief executive Amos Michelson revealed the firms intention and said that the firm had the people and products to do it as he discussed its fourth-quarter and full-year results.

Fourth-quarter revenue fell 5% to 87m ($138m), with adjusted earnings of 1.8m.

The second half of 2002 didnt pick up as predicted, said Michelson. There will be no return to growth until at least the second half of 2003.

Revenue for 2002 was down 18% to 339m and adjusted earnings saw the firm just break even with earnings of 63,000.

The firms priorities for next year are to focus on packaging and newspapers, which it believes are growth markets not affected by the economic climate.

It will also concentrate on small- and medium-sized printers with its bundling and leasing arrangements, and on gaining market share in Europe and Japan.

Creo has also launched an initiative to defend itself against hostile takeovers, which requires the offer to be kept open 60 days so the board can consider alternatives. The firm said this was not in response to a particular bid or threat, and didnt allow the board to block any deals.

Story by Barney Cox