Quad/Graphics, Inc. announced that Quad and LSC Communications, Inc. have mutually agreed to terminate their merger agreement pursuant to which Quad would have acquired LSC. “Quad’s commitment to our clients, shareholders and employees, and dedication to preserving a vibrant print option that can compete in the digital age, were driving forces behind this business combination and aligned with our long-term business strategy,” said Joel Quadracci, Quad Chairman, President & CEO. “We are disappointed by the Justice Department’s decision to sue to block the transaction and believe that the lawsuit does not reflect the dynamics of print today and the competitive effect of digital media. However, rather than devote time and resources to prolonged litigation, we are choosing to focus on ensuring that our clients benefit from our Quad 3.0 growth strategy through exciting innovations in printing and integrated multichannel marketing solutions that reduce complexity, increase efficiencies and enhance marketing spend effectiveness. We believe this focus is in the best long-term interest of all our stakeholders.” Click Read More below for additional information.
The recovery in the UK printing and printed packaging industry suffered a setback in Q4 and is now expected to see a decline on the volume of orders and output in Q1. The Covid-19 outbreak hit at the end of Q1, Q2 bore the brunt of the impact and whilst Q3 exhibited a recovery, of sorts, Q4 experienced a halt on that recovery path.
Unfortunately forecasts for Q1 suggests that the Covid-19 resurgence and resulting mix of lockdown measures and post-Brexit disruption will be a drag on recovery for many businesses.
The latest Printing Outlook survey reveals that 29% of printers managed to increase their output levels in the final quarter of 2020. One-third (33%) were able to hold output steady, whilst 38% were adversely affected by a decline in output. The resulting balance (the difference between the ups and the downs) was -9, only just below the -8 reported in Q3 and just much in-line with the Q4 forecast (-7). Output has yet to return to the positive zone.
more at source: https://www.twosides.info/UK/bpif-printing-outlook-q1-2021/