New slim PMP to focus on print

"PMP integrates Australia's largest graphic arts business, ShowAds, and largest commercial printing company, PMP Print. Add to that a leading data-based marketing business, Pacific Micromarketing, a distribution company covering 97 percent of Australia's household letterboxes, PMP Distribution, and the country's only independent magazine distributor, Gordon and Gotch, and you have a national force that can deliver right across the print and distribution value chain."

“The company is very sound now and we’re on track to meet our debt reduction targets of between$150 and $200 million this year. The remaining businesses have the potential for strong cash flow generation and high operational leverage, while requiring relatively low capital expenditure.”

The company maintains that the driving force behind the new streamlined PMP will be its restructured print division, PMP Print. This now operates with a single company structure across Australia and New Zealand, under group managing director, John Leevers. It has some of the most advanced printing presses in the industry, including the largest heat set web presses.

"Our focus is on driving business efficiency, rather than short-term growth. This involves a number of specific initiatives, including site rationalisation, technology integration, equipment standardisation and improved logistics that will give us significant long-term competitive advantages," said Leevers. The company has already closed its Moorabbin plant this year and distributed the equipment there to its other sites.

There are ten year printing contracts in place with Pacific Magazines to ensure the lucrative heat-set web publications business remains with PMP.

Muscat maintains his belief in a bright future for the printing industry despite the current slump, nominating it as a strong player in the communication business.