PMP rolls out presses in race to get back on track

The printing powerhouse will get the ball rolling over the next several months with a run of four consecutive web press commissionings, with the machines firing up on the 15th of July, 15th of August, 15th of September and 15th of October respectively.

PMP's operations in Moorbank Sydney will install two 64-page Lithomans into the factory, as well as a 32-page Duplex Lithoman. PMP's factory in Brisbane will be the recipient of a single 32-page Duplex Lithoman.

Recent overly ambitious de-commissioning of plants led to a drastic cut in PMP's printing capacity, forcing it to forgo high value work so it could satisfy its long-term, low-margin contracts with major publishers like Pacific Magazines and ACP. The problems saw PMP's share price plummet to levels as low as $1.20.

While CEO David Kirk concedes that PMP could have done a better job in predicting these capacity problems, he insists that that the company will be able to comfortably pull back the cost of its capital. Kirk nominates January as the point where the annualised benefits will begin to kick in for PMP.