Cenveo Responds to Burton Capital Management
Cenveo™ Inc., Englewood, Colo., confirmed June 10 that it received a letter from Burton Capital Management LLC, Goodwood Inc., calling for a special meeting of Cenveo's shareholders. Cenveo said that if a meeting of shareholders has been properly called, the board will meet and set a date for it. Click here for the Cenveo statement.

In May, Cenveo rejected a proposal from Burton Capital Management, Greenwich, Conn., that would have resulted in the appointment of Robert G. Burton as the firm's chairman and CEO, according to this letter Burton wrote May 25 to Cenveo Interim Chairman Susan O. Rheney. The letter says Burton met May 6 with Rheney, Cenveo board member Jerry Pickholz, and legal and financial advisors, to give an hour-long presentation about his company's plan to increase Cenveo's shareholder value. "We were very disappointed in being turned down again by your board," Burton said in the letter. He said no Cenveo board member asked a question during the presentation and that his company believes Cenveo "met with us solely in an attempt to preclude a future claim that you refused to meet with us. We now feel that our meeting was a sham." He continued: "Your illusory offer for us to 'participate' in a process that is undefined as to its timing and potential outcome, and to require us to sign a confidentiality agreement that we believe would prevent us from fully communicating with Cenveo's shareholders, is completely unacceptable."

Burton Capital Management (BCM) and individual members of its group are Cenveo's largest shareholders, owning 5,396,234 shares. In April, BCM increased its ownership in Cenveo from 9.6 percent to approximately 10.8 percent after Cenveo responded to this letter from Burton, in which he outlines the history of BCM's attempt to acquire and run Cenveo.

Cenveo repeatedly has said it's seeking "strategic alternatives" to improve shareholder value, including selling the company. According to Burton's May 25 letter, an investor group that Cenveo had solicited contacted Burton to gauge his interest in managing Cenveo if the investor group bought it. "We expect to receive other such calls as you solicit interest from financial buyers and others with no printing industry experience," Burton said in the letter. He added: "We feel the only way to resolve these shareholder issues is the American way—with a vote. In the very near future you will receive a request from our group for a special meeting of shareholders to remove the existing directors and nominate a slate of directors who will affirmatively act in the best interests of Cenveo's shareholders."

Prior to BCM's inception in January 2004, Burton was chairman, president and CEO of Moore Corporation Ltd. from 2000-2002, during which he cut operating costs by $150 million and increased Moore's stock price from a low of $2.50 to a high of $14.45 per share. Previously, he was chairman, president and CEO of World Color Press Inc., where he led its merger with Quebecor Printing Inc.

Ennis Q1 Sales, Profits Soar
Ennis Inc., Midlothian, Texas, reported net sales for the quarter ended in May 2005 of $149.1 million, an increase of 127% over the same quarter last year and an 11% increase over the prior quarter, driven primarily by its acquisitions of Crabar/GBF, Royal and Alstyle. Net income for the quarter rose to $10.6 million from $4.6 million in the proior year. In the Forms Solutions Group, net sales were $46.5 million, an increase of $11.9 million from the prior year quarter and a decrease of $3 million from the prior quarter. The increase from the prior year is the result of $10.4 million in sales from the Crabar/GBF entities and $2.8 million in sales from Royal, offset by a $1.3 million decline in pre-acquisition units. The decrease from the prior quarter was a reflection of the ongoing industry shrinkage. In the Promotional Solutions Group, net sales were $22.5 million in the quarter, compared to $19.5 million in the prior year and $21.1 million in the prior quarter. The increase from the prior year quarter was primarily attributable to the addition of the Cerritos facility to the group. The increase from the prior quarter was the result of increased sales in all of group's operating units except Cerritos which experienced a $.1 million decline from the prior quarter. The Financial Solutions Group's net sales were $11.7 million in both the current quarter and the prior year quarter. In the prior quarter, net sales were $12.2 million. The Apparel Solutions Group saw net sales of $68.4 million in the current quarter, compared to $51.7 million in the prior quarter. The $16.7 million increase is the result of the transition from Alstyle's low point in their annual business cycle (December, January, February) to the high point in their annual business cycle, the company said. Full SEC 10-Q filing.

UPS to Acquire Overnite Corp.
UPS, Atlanta, and Overnite Corporation announced that UPS will acquire Overnite for approximately $1.25 billion in cash. This will allow UPS to offer a variety of less-than-truckload (LTL) and truckload (TL) services to its North American customers. The move comes five months after UPS expanded its air freight services by acquiring Menlo Worldwide Forwarding. Based in Richmond, Va., Overnite reported net income of $63.3 million in 2004 on revenue of $1.65 billion. The carrier serves more than 60,000 customers in the LTL and TL segments with operations in the United States, Canada, Mexico, Puerto Rico, Guam and the U.S. Virgin Islands.

Performance Document Solutions Wins Award
Performance Document Solutions Inc., Omaha, Neb., won an Excellence in Business Award from the Greater Omaha Chamber of Commerce. The firm was honored for being one of Omaha's fastest growing companies. Performance Document Solutions reported more than 170 percent growth in revenue over the past three years.

Reach For the Stars!
The stars, that is, of the CBS-TV reality show "The Amazing Race." Former NBFA (now DMIA) EVP Meredith R. Smith Jr., CAE, and his wife, Gretchen,

Meredith and Gretchen navigate the Mendoza River in Argentina. Photo Credit: Tony Esparza/CBS

will be featured speakers at DMIA's Print Solutions Conference and Expo, Oct. 18-20 in Orlando, Fla. You can send the Smiths email to mrsmithjr@printsolutionsmag.com. Many DMIA members know "R" Smith from his days as executive vice president of the National Business Forms Association. In 1963, Smith became the first full-time staff member of NBFA. He began many of the products and services offered by the association today, and retired in 1991. The Smiths will share with conference attendees their experiences on the 2-time Emmy-winning reality show. The race started with 11 couples competing for the $1 million prize. Meredith and Gretchen were the oldest (Meredith is 69; Gretchen is 65) to compete in any of the show's seven seasons, and they have become famous for their tenacity and resourcefulness.

The Evolution of a Card
The American Welding Society (AWS) provides education to its 50,000 members and supports technology development. Since 1987, Jerome Smith has provided the organization with products ranging from stock labels and computer paper to 4-color catalogs. Smith, president of Intelligent Business Solutions Inc., a distributorship in Miami, is close to his client: You could say they're welded together. Full story.

Have a solution? Click here to be featured in Solution of the Week

WHAT'S NEW AT DMIA?

Ennis Greets the Ennises Frank X. Ennis and his son, Thomas F. Ennis (right), of Delco Graphics in Drexel Hill, Pa., visited the Ennis booth at DMIA's recent Philadelphia TradeMart. Greeting them are Vicky High (left) and Kathy Collier. "We've dealt with Ennis for most of the 28 years we've been in business," said Frank Ennis. "Whenever I call them, I ask, 'How's my company doing?' Of course, we're no relation. Ennis (the company) is named after the town of Ennis, Texas." (Editor's note: The town of Ennis, established in 1871 after railroads reached the area, was named for an early railroad official, Col. Cornelius Ennis.)

The industry is moving faster than ever, and DMIA's TRADEMarts make it easy and convenient to stay updated. Attending a TRADEMart is your best chance to take advantage of the product innovations and dynamic ideas that are hitting the marketplace.

Upcoming TradeMart Dates and Locations
June 28	Indianapolis	Seminars
June 29	Nashville	Seminars

Indianapolis Seminars:
Selling Variable Data Solutions for a Marketing Campaign —Wise
Selling Direct Mail —Mike Weinzierl, Professional Graphic Communications, Inc.
Closing The Sale With Pressure Seal —Wilmer

Nashville Seminars:
Closing The Sale With Pressure Seal —Wilmer

For more information on TradeMarts, click here.

Print Solutions 2005 Conference and Expo
The nation's premier show for the business printing industry will be held Oct. 18-20 at the Orange County Convention Center, Orlando, Fla. This year, the emphasis is on in-depth training and usable solutions. You will gain the expertise and know-how to do your job better and grow your business, whether you're in management or sales. For details, visit www.printsolutionsshow.com.

TOP TEN

Here are this week's top unusual source requests received by DMIA:

1. Shark Repellent; bracelets or other products; QTY=150M
2. Cigarette Save Band; 9 1/4" x 3/4"; prints 2/0; bleeds; latex glue; QTY=8MM every 3 months
3. Cardboard Cutout; 6' x 4'; prints 4 spot colors; QTY=2
4. Memo Pads; prints 4cp or 4cp+2; 50 sheets per pad; QTY=80M-160M-240M pads
5. Rugs; custom printed; 5' x 3'; QTY=5-20
6. Magnetic Paper; 8 1/2" x 11"; prints 2 colors; QTY=5M
7. Glass beads; will be placed into road paint to make it reflective
8. Sunscreen Packets; imprints 1 color; SBF of 15; 3 per pack; QTY=250-1M
9. Add Braille to provided flat sheets; 11" x 17"; QTY=2.5M
10. MP3 Player; imprints 2 colors; QTY=100-500

If you have a source request—for anything—call the Hotline at (800) 333-2828 between 9 a.m. and 5 p.m. Eastern Time, or use the Source Hotline Database online. For new sales ideas every day, try our 1,000 Sales Ideas Database. Manufacturers, if you produce any of these items and would like to check your listing with the Source Hotline, please email Cheryl Rush.

Sales and Marketing Tip
Marketing through Content Portals
Business owners can offer value by using highly targeted, focused web sites related to specific market segments.
Full story.