Multi-Color Corporation

Packaging printer business and personnel news, including items on FetterGroup, Multi-Color Corporation and YORK Label.

BATAVIA, Ohio—Multi-Color Corporation (MCC) announced that its president and CEO, Frank Gerace, plans to retire effective June 15, 2010.

What goes up, must come down—so the saying goes. This could be used to describe the business climate during 2008 in any number of ways. In one way, both the going up and the coming down had significant negative effects.

SHARONVILLE, Ohio—Multi-Color Corporation announced that its President and CEO, Frank Gerace, has provided the required notice that he does not intend to renew his Employment Agreement when it expires on March 31, 2011. Under the terms of Gerace’s Employment Agreement, his contract would have renewed automatically unless Gerace or the company provided a notice of non-renewal at least 24 months prior to its expiration.

The economy has not been exactly easy on American industry as of late. And, businesses in the package-printing industry are no exception to those dealing with the difficult times. With consumers and business partners cutting back on spending, it has been a rough few months. Some companies are still doing well, others are struggling, and some are closing their doors.

SHARONVILLE, Ohio—Multi-Color Corporation has been listed on Forbes 200 Best Small Companies for the second year in a row. Multi-Color moved up 25 spots to 61 within this group. Forbes judged candidates with revenues between $5 million and $750 million and share prices above $5.00 as of Oct. 1, 2008, according to return on equity, as well as sustained sales and net profit growth over 12-month and five-year periods. Multi-Color’s impressive financial performance includes a 5-year annual revenue growth of 16 percent, and earnings per share growth of 15 percent, giving investors an overall 5-year annual return of 19 percent. “Being selected for the

Label Awards: A Hard Day’s Night

SHARONVILLE, Ohio—Multi-Color Corporation (MCC) recently won the “Freddie Award” as Miller Brewing Company’s 2007 Supplier of the Year, an award that MCC has won for the fourth time. “I want to take this opportunity to personally thank the Miller procurement team for selecting Multi-Color Corporation for this prestigious Supplier of the Year Award. We take great pride in our long-standing partnership with Miller Brewing and are humbled each time we are recognized as one of your Partners In Excellence. Winning the Supplier of the Year for the fourth time since this contest’s inception is one of our most cherished accomplishments, we are truly grateful

SHARONVILLE, Ohio—Multi-Color Corporation has completed its acquisition of Collotype International Holdings Pty. Ltd. for $186 million, plus an additional $9.3 million upon achieving certain financial targets. The transaction is expected to be accretive to earnings immediately. Multi-Color estimates this acquisition will increase Earnings per Share by 22 cents to 24 cents in the first full year of operation. Pro forma results will be reported in a subsequent 8-KA filing with the SEC on or about May 14, 2008. Established in 1903, Collotype generates over US$130 million in annual revenues and is a leading pressure sensitive wine and spirits label manufacturer and a growing provider

During the last several years, the packaging sector has experienced a substantial number of mergers and acquisitions (M&A). As a matter of fact, at the Flexible Packaging Association (FPA) ­annual meeting held earlier this month, Doug Lawson, managing director, packaging group for BMO Capital Markets, reported that the industry set a record in 2007 with 386 announced worldwide transactions. Several factors drove this record activity, including a strong rationale for mergers, strong economies, and good capital markets. The net result, reported Lawson, was a median EV/EBITDA (enterprise value/earnings before interest, taxes, depreciation, and amortization) multiple of 7.4x. Many of these mergers and acquisitions were