Wednesday, February 24, 2010

R.R. Donnelley narrows loss in fourth-quarter; announces deal to buy NY printer Bowne & Co for $481 million

R.R. Donnelley & Sons Co. announced a deal to buy New York printer Bowne & Co. for $481 million as the giant printer works to cut back on printing capacity and maintain print price levels.

R.R. Donnelly also announced fourth-quarter results losing $78.6 million on the quarter as revenue slid 7.6% to $2.58 billion.

A cycle of losses and attempts to maintain print prices is running into a cross current of publisher ad page declines, reduced folios and circulation. Last year Donnelley attempted to purchase Quebecor World. In January Quad/Graphics announced that it would purchase the company, which is now called World Color Press.