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market for a previously-owned wide-format printer or multifunction system?
OCE on eBay:
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on eBay:
I
was unable to find any eBay listings for used HP PageWide XL systems
Friday, January 6, 2017
Wednesday, January 4, 2017
Xerox updates its classic Brother Dominic Ad
Blog
Publisher’s Comment:
I absolutely
loved the Brother Dominic Xerox advertisement in 1977; that took place around
the time when we had acquired, and were running hard, our Xerox 9200 systems.
Xerox,
having just split-off its Conduent enterprise into a separate company, is
calling itself the “new” Xerox and is working hard to ensure that its customers
notice its focus on what made Xerox a great company in the first place.
Xerox's Classic
'Brother Dominic' Ad Gets a More Miraculous, Digital-Era Update
Brand Puts a Modern Spin on 1977 Super Bowl Ad
Link to “updated” Brother Dominic ad (video):
ARC Document Solutions and ABC Imaging make the CIOReview list of the 20 most promising Managed Print Solutions providers
The other
day, I put up a blog-post about reprographics companies active in the Tampa Bay
Area. Some are over or approaching 50
years in business. Interestingly,
though, the three oldest companies in the Tampa Bay Area are among the smallest
in that area (in terms of number of employees and in terms of annual sales
volume.)
I’m fairly
certain that I understand why some reprographics companies don’t grow to be
large businesses (in terms of annual sales volume) in spite of the fact that they endure year after year. Do you understand the primary reason for
that? If you do not, you’ve probably been missing out on the
absolutely best way to grow a reprographics business.
That being to provide FM/MPS services to your
A/E/C customers.
Offering (and effectively providing) FM/MPS
services to A/E/C customers is absolutely, without any question, the optimum
way to serve those customers. And,
customers love it!
Recently,
CIOReview posted a list of 20 of the most promising Managed Print Services
providers. ABC Imaging and ARC Document
Solutions are on that list. The other 18
companies on that list are not specifically focused on A/E/C. Somehow, the list
failed to include BlueEdge (formerly NRI) and Thomas Printworks; both of those
companies offer and provide FM/MPS services. (And both Thomas and BlueEdge,
like ARC and ABC, rank among the top 5 in our industry). (Note: there are also, obviously, other
reprographers in and around the U.S. who offer and provide FM/MPS services.)
Both of the
companies I was formerly involved in offered and provided FM/MPS services to
A/E/C customers. And, doing that was the primary reason why both companies grew
to exceed $23 million in annual sales.
If you’ve
thought of offering FM/MPS services to A/E/C firms in your community but haven’t
yet pushed into that field, take the time to examine that. Or, if you’ve
attempted to push into that field but did not have success, consider why you
were not successful. (For those of you
who would like to know the “complete story” of how that business works, get in
touch with me!)
From CIOReview (its on-line magazine): 20
Most Promising Managed Print Services Providers 2016:
Link in the above list that takes you to a
brief write-up of ABC Imaging:
Tuesday, January 3, 2017
Xerox completes separation of Conduent (undoing a deal that yielded little, if anything, for Xerox)
Blog Publisher’s Comments:
Evidently, “historic days” include the day
when a big non-core-business acquisition “gets done” AND the day when
that same non-core-business acquisition gets “undone.” I guess it’s a matter of perspective; one can
put a positive spin on anything, even on something that deserves no positive
spin, at all.
In early 2010, Xerox completed the
acquisition of Affiliated Computer Services, a business services enterprise,
one certainly not directly related to Xerox’s core business. It was the largest acquisition Xerox ever
did.
Now, some seven years later, Xerox has
completed the spin-off of that business (which is now known as Conduent) into a
separate NYSE publicly-traded company.
So much for the high hopes that Xerox once had for the diversification
ACS’s business represented. In other
words, IT DID NOT WORK.
XEROX COMPLETES THE PREVIOUSLY
ANNOUNCED SEPARATION OF CONDUENT
January 3rd, 2017
Xerox (NYSE: XRX)
today announced it has completed the separation of Conduent Incorporated (NYSE:
CNDT),
creating two market-leading, publicly- traded companies.
“Today
is an historic day for Xerox. The successful completion of the separation
sharpens our market focus and commitment to our customers,” said Xerox CEO Jeff
Jacobson. “I am confident the transformational actions we are
implementing position Xerox for long-term success and unlocks shareholder
value.”
Members of the company’s executive leadership team,
employees and customers will celebrate the milestone by ringing the opening
bell at the New York Stock Exchange (NYSE) tomorrow, Jan. 4, 2017.
Xerox’s focus on growing its global leadership in digital
print technology and services will help customers innovate how they
communicate, connect and work more productively. The company’s financial model
and revitalized business strategy will enable strong free cash flow generation
and margin expansion, as well as targeted investments in attractive growth
areas, such as document outsourcing and solutions for small- and medium-sized
businesses.
Under the terms of the separation, on the distribution
date of Dec. 31, 2016, Xerox shareholders received one share of Conduent common
stock for every five shares of Xerox common stock they held as of the close of
business on Dec. 15, 2016, the record date for the distribution.
In connection with the spin-off, Xerox received a cash
transfer from Conduent of $1.8 billion, which it intends to use, along with
cash on hand, to retire approximately $2.0 billion in debt.
Article
that appeared in the Wall Street Journal early in 2016:
Xerox and ACS: A Troubled Deal from
the Start
By MAUREEN FARRELL (for the Wall Street Journal)
Jan 29, 2016 10:16 am ET
Xerox is reversing course.
The company on Friday announced
that it’s splitting into two, a move that essentially reverses its
2010 deal to buy Affiliated Computer Services Inc.
for roughly $6 billion.
The deal was the largest in Xerox’s long and storied
history, but it has done little to help Xerox’s shareholders.
When the deal was announced
in 2009, it was considered a big gamble by Ursula Burns, who
was just months into her tenure as Xerox’s chief executive. With the deal, she
was seeking to bolster Xerox’s traditional copier and printer business by
expanding into business services.
Investors were immediately disenchanted by the news,
sending the stock down 14% on the day of announcement.
Nearly six years later, the stock is roughly flat, while
the market capitalization of the company is way down. Revenues are down,
and headcount is up.
The biggest winners from the deal seem to be the
investment banks, which generated hefty fees in 2009, and a new slate of banks
that are poised to reap between $35 million and $45 million this time around.
The company defends the ACS deal. While a spokesman
declined to comment Friday on the stock price, he said that Xerox has achieved
most of its goals for the acquisition, including “significant cost
synergies, expanding our portfolio, brand equity and innovation
capabilities.”
Here’s
a look at Xerox then and now:
Revenue:
At the time of the Xerox-ACS deal: Xerox
and ACS said they would have
annual revenue of more than $22 billion and estimated that 80% of
that would be recurring payments for leases, supplies and long-term services
contracts.
2016: The two companies had $18
billion in combined revenue for 2015 or an 18% decrease from what they
estimated at the time of the ACS-merger announcement. Xerox estimates that its
document management and document outsourcing generated approximately $11
billion in 2015, while its business process outsourcing company generated about
$7 billion in revenue in 2015.
Market
Valuation:
Xerox-ACS deal: At the end of 2010, about 10 months
after the ACS deal closed, the combined company was valued by the market at
nearly $15 billion, according to Capital IQ.
2016: The market cap of Xerox currently
stands around $9.4 billion, down about 37% from the end of 2010, as the company
has repurchased more than 380 million shares since the deal was completed.
Fees:
Xerox-ACS deal: Xerox paid roughly $40 million in
fees to its advisors, which included Blackstone Advisory Partners and J.P. Morgan Chase & Co., and ACS paid
out roughly $48.5 million in fees to its advisors Citigroup and Evercore Partners, according to Freeman
& Co.
Separately, the sale of ACS gave the company’s founder
Darwin Deason a rich payday, as he generated
an estimated $800 million in a mix of cash and Xerox stock. Citigroup had
previously advised Mr. Deacon and Cerberus Capital Management on an attempted
$6.4 billion takeover of ACS in 2007, a deal that fell apart.
2016: There’s an entirely new slate of
investment banks this time around, but Freeman & Co. estimates that they
generate between $35 million and $45 million on the deal. Lazard and Goldman Sachs & Co. are advising
Xerox, while Centerview Partners is advising Xerox’s board.
Employees:
Xerox-ACS deal: At the time, ACS had 74,000
workers compared to 54,000 at Xerox, for a combined 128,000 people.
2015: Headcount is up since the ACS deal,
despite several rounds of layoffs in recent years. As of Sept. 2015, the
company estimated that it had 140,800 employees worldwide. That figure did not
include Xerox’s Information Technology Outsourcing, which it sold in late 2014
and had roughly 9,200 employees.
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