Fresh from the prospect of losing its ACP magazine work PMP has just either lost or given away an $8m Coles contract, depending on who is telling the story.
Rival printer IPMG has taken the contract to print the Coles job, with Salmat winning the distribution deal. PMP though says it declined the job, claiming other print companies were offering prices that were too low.
Speculation is rife in the industry that PMP may lose up to $40m worth of Coles printing in the new year, and may also struggle to retain the distribution deal when the current contract ends in June, with Salmat sure to put in a strong tender.
The heatset print industry is currently entering unchartered waters, with the country’s biggest magazine publisher ACP deciding to set up its own print centre, and IPMG planning to build a new gravure printing factory. Both projects are currently in early stages, with no sod yet turned.
No-one in the industry would be surprised if there were further twists and turns in the extraordinary story; ACP’s parent PBL is currently struggling under a mountain of debt, although it says the new print site would only need $30m, while many print insiders are still scratching their heads at the thought of a gravure plant in Australia.
