Today's Industry news included a release from X-Rite that current CFO Lynn J. Lyall was leaving the company personal reasons.
This morning I'm receiving email reports that Doris Brown, Pantone's VP of Marketing has resigned. The only confirmation I have received is from a phone operator at Pantone who stated that "she doesn't work there anymore."
Doris has been a champion for enabling everyone from designers to printers to create and communicate reproducible color and has been a key component is recent innovative color systems from the company. This sudden departure leaves me to wonder if trouble is brewing in the new X-Rite / Pantone family beyond what we are seeing in financial press releases and SEC filings.
Watch for more here, and on WhatTheyThink.com as this story develops.
Discussion
By former xriter on May 19, 2008
I used to work for X-Rite and the biggest mistake they made was purchasing Pantone for 180 million after they just spent 200 million on GretagMacbeth. THey have a $400 million debt that they can't afford especially with sales down. THe whole company is going to fall apart like a house of cards. All the good employees are going to leave the sinking ship. By the end of this week they will be in Chapter 11.
By Steve Urmano on May 20, 2008
by former Pantoner
Having worked at Pantone for almost 8 years, their management's biggest success was the sell job they did to get the $180 million for a company that hovered around mid - $40 million in sales. For many years the company's sales hovered at around single digit growth. A marketing statement often used was that "Pantone was licensed to over $1 billion in products sold" a huge brand recognition. Having struggled to replace declining Formula Guide sales (the fundemental "analog" cash cow) and licensing revenues with digital products: software, color measurement devices, and software, cartridge ink, the company has been in constant turmoil with marginal success for many years. I've oftened wondered how this wasn't at all sensed by their new owners and taken into consideration in the selling price of Pantone.
It's been often quoted that "this is what happens when you believe your own press releases".
By ColorGuy on May 22, 2008
I work for a large printing company and we were told to put all purchases for X-Rite equipment on hold until we have a better idea what is happening with them. If other companies do the same they could go downhill rather quickly. It is a shame companies do this to themselves.
Discussion
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