printChannel.com Repositions to Focus More on Current Customer Base

Press release from the issuing company

February 28, 2002 - (WhatTheyThink.com) - printChannel.com, a leading Web-based print procurement solution for printers, has restructured their business in response to the overall dip in the economy resulting in a slow down of new business. Oliver Pflug, CEO of printChannel.com, told WhatTheyThink.com that the changes were in line with other efforts made by companies during this time. Pflug said the changes were mostly “sales force related” and are ongoing as needed to maintain the strength of the firm. He also said it would allow them to cut their burn rate by about 50% and reach profitability sooner. printChannel.com only sells to printers and the company makes its revenue from transaction fees. The more transactions, the more revenue for printChannel.com. Pflug says the company has between 140 and 150 printers using their system and nearly 1000 print buyers signed up. “We plan to use this time to pursue an internal sales blitz. There are many opportunities for us to increase our revenue by a focused effort toward our present accounts.” Warburg Pincus Ventures is the company’s primary investor and has been supportive of the recent changes. Said Pflug, “Warburg has been one of the best VC firms you could ask for. They build companies and genuinely work with management to make them successful and they're in it for the long haul. I have come to view them as additional members on the team, which is a nice surprise. They have provided the same level of professional support since they came on board in 2000.” printChannel.com licenses to print suppliers and print management companies and enables them to offer their customers corporate-wide ordering, tracking and output of variable data and inventory print items by end users from catalogues that are set up, controlled and maintained through existing prepress or production staff. More information can be found at www.printchannel.com