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Cornerstone Extends Quebecor World Contract, Trenton Gets USPS Authorization

Press release from the issuing company

June 26, 2003--Quebecor World Inc. has been awarded a contract extension by Cornerstone Brands Inc. for the printing of Frontgate, TravelSmith and Smith & Noble. Additionally, the contract awards Quebecor World with the production of three new titles that include Ballard Designs, The Territory Ahead and Garnet Hill. This multi-year contract makes Quebecor World the exclusive print supplier for all of Cornerstone Brands' wholly owned titles, as well as ones in which they have a majority ownership interest. The contract also awards Quebecor World with their Logistics Services business. Founded in 1995, Cornerstone Brands Inc. is a family of leading catalog companies for the home, leisure and casual apparel. In the past eight years, Ballard Designs, Frontgate, Garnet Hill, Smith+Noble, The Territory Ahead and TravelSmith Outfitters have joined Cornerstone's lineup of direct marketing brands serving the most discriminating consumers in America. "As we looked to consolidate our print procurement and print management process, Quebecor World was a natural choice. Quebecor World's ability to offer combined gravure and offset capabilities provided Cornerstone a total solution for all of our print production needs," commented Paul Tarvin, CEO of Cinmar and Director of Cornerstone Brands. ----- Also, Quebecor World's Trenton Mailing Center has been authorized by the United States Postal Service to participate in the new Periodical Co-palletization Program. Quebecor World is the first company to be granted authorization by the USPS for this new program. Participation in this program results in additional postage discounts for mail pieces that migrate from sack to pallet containers. These new discounts range from $0.007 to $0.010, depending on drop-ship penetration and further enhance the presort and zone drop-ship savings benefits realized by co-mailing. Presently, Quebecor World's Trenton Mailing Center co-mails over 80 publications and supplemental mailings. "Quebecor World is committed to leveraging it size and volume to deliver our clients greater postage savings. This authorization reflects the strong relationship we have with the USPS and we look forward to working with them to improve efficiencies and generate greater savings for our customers," commented David Boles, Chief Operating Officer, Quebecor World North America. Authorization by the USPS is granted based on a mailer's ability to provide a documentation method for mail pieces that are eligible for the new discount. This was accomplished through the extensive efforts of Quebecor World Mail List Technologies and Quebecor World Logistics (QWL) Postal Affairs in their data collection and reporting processes. "As the largest business partner of the U.S. Postal Service, QWL values the opportunity to work together to create efficiencies in the mailing industry," said Anita Pursley, QWL Vice President of Postal Affairs. "We also partner with the USPS in our work with PostalOne!, MERLIN, Flats Strategy, Confirm/PLANET Code and the mail security task force, among others. We want our customers to know that we are representing their mailing needs in all of our postal affairs initiatives."