Federal Government Printing Remains Essential Element to Printers
Press release from the issuing company
Chambersburg, PA - With many leading US printers registered and active vendors of the Federal Government Printing Office (GPO), this market not only continues to be an essential element to the printing industry in maintaining profits and protecting jobs, but is a tremendous value to the taxpayer.
"Over 2000 printing vendors obtained important revenue from the GPO in the past Federal Fiscal Year," according to Doug Harbach, Vice President of the e-LYNXX Corporation and its ABC Advisors division, which has assisted printers in obtaining this work for nearly 30 years. "These printers garnered over $350 million of volume that is applied to their bottom line and in many cases is the difference between being profitable or operating at a loss."
Harbach notes that since average U.S. printer gross sales is $2.76 million, according to 2004 PIA statistics, Federal printing volume is very important to GPO vendors. Given slim profit margins in the industry of around 1.7%, the elimination of this work from the industry would prove ruinous to many printers.
"It is clear that GPO work is directly responsible for thousands and thousands of jobs," Harbach says. "But what is just as important to note, is the tremendous benefit to the taxpayer since this work is awarded well below normal market costs due to printers' willingness to competitively bid and use GPO work to battle a serious profit killer in the manufacturing sector...unsold capacity!"
Harbach cites a recent e-LYNXX pricing study of almost 138,000 jobs that displayed savings of 38%. This competitive environment, welcomed by printers who are attempting to fill costly equipment downtime, lowers the burden to taxpayers to the tune of over $150 million.
"Given these factors, Legislators should be taking initiatives to put more work through GPO, not only to benefit one of the nation's largest and oldest industries, printing, but also to serve their constituents by gaining the highest savings on products and services offered by these firms," Harbach concludes.
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