August 19, 2004 -- Quad/Graphics has purchased six new pieces of finishing equipment to further expand our production capacity and capabilities. Specifically, we have purchased a Müller Martini Supra saddle stitcher and five Sitma Variawrap polywrappers. The equipment, with an aggregate value of more than $8 million, complements our recent purchase of nine Heidelberg finishing systems valued at a total of $50 million. "Our Finishing operations are characterized not just by speed, but by flexibility and efficiency," said Tom Quadracci, Quad/Graphics president & CEO. "This new equipment keeps Quad/Graphics at the forefront of the industry with the capabilities most desired by our customers." The Müller Martini Supra saddle stitcher, introduced at the Drupa 2004 tradeshow and valued at $2 million, is among the most advanced saddle stitching technology available in the industry. We will be the first printer in the United States – and only the second in the world – to put a Supra into live production. Rated at 25,000 books per hour, the stitcher's exceptional speed is made possible in part by accelerator rollers that match the pocket speed to the chain speed. The stitcher also features independent servo-driven pockets for expedited makereadies and will be enhanced with a variety of QuadTech-manufactured componentry, including the QuadTech Finishing Control System 2000, QuadTech Mail Table/Book Flipper and HSL-310 signature loading systems. The Sitma Variawrap polywrappers are also industry-leading technology. The five new polywrappers, with a total value of about $6 million, will complement two other polywrappers currently being installed at our company. Like the Supra saddle stitcher, the Variawrap polywrapper features accelerator rollers that enable each machine to produce up to 20,000 books per hour. Up to 128 lines of ink jet can be applied pre-or post-poly. What's more, the polywrapper easily adjusts to pieces of variable thickness, enabling our customers to co-poly different magazines to capitalize on postal savings. A tight wrap ensures that books of variable size are protected from damage in transit. Quad/Graphics will install the saddle stitcher and polywrapping equipment over the next year. "With this new finishing equipment, Quad/Graphics has more specialized horsepower on our floors than any other printer in the industry," Tom said. "Our advanced manufacturing platform is designed to optimize today’s technology and adapt to newly developed technology, keeping our company – and our customers – competitive well into the future."