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White Paper Concludes That Newspapers Converting To CTP Are Thriving

Press release from the issuing company

WAKE FOREST, N.C. April 29, 2008 -- There are many challenges facing newspapers and the news business as a whole these days. Paper is expensive to buy, print and deliver, and news organizations of many sorts are having problems with declining audience.

A new white paper available for download on the Southern Lithoplate Inc. website provides strong evidence that newsprint is flourishing in spite of these trends.

"How to Profit in a Declining Newspaper Market" by David Lightfoot of Chesapeake Resource Group in Stevensville, Md., examines the impact on individual newspapers and newspaper contract printers of converting to computer-to-plate (CtP).

"What is clear is that the investment in CtP makes good business sense," Lightfoot concludes. "In some cases, it was a logical decision because of the need to replace aging legacy equipment. In other cases, it was a decision motivated by the need to achieve operational efficiency. In every case, the investment achieved or exceeded expectations for return on investment and payback."

"How to Profit in a Declining Newspaper Market" summarizes the findings of a survey of a representative sample of end users, as well as selected industry leaders in attendance at the recently concluded NEXPO show in Washington, D.C. Case studies based on interviews with the end users offer perspectives on the market segment serving local communities.

The author details various steps the organizations undertook in tandem with converting to CtP to achieve superior revenue growth, forecasted return on investment and cost reductions.

"The most significant finding was that these businesses were able to increase revenue," Lightfoot says.

Other findings include:
- The key drivers for return on investment were cost savings on labor and prepress materials.

- Other savings were derived from lower startup paper waste and better ink mileage.

- Improvements in workflow opened up "print windows" that could be filled with other products without increasing the size of the press crew.

- Measurable improvements in the quality of both color and black-and-white printing enabled the businesses to generate contract printing of other newspapers and commercial products.

- Installation of new press equipment amplified the benefits of CtP by providing additional savings through automation.

- The segment of the newspaper market with less than 50,000 circulation exhibits a positive attitude toward the challenges it faces.

To access "How to Profit in a Declining Newspaper Market," go to www.slp.com.