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Quebecor World in Agreement with Sears to Provide Paper Services

Press release from the issuing company

GREENWICH, Conn.--July 23, 2002--Quebecor World announced today that it has entered into a long-term agreement with Sears, Roebuck and Co. to furnish all the roll stock paper, which Sears uses for its national newspaper insert program. Quebecor World will begin providing these services immediately, resulting in supply chain benefits for all parties. This new agreement expands Quebecor World's relationship with Sears, which dates back more than 50 years. Quebecor World currently prints Sears' entire national newspaper insert program, which supplies inserts to more than 865 newspapers nationwide, as well as some of Sears' other print programs. Quebecor World will now supply all roll stock paper for the same. In commenting on the new agreement, Marc Reisch, President, Chairman and CEO, Quebecor World North America, stated, "We are very excited that a company as large as Sears recognizes that we are best positioned within their print production supply chain to streamline processes and provide paper management services for all of their printing needs. This is a large and important step for the entire supply chain, and we look forward to bringing substantial benefits to Sears, paper suppliers, and Quebecor World." Paper will be sourced for 18 facilities at Quebecor World, in addition to certain facilities of other printers utilizing roll stock paper for producing Sears' work. Quebecor World and Sears will work with paper suppliers to maximize supply chain efficiency through specification management, inventory reduction, trim and asset utilization, and inbound logistics. "This decision is another step in our continued drive to significantly improve the productivity of our marketing investment," said David Selby, Sears Senior Vice President, Marketing. "We're very comfortable partnering with Quebecor World and with its ability to continue to define more efficient and effective ways for Sears to connect with its customers." In summarizing what this new arrangement represents, David Boles, President, Quebecor World Retail Group, said, "We are committed to bringing specialized business solutions to our customers, to help them retain a competitive edge in today's challenging marketplace. We will continue to bring the full spectrum of Quebecor World's products and services to our customers, in ways that positively impact their bottom line. Working with customers on supply chain optimization is a key strategy for our organization."

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