Quebecor World Begins Adding Hachette Assets

MONTREAL—Quebecor World Inc. reports that all of the necessary regulatory approvals have been obtained for its acquisition of the Hachette Filipacchi Medias printing assets in Europe and it will begin to integrate these into its European platform.

The assets include printing and bindery facilities in France and Hachette's 50% ownership of Helio Charleroi in Belgium; Compagnie Nationale a Portefeuille (a public investment firm controlled by the Frere family of Belgium) will retain its 50% ownership of the facility until September 2004. The plants in France and Belgium operate long-run rotogravure presses that print magazines, catalogs, and retail inserts.

Hachette Filipacchi Medias, one of the world's leading publishers of consumer magazines, has, as part of the transaction, commissioned Quebecor World to print many of its magazines in Europe. The value of the long-term agreement is estimated to be $400 million over its term, excluding paper.

"This type of acquisition with a printer/publisher that includes guaranteed work is ideal in that it benefits both companies," says Charles G. Cavell, president and chief executive of Quebecor World.

Cavell adds, "Hachette is able to concentrate on its core publishing business and we are able to grow our manufacturing platform with the security of a long-term enabling contract. This is a strategy we will continue to pursue in all our geographies."