Major Printer Cuts Expenses

Bowne & Co. Inc., New York City, has closed its Internet consulting business, Immersant, as part of a cost-reduction program aimed at cutting annualized operating expenses by $30 million.

The plan also involves a 10% staff reduction in Bowne's financial printing unit, bringing the total number of laid-off employees to 650.

"Given the market instability and the realization that our Internet consultant unit required more investment capital than was prudent, we took a hard look at the future of this business and made the tough decision to exit the domestic Web consulting and development business and focus our resources on our higher-potential global solutions business," says Robert M. Johnson, Bowne chairman and chief executive.

Johnson continues, "We will continue to invest in our long-term growth opportunities, such as our recent acquisition of the Boston-based outsourcing company Document Management Services, Inc.

Adds president Carl J. Crosetto, "While we face significant challenges, we remain confident in our strategies and long-term growth prospects of our business."

This month, Bowne is to complete the sale of its commercial printing operation in Montreal to its management.