Commercial printers seek stability

As the economy goes, so goes the printing industry. At least that's what executives with local printing companies say.

And based on the first six months of this year, the economy is looking brighter at times.

After suffering a 20 percent to 30 percent decrease in national volumes during the 2000-2002 recession, the presses are beginning to heat up again, though in spurts.

"It's just a roller coaster at the moment," said Pat Flanigan, owner of Corner Printing at Walnut and Campbell. Business has been "up and down, up and down" he said. "It just comes and goes."

Richard Bass, president of Bass Litho Color, agreed. He said there is less demand for printing company services when other sectors aren't performing well. When other businesses can't afford to hire, market or distribute, then there are no business cards, no ad campaigns and no catalogs, leaving printers idle.

"It shows signs of coming back and (then) it will falter," Bass said of the volatile market. "We all feel like it is just us until we start talking to others."

The latest boost of confidence comes from the Printing Business Panel of the National Association for Printing Leadership, which said printer confidence rose in May. The Printing Business Index, an economic indicator for the printing industry, increased to 46.1 in May, up from 45.1 in April. Readings below 50 mean more printers are reporting activity is slowing down than are reporting activity is picking up.

"The PBI will be staying below the critical 50 mark until the expectation that business will be improving turns into reality sometime after mid-year," said Andrew Paparozzi, NAPL vice president and chief economist.

Sales in the $88 billion printing industry are expected to grow 2.5 percent the remainder of the year, according to NAPL's Printing Economic Research Center.

ColorGraphic Printing has already seen some increase.

President Steve Johnson said business has grown gradually this year and is up 15 percent from mid-year 2002. He said that's a sign of an improving economy.

"I attribute this year's growth to the overall strengthening of the economy," Johnson said. "Historically, one of the first steps out of a recession is increased printing volumes."

Part of the struggle in Springfield is high competition among printers.

"It's terrible," Bass said of the competitive market. "Springfield is probably one of the worst cities in the world to be a printer in."

There are more than 20 commercial printers with at least four employees, according to SBJ's 2003 Book of Lists. With only so much business to go around, printing companies are diversifying.

Cantrell/Barnes Printing performs compact disc and DVD duplication and replication as well as printing and packaging for independent music artists. "It's something that we probably see a lot more printers getting involved in," said David Cantrell, co-owner. "That's a big part of our business."

Bass said his company went to all-digital presses to supplement slow volume.

"If we weren't into the digital presses, I don't think we'd be in business," he said, adding that the older, traditional presses may not survive much longer. "There is not enough (work) to keep them all running."

It happened to one printer last year. Roark Printing closed in January.

But Flanigan, who has been running presses at Corner Printing since 1969, said business will continue. "We're not going anywhere," he said. "It just gets harder every day."