Hamburg, 01 September 2004 – Following successful negotiations on plans to merge their gravure printing operations, the companies arvato, Gruner+Jahr and Axel Springer have signed a Letter of Intent.
This declaration lays down the key points forthe planned business merger of the printing operations at theAhrensburg, Darmstadt, Dresden, Itzehoe and Nuremberg facilities.Agreement has also been reached on the inclusion of the printingworks currently being established in Liverpool, England. arvato andGruner+Jahr are to hold equal shares of 37.45 percent andAxel Springer AG a 25.1 percent share in the joint venture.
The object of the final agreement on a merger of the operations undera single management is to ensure long-term security of the gravureactivities in the keenly fought European market for illustration printing.
The project is subject to approval by the relevant bodies of theindividual companies and by the anti-trust authorities.
Gruner+Jahr AG ; Co. KG
Axel Springer AG
The companies trust you will appreciate that apart from thisannouncement, no further information about the planned jointventure can be supplied until the negotiations are completed.