ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Friday, March 29, 1996 TAG: 9603290086
SECTION: BUSINESS PAGE: A-5 EDITION: METRO
Printer to close plants, lay off 1,000 workers
CHICAGO - R.R. Donnelley & Sons Co., which has announced plans to build a $102 million book manufacturing plant in Roanoke County, said Thursday it will close two U.S. printing plants and lay off about 1,000 workers as part restructuring effort to cut expenses.
The company said it will take a one-time pretax charge of $512 million, or $2.67 per share after taxes, to pay for the restructuring.
Donnelley, the world's largest commercial printer, said it will close its Newton, N.C., plant late next year, cutting about 650 jobs. The Casa Grande, Ariz., plant will close in mid-1997 and will leave 300 people out of work.
The proposed Roanoke plant, scheduled to begin operating by May 1997, would employ 175 initially, as many as 750 workers eventually, the company said in February.
Chairman John Walter said first-quarter profits, excluding the one-time charge, are expected to be 5 or 10 cents per share lower than during the same period a year ago. It had $6.5 billion in sales last year.
Chicago-based Donnelley specializes in the production of catalogs, inserts, magazines, books, directories and financial and computer documentation. The company was founded in Chicago in 1864 and employs 41,000 people in 26 countries.
- Associated Press
Bank declares 100% dividend
Blue Ridge Bank of Floyd declared a 100 percent stock dividend, or one new share for each existing share. It is payable April 30 to holders of its stock as of today.
In addition, the board declared the regular 25-cents-per-share quarterly dividend, which will be payable on both new and existing shares. It is also payable April 30 to shareholders of record at the close of business today.
- Staff report
First American to buy Invest stock
First American Corp. of Nashville, Tenn., whose Virginia bank is based in Roanoke, said Thursday that it will purchase 96 percent of the stock of Invest Financial Corp., a leading national marketer of mutual funds, annuities and other investment products sold through financial institutions. The purchase is valued at $26 million.
Simultaneously, Invest said it will merge with Investment Center Group Inc., parent of Investment Centers of America, making Invest the largest bank-based investment brokerage in the country.
- Associated Press
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