Reprographics 101

Finally, after more than two years (and 8 months, to be exact), the AIA ABI Index comes in above 50 !!!!!

Let’s hope that this is just the start of more good news to come.

Let’s also hope that this news is not at all like the news the Fed Government released a couple of months ago telling us that the “recession” (in the U.S. economy) ended in June 2009. (When everyone I know, who wants to have a job, has a job and has a job that’s worthy of having, then I’ll call that an end to the recession.)

Okay, here’s the internet address of the September 2010 AIA ABI Index, reported on or around October 23rd by Kermit Baker, Chief Economist of the AIA.

http://www.aia.org/practicing/AIAB086270

Earlier this year, Service Point Solutions “corporate” announced that it replaced its then overall Managing Director (Rafael Lopez-Aparicio Areilza). Now, there’s been a change in management at Service Point’s USA operations.

Service Point issued a Press Release on October 20, 2010 to announce that Kevin Eyers has assumed the leadership role at its USA operations. (Service Point’s USA operations are based in Boston, MA.)

Here’s the text of the SP Press Release:

Kevin Eyers to head up Service Point’s US business.

Kevin is currently at the helm of SPS’ fastest-growing subsidiary this year, YTD +13% His main remit at SP US will be to fortify targeted core sectors such as finance and education The plan is to open a new production centre in New York to enhance service standards across the entire financial segment and to cater print on-demand services

October 20th 2010. – Service Point Solutions, S.A (ticker: SPS.MC) has appointed Kevin Eyers to run its US business. The US subsidiary accounts for roughly 9% of the group’s topline, with revenue last year of €20 million.

Until recently, Kevin Eyers was the head of CFI, Service Point’s business specialised in the provision of reprographics services to the financial sector, a position he held for 15 years. This segment has been the company’s fastest-growing this year and last.

Mr. Eyers will take up his new role over the coming months. His priority near-term target is business development at the US operation in the education and financial sectors, those growing the fastest across the entire group. Building on his extensive track record, Mr. Eyers will launch multiple initiatives in the heart of the US financial system, New York, including a new digital production and offset centre to enable the company to meet the anticipated growth in this segment over the coming years. Service Point will base its tailored services targeted at the healthcare and education sectors in Boston, while the Washington DC production centre will prioritise the public sector.

SPS expects the combination of its proactive marketing strategy, organisational transformation and strategic focus on the fastest-growing segments to bear fruit in terms of growth rates near term.

According to Joan Carles Peiro, COO of Service Point Solutions, “With this appointment, Service Point is vouching strongly for its US subsidiary. Kevin has a tremendous track record in the world of document management within the financial arena. Judging by his successes in the past, he is bound to build SPS US into a benchmark player in the American market”.

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Joel’s comments:

Prior to this announcement from SP, Bill Sullivan was the leader of SP’s USA operations. The press release does not indicate if Bill is staying on, or not staying on, with SP, and, if so, in what position. It’s my understanding that Bill has been with SP for more than 12 years, if not longer than that.

In the press release, SP indicates that sales revenues for SP USA were about 20 Million Euro “last year.” (At today’s exchange rate, per Google Finance, 20 million Euro equates to just over $28 million USD.) I may be completely wrong about this, but it’s my recollection that SP USA’s sales were about $43 million USD around 2006-7. If my recollection is accurate (or close to accurate), that would mean that SP USA’s revenues for 2009 were about 35% down from SP USA’s “peak” revenues. Comparatively, ARC’s revenues peaked in 2008 at $700 million, and ARC’s revenues for 2009, at $500 million USD; revenues for 2009 were about 28.5% off ARC’s peak year. One factor that SP USA had to contend with, that ARC did not, was competition for AEC OnSite deals from Archimedia Solutions Group (Boston-area-based company), led by Mark DiPasquale and Jane Simmons, both formerly of SP USA.

As to Kevin Eyers, the new guy at the helm of SP USA, I wish him the best of luck with his new position at SP USA. It will be interesting to see if Kevin takes SP USA in a different direction. Prior to now, SP USA has predominantly been an “AEC reprographics” enterprise. Kevin’s expertise, per what I’ve heard and read, is in the “financial services” sector of the document management and printing industry. It will be interesting to see the direction Kevin takes SP USA. I am certain of one thing. The reprographers in SP’s markets in the U.S. will be following developments at, and the direction of, SP USA.

one of my industry associates pointed me to this press release…..

Press Release from Associated General Contractors
(from the AGC’s national association headquarters)

Title: CONSTRUCTION EMPLOYMENT NEAR 14-YEAR LOW AS 21,000 INDUSTRY JOBS LOST IN SEPTEMBER, UNEMPLOYMENT RATE CLIMBS TO 17.2 PERCENT

Date: October 8, 2010

Construction Industry Unemployment At Highest September Rate Ever Recorded as Sector Suffers from Private, State and Local Funding Declines and Unclear Federal Funding Plans

The number of people working in construction is approaching a 14-year low now that the industry lost 21,000 jobs in September, while construction unemployment is at a September high of 17.2 percent, according to an analysis of federal employment figures released today by the Associated General Contractors of America. The construction industry continues to suffer from declining investments in construction and broad uncertainty about the future of many federal infrastructure programs and tax rates, association officials noted.

“It has taken less than four years to erase a decade’s worth of job gains as the industry suffers from declining private, state and local construction demand,” said Ken Simonson, the association’s chief economist. “No other sector of the economy has suffered as much for as long as construction.”

Simonson noted that the 5.6 million people working in construction today is barely higher than the 5.59 million people who were working in construction in August 1996. He added that construction employment continued to lag behind other sectors of the economy. For example, while total private employment rose by 593,000 during the past 12 months, the construction industry lost 210,000 jobs. Meanwhile, the industry’s unemployment rate is nearly double the unadjusted national rate of 9.2 percent.

Most of September’s construction job losses came from the nonresidential sector as demand for commercial facilities and infrastructure projects remains weak, Simonson noted. Residential construction lost 2,500 jobs last month while nonresidential construction lost 18,100 jobs. Nonresidential specialty trade contractors were the hardest hit, having lost 19,500 jobs in September, the economist added.

Association officials noted that construction spending figures released late last month show private, state and local construction spending continues to decline. And while federal spending has increased, most of those investments have come from temporary programs like the stimulus and military base realignment programs.

While these temporary federal programs have helped the industry, many contractors are reluctant to expand payrolls while long-term federal programs that fund highway, transit, water system and aviation related construction remain in limbo, association officials said. They added that most contractors don’t even know what their tax rates will be for next year.

“Construction firms aren’t going to start hiring again until they can predict how busy they’ll be,” said Stephen E. Sandherr, the association’s chief executive officer. “Frankly it is hard for contractors to make any business decisions when they don’t know how much they’ll make or how much they’ll owe.”

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Auction to be held to auction off 125 condominium units at OASIS Condominium Project in Fort Myers, Florida!

Timing is everything, huh.

I can remember when construction began on this project. Unfortunately, by the time the project was ready for occupancy (in 2008) the market in Florida for high-rise residential condominiums had plunged, and buyers who had placed deposits decided not to go through with their purchases.

Now, some two years later, the owners of the project are going to try to “move things forward” by auctioning off 125 units (in the first of the two towers.) The first 40 units to be auctioned off will be sold “regardless of price”, in other words, no minimum price. The owner of the Signature Condominium, a beautiful project in downtown St Petersburg, held a similar auction last year (or, maybe it was earlier this year), and that auction proved to be very successful (at least for buyers; most buyers got great deals.)

Here’s one sentence from an article I just read about the auction to be held in November (2010) for the Oasis units in Ft Myers:
……”For example, Ewing said, one client whose contract was for $607,900 was offered the chance to purchase for $216,900: 64 percent off the original price.”

Wow, imagine buying a condo for $217k that was originally priced at $608k!

Wonder how much the “oil” problem in the Gulf is affecting west coast Florida real estate.

OCE just issued a press release covering its most recent results.

I’m only going to put a portion of the press release in today’s blog-post; the portion that pertains to OCE’s WFPS (wide-format-printing-systems) results; here’s what OCE said about that:

Wide Format Printing Systems (WFPS)
Compared to the third quarter of 2009 the WFPS revenues recovered, mainly driven by revenue development of Technical Document Systems in the US and Asia. Non-recurring revenues recovered while
recurring revenues were lagging behind due to volume and price decline.

Revenues in WFPS amounted to € 180 million. Organically, revenues were in line with the prior year. The share of color increased to 50% (2009: 45%), mainly as a result of the newly-introduced Océ ColorWave 300 and Océ CS2400 color systems for the technical documentation market.

………………………………….

Joel’s comment: apparently, OCE’s WFPS business has bottomed-out and is now set for improved performance. From my perspective, the combination of OCE and Canon was a brilliant move (for Canon’s shareholders). It will take some time to see how OCE and Canon “integrate” their wide-format products and sales efforts. And, I have to wonder what effect, if any, HP’s new WFPS products will have on OCE and KIP.

During the NBC Nightly News, last night, they compared the U.S. school system to Finland’s school system; Finland’s school system ranks #1 in the world; the U.S. school system ranks #17 (or was it even lower than that?) Finland’s teachers come from the top 10% of Finland’s college graduates; teachers in the U.S come from the bottom 1/3rd of college graduates. Shows that we in the U.S. don’t place as much value on education as we should. Sad commentary on education in the U.S. And, why do we recognize “tenure” in the teaching profession? In what other “industry” are jobs basically guaranteed, no matter whether someone is really good or horrible?

I view this as “good news” for reprographers…….

IRgA Co-Locates with ISA Sign Expo 2011 at Mandalay Bay

The International Sign Association (ISA) has partnered with the International Reprographic Association (IRgA) to provide its attendees and exhibitors increased value in one central location. The co-location will provide exposure to vertical markets that have historically not integrated.

“ISA always strives to develop opportunities that create a win-win scenario for everyone,” said Lori Anderson, president & CEO, ISA. “ISA has spent this year looking for ways to help unify the visual communication industry. It was only natural that IRgA and ISA work together to help increase value to our members, attendees and exhibiting community. We look forward to additional opportunities over the coming months to serve as the umbrella to the industry we are so fortunate to serve.”

The 2011 co-location will provide an expanded platform for ISA and IRgA attendees and exhibitors to network, attend expert-led educational sessions, and visit an even more robust trade show floor all in one location and at a reduced cost.

“The IRgA is excited to offer its attendees and vendors an opportunity for two shows with one trip,” said Steve Bova, executive director, IRgA. “Vendors will be able to leverage their sales efforts by networking with reprographers at the IRgA event. Reprographers will be able to attend the International Sign Expo and discover more about the world of color and new revenue opportunities. While the ISA and IRgA events will be separate, we are all part of one big industry. Connecting in this manner makes sense.”

From an article posted on AGC’s site (under “construction economics); date of article was Sep 24, 2010….

McGraw-Hill Construction (MHC) and Reed Construction Data offered differing estimates of new construction starts in Augusts, based on data they separately compiled. MHC said on Tuesday that total starts increased 6% from July to August at a seasonally adjusted annual rate but were down 4% year-to-date (YTD) for January-August 2010 compared with the same months of 2009. “After languishing in late spring, the pace of construction starts picked up during July and August, returning activity to the upper half of its recent range,” stated Robert A. Murray, vice president of economic affairs for MHC. “That range shows total construction starts essentially stabilizing at a low level, relative to its lengthy slide from 2006 through 2008, but not yet moving up to the point where one could say that renewed expansion is taking hold.” Of the three MHC components, nonresidential building starts fell 4% in August and 14% YTD, with commercial building down 23%; manufacturing building, down 30%; and institutional building, down 8%. Nonbuilding construction jumped 24% for the month but dropped 4% YTD, with flat activity for public works being countered by a 27% YTD decline for electric utilities. Residential building slipped 2% in August but advanced 11% YTD. Total nonresidential starts were down 9% YTD. Reed reported on September 17 that total nonresidential starts were up “about 5%” in August, seasonally adjusted (22%, unadjusted), and 5% from January through August YTD. The August gain “was entirely in nonresidential buildings, since heavy construction starts fell slightly after seasonal adjustment,” Reed Chief Economist Jim Haughey said.

The Architecture Billings Index (ABI), a measure of the number of architecture firms that report higher billings in the previous month than the month before minus the number with lower billings (with the difference centered on 50) inched up in August to 48.2 from 47.9 in July, the American Institute of Architects (AIA) reported on Wednesday. “Project cancelations, regardless of when they happen in the design phase, continue to be the main roadblock to recovery for the construction sector,” said AIA Chief Economist Kermit Baker. “Numerous projects have been put on hold indefinitely over the last several months with little hope that they will be resumed. What work…is being done is more along the lines of smaller renovation-type projects, as opposed to design for new buildings.” Firms with a predominantly commercial / industrial practice had an ABI of 50.6; multi-family residential, 46.9; institutional, 46.0; and mixed practice, 42.6.

New stuff announced by HP………

The title of this blog post contains HP’s words, not mine. Whether HP’s new T2300 will actually prove to be “the world’s most collaborative large-format printer” remains to be seen……..

First, just a couple of comments from me:

A. Wow, a large-format multifunction system (scan/copy/print), one that prints in b/w and color, for under $9,500. (I still don’t know what the max scan and print width of this new device is.) That price is going to be present a challenge for OCE/Canon.

B. Among the information provided by HP, HP said that its new DesignJet T2300 is going to come with something called “ePrint & Share”. Immediately below, I’ve repeated the paragraph that talks about this in HP’s press release, just so I could highlight in bold type what HP said about ePrint & Share. Sounds like HP’s ePrint & Share is a service “on the cloud” where AE’s (who have the service) can upload documents for collaboration and document sharing. I wonder how this will affect “planroom” services offered by reprographers (and by some non-reprographers) and how this, in the longer term, will affect networks that have been created for”remote” printing services (such as GGN’s print-partner network and ARC’s iSHIPDOCS print-partner network.)

Here’s the paragraph I mentioned; see the text I’ve highlighted in bold type:
In conjunction with the HP Designjet T2300 eMFP, the new HP ePrint & Share platform simplifies the printing process for technical drawings. Available through HP ePrintCenter, an online hub for all HP customers to create a custom printing experience, HP ePrint & Share allows architects to easily locate and access their plans, adjust page layouts, preview print pages and create print-ready files from a single screen. Users also can upload files with a single click while printing is in process to quickly and easily share designs with remote project teams.

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OKAY, WHAT YOU SEE BELOW CAME FROM HP’S PRESS RELEASE OR FROM AECCAFE.COM (without any comments added by me)
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NEW YORK — (BUSINESS WIRE) — September 20, 2010 — HP (NYSE: HPQ) today unveiled new products and solutions, including the world’s most collaborative printer,(1) that enable technical design teams to easily access, share and print large-format project files online anytime, anywhere.

Introducing the HP DesignJet, the world’s most collaborative printer:

On November 1, the most comprehensive and collaborative innovation in architectural printing arrives: the HP Designjet T2300 eMFP with HP ePrint and Share. You will hit print from anywhere. Share files around the globe instantly. And scan documents to the cloud directly. These innovations reduce the build cycle, increase productivity and allow you and your team to return to that most challenging of human endeavors

DESIGN, PRINT AND SHARE:
• Scan documents directly to the cloud
• Manage projects through a personal web library
• Distribute files across the globe with a single click
• Archive and share paper files immediately
• Instantly create and share print-safe PDFs in AutoCAD

SKETCH TO SHARE:
• Print and scan with true layout previews
• Vectorize sketches in AutoCAD
• Revise on top of existing plans and scan to the cloud

ACCESS AND PRINT ON THE GO:
• Scan and print directly without drivers or PCs
• Access plans from anywhere
• Print from the cloud or your USB
• Keep your team up-to-date across continents

New HP Designjet T2300 eMFP and T7100 printers help improve design processes and realize business efficiencies
NEW YORK — (BUSINESS WIRE) — September 20, 2010 — HP (NYSE: HPQ) today unveiled new products and solutions, including the world’s most collaborative printer,(1) that enable technical design teams to easily access, share and print large-format project files online anytime, anywhere.

The new suite of products helps design professionals in the architecture, engineering and construction industries collaborate across multiple locations, streamline processes and reduce costs. It includes:

• The HP Designjet T2300 eMultifunction Printer (eMFP) – the industry’s first web-ready large-format printer with scan, print and copy functionality.(1) Designed to match today’s collaborative and mobile work styles, the new system makes it easy to share and manage content with project members around the world.

• HP ePrint & Share – which allows design professionals to automatically create, print, share and manage project files online using desktop or mobile devices.(2)

• The HP Designjet T7100 Printer – a high-speed monochrome and color printing system with breakthrough total cost of ownership compared to competing technologies.(3)

“Today’s announcement is much more than a printer, it is a tool to transform the design process,” said Christopher Morgan, senior vice president, Graphics Solutions Business, Imaging and Printing Group, HP. “With the HP ePrint platform extended to the technical market, design professionals now can focus on building and executing their ideas, rather than on managing cumbersome design and print processes.”

HP Designjet T2300 eMFP offers web-ready solution for designers
Created for medium and large architecture, engineering and construction firms and enterprise businesses, the HP Designjet T2300 eMFP allows design professionals to easily scan and upload documents to the web and to print drawings wherever needed(1) – from project team meetings at the main office to reviews with clients and even at the construction site. With two online media rolls and simultaneous copy and scan functions, the HP Designjet T2300 eMFP is designed to improve productivity at each of these locations by accommodating multiple projects at the same time.

In conjunction with the HP Designjet T2300 eMFP, the new HP ePrint & Share platform simplifies the printing process for technical drawings. Available through HP ePrintCenter, an online hub for all HP customers to create a custom printing experience, HP ePrint & Share allows architects to easily locate and access their plans, adjust page layouts, preview print pages and create print-ready files from a single screen. Users also can upload files with a single click while printing is in process to quickly and easily share designs with remote project teams.(2)

“For us, technology is not only a tool to materialize ideas, but an important partner in a creative process that demands a high degree of mobility,” said Matias del Campo, principal, SPAN Architecture & Design. “We are based in Vienna, but our projects are distributed around the world, from construction sites to teaching studios to conferences. The HP Designjet T2300 eMFP and HP ePrint & Share make it possible to print and preview files from anywhere(2) and provide us with an interface between our digitally heavy design techniques, the networking and distribution of information and the physical world.”

The HP Designjet T2300 PostScript eMFP includes several industry firsts:

• The first color touchscreen interface on a large-format printer for simple one-click scanning, copying and printing operation

• The first true large-format multifunction device priced below $8,500,(4) opening the door to in-house large-format printing for more customers

• The first driverless printing for direct printing from a notebook PC or USB drive to eliminate print driver and network constraints

HP and Autodesk are working together to provide solutions that help design professionals streamline the architectural process and build cycle. The new HP ePrint & Share plug-in for AutoCAD allows customers to simplify their printing directly from AutoCAD. Additionally, a license of AutoCAD Raster Design included with the purchase of the HP Designjet T2300 eMFP enables the full scanning of sketches, printed plans or blueprints, which can then be digitized and vectorized for further design.
”By scanning original plans that we use as a basis for design, we save about 50 percent of the time it would take to create a new plan,” said Russ Phillips, principal architect at Insight Architects and an HP Designjet T2300 eMFP beta customer. “With the new HP Designjet eMFP, we scan to JPEG or PDF and use the image as a background. A plan that would have taken eight hours to develop now takes only four hours.”

HP Designjet T7100 Printer offers high productivity with significant cost reduction
The HP Designjet T7100 Printer is designed for central reprographic departments in enterprises and reproduction houses. It streamlines print production for customers needing to print in monochrome and color – from simple CAD drawings to high-quality presentations. With a competitively low total cost of ownership, the printer provides an alternative to devices that print only in monochrome or color and light-emitting diode (LED) technologies, which can be expensive to maintain.
The HP Designjet T7100 Printer features a modular design that allows customers to easily upgrade the device as technology progresses and that helps the printer integrate seamlessly into existing IT infrastructures. The printer eases and accelerates print production for customers by offering: speeds of up to 165 A1 prints per hour, unattended printing with the capacity to manage up to three media rolls and the HP Smart Roll Loading System.

The HP Instant Printing Pro accessory provides driverless printing, so customers can preview, edit and print files without opening applications or adjusting driver settings. The HP Designjet T7100 Printer is available in monochrome or color versions.

Pricing and availabilityL
For this information, go to the article at this internet address:
http://www10.aeccafe.com/nbc/articles/view_article.php?articleid=866053&page_no=1

About HP
HP creates new possibilities for technology to have a meaningful impact on people, businesses, governments and society. The world’s largest technology company, HP brings together a portfolio that spans printing, personal computing, software, services and IT infrastructure to solve customer problems. More information about HP is available at http://www.hp.com/.

(1) Internet connection is needed.
(2) Upgradeable functionality will be available in 2011. May require an internet connection to the printer. Feature works with any internet- and email- capable device. Details at http://www.hp.com/go/eprintcenter.
(3) The HP Designjet T7100 Printer offers up to 66 percent lower total cost of ownership over three years against competitive color devices and up to 50 percent against competitive monochrome solutions, based on HP internal testing.
(4) Estimated U.S. manufacturer suggested retail prices. Actual prices may vary.
This news release contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to statements of the plans, strategies and objectives of management for future operations; any statements concerning expected development, performance or market share relating to products and services; any statements regarding anticipated operational and financial results; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include macroeconomic and geopolitical trends and events; the execution and performance of contracts by HP and its customers, suppliers and partners; the achievement of expected operational and financial results; and other risks that are described in HP’s Quarterly Report on Form 10-Q for the fiscal quarter ended July 31, 2010 and HP’s other filings with the Securities and Exchange Commission, including but not limited to HP’s Annual Report on Form 10-K for the fiscal year ended October 31, 2009. HP assumes no obligation and does not intend to update these forward-looking statements.

© 2010 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein should be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein.