Corporate Express and Data Documents Announce Definitive Merger Agreement.BROOMFIELD Broomfield can be: In the United Kingdom:
Omaha (ō`məhä, –hô), city (1990 pop. 335,795), seat of Douglas co., E Nebr., on the west bank of the Missouri River; inc. 1857. , Neb.--(BUSINESS WIRE)--Sept. 10, 1997--Corporate Express Inc. (Nasdaq: CEXP) and Data Documents Inc. (Nasdaq: DDII) jointly announced today that they have executed a definitive agreement providing for the merger of the two companies. Based upon the closing price of Corporate Express' common stock on Sept. 10, 1997, the merger agreement provides that each outstanding share of Data Documents' common stock would be exchanged for one share of Corporate Express' common stock. This would provide a value of approximately $195 million to Data Documents' stockholders. The transaction will be accretive to Corporate Express' earnings per share. Data Documents is a provider of forms management services and systems, custom business forms and pressure-sensitive labels for large corporate customers. Data Documents' revenues, which totaled approximately $250 million in its last fiscal year, were derived primarily from Fortune 1000 companies. This is the seventh and largest acquisition in the forms management industry by Corporate Express since entering this field in early 1994. Corporate Express believes the merger will strengthen its leadership in helping large corporations reduce their procurement The fancy word for "purchasing." The procurement department within an organization manages all the major purchases. costs by providing expanded forms management services. Although Corporate Express currently provides this service to its customers, this merger will substantially increase Corporate Express' ability to provide a full spectrum of these services nationwide. The merger also will result in significant synergies by allowing the combined enterprise to consolidate certain facilities, improve purchasing economies (the top two Data Documents suppliers are among the top five Corporate Express suppliers), and cross-sell merchandise and services to each other's customers. Jirka Rysavy, chief executive officer of Corporate Express, said, "Both companies are dedicated to helping large corporations reduce costs. Data Documents is a leader in its industry by providing electronic system solutions tailored to the large corporate environment. The merger of Corporate Express with Data Documents is a very good strategic fit which will strengthen our forms management business nationwide." "We are pleased to have an opportunity to merge with Corporate Express," said Walter J. Kearns, Data Documents' president and chief executive officer. "The merger will serve to broaden Data Documents' business capabilities and enhance our growth while expanding individual opportunities. We expect Corporate Express' distribution expertise, facilities and information technology to be very complementary, increasing Data Documents' growth rate," Kearns added. "Combining our resources strengthens our presence as a provider for corporate customers." The consummation CONSUMMATION. The completion of a thing; as the consummation of marriage; (q.v.) the consummation of a contract, and the like. 2. A contract is said to be consummated, when everything to be done in relation to it, has been accomplished. of the merger is subject to approval by Data Documents' stockholders, receipt of all necessary regulatory approvals, satisfactory confirmation that the merger will be treated as a tax-free reorganization and accounted for as a pooling of interests Pooling of Interests An accounting method, used in mergers and acquisitions, where the balance sheet items of the two companies are simply added together. Notes: The opposite of pooling of interests is the purchase acquisition method. , and other customary conditions. In certain instances, the exchange ratio may fluctuate in a 10% band based on the average of Corporate Express' share price on randomly selected trading days In Business, the trading day is the time span that a particular stock exchange is open. For example, the New York Stock Exchange is, as of 2006, open from 09:30AM to 4:00PM. Trading days never take place on weekends. in a 25-day period prior to the special stockholders meeting as described in the merger agreement. The companies have certain rights to alter the exchange ratio or terminate the merger agreement based on the average trading price Trading price The price at which a security is currently selling. of Corporate Express' stock. If these conditions are satisfied, the companies expect the merger to be consummated con·sum·mate tr.v. con·sum·mat·ed, con·sum·mat·ing, con·sum·mates 1. a. To bring to completion or fruition; conclude: consummate a business transaction. b. within 90 days. -0- This press release includes forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the future performance of Corporate Express and Data Documents. There can be no assurance that actual results will not differ from the companies' expectations. Factors which could cause materially different results include failure to gain approval of the merger by the Data Documents stockholders, the successful completion of the merger and the integration of Data Documents into the Corporate Express organization, uncertainties related to the introduction of new products and services, and possible negative economic conditions. Data Documents, with headquarters in Omaha, Neb., has over 85 locations in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . It is a leading designer and provider of custom business forms and forms management services and systems that enable its customers to enhance overall productivity and reduce costs associated with information management. Corporate Express currently operates in more than 700 locations, including 80 distribution centers, utilizing a fleet of approximately 10,000 delivery vehicles, and employs approximately 27,000 people in the United States, Canada, the United Kingdom, Germany, France, Italy, Australia and New Zealand New Zealand (zē`lənd), island country (2005 est. pop. 4,035,000), 104,454 sq mi (270,534 sq km), in the S Pacific Ocean, over 1,000 mi (1,600 km) SE of Australia. The capital is Wellington; the largest city and leading port is Auckland. . -0- Visit the companies' web sites at www.corporate-express.com or www.datadocuments.com CONTACT: Corporate Express, Broomfield Rick Roth, vice president corporate communications Corporate communications is the process of facilitating information and knowledge exchanges with internal and key external groups and individuals that have a direct relationship with an enterprise. and investor relations Investor relations The process by which the corporation communicates with its investors. , 303/664-3970 or Data Documents Inc., Omaha Anita Meints, director corporate communications, 402/339-0900 |
|
||||||||||||||

Printer friendly
Cite/link
Email
Feedback
Reader Opinion