Case Deluxe Corporation - 1741 Words

Deluxe Corporation Ninth Annual Institutional Investor Forum Sidoti Company, LLC Jeff Johnson, Treasurer and Vice President Investor Relations September 24, 2010 Presentation Scope ââ€"   Comments are limited to information already publicly released: – 10-K for 2009, filed February 19, 2010 – 10-Q for Q2 2010, filed August 5, 2010 ââ€"   All estimates and projections are subject to risks and uncertainties that could cause actual future results to differ materially from those estimated or projected. Additional information about various factors that could cause actual results to differ from those projected are contained in the Company’s Form 10-K for the year ended December 31, 2009 ââ€"   Non-GAAP financial measures are reconciled to the†¦show more content†¦wth 2009 Revenue Mix Strengthen Products and Services Stabilizing and pursuing check share gain Better optimizing business product portfolio Growing business services Business Services 7% Business Products 30% Customers Improving customer experience Driving clearer customer segmentation Adding new customers Unified delivery services platform Investing in developing services offers Checks 63% Technology Future Revenue Mix Business Services 25% Brand Awareness and Positioning Advertising through radio and on-line media Direct response advertising Sponsoring marketing lab for small businesses Checks 45% Business Products 30% 10 Cost Reduction Plan $ in millions Cumulative Savings Cumulative Savings $325 Go-to-Market (Selling, Marketing, Customer Care) Channel optimization Sales / Marketing operations Marketing and analytics integration Call center productivity 1/3 COGS 1/3 COGS 2/3 SGA 2/3 SGA ~ 45% $260 Fulfillment (Manufacturing and Supply Chain) $155 $105 Manufacturing productivity / Lean Direct spend reductions Finish automating flat check packaging in Q3 2010; complete the expansion of our digital printing Common manufacturing platform Strategic supplier sourcing ~ 25% $15 Infrastructure Q3-Q4 2006 2007 2008 2009 2010 Target (IT, Finance, HR, Legal, Real Estate) I/T infrastructure including data center reduction Outsourcing relationships Standardization and best practices Aligned structures RealShow MoreRelatedDeluxe Corporation Case773 Words   |  4 Pages[pic] By: Michael Malone Statement of the Problem Rajat Singh, a managing director at Hudson Bancorp, needs to find a way to rejuvenate the paper check corporation. One main part that needs to be calculated is the appropriate mixture of debt and equity for the firm. The company needs to determine the correct mixture so that they can both minimize the cost of capital and increase the shareholders value. I will analyze the current and future situation of the company, trying to find the correctRead MoreDeluxe Corporation: Recommendations for the Companys Board of Directors724 Words   |  3 PagesCase #35 Deluxe Corporation Synopsis and Objectives In July 2002, an investment banker advising Deluxe Corporation must prepare recommendations for the company’s board of directors regarding the firm’s financial policy. Some special considerations are the mix of debt and equity, maintenance of financial flexibility, and the preservation of an investment-grade bond rating. Complicating the assessment are low growth and technological obsolescence in the firm’s core business. The purpose isRead MoreFinance and Deluxe1495 Words   |  6 PagesExecutive Summary Despite being one of the marketing leaders in the check printing industry, Deluxe Corporation is incapable of incorporating the best capital structure. Failure in exposure to the advantages of debt financing has force it into higher costs of finance. Meanwhile, the emergence of new technology, e.g. electronic payments, has forced Deluxe to streamline its business and has constrained the firm to focus on only its core activities. This unfavorable external environment the firm isRead MoreAdvance Managerial Finance - Paper1555 Words   |  7 PagesManagerial Finance Case 6: Deluxe Corporation 1. What are the risks associated with Deluxe’s business and strategy? Is Deluxe’s current debt level appropriate? Deluxe Corporation was once the largest printer of paper checks in the United States. 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Wrigley, Jr. Company: Capital Structure, Valuation, and Cost of Capital,† (case 30); â€Å"Rosario Acero S.A.,† (case 32); â€Å"Gainesboro Machine Tools Corporation,† (case 25) In July 2002, an investment banker advising Deluxe Corporation must prepare recommendations for the company’s board of directors regarding the firm’s financialRead MoreMarket Segmentation : The Target Marketing Process1115 Words   |  5 Pages soft drinks, and other fast foods. Being a fast food company, McDonald’s has a vast chain of restaurants that offer fast foods and these restaurants are located not only in the United States but also in other countries. Despite the McDonald’s Corporation being widely distributed in the most developed countries around the world, its products face severe competition from other companies around the world. Other products such as Greenwich Pizza, Red Ribbon, ice creams, hot dogs, are also available inRead MoreBusiness to Business Marketing Case Study Essay1991 Words   |  8 PagesBusiness to Business Marketing Case Study Ask the average case-bred business school student about revolutionary marketers, and youll most likely hear about Amazon, Dell, and perhaps Saturn—all companies that turned industries on their ears by dumping the conventional business model and taking an entirely different approach. Some might mention IBM or Intel, two companies that transformed their businesses and successfully resuscitated their brands. But theres a new case on the block, one so inspiringRead MoreMorelli Motors Corporation2542 Words   |  11 Pages1.0 INTRODUCTION 1.1 OVERVIEW OF THE COMPANY Morelli Electric Motor Corporation manufactures electric motors for commercial use. The company produces three models assigned as standard, deluxe and heavy duty. The company uses a job costing system with manufacturing overhead applied on the basis of direct labour hours. The system has been in place with minimum change for 25 years. 1.2 THE CURRENT RISING ISSUE For the past 10 years, the company’s pricing has been to set each product’s budgeted priceRead MoreThe Key Steps For Proper Tax Management1296 Words   |  6 PagesFurthermore, it is often worth the money to consider visiting an accountant for advice at least once to ensure you have a good grasp of the system. Understand the deductions available There are plenty of tax deductions available for individuals and corporations when it comes to income tax. Unfortunately, many entities don’t take full advantage of these legal tax deductions. As well as understanding all the things that you are required to pay under the income tax, you’ll also want to stay on top of the