donnelley business overview_fnancialservices
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RR Donnelley Financial Services Group
Business Overview
March 14, 2010
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Agenda
• Company Overview
• Financial Services Group Business Lines
• Our Locations
• Segment Share
• Global Capital Markets
• Global Investment Markets
• Global Services
• Global Translation Services
• Global Real Estate Services
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Company Overview
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Global locations 600+
RR Donnelley At-a-Glance
Issued & Pending Technology Patents 800+
Years in operation More than 145 years
Number of full-time employees Nearly 55,000
2009 net sales Nearly $9.9 billion
Manufacturing locations Nearly 160
2010 Fortune 500 rank 240
S&P Rating BBB
Capital investment over the past five yearsMore than $1.8 billion
Over a Century of Integrity
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Fact Sheet
MARKET CAPITALIZATION ($s in Thousands)
RR Donnelley Corporate Overview
Headquarters: 111 South Wacker Drive
Chicago, Illinois 60606-4301 (U.S.A.)
312-326-8000
www.rrdonnelley.com
2009 sales: $11.58 billion
Locations: Worldwide locations, with operations in North America, Latin America,
Europe and Asia (including U.A.E.)
Stock trading symbol (NASD: RRD
Year Founded: 1864
Employees: Nearly 55,000 worldwide
2010 ranking: 240 on the Fortune 500 listing of America’s largest corporations
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Did You Know?
We operate one of Europe’s largest electronic document archives with over 5 billion data items serving 4.5 million retrieval requests per month for a major financial services organization
We are the largest independent payment processor in the UK processing in excess of 300,000 check payments per day
We receive, prepare, scan and process 11 million paper claims each year for NHS Dentistry
We inject over 10% of the business mail into the UK postal system
We have the capacity to process and print over 1.6 billion mail pieces per year
We manage over £100 million of commercial print annually for our customers
We purchase over 25,000 tons of paper per year for our clients We receive, scan and index over 40
million items of documentation per year
We have the capacity to scan and index over 750,000 pages per day
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Certifications
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Growth and Acquisition Timeline
Note: (1) In addition, RRD completed the acquisition of Ad-Plex Rhodes Charlestown facility in August, 2005, Spencer Press in November, 2005, CMCS in December, 2005 and Canadian Bank Note in October, 2006.
May 2003February 2004
June 2005
April 2006December 2005
October 2004Package Logistics
July 2005
Sept 2005Poligrafia
January 2007
May 2007
December 2007
March 2008
January 2009
PROSA
Divestitures Acquisitions(1)
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Scale and Breadth
MARKET CAPITALIZATION ($s in Thousands)
$11.5
$8.3$6.8
$4.0$2.2 $2.1 $2.0 $1.7 $1.5 $1.2 $0.8 $0.8 $0.7
$0.0
$5.0
$10.0
$15.0
Selected printers: 2008E revenue (actual or estimated $ in billions)
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Capital Investment
MARKET CAPITALIZATION ($s in Thousands)
More than $1.8 billion in capital investment over the past five years
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Size and Strength
MARKET CAPITALIZATION ($s in Thousands)
RR Donnelley works with
• 100% of the Fortune 100
• 94% of the Fortune 500
• 85% of the Fortune 1000
RR Donnelley is recognized as a leader in innovation, manufacturing, and production
• More Gold Ink Awards than any other printer
• Named one of “America’s Best Big Companies” by Forbes magazine
• Ranked No. 3 among the most innovative media and entertainment companies by Information Week
• Included in top 100 manufacturing innovators by PC Week
• Ranked 19th among top e-business network innovators by eWeek
• SAS 70 Type I and II Certified
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Client Relationships
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Competitive Offerings
Selected printers: product and service offerings
Company CommercialDirect
MarketingMCR and
Directories BooksForms and
LabelsFinancial
PrintStatement
OutsourcingDocument
BPOPrint
Management
Quebecor WorldQuad GraphicsBrown Printing (Bertelsmann)CenveoToppan PrintingTranscontinentalVertisDeluxe CorpBowne & Co.Dai Nippon PrintingMerrillStandard RegisterConsolidated GraphicsWorkflowDSTWilliams LeaXeroxPitney BowesADPInnerworkings
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Where Service is the Product
CompositionPlatform
PrintCapabilities
GlobalReach
People &Processes
Tools &Technology (VDR, Ez Blue)
DeepExperience Translations
Client First Always!
We create, manage, produce and deliver regulatory, transaction and compliance communications required by the financial services community.
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Integrated Portfolio of Products and Services
Prepare Produce Deliver Process
Color services and prepress
Content conversion for the web
Digital asset management
Composition
Translation services
Facilities management
Direct mail campaigns
Photography
Soft and collaborative proofing
Creative services
Books
Financial print
Catalogs
Commercial print
Digital printing
Direct mail
Directories
Forms
Signage and banners
Labels
HTML Conversion
Magazines
Retail inserts
SEC EDGAR filings
Database and list processing services
Expedited services
International mail andbulk distribution
Fulfillment
Inventory management
Print distribution
Postal affairs
Returns processing/reverse logistics
Business process outsourcing
Custom services
Business communication services
Call centers
Database services
Financial analysis and reporting
Global real estate services
Supply chain management
Sourcing and materials management
Print management
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Books Catalogs Directories Magazines Retail Inserts Office Products
Products and Services
Variably-Imaged Statement Printing
Commercial Printing
Direct MailForms Labels & Label Systems
Financial Printing & Communications
BPO & Document Management
Services
In-Box & Global Turnkey
Solutions
Co- Mailing & Logistics Services
eCommerce Tools PremediaServices
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Product Portfolio
Business Communication
Services
One-to-one Dynamic Documents
Kitting and roll out management
Customer loyalty packages
Product launches and welcome kits
Personalized statements
Invoices
Reminders
Confirmations
Via print
Internet presentment
Fax
CD-ROM
Commercial Print
Presentation folders
Easels
Directories
Calendars
Corporate communications
Point-of-purchase
Media Kits and more
Logistics
Print Logistics
Mail Distribution
Retail Inserts
Newsstand
Co-Palletization
International Mail
Expedited
3rd Party Freight Management
Fulfillment Services
Kitting
Forms
Continuous
Cut sheet
Unit set forms
Large roll forms
Pressure seal
Glued pockets
Bar codes and custom numbering
Card carriers
Labels
Packaging labels
Identification labels
Silk screen decals
Graphic overlays
RFID
Security products
Pharmaceutical labels
Books & Ancillary Products
BookTrack
International Navigator (China and Mexico)
Versioning
PubSelect
Graphics Management
Short-run digital book printing
Financial Print
175 manufacturing plants with 361 presses
Responsible for ~ 50% of United States Postal Service mail
Venue
EZStart® XBRL
EZProxy™
Edgar HTML review solutions
ProFile composition system
Deal management
Unparalled Printing Capacity
Innovation through Technology
Unparalled customer service and market expertise
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Product Portfolio (Cont’d)
Premedia
Creative/Design
Photography
Page production and layout
Color management and matching
Facilities management
Workflow design and deployment
Magazines
Consumer
Business-to-business
Trade
Special interest
City and regional publications
Associations and journals
Sunday magazines
Directories
Electronic directories
High-quality, large-volume, customized variable print and electronic communications for business-to-consumer transactions such as billing statements and checks
Operational documents and marketing materials for local, long distance, Internet and wireless companies
Print Fulfillment Services
Directories
Instruction Manuals
Brochures
Newsletters
Corporate Stationery Programs
Solutionsand Custom Point
Custom web-sites that drive web-to-print services for variably imaged documents
Digital document creation and electronic delivery
Digital Asset Management services
Integrated Print Solutions with CustomPoint
Document repurposing to automate the delivery of on-line documentation
e-mail direct marketing with e-Blast
CustomPoint customization services
Catalogs
Consumer
Business-to-business
Multi-channel advertisers (e.g. web, direct mail catalog, retail)
Response Marketing Services
Self and collated mailers
Envelope packages
Specialty products
Copywriting and design
Data driven customization
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Our Locations
CONFIDENTIAL
Los Angeles
Carson
New Port Beach
Temecula
San Diego
Palo Alto
San Francisco
Salt Lake City
DenverDallas
HoustonNew Orleans
Atlanta
Washington DC
Charlotte
Richmond
Baltimore
Philadelphia
PittsburghCleveland
Raleigh
Chicago
MilwaukeeMinneapolis
Portland
Seattle
Lancaster
MiamiTampa
Sydney
Hobart
TorontoCalgary
Boston
TokyoOsaka-shi
Manila
Beijing
TaipeiShanghai
Chennai
Colombo
Seoul
Dubai
Buenos Aires
Garin
Sao PauloBogota
SantiagoLima
Zurich
London
Paris
FrankfurtLeicester
HuntingtonBolton
Warsaw
Widnes
WorthingEastbourne
Geneva
Vienna
Luxembourg
Milan
MontrealNew York
Moscow
Trivandrum
Columbus
Singapore City
MumbaiNew Delhi
Jakarta
Kuala LumpurBangkok
Hong Kong
PerthBrisbane
Adelaide
Melbourne
Global Locations
MARKET CAPITALIZATION ($s in Thousands)
BPO locationsClient service centers RRD manufacturing facilities
CONFIDENTIAL
World-Wide Conferencing Facilities
MARKET CAPITALIZATION ($s in Thousands)
Domestic InternationalNew Orleans, LA
New York City (Downtown), NY
New York City (Midtown), NY
Newport Beach, CA
Palo Alto, CA
Philadelphia, PA
Pittsburgh, PA
Portland, OR
Raleigh, NC
Richmond, VA
San Diego, CA
San Francisco, CA
Seattle, WA
Tampa, FL
Washington, DC
Aldrans, Austria
Beijing, China
Budaors, Hungary
Buenos Aires, Argentina
Calgary, Canada
Chennai, India
Dubai, United Arab Emirates
Eindhoven, Netherlands
Erembodegem, Belgium
Frankfurt, Germany
Hong Kong, China
Komarom, Hungary
Krakow, Poland
Leudelange, Luxembourg
London, England
Mexico City, Mexico
Milan, Italy
Montreal, Canada
Moscow, Russia
Mumbai, India
New Delhi, India
Paris, France
Rio de Janeiro, Brazil
Santiago, Chile
Sao Paulo, Brazil
Seoul, Korea
Shanghai, China
Singapore
Tokyo, Japan
Toronto, Canada
Warsaw, Poland
Atlanta, GA
Baltimore, MD
Boston, MA
Charlotte, NC
Chicago, IL
Cleveland, OH
Columbus, OH
Dallas, TX
Denver, CO
Houston, TX
Lancaster, PA
Los Angeles, CA (Downtown)
Los Angeles, CA (Century City)
Miami, FL
Minneapolis, MN
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Global Capital Markets
CONFIDENTIAL
Global Capital Markets
Filings and documents for capital raising transactions
• Mergers and acquisitions, initial public offerings, equity and debt offerings, and bankruptcies/reorganizations
Compliance requirements
• Annual reports and form 10-K wraps, EDGAR™ filings with SEC, proxy statements, and all SEC compliance filings
Solutions
• Electronic delivery, notice and access, self-service filing, virtual data rooms, translations and XBRL
Clients include corporations, securities
law firms, private equity firms, and investment banks across the globe
CONFIDENTIAL
Annual Reports
Sun MicrosystemsNike Progressive Colgate Palmolive Humana, Inc.Visa Inc. Macys Inc.CVS Caremark Pfizer UPS Marriott
Limited BrandsWhirlpoolSouthwest Airlines Coca-ColaManpower Amazon Avon XeroxUnisys Fortune BrandsCisco
Interpublic Group MattelPPG Industries Pulte Homes Fifth Third Bancorp Navistar U.S. Steel Corp. Gannett Charles Schwab Lincoln Financial Group Leggett & Platt
Citibank Bank of America Barnes & Noble ExxonMobilVerizonAmerican Express Prudential Pepsico CapitalOneJP Morgan ChaseAltria
Dillard’s AmgenSunTrustMcDonald’s WellpointKimberly ClarkWal-Mart Universal Health Services, Inc. Duke EnergyAlcoa ConEdison
CONFIDENTIAL
Enhanced HTML for Annual Reports and Proxy Statements
CONFIDENTIAL
Notice and Access
Create a custom-branded website to host proxy documents without Issuer IT involvement
CONFIDENTIAL
RR Donnelley XBRL Solution SuiteDelivering options to meet your needs
Full Service Self Service Integrated Solution
Solution description The easiest way to comply with the XBRL mandate. All tagging is completed for you by our XBRL experts. You review. We validate and file.
The efficient way to take XBRL in-house. Access the powerful Crossfire platform and tag your company's financials using the template we've created for you.
Embedded solution for automatic integration of XBRL into GL system.
BFN and DFN XBRL template creation
EDGAR filing
Tag guidance
Single source project management
General ledger integration
Financial report consolidation
Technical application support
Unlimited Unlimited Unlimited
XBRL consulting support
Up to 4 hours Up to 10 hoursImplementation and on-site training
CONFIDENTIAL
NET.Filer
Meeting accelerated filing requirements for forms 3, 4 and 5m forms 8-k, 6-k, 12b-25, correspondence and form D filings
CONFIDENTIAL
Venue Virtual Data Rooms
Venue, our propriety virtual data room, is an intuitive, feature-rich portal for effective document collaboration.
CONFIDENTIAL
Venue: Where Businesses Connect and Collaborate
Investor Relations
Finance
LegalAccounting
Senior Management
RR DonnelleyRR DonnelleyAuditor
InvestmentBankCompany A
Law Firm
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Global Investment Markets
CONFIDENTIAL
Global Investment Markets
Financial printing and fulfillment
• Investor communications
• SEC compliance documents: annual and quarterly reports, proxy statements, EDGAR™ filings, and ember kits
Solutions
• Optimized communications platform, digital and on-demand print, fund fact sheets, fund repository, electronic delivery, shareholder reporting, XBRL and summary prospectus
Clients include investment funds, healthcare
companies, and variable annuities, primarily in the
United States
CONFIDENTIAL
RightContent®
RightContent is the next generation in content sharing technology. It is an online, self-service composition tool which allows you to store and manage information in a central repository so compliance documents can be easily accessed, edited, rendered and tracked.
CONFIDENTIAL
Over 700 prospectuses, SAIs and reports are in implementation today in RightContent
RightContent: Content Management Experience
Over 35 clients currently using our content management products
Currently, there are approximately 750 prospectuses, 65 annual reports, and 1,700 fact sheets being produced by our clients, resulting in the creation of more than 137,000 PDFs by RR Donnelley
These clients are managing over 1200 funds
In 2008, RR Donnelley published close to 3 million pages on our system
Over 14 years experience of providing content management services
CONFIDENTIAL
RightContent: Features
Content Management
Collaborationand Workflow
Publishing Services
Content editing and repurposing
Content libraries
Variable data
Full text search
Table management
Graphics management
Document construction
Project organization
Workflow automation
Commenting
Notifications
Reports
Tracking
Homepage alerts
Scheduling
Automated publishing
Blacklining
Print-ready PDF
Web-ready files
EDGAR files ASCII
HTML
XBRL
Integrated services
CONFIDENTIAL
RightProspectus® Document Repository
Providing the right document and compliance solutions at the right time, every time
Powered by Prospectus Central and featuring a state-of-the-art online platform, RightProspectus is the easiest-to-use pre-sale prospectus delivery and tracking system available.
CONFIDENTIAL
RightProspectus - Benefits
CONFIDENTIAL
RightProspectus - Offerings
CONFIDENTIAL
RightProspectus Processing
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Global Outsourcing
CONFIDENTIAL
Global Outsourcing
Legal/Transaction Processing
ServicesDocument reviewClaims processing
Litigation supportLarge-scale data capture
Correspondence handling services
Credit card/exceptions processing
Sales support services
Research & Analytics
Business information services
Financial analytics
Strategic market research
Financial Management
ServicesFinancial reporting
General accounting services
Industry-specific support services
Portfolio analysisReal estate support services
Treasury management
Creative Communications
Design studio services
Desktop publishing
Financial statement services
Typesetting/composition& publishing services
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Global Outsourcing: Legal Services Offering
Collection
Data Hosting
– Litigation Review
– Virtual Data Rooms
E-discovery
– Culling & Analysis
– Electronic Conversion
Paper Processing (Scanning, Codingand OCR)
Project Management
Litigation Support and Hosting
Contract Databases
Contract Drafting
Contract Playbooks
Contract Review
– Abstractions
– Mark-ups
Records Management
– Consulting
– Remediation
Contract Management Services
Compliance Reviews
Corporate Transactions
– Due Diligence
– Integration
Litigation Review
– Deposition Summaries
– Privilege
– Relevance / Issue Coding
Translations
Document Review Services
Our legal services platform is designed to reduce both the cost and turnaround time of high volume legal processes. Our global footprint provides us with a large pool of talent to draw from and a 24/7 operating platform. We are also capable of scaling quickly and providing “burst” capacity during periods of peak demand.
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Global Outsourcing: Program Highlights (Legal Services)
Global delivery platform
– Offices in major cities across the US, Asia, and Europe
– Offshore operating facilities in India and the Philippines
– Benefits of Global Scale including the ability to establish “local” relationships, the provision of staffing options across onsite and offsite locations, operational scalability and flexibility as well as robust Business Continuity
Scalable and diverse talent pool
– More than 1,500 professionals of various skill sets (lawyers, paralegals, technical, document specialists, etc.)
– Diverse background of professionals enabling unique staffing options
Comprehensive suite of services and technology
– Robust service offering ranging from data hosting and processing to document drafting and review
– Technology and application suite ranges from workflow automation to a variety of data processing and hosting tools
Blue-chip client base
– Top global law firms and in-house legal departments of Fortune 500 companies
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Global Outsourcing: Creating Value for Our Clients
Substantial Cost Savings
– Average of 20% to 40% savings realized
– Creative and aggressive cost models implemented to drive the most beneficial program as compared to current cost structure
– More flexible and scalable operating platforms
Efficiency Gains
– Refocus of our clients’ employees on higher value tasks
– Leverage of RR Donnelley Best Practices and sector specific knowledge/practices
– Resilient Operating Strategies including BCP
Increased Quality
– Scalable and diverse pool of talent
– Comprehensive and client specific training programs
– Robust talent management program
RR Donnelley’s solutions are customized to support the complete requirements of each client. Our teams are committed to and focused on ensuring that we deliver numerous opportunities for enhanced service support and cost efficiencies including but not limited to:
CONFIDENTIAL
Global Real Estate Services
MARKET CAPITALIZATION ($s in Thousands)
Professional support services for the commercial and residential real estate and financial industries
Loan-level detail on large portfolios
Services include:
• Due diligence, underwriting & data validation
• Property inspections & market analysis
• Servicing surveillance
Technology:
• Secure and scalable
• Digital document storage and robust reporting
• Web-enabled
Clients include investment banks, mortgage bankers,
originators and servicers, primarily in the United States.
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Global Translation Services
CONFIDENTIAL
Global Translation Services
Our services include: translation, editing, project management, multilingual desktop publishing. and terminology management
Dedicated and professional project management and customer relations teams in offices worldwide
Experienced with large-scale challenging projects on tight schedules
24/7 coverage across our global service platform
Over 1,000 qualified and skilled in-country linguists providing high quality professional translations; experts in industry specific subject matter
MARKET CAPITALIZATION ($s in Thousands)
CONFIDENTIAL
Translation and Multilingual Communication Services
MARKET CAPITALIZATION ($s in Thousands)
Access to over 1,000 pre-qualified and pre-screened in-country translators
Services include: translation, editing, multilingual desktop publishing, and terminology management
Languages include:
• All western languages, Spanish for all markets,French for all markets, Portuguese for both markets,all Scandinavian languages
• Russian, Greek, Polish, Hungarian, Latvian, Lithuanian, Slovakian
• Bulgarian, Czech, Hebrew, Arabic and Persian
• Chinese for all markets including Indonesian, Tagalog, Thai, Japanese, Korean, and Hindi