Second Quarter Up at Scholastic
Scholastic had a stronger than expected second quarter, with revenue up 6%, to $735.5 million, and net income ahead 12%, to $75.1 million. Sales in its largest group, the children's book publishing and distribution division, increased 4%, to $442.7 million. Within the group, book fair revenue increased 8%, and book club revenue fell 1%, less than projected. Scholastic's trade unit had a 4% sales decline as sales from such titles as Mommy? and Owen & Mzee partially countered lower Harry Potter sales. Continuities sales increased 21%.
In its other divisions, sales in the education segment dropped 2%, as sales fell in the library publishing, paperbacks and classroom magazines areas. In the international group, sales rose 14%, and revenue in the media, licensing and advertising division increased 9%.
Elsevier Buys Syngress
Elsevier has acquired Syngress Publishing, which does books about computer security. The Rockland, Mass.-based Syngress published 40 titles in 2006 and plans to do more than 50 in 2007.
Ingram Buys Coutts
Ingram has purchased Coutts Information Services. The U.K. based Coutts— which also has offices in the U.S., Canada and Holland—delivers content to academic, public and other libraries. Under the deal Coutts will remain under the same management, with managing director Stephen Wilson reporting to Ingram Book chief Jim Chandler. Coutts also owns the e-book platform MyLibrary.
Cenvo Buys Cadmus
After being rebuffed in its bid to acquire Banta, Cenvo, Inc. has reached an agreement to acquire Cadmus Communications Corp. in a deal worth $430 million. Cadmus, which had sales of more than $450 million in fiscal 2006, is a major provider of production services and content management to STM journal publishers. Cenvo expects the merger to save $20 million in expenses annually as duplicate functions are eliminated.
Potter #7 Named
The name of the seventh and final book in J.K. Rowling's Harry Potter series has been revealed on the author's Web site. The book, now officially called Harry Potter and the Deathly Hallows, still has no set release date.
Sterling to Do Sexy Line
Sterling Publishing has inked a deal with Massachusetts-based packager Hollan Publishing to do a line it describes as "illustrated romantic lifestyle" books. Under the deal, Hollan will release 25 titles annually through its Ravenous imprint, with the first books scheduled for next fall. Sterling will distribute and also oversee the line.
Drugan Memorial
A memorial has been set for Rusty Drugan, the former executive director of the New England Independent Booksellers Association. Drugan, who died at his home in Cambridge, Mass., on December 7, led the organization from 1992 until his resignation in August. The service, followed by a reception, will be held January 22, 4—5 p.m., at the Westford Regency Inn in Westford, Mass.
For information about discounted hotel reservations or the service itself, contact Nan Sorensen at nan@neba.org.
For directions to the hotel: www.westfordregency.com.
