Every day our products are crisscrossing the world, often with personal messages from our customers.
That’s why we work continuously to develop smart solutions that reinforce the brand.
And thanks to the state of the art printing we can enhance the customer experience.
No matter what to deliver: letters, books, bills or glass ornaments; when it comes to our envelopes and packages, fl exibility always comes fi rst.
Sorry Stronzo.
Pull as hard as you like, and it won’t tear.
The package has been specially developed to provide superior protection. Bong’s ProPac range is growing strongly and includes packages for virtually any distribution need.
The year in brief
• Net sales reached SEK 1,991 million (1,984).
• Adjusted profi t before tax was SEK 21 million (51). A sharp increase in paper prices, above all in Germany, led to lower earnings in the second and third quarters.
• Cash fl ow amounted to SEK 1 million (–7).
• Continued investments in ProPac, including upgrades in the product range and organisation, intensifi ed marketing activities and the acquisition of VOET, boosted sales of ProPac by 21 per cent to SEK 200 million (165).
• The German envelope printer Lober, in which a 50-per cent holding was acquired in January 2007, made a positive contribution to profi t.
• The year was marked by ongoing rationalisation and restructuring. The factories in Kilkenny (Ireland) and Hilden (Germany) were closed and their production volumes were transferred to other units. The relocation of envelope manufacturing from Tampere to Kaavi in Finland that was started in 2007 will be completed during 2008.
• Bong closed its factory in Warsaw and formed a joint venture with the Polish envelope printer Liston.
• Sales in Russia rose further to SEK 49 million (26).
• The Board of Directors proposes a dividend per share of SEK 1 (1) for 2007.
Key fi gures 2007 2006 2005 2004 2003
Net sales, SEK M 1,991 1,984 1,782 1,807 1,908
Adjusted operating profi t, SEK M 1 68 89 79 59 –42
Adjusted profi t before tax, SEK M 1 21 51 42 17 –90
Return on capital employed, %1 6 7 6 4 –3
Adjusted earnings per share, SEK 1.63 2.38 1.99 0.99 –8.16
Cash fl ow after investing activities, SEK M 1 –7 106 77 31
Number of employees 1,346 1,379 1,280 1,391 1,510
1 Excluding one-time items.
Bong offers a wide and fl exible range of solutions for distribution and packaging of information, advertisements and lightweight goods.
The Bong share is quoted on the Stockholm Stock Exchange.
1) Excluding one-time items.
-100 -50 0 50 100 150 200
2004 2003 2002
2001 2005 2006 2007
SEK million
Adjusted rolling operating result1)
0 5 10 15 20 25 30
2004 2005 2006 2007
SEK million
Adjusted quarterly operating result 1)
1) Excluding one-time items.
Russia and Eastern Europe 4%
Finland and The Baltics 9%
UK/
Ireland 23%
Central Europe 33%
Scandinavia 30%
Other 1%
Bong‘s turnover by market
Bong 2007
In 2007 we worked hard to complete the large-scale restructuring programme that was launched in 2006.
After making several acquisitions, it was time for some realignment of our production structure to lower our fi xed costs and enhance our future competitiveness. Parallel to this, we continued focusing on our prioritised growth initiatives in ProPac, Russia and Overprinting, all of which showed very promising development in the past year.
A changing market and industry
The trend of recent years held steady in 2007 as the European market for traditional admin- istrative envelopes shrank by 1–3 per cent, while demand in Russia and Eastern Europe showed sustained growth of 10–20 per cent.
For products in our ProPac line, including pack- aging for distribution of products purchased via online shopping and image-enhancing gift packages for the retail trade, demand grew by 20–30 per cent. We also noted a rising need for more frequent but smaller runs of printed envelopes for addressed DM.
The European envelope industry continued its ongoing consolidation, in which Bong played an active role through our acquisition of Lober and the merger of our Polish operations with Liston. In the Nordic region, Intermail acquired OP-Kuvert at the beginning of 2007 and the recently merged AMCO-Enfa in the Nether- lands was acquired by Mayer of Germany.
Belgian EEC declared bankruptcy in the spring of 2007. And lastly, Mayer and Tompla an- nounced a strategic alliance during the sum- mer. Since 2004, Bong is part of a strategic alli- ance with Hamelin.
At year-end 2007 the fi ve largest envelope manufacturers in Europe commanded around 70
per cent of the market, compared to 40 per cent at the beginning of the new millennium. Our assessment is that this consolidation will con- tinue until 3–4 groups control 75 per cent of the market.
Strategy for growth
Today Bong is one of Europe’s leading envelope and packaging companies, with particularly strong market positions in Northern Europe.
We have employees in 13 different countries who sell, manufacturing or print a wide range of envelopes and packages to customers of many different types. We have a solid platform, a lean and effi cient structure and an enviable level of expertise gained through longstanding experience. In short, we know envelopes and packages.
Based on our traditional core business, we are now successfully breaking into new markets and developing products for future needs.
• ProPac, our line of packaging products, has in a short span of time grown from a small product family into a large and vibrant business. De- mand is rising, with rapid growth in distance shopping (online and mail order) and a strong retail market in general as key drivers.
• The Russian venture has quickly expanded from a modest export operation in Finland into a dynamic business based in Kaluga, some 200 km south of Moscow. The Russian market is growing by 15-20 per cent annually and has enormous potential in view of the country’s large population.
• We are also continuing our expansion in overprinting, i.e., printing on fi nished white envelopes. Overprinting is normally used in short runs and our strategy is to set up small, local units close to the customers that are able to offer high quality printing with short lead times. We acquired 50 per cent of the envelope printed Lober in southern Germany during 2007 and continued investing in our own printing units in Europe. Demand for overprinting is being stimulated by a trend toward more frequent, but smaller, individu- alised mailings.
Our strategy for the next few years is to main- tain rapid growth in these three market seg- ments while achieving higher profi tability and a strong and stable cash fl ow in our traditional envelope operations following the completed acquisitions and restructuring programme.
Restructuring programme
In 2007 we took further steps to coordinate and adapt production in order to reduce the number of factories and optimise capacity utilisation in the existing facilities.
The factory in Kilkenny, Ireland, was closed and its production was transferred to Eng- land and Germany in the fi rst half of the year.
Manufacturing in Hilden, German, was fully integrated with the production unit in Wup- pertal, a change that began already in 2006. In Finland, we prepared to relocate all production from the factory in Tampere to Kaavi in eastern Finland, Kohila in Estonia and Kaluga in Russia.
We enlarged the factory in Kaavi and moved equipment and trained staff to the facility. In both Estonia and Russia, we have successively leased larger premises, expanded our capacity and hired more staff. The entire restructuring process in Finland, which is scheduled for com- pletion at mid-year 2008, will result in lower fi xed costs for rents and personnel in Finland and lower freight costs for supplying customers in Russia and the Baltic countries.
The restructuring programme has given us higher productivity and therefore also lower fi xed costs, which is a absolutely vital for in- creased profi tability and ongoing growth.
Full speed ahead in our growth initiatives I am pleased with the way our three growth ini- tiatives progressed during the year and all signals indicate the soundness of allocating more re- sources to ProPac, Russia and Overprinting.
Foundation laid for 2008
Message from the CEO
2
• ProPac gained real momentum in 2007 as sales rose from SEK 165 million to SEK 200 million. We have defi ned our strategy, chosen which segments to focus on and are starting to build up a dedicated organisation to drive this venture forward. The wider range and new catalogue that were introduced at the end of 2007 were well received by the market and there is a constant infl ux of new customers who are attracted to our concept. In the near term, we are aiming for strong organic growth and a number of supplementary acquisitions.
• Development in Russia was also very encour- aging and Bong nearly doubled its sales dur- ing the year, from SEK 26 million to SEK 49 million. After producing the fi rst envelope at the beginning of 2006, the employees have made great strides in terms of professional competence. The factory’s productivity is quickly reaching the same level we have in Western Europe and its quality is already fi rst- rate. The Russian market is growing rapidly and we have now established a name as a reliable and fl exible partner for many custom- ers. We expect to move additional produc- tion equipment to Russia and hire more em- ployees in order to continue our expansion.
• Our third growth area is Overprinting, con- sisting of printing on fi nished envelopes. So far, the acquisitions of Nova in England and Lober in Germany have generated very posi- tive results and we can clearly see that the market trend is favouring small and fl exible printing units. The advantage of local pres- ence is the ability to come closer to our cus- tomers and create more value added. We will most likely make additional acquisitions in the next few years, but also intend to in- vest in our own overprinting operations and start up new units throughout Europe.
Positive earnings trend in late 2007
Salse for 2007 rose somewhat and reached nearly SEK 2 billion. Higher sales in our ProPac packaging segment, powerful demand in Russia and price increases all contributed to growth in revenue. In Germany and the UK, on the other hand, sales declined as an effect of production restructuring and tougher pricing policy.
In the spring our earnings suffered the effects of dramatically increased paper prices, above all in Germany. Fine paper is Bong’s most important input material and accounts for nearly half of total manufacturing costs.
We can normally compensate for higher paper prices by passing these on to our customers, but when the increases are large and frequent this takes place at some delay. This was the case in Germany during the spring of 2007, and led to a sharp drop in profi tability in the second quarter. Later in the year we succes- sively introduced price increases and our mar- gins began to recover, enabling us to end 2007 on a bright note with an operating profi t of SEK 25 million for the fourth quarter – our highest quarterly result since the beginning of 2002! As we enter 2008, we stand far stronger than we did one year ago.
Rising paper prices in the previous year caused us to tie up substantial capital in inventory and accounts receivable. At the same time, we paid sizeable restructuring charges and invested in rebuilding and expansion of the factories in Wuppertal and Kaavi, all of which had a nega- tive impact on cash fl ow in 2007. However, cash fl ow was signifi cantly strengthened in the sec- ond half of the year following a number of initiatives during the autumn. Among other things, we took measures to improve our pay- ment terms and adhered to our restrictive in- vestment policy. As a result of these efforts, cash fl ow after investing activities reached SEK 72 million between July and December.
Goals for the next few years
Through a series of acquisitions, an ambitious restructuring programme and investments in our growth initiatives during 2006 and 2007, we have laid an excellent foundation for ro- bust development in the years ahead. We are increasingly developing new products and customer-specifi c solutions, we have skilled and dedicated employees and our organisa- tion is highly sales-driven. We are working with an emphasis on new functions for our packages and the qualities they convey.
Working from this platform, our goals are to tangibly boost profi tability in traditional envelope operations from the 2007 level and to devote more of our time and resources to the creation of growth. Russia and Overprint- ing will account for a larger share of our to- tal sales, giving us both higher growth and stronger margins.
We will also be focusing intensively on cash fl ow. By choosing our investments carefully, freeing up more working capital and raising profi tability, we will signifi cantly strengthen our fi nancial position and gain new vitality and freedom of action.
Last but not least, I want Bong to be seen as an innovator of the future’s envelope and packaging solutions, and to earn confi dence in the way we do this.
Bong is already a leader – but we will become both better and stronger.
Kristianstad, March 2008
Anders Davidsson President & CEO
Overall, the impact of the general economy on envelope consumption in Europe has weak- ened. Demand for Bong’s envelopes and pack- ages are increasingly infl uenced by specifi c market trends such as economic development in Eastern Europe, the rising use of addressed DM and growth in traditional and online re- tailing in Europe.
Growth for addressed DM
The trend towards individualised marketing has encouraged more and more companies
to add DM as a tool in their marketing mix.
Modern database management makes it pos- sible to direct targeted messages and offers to selected customer groups and reach them at the right time. DM is often used together with other advertising channels such as the Inter- net and TV to achieve greater impact. Several surveys in Sweden and abroad indicate the consumers are more receptive to DM adver- tising than other marketing channels such as telephone sales, e-mail or radio/TV.
In the mature economies of Europe, DM
currently accounts for 30 per cent of total advertising expenditure through traditional channels (DM, TV, newspapers and magazines).
To a large extent, DM functions as a comple- ment to fast-growing online advertising.
The success of DM has meant that this type of advertising now makes up over 30 per cent of the total letter volume in Northern and Western Europe. According to the investment bank UBS, addressed DM accounts for more than 20 billion mail items per year in France, Ireland, the Netherlands, Germany, the UK, Sweden and Austria. DM has not yet reached the same penetration in Southern and Eastern Europe, where only 10–20 per cent of the total envelope volume consists of addressed DM.
In markets where DM is a relatively mature channel, its usage tends to grow in pace with total advertising spending. In countries where DM is still in an earlier stage of development, on the other hand, DM is expected to capture a larger share of total advertising expenditure if the pattern from Western and Northern Europe can be expected to repeat itself.
E-commerce in Europe doubled
Traditional and distance retailing are expected to expand further over the next few years.
Growth in disposable incomes and a strong labour market are favouring the Swedish retail trade, which is also being aided by general trends such as consumption as a part of human lifestyle.
Distance retailing is expanding rapidly in Sweden and the rest of Europe. According to a highly reputed international market research company, e-commerce in Europe is expected to more than double over the period from 2006 to 2011. According to the Swedish Research Institute of Trade (HUI), online retailing in Sweden is expected to grow by 20 to 30 per cent annually. Distance retailing in 2007 amounted to approximately SEK 15 billion, equal to 3 per cent of the total retail trade.
Envelopes and packages convey a message and feeling
Envelopes and packages are becoming an increasingly integral part of companies’ marketing communication, a trend driven primarily by addressed DM (Direct Mail) and e-commerce. The retail industry is also showing a stronger interest in brand-enhancing packages.
Economic growth in Eastern Europe and Russia remains dynamic, and envelope consumption in these markets is being fuelled by rising household incomes and a transition to Western consumption patterns. In Western Europe, on the other hand, no increase in the total envelope volume is awaited in the next few years.
Technical development, new
business models and industries Increase
Drivers Applications
Technical development,
rationalisations Decrease
Culturally conditioned
behavioural patterns No change
Effects on letter volumes DM
and distance retailing
Electronic information Co-existence between new and traditional channels
0 5 10 15 20
2007 2006 2005 2004 2003
Source: HUI SEK
billion
Online trading in Sweden
4
Rising envelope consumption in Russia The Russian economy is expected to grow by around 6 per cent annually over the next few years as increased real incomes trigger sustained growth in private spending. Other contributors to economic growth include substantial foreign investment and high oil prices.
The Baltic countries have continued to outpace the rest of the EU, but also have the highest price infl ation. Near-term GDP growth in the region is forecast at 9–11 per cent.
Envelope consumption in Eastern Europe is being fuelled by the emergence of functioning credit markets, increased use of advertising and a more effi cient infrastructure for mail delivery in general.
Transactions boosting envelope usage As more information becomes available on the Internet there is less need to distribute it in paper form, which is tending to reduce enve- lope consumption. At the same time, other threats from electronic media have become less potent. Much of the possible shift from mail to e-mail appears to have already taken place and is now likely to have reached the saturation point, accelerated not least by the growing problem of spam. For each physical letter today, more than 30 e-mail messages are sent in the USA and some 20 in Europe.
Technology shifts often lead to co-existence rather than competition between old and new channels such as in the case of fax, SMS and e-mail, all of which function more as comple- ments to letters than substitutes.
Envelope consumption is being bolstered by growth in volumes of transaction-related mail, i.e. bills, statements, etc. An increasing share of the population, particularly in the emerging economies, is buying services from banks, credit card issuers and other transaction-intensive companies. According to Swedish and inter- national surveys, consumers prefer to make payments electronically but to receive bills on paper. In general, the greater the signifi cance of the information for the recipient’s fi nances, the stronger the preference for paper.
Growth in East offsets decrease in West The overall effect on total envelope consump- tion in Europe is diffi cult to assess. Growth primarily in addressed DM and envelope con- sumption in Eastern Europe will partly offset the decrease in administrative mail in Western Europe. In a near-term perspective, the majority of forecasts indicate a slight contraction in the total European market.
“People often purchase items from MQ to give away as gifts, and we want them to feel that the package has the same high quality as the contents.
So we looked for a type of package capable of conveying that feeling. Bong’s offering was a good match for us,” according to Anders Collin, Marketing Director for the MQ fashion retail chain.
What demands do you have on the packages?
“It’s not just the customers who should appreciate the packages. They also need to be easy to work with for our staff, partly to avoid long queues at the checkstand. And, of course, they have to be cost-effective for MQ,” says Anders.
What is your perspective on packaging companies as business partners?
“It’s diffi cult for us to meet all of our needs with a single supplier. Our requirements change con- tinuously and we will probably be working with several specialists to a greater degree.”
About MQ
MQ is a fashion retailer with 95 outlets throughout Sweden. The company’s vision is to create a positive atti- tude toward fashion and apparel among its customers. To achieve this, MQ must stand out as one of the most interesting and contemporary fashion sources. The company therefore markets a strong range of selected brands, both its own and external.
The shops should appeal to the customers, create a welcoming atmosphere and inspire them to buy. The product range and shop interiors are continuously developed. High quality packages are a way of enhancing the buying experience for customers.
Anders Collin, Marketing Director, MQ
“It’s not just the customers who appreciate the packages”
A continuously evolving product offering
It’s not the contents but the package, envelope or gift box that creates a recipient’s fi rst impression.
Bong offers a continuously evolving product offering for businesses seeking to strengthen their customer relationships through effective and communicative packaging solutions.
Bong’s customers are characterised by widely varying needs and preferences. They buy dif- ferent products and services and value Bong for different reasons. For some customers, access to Europe’s most comprehensive range of envelopes is the key factor, while others choose Bong for its size, availability and exten- sive international coverage. In pace with cus- tomer demand for new packaging solutions, fl exibility and innovation have increasingly emerged as decisive success factors.
The needs vary not only between markets but also between individual customers. Regardless of whether a customer is seeking advanced over- printing at short notice, gift packages or large volumes of standard envelopes, Bong’s ambition is to be an effi cient and reliable partner.
Wide offering
Bong has what is probably Europe’s most ex- tensive range of envelopes and packaging so- lutions. The total offering can be divided into three sub-groups, of which administrative en- velopes accounted for 70 per cent of Group sales in 2007, advertising envelopes for 20 per cent and ProPac for 10 per cent.
Local presence
Bong has a sales organisation in each of its mar- kets. Direct customer contact takes place through local representatives, ensuring unique insight into local envelope specifi cations and familiarity
with the local language and culture. Aside from an ambition to grow with the customers, Bong is committed to improving its knowledge of customer needs, current and future trends and end-user preferences. In many cases this means providing inspiration and demonstrating Bong’s ability to deliver custom concepts and solutions for its customers – to join forces in creating max- imum value for the end-user.
Customer-driven production
Today, more than 70 per cent of Bong’s prod- ucts are tailored to specifi c customer needs. In the UK and Belgium, custom products made up 85 of the production volume in 2007.
Through local presence in a large number European envelope markets, Bong can offer international customers fl exibility and unique knowledge about local products.
ProPac for total solutions
ProPac is both a packaging concept and a brand name. The basic idea behind the concept is that a package is more than a shell – it is an interface for highlighting what the sender stands for. For- mats, materials and printing can be combined endlessly to create a communicative whole in which the contents and bearer work together to accentuate the sender’s brand. Ultimately, ProPac represents an idea for how packaging solutions can strengthen the customers’ business.
The ProPac line is divided into application ar- eas based on the end-customer’s needs.
• Everyday consists of packages for day- to-day use that are a staple of virtually all businesses, such as mail order bags and board bags. These are often sold via wholesalers.
• Smart consists of shock-absorbent packages that provide intelligent protection (such as bubble bags, foam- padded bags, CD mailers) and are used primarily by online retailers and mail order companies.
• Security keeps the contents confi dential and tamper-free (security bags, transparent plastic bags, zip-lock bags, transfer bags, etc.) and protects value documents, etc.
• Show-off adds a value-enhancing feeling of luxury and glamour (metallic bubble bags, accessory bags, receipt pockets, gift bags, trend boxes, etc). Articles in this segment are often used as gift packages.
In each segment, ProPac offers solutions to spread the customer’s brand or message, such as sales announcements, logos and addresses, exciting offers, etc., (“Branded”). Furthermore, ProPac offers exclusive solutions (“Individual”) that are unique for the customer (custom win- dows and formats, special modifi cations, etc).
The ProPac line offers a wide range of options in terms of functionality, appearance and de- sign, and contains everything from standard articles to unique customised specialty pack- ages.
Administrative envelopes
Administrative envelopes consist of standard, non-printed envelopes and bags in all sizes that are adapted to each market according to the applicable national norms. Administra- tive envelopes are manufactured in white or brown paper. The envelopes are adapted for use in modern printing presses and therefore provide an ideal surface for logotypes or ad- vertising messages.
Advertising envelopes
Advertising or specially adapted envelopes give customers wide freedom of choice with regard to colour, shape, material and printing technique. These envelopes are often used for addressed DM and can be designed an integral element of the message. Custom solutions usu- ally involve some type of printing, but can also be individualised with regard to format, choice of paper, window placement, seal type, etc.
6
Wholesalers – dynamic customers
Bong has a total of around 8,000 customers, of which the 25 largest account for approximately 49 per cent of sales. Envelope customers can be grouped in the following main categories:
• The offi ce supply trade
• Direct-buying customers
• Mail management companies
• Paper wholesalers
• Envelope printers
• The retail trade
Customers in the offi ce supply trade include large international chains, domestic offi ce sup- ply wholesalers and purchasing partnerships.
Sales are increasingly concentrated among major international players like Lyreco, Vi- king / Offi ce Depot / Guilbert and Corporate Express. This customer category accounts for around 25 per cent of Bong’s total sales in Western Europe.
Consolidation among the major offi ce sup- ply chains is contributing to a corresponding trend among the suppliers. For example, Bong has forged an alliance with Hamelin to provide envelope solutions for customers in most Eu- ropean markets.
Around 15 per cent of Bong’s sales in Western Europe go to direct-buying customers, con- sisting of companies with large mail streams such as banks, utilities and telecom providers.
Their mail handling and distribution is some- times carried out internally, but frequently also through outsourcing to mail manage- ment companies which account for 10 per cent of Bong’s sales. Bong’s customers in this category include Strålfors, Posten EPP and Pit- ney Bowes.
A sizeable share of total sales in the enve- lope market go trough paper wholesalers, which stock and sell a wide range of paper products, mainly to printing companies.
Paper wholesalers account for approxi- mately 15 per cent of Bong’s sales. Two vital competitive tools in Bong’s relationship with paper wholesalers are delivery precision and breadth of range. Around 20 per cent of Bong’s deliveries to wholesalers consist of non-standard products.
Envelope printers are typically small local companies that purchase a share of envelopes directly from manufacturers. The envelopes are often used for DM purposes, where deliv- eries in small series and at short notice are crit- ical factors. This customer category accounts for roughly 10 per cent of Bong’s sales.
Bong has its own envelope printing facilities in all markets and collaborates with external partners when appropriate Through the acqui- sition of overprinting operations in England and Germany during 2006, Bong has expanded its market share in these countries.
Customers in the retail trade buy consumer- packaged envelopes via agents or directly from manufacturers. In the current trend, major chains like ICA, Tesco, Bokia are expanding both domestically and internationally. The retail trade accounts for approximately 5 per cent of Bong’s sales.
Cost-effi ciency and price are the decisive factors in this segment. Bong manufactures consumer-packaged envelopes at its factory in Estonia, which is specialised in production of this type.
Restructuring among wholesalers
In 2007 European offi ce supply and paper wholesale market saw a continued wave of mergers, takeovers and alliances. One of these was the French paper wholesaler Antalis’
acquisition of the Finnish-owned paper wholesaler Map from M-Real. With 23 per cent of the European market, this new conglomera- tion is now the largest fi ne paper wholesaler in Europe. In addition, during 2007 the offi ce
supply wholesaler Corporate Express continued implementing its Nordic strategy with the takeover of a mid-sized Danish wholesaler.
The Norwegian wholesaler ATG was acquired in the previous year.
The European wholesale sector is consoli- dating into larger units, but at a relatively slow pace, and most business is still transacted at the local and regional level. Bong has some twenty international customers who purchase in more than one country. A few of these are pan-European, i.e. purchase for the entire European market. Thanks to its forefront posi- tion in Europe, Bong is able to satisfy demand for European contracts from the growing con- stellations in the wholesale segment.
ProPac customers
Traditional envelope buyers in the offi ce supply trade and paper wholesalers are still the largest customer group in the ProPac segment, and account for around 60 per cent of sales. How- ever, a growing share of Bong’s deliveries in this product area goes directly to end-users.
The expanded range has given Bong new customers among fashion and mail order companies and packaging wholesalers. Not infrequently, these ProPac customers also become envelope customers.
Most of Bong’s sales take place via wholesalers, where the offi ce supply trade is the dominant buyer
category. Wholesalers offer their customers a cost-effective source for offi ce supplies and are a
signifi cant channel for Bong.
Get personal
The right message to the right person at the right time. With Bong, anything is possible. Large or small series, long planning horizons or short notice, standard or DM envelopes, durable mailers or elegant gift bags. Bong is the supplier for every need.
The ProPac catalogue alone contains 450 articles, and that’s not including customer adaptations.
Markets and strategies
Bong is active in four main markets with differing drivers, competitive conditions and opportunities for growth: ProPac, Envelopes in Western Europe, Envelopes in Eastern Europe and Overprinting.
Marketing communication is becoming increas- ingly sophisticated and targeted. Every day, new areas of use are arising for solutions that offer added value in physical communication be- tween businesses and their customers. Bong’s envelope know-how is an advantage in the company’s development of the ProPac packag- ing concept for these fast-growing markets.
In its traditional envelope business, Bong’s strategy is to expand in the emerging markets of Eastern Europe and defend its leading posi- tion in the mature markets of Western Europe.
The market for addressed DM is expanding throughout Europe, where the trend is toward an increased number of smaller and more indi- vidualised mailings. Through both the build-up of internal printing capacity and acquisitions, Bong is taking measures to capitalise on this positive development.
The vigorous growth for ProPac and ad- dressed DM is successively shifting Bong’s emphasis to segments with higher value added and margins.
ProPac
The packaging market is evolving continu- ously in response to trends in the retail and mail order/e-business trades, and the border between envelopes and packages is gradually fading. Major multinational manufacturers compete not only with each other but also with smaller specialists to satisfy the widely varying needs of customers.
Bong has launched the ProPac packaging concept for a number of key application areas.
A certain share of the packages is manufac- tured by Bong, but the company also uses subcontractors to a large extent. Bong had already established in-house competence in sourcing of externally produced packages before taking over the packaging wholesaler VOET, and this has been further enhanced by the acquisition.
The company’s envelope expertise and mod- ern equipment give Bong a competitive edge.
For example, after development efforts Bong has been able to start producing gift packages in formats that were previously not considered suitable for the company’s machinery. Increas- ingly demanding printing specifi cations are
also favouring Bong, with its technical lead- ership and internal manufacturing capacity.
In 2008 Bong’s factory in Nybro, Sweden, will be given special responsibility for the Group’s own manufacturing of gift packages.
Bong is renewing its marketing organisa- tion through the recruitment of personnel with experience of packaging. Where appro- priate, Bong strives for direct contact with end-customers rather than working through wholesalers. Today ProPac accounts for over 10 per cent of Bong’s total sales and the goal to achieve annual organic growth of 30 per cent in this product segment.
The Western European envelope market The European envelope market is worth around EUR 2 billion annually and has a total volume of around 100 billion envelopes, of which the UK, German and French markets account for nearly 70 per cent. The envelope market grew until the millennium shift, but has since then contracted as a result of economic develop- ment and competition from electronic media.
Envelope usage varies widely between dif- ferent regions of Europe. In the Scandinavian countries and the rest of Western and Northern Europe, envelope consumption is around 300 per person and year, while the corresponding number in Eastern Europe varies between 20 and 70 depending on the country.
The largest users of envelopes are companies in the fi nancial, telecom and energy sectors.
The business sector in general accounts for approximately 90 per cent of total envelope usage in Western Europe.
Base capacity utilized for large volumes Manufacturing of standard envelopes with long lead times and large volumes – often 100,000 or more – provides base capacity uti- lisation in the factories. Large-volume printing on standard envelopes is carried out as an integral part of the manufacturing process.
Here, the time aspect is often secondary.
Delivery precision and the ability to manufac- ture long runs with high quality at a low cost are the decisive competitive factors.
The typical customers are large companies, international offi ce supply chains and paper wholesalers. Common application areas for standard envelopes with or without printing include administrative mass mailings and DM.
Envelopes in Western Europe ProPac
Envelopes in Eastern Europe
DM /Overprinting
Bong’s turnover by market
UK/Ireland 24%
France 22%
Germany 20%
Benelux 7%
Eastern Europe 8%
Spain 6%
The Nordic countries 5%
Italy 5%
Others 3%
The European envelope market
10
For manufacturers of standard envelopes, the margins are relatively small and effi ciency at every stage is critical.
An ongoing wave of restructuring among wholesale customers is leading to the for- mation of large pan-European groupings, although this is taking longer than was antici- pated at the beginning of the new millennium, partly due to the strength of local preferences and specifi cations.
Approximately 65 per cent of Bong’s total sales revenue comes from administrative enve- lopes in Western Europe, a market where future growth is expected to be low.
The Russian envelope market
Eastern Europe, including Russia, makes up close to 10 per cent of the total European mar- ket. Because envelope consumption in Russia and the Baltic countries is only between 20 and 30 per capita and year, the growth poten- tial in these countries is considerable.
Bong has been established in Eastern Eu- rope for several years and took another im- portant step in 2006 with the opening of its new factory in Russia.
Sales of administrative envelopes in East- ern Europe, the Baltic countries and Russia account for approximately 5 per cent of the Group’s total sales. According to Bong, the company’s sales growth in Eastern Europe will signifi cantly exceed forecasted market growth of more than 20 per cent over the next few years.
Bong’s strategy in the Russian market is to establish a clear position as the leading sup- plier of quality products. The envelopes are marketed under Bong’s Finnish brand Postac, which is associated with the West in the increasingly consumption-oriented Russian market. Bong focuses mainly on Moscow and other important fi nancial and metropolitan centres.
Overprinting
In overprinting, an envelope maker or printer prints text or artwork on an envelope after it has been manufactured. The largest applica- tion area for overprinting is addressed DM, but overprinting is also used for profi ling of traditional administrative mail.
Small runs demand higher fl exibility Overprinting is often chosen when a sender wants to make small individualised mailings targeting a well defi ned group of recipients.
Orders for envelopes of this type are placed at short notice for high frequency mailings.
These runs – sometimes no more than a cou- ple thousand envelopes – are printed in a separate process by an envelope printer that is either independent or affi liated with an enve- lope manufacturer.
For both envelope manufacturers and print- ers, the importance of having a strong lo- cal and regional presence in the market has further increased as more customers seek high quality overprinting for rapid short-run mailings. Bong caters to customers in all size categories that have exacting demands on availability, printing quality and fl exibility. The relatively high service content raises the value added level and motivates a higher margin.
Bong’s growth strategy for overprinting is based on a combination of capacity invest- ments, alliances and acquisitions. In Germany, where Bong was previously weak in overprint- ing, the acquisition of the overprinting com- pany Lober in 2007 immediately gave Bong a solid position in the southern German market.
The company does not rule out similar acqui- sitions to gain corresponding geographical coverage in other parts of Germany. Another example is Bong’s acquisition of Nova in Eng- land during 2006.
Roughly 20 per cent of Bong’s sales are attributable to overprinting. In the next few years, the company anticipates annual growth of around 5 per cent in this segment.
COMPANIES COM
PANIE S
HOUSEHOLD S
The envelope consumption in Europe
60% 5%
5%
30%
HO USEHO
LDS
Letters from businesses to private individuals account for most of the envelope consumption in Europe.
” We see a strong trend towards gift packages, e-commerce and mail order.
Our experience, customer base and resources give us plenty of opportunities to take advantage of it.”
Anders Davidsson, President and CEO Bong
Scandinavia Market
The total Scandinavian market in 2007 is esti- mated at close to 5 billion envelopes. Driven by a strong economy, demand remained high and stable throughout 2007. Sweden is the largest of the unit’s markets, with over 3 billion envelopes sold annually.
Per capita envelope consumption in Scandinavia is around 300 per year, making the region one of the largest consumers in Europe on average. Swedish envelope consumption is highest, at 340 envelopes per capita and year, of which DM accounts for an estimated 30 per cent.
The Nordic industry structure is highly concentrated and the market is dominated by three manufacturers:
Bong, Mayer-Kuvert and InterMail. Imports to the Scandinavian market are insignifi cant.
Bong
Bong commands around 45 percent of the Scandina- vian envelope market, which is the company’s home market. Here, Bong has strengthened its brand profi le and sales of high value added products like overprint- ing and ProPac are comparatively high.
The overprinting market is also relatively concen- trated. With the Nordic region’s largest envelope printing facility in Kristianstad, Bong’s share of the overprinting market is estimated at around 25 per cent.
Events in 2007
• The unit’s sales reached SEK 616 million (582).
Earnings in the Scandinavian business unit continued to improve.
• Price increases for envelopes were introduced in all countries to compensate for higher paper costs. Prices for small-run printing were also raised.
• Bong’s market shares in envelope operations increased somewhat in all Scandinavian countries.
• ProPac showed powerful sales growth, particularly in Denmark and Norway. New customers for gift packages in Sweden include the telecommunications company Telia and the fashion retailer MQ.
• Danish InterMail acquired Sweden’s OP-Kuvert.
InterMail also acquired the Swedish distribution company Stroede-Ralton.
Central Europe
The Central European business unit is responsible for the markets in Germany, Benelux and Poland, with a primary focus on Germany and Belgium.
Poland is served via Bong’s joint venture with Liston.
Market
The total market in 2007 was approximately 18 bil- lion envelopes in Germany and 5.6 billion envelopes in Belgium. The markets shrank somewhat in 2007.
Per capita envelope consumption in Germany was 220, of which close to 90 referred to DM.
There are some 12 envelope manufacturers in the Germany market, of which the most signifi cant are Mayer-Kuvert, Blessof and Bong. In Belgium, Bong’s foremost competitors are Elep and Antalis.
Because the country’s production capacity ex- ceeds domestic demand, Germany is an exporter of envelopes. The Benelux countries are a net importer of envelopes.
Competition in Germany is fi erce and many of the major envelope makers have chosen not to cut back production capacity in spite of a stagnating market.
This aggressive competition has led to the lowest price level for envelopes anywhere in Europe. Ongoing consolidation of the industry is anticipated over the next few years.
Bong
Bong’s German and Belgian business units were merged at the end of 2007 in order to coordinate activities in the closely located markets of West Ger- many, Belgium and the Netherlands. The Central European business unit also exports envelopes to Switzerland, Austria, Italy and Spain.
Bong’s share of the German market is approxi- mately 20 per cent. In Belgium the market share is 30 per cent.
Through the acquisition of Lober in 2007, Bong has established a strong position in overprinting in southern Germany. Lober’s success confi rms the strategic soundness of this decision.
Since 2007 the Central European markets have dedicated staff for marketing of the ProPac line.
Events in 2007
• The Central European business unit’s combined sales totalled SEK 735 million (742). Sales in the German unit fell, which was partly a planned effect of the integration with RCT and Bong’s rejection of certain orders due to weak profi t- ability. Sales in the Belgian unit were unchanged and earnings strengthened.
• Overall earnings in the Central European unit declined from the year-earlier level due to a sharp increase in paper prices.
• The integration of RCT with Bong’s facilities in Wuppertal was completed.
Bong’s business units
The Group is made up of fi ve geographical units, of which four report directly to the CEO. The Russian business unit reports to the manager of the Finnish unit. The manager of the Scandinavian business unit is also responsible for the Group’s ProPac product line, which is marketed by all business units.
The managers of the three largest business units, together with the CEO and CFO, make up the Group Leadership Team. Internal sales take place between several of the units and far-reaching coordination is used in many areas to optimise effi ciency.
12
ProPac
ProPac is marketed and sold by all of Bong’s business units in each respective market. In addition, a Euro- pean organisation has been created to handle large direct customers.
Sales of ProPac rose by 21 per cent in 2007, which meant that the ProPac line accounted for approxi- mately 10 per cent of Bong’s total sales.
ProPac is marketed throughout Europe, but sales are highest in Sweden, the Benelux countries, Ger- many, the UK, Denmark, Norway and Finland. Some sales are also made to countries outside Europe, such as China.
Bong sees excellent growth prospects for ProPac, particularly in the UK and Germany. In pace with the establishment and start-up of a sales organisation with dedicated staff in Europe, sales there will in- crease.
Bong’s strategy for ProPac is to focus on four main areas of use: Everyday (mailroom), Showoff (gift), Smart (e-business) and Security (security).
The ProPac concept is marketed in Central Europe in close collaboration with VOET International Packag- ing Solutions in the Netherlands.
Events in 2007
• Net sales reached SEK 200 million (165).
• Recruitment of key staff to reinforce sales.
• Establishment of a dedicated sales organisation in Central European markets.
United Kingdom Market
The total UK market in 2007 amounted to 24 billion envelopes. Although the market for standard products decreased, rising demand was noted for short-run 4- colour overprinting for DM marketing. Per capita con- sumption in the UK was close to 400 envelopes.
The UK market is characterised by intense com- petition and relatively large import volumes, with foreign producers accounting for nearly one third of British consumption. All of the major European manufacturers are represented in the UK. The domi- nant players are Bong, GPV/Heritage, Hamelin/John Dickinson, Mayer-Kuvert and Tompla, all of which are foreign.
Distribution in the UK market is marked by a strong dominance of paper wholesalers and offi ce supply retailers.
Bong
Bong is one of the leading players in the UK, with a market share of around 15 per cent. Here, Bong has historically focused on selling large volumes to in- termediaries, of which the largest together account for a substantial share of Bong’s sales. In 2007 the fi ve largest customers increased their market shares, which benefi ted Bong.
Bong’s strategy is to expand in overprinting, which takes place with short lead times and demands greater fl exibility.Overprinting in the UK has tradi- tionally been handled by independent printers and the industry structure is relatively fragmented.
Events in 2007
• Net sales amounted to SEK 406 million (413) and earnings were on par with 2006. Higher prices for fi ne paper were partly compensated in the second half of the year.
• A new management was recruited for the UK business unit during 2007. Mark Cooper was appointed as Business Unit Manager.
• The factory in Kilkenny, Ireland, was closed and its production volumes were transferred to Bong’s facilities in England and Germany.
Russia
Market
The total Russian market is estimated at 4 billion envelopes, of which simple and traditional admin- istrative envelopes still account for over half. The re- mainder consists of envelopes with a higher Western standard.
The competitors include local manufacturers, for- eign players such as Italian Pigna and joint ventures between Russian and foreign manufacturers, such as Neva-Kuvert in St. Petersburg.
Bong
Bong’s production consists of high quality enve- lopes, and the company had a market share of 15 per cent in 2007.
Events in 2007
• Net sales amounted to SEK 49 million (26).
Earnings were up over the previous year.
• Measured in the number of envelopes, the market grew by around 15 per cent in 2007.
Since a large share of this growth took place in segments with comparatively high quality, growth in value terms during in 2007 was higher, at around 20 per cent.
• ProPac was launched in Russia.
• Sizeable investments were made in training and equipment.
Finland and The Baltics
Market
The total Finnish envelope market in 2007 amounted to approximately 1 billion envelopes. The Finnish market was largely unchanged from the previous year. A decrease was noted in administrative mail for invoicing, etc., but was offset by growth in DM and specialty envelopes.
The market in the Baltic countries grew by an es- timated 5 per cent.
Bong
Bong is the clearly largest player in the Finnish mar- ket with a market share of around 65 per cent. Only a few domestic manufacturers are active in Fin- land. The most signifi cant competitor is OP-Kuvert of Sweden, which has been taken over by Danish InterMail. The remainder is imported from Central Europe. Bong has two sales organisations in Finland, located in Helsinki and Tampere.
Bong is also the dominant manufacturer in the Baltic countries, with market shares of 50 per cent or more. Above all in Estonia and Latvia, Bong is the market-leader. In Lithuania, where the Bong has a weaker position, the company meets tough compe- tition from Polish manufacturers. Following the ac- quisition of SMEAD’s envelope production in Estonia during 2006, Bong is the only envelope maker with production in the Baltic region.
In Estonia and Latvia, the company handles the market via sales offi ces in Tallinn and Riga. Bong serves the Lithuanian market through the jointly owned sales/envelope printing company Baltvokas based in Kaunas.
Events in 2007
• Net sales amounted to SEK 181 million (181).
Earnings were down somewhat as an effect of ongoing restructuring.
• In 2006 Bong decided to transfer all envelope production from Tampere to the factory in Kaavi in eastern Finland during 2007 and the beginning of 2008 and to concentrate printing in Tampere. As an effect of these measures, the production staff will be reduced by 75 in Tampere during 2007 and 2008 and increased by 15 in Kaavi during 2008 and 2009.
• ProPac accounted for 10 per cent of sales.
14
PROFIT AND LOSS ACCOUNTS IN SUMMARY, SEK MILLION 2007 2006
Net sales 1,991 1,985
Depreciation/amortisation –92.4 –102.4
Adjusted operating profi t 1 68.4 89.1
Net fi nancial items –47.8 –37.6
Adjusted profi t before tax 1 20.6 51.5
Reported profi t/loss before tax 12.3 1.9
Tax 3.6 –2.5
Reported profi t/loss after tax 15.9 –0.6
1 Excluding one-time items according to the following:
Capital gains on the sale of equipment and properties 12.7 15.9
Restructuring charges –21.0 –65.5
Total one-time items before tax –8.3 –49.6
BALANCE SHEETS IN SUMMARY, SEK MILLION 2007 2006
Goodwill 353.1 342.9
Other intangible assets 3.2 3.7
Tangible assets 621.2 645.7
Financial assets 111.7 62.0
Total fi xed assets 1,089.2 1,054.3
Inventories 279.9 284.5
Current receivables 362.6 354.5
Cash and bank 24.2 38.4
Total current assets 666.7 677.4
Total assets 1,755.9 1,731.7
Equity 571.6 537.8
Convertible debentures – 20.2
Interest-bearing provisions and liabilities 853.4 827.5
Interest-free provisions and liabilities 330.9 346.2
Total equity and liabilities 1,755.9 1,731.7
Financial overview
KEY RATIOS 2007 2006
Operating margin, %2 3.4 4.5
Profi t margin, %2 1.0 2.6
Capital turnover rate, times 1.1 1.2
Return on equity, %2 4 6
Return on capital employed, %2 6 7
Equity/assets ratio, % 33 31
Net debt/equity ratio, times 1.45 1.50
EBITDA/net fi nancials, times 3.2 3.8
Foreign sales, % 87 87
Average number of employees 1,346 1,379
2 Calculated on adjusted profi t as stated above.
The Bong share
Number of shares traded
Bong shares were traded for a total of around SEK 167 million (186). The average daily trad- ing volume was approximately SEK 665,000 (741,000). In 2007, shares were traded for a total value equal to 30 per cent (21) of the out-standing capital stock at year-end.
Share price development
The Bong share dropped by 37.8 per cent in 2007. The Carnegie Small Cap Index and SIX General Index decreased by 19.7 per cent and 7.0 per cent respectively.
Shareholders
The number of shareholders at 31 January 2008 was 1 062. Melker Schörling and Alf Tönnesson are Bong’s largest shareholders, each with just over 25 per cent of the votes and share capital in Bong.
Dividend policy
Bong’s dividend policy states that over time, and with consideration to the company’s fi nancial position and opportunities for de- velopment, the average dividend should be equal to approximately one third of profi t af- ter tax. The Board of Directors proposes that a dividend of SEK 1 per share (1) be paid for the fi nancial year 2007.
DATA PER SHARE 2007 2006
Number of shares
Number of shares outstanding at the end of the year before dilution 13,128,227 13,017,298 Number of shares outstanding at the end of the year after dilution 13,428,227 13,651,180
Average number of shares before dilution 13,079,425 13,006,000
Average number of shares after dilution 13,379,425 13,651,180
Earnings per share, SEK 1, 2
Before dilution 1.19 –0.04
After dilution 1.17 –0.04
Before dilution, excl. one-time items 1.66 2.50
After dilution, excl. one-time items 1.63 2.40
Equity per share, SEK
Before dilution 43.98 41.31
After dilution 43.98 42.30
Other data per share 1
Dividend, SEK 3 1.00 1.00
Quoted market price on the balance sheet date, SEK 42.30 68.00
P/E ratio (incl. one-time items), times 36.2 neg
P/E ratio (excl. one-time items), times 26.0 28.3
Price/book value before dilution, % 96.2 165.0
Price/book value after dilution, % 96.2 160.8
1 One-time items in 2007 consist of: Capital gains on the sale of machinery (SEK 12.7 million) and restructuring charges (SEK –21.0 million), and in 2006: Capital gains on the sale of properties (SEK 15.9 million) and restructuring charges (SEK –65.5 million).
2 The dilution effect is not taken into account when it leads to a better result.
3 For 2007, according to the Board’s proposal.
1,400 1,200 1,000 800600 400200
© OMX AB 60
20 40 80 100 120
2007 2006
2005 2004
2003
Number of shares SEK
The share Carnegie Small Cap Index Number of shares traded,
thousands (incl. afterhours) SIX General Index
DEVELOPMENT OF THE BONG SHARE 2003–2007
There were 13 128 227 Bong shares outstanding at 31 December 2007.
The Bong share is traded on the Stockholm Stock Exchange. A round
lot consists of 200 shares.
Elmar Schätzlein Managing Director Bong Central Europe
Previous positions:
Managing Director, Schneidersöhne Munich/Italy 1995–2003.
Morgan Bosson Managing Director Bong Scandinavia and ProPac
Previous positions:
Managing Director, Icopal AB 2002–2004.
Sales and Marketing Director, Saint Gobain Isover AB 1997–2002.
Anders Davidsson President and CEO
Previous positions:
Vice president/Sales and Marketing, Bong Ljungdahl AB 2002–2003.
Management consultant, McKinsey & Company 1998–2002.
Mark Cooper Managing Director Bong UK
Previous positions:
Vice President/Director, Retail Information Systems, Europe, Avery Dennison.
Ulf Zenk CFO
Previous positions:
CFO, MalacoLeaf Scandinavia 2000–2004.
Group controller,
Coca-Cola Nordic Beverages 1997–2000.
Mikael Ekdahl Born 1951. Lawyer.
Board member since 2001 and Chairman of the Board since 2003.
Partner of Mannheimer Swartling.
Anders Davidsson Born 1970. B.Sc.
Board member since 2004.
CEO, Bong Ljungdahl AB.
Arvid Gierow Born 1943. B.Sc.
Board member since 2001.
Christian W Jansson Born 1949. B.Sc Board member since 2007.
CEO KappAhl Holding AB.
Anna Söderblom
Born 1963. University Degree in Mathematics. B.A. in Business Administration. Resarcher at Stockholm School of Economics.
Board member since 2005.
Alf Tönnesson Born 1940. Director.
Board member since 1989.
Peter Harrysson Born 1958.
Board member since 1997.
Representative for Grafi ska Personalklubben.
Camilla Wendt Born 1970.
Board member since January 2006. Representative for PTK.
Substitute Members Jan Andersson Born 1947.
Substitute Member since 1997.
Representative for PTK.
Mats Persson Born 1963.
Substitute Member since 2001.
Representative for Grafi ska Personalklubben.
16
Group Management and Board
Bong Leadership Team Board of Directors
Enhances the feeling and the brand
Gift packages with excellent functionality give you more time for customers.
Just fi ll and seal. High quality printing creates the right feeling
and enhances the customer’s buying experience.
Bong Ljungdahl AB Box 516 SE-291 25 Kristianstad, Sweden www.bongljungdahl.com
Summary of Bong’s 2007 annual report has been produced in collaboration with Wildeco. Photos: Johan Olsson, Hans-Erik Nygren, Håkan Lindgren, Manchan/GettyImages, Bong. Printing: Fälth & Hässler, Värnamo, 2008. © 2008 Bong Ljungdahl AB
Head Offi ce/
Group Management Bong Ljungdahl Uddevägen 3 Box 516
SE-291 25 Kristianstad Tel: +46 44 20 70 00 Fax: +46 44 20 70 91 www.bongljungdahl.se www.bongljungdahl.com Hans Michelsensgatan 9 SE-211 20 Malmö Tel: +46 40 17 60 00 Fax: +46 40 17 60 39 Sweden
Bong Ljungdahl Sverige AB Uddevägen 3
Box 516
SE-291 25 Kristianstad Tel: +46 44 20 70 00 Fax: + 46 44 20 70 92 www.bong.se
Bong Ljungdahl Sverige AB Emmabodavägen 9 Box 823
SE-382 28 Nybro Tel: +46 481 440 00 Fax: +46 481 179 77 www.bong.se
Denmark
Bong Bjørnbak A/S Baldersbuen 2 DK-2640 Hedehusene Tel: +45 46 56 55 55 Fax: +45 45 46 59 02 55 www.bong.dk Norway
Bongs Konvolutter A/S Bekkeveien 161, 3173 Vear Postboks 2074
NO-3103 Tønsberg Tel: +47 33 30 54 00 Fax: +47 33 30 54 01 www.bongskonvolutter.no Bongs Konvolutter A/S Postboks 74
NO-2026 Skjetten Tel: +47 64 83 12 50 Fax: +47 64 83 12 51 Germany
Bong RCT GmbH Industriestrasse 77 DE-42327 Wuppertal Tel: +49 202 74 97-0 Fax: +49 202 74 97-1999 www.bong.de
Bong RCT GmbH Werk Torgau Posthornweg 1 DE-04860 Torgau Tel: +49 3421 7742-0 Fax: +49 3421 7742-3999 Lober Druck und Kuvert GmbH Beethovenstrasse 24-26 DE-86368 Gersthofen Tel: 08 21-2 97 88-0 Fax 08 21-2 97 88-30 Belgium
Bong Belgium nv
Chemin de la Guelenne 20 BE-7060 Soignies
Tel: + 32 67 34 76 76 Fax: + 32 67 34 76 77 Netherlands
VOET International Packaging Solutions V.O.F
Rivium 1ste Straat 68 NE-2909 LE Capelle a/d IJssel Tel: +31 (0) 10 218 00 53 Fax: +31 (0) 10 218 00 29
UK
Bong UK Ltd.
Michigan Drive, Tongwell GB-Milton Keynes MK15 8HQ Tel: +44 1908 216 216 Fax: +44 1908 216 217 Nova Envelopes Limited Cherrycourt Way Trading Estate
GB-Leighton Buzzard LU7 8UH Finland
Bong Suomi Oy Tesomankatu 33 P.O. Box 816 FIN-33101 Tampere Tel: +358 3 241 8111 Fax: +358 3 241 8112 www.bongsuomi.fi Bong Suomi Oy Kirjekuorentie 1 FIN-73600 Kaavi Tel: +358 17 265 6600 Fax: +358 17 265 6660 Bong Suomi Oy Liikkalankuja 6 P.O. Box 46 FIN-00931 Helsinki Tel: +358 9 565 7910 Fax: +358 9 565 79120
Estonia Bong Eesti Oü Jõe 17
Rapla maakond EE-79801 Kohila Tel: +372 4890140 Fax: +372 4890141 06 Latvia
Bong Latvija SIA Krasta iela 97a, Riga LV-1019
Tel. +371 7241 339 Fax: +371 7241 343 Lithuania
UAB Baltvokas P.O. Box 939 LT-49002 Kaunas Tel: +370 37 432 002 Fax: +370 37 432 001 Russia
Postac LLC
248008 Russia, Kaluga Tarutinskaya St. 171-b, building 11
Tel: + 7 4842 526140 Fax: +7 4842 55 24 15
