FORM 6-K
Securities and Exchange Commission
washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 under
the Securities Exchange Act of 1934
For the month of, May 2003
---------------------------------------- -----------
MDC CORPORATION INC.
--------------------------------------------------------------------------------
(Translation of registrant's name into English)
45 Hazelton Avenue, Toronto, Ontario, Canada, M5R 2E3
--------------------------------------------------------------------------------
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file
annual reports under cover Form 20-F or Form 40F.
Form 20-F Form 40-F X
---------------- ----------------
Indicate by check mark if the registrant is submitting the Form
6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Indicate by check mark if the registrant is submitting the Form
6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.
Yes No X
------------------ ------------------
If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b) : 82-_______________
DOCUMENT INDEX
Document Page No.
1. News Release dated April 2, 2003 4
2. News Release dated April 22, 2003 7
Document 1
PRESS RELEASE
-------------
FOR IMMEDIATE RELEASE
---------------------
For: MDC Corporation Inc.
45 Hazelton Avenue
Toronto, Ontario M5R 2E3
Contacts:
MILES S. NADAL PETER M. LEWIS BARRY SWITZER
Chairman and Executive Vice-President General Manager
Chief Executive Officer and Chief Financial Officer Ashton-Potter North America
MDC Corporation Inc. MDC Corporation Inc. Tel: (716) 633-2000 ext. 222
Tel: (416) 960-9000 ext. 223 Tel: (416) 960-9000 ext. 272
TSE Stock Symbol: MDZ.A
NASDAQ Stock Symbol: MDCA
Website: WWW.MDCCORP.COM
---------------
MDC CORPORATION INC.
ASHTON-POTTER
MDC's Ashton-Potter Awarded Long-Term Contract for
Postage Stamp Production from the United States Postal Service
TORONTO, Ontario (April 2, 2003) - MDC Corporation Inc. ("MDC") of Toronto
announced today that its wholly owned stamp operation, Ashton-Potter, has been
awarded a long-term contract by the United States Postal Service ("USPS") to
provide definitive and commemorative postage stamp products. This contract
award positions Ashton-Potter as one of the largest producers of postage
stamps in the world.
The USPS awarded production of all U.S. postage stamp products to three
successful suppliers. The three master contracts awarded are for the printing,
finishing and packaging of U.S. postage stamps with an initial base term of
four years and have an aggregate estimated value (for all three contractors)
of US$229 million (Cdn$336 million). In addition, there are also three
two-year options to the base contracts for a potential contractual term of 10
years. If all the option years are exercised, the potential value of the three
contracts over the 10 years would be US$572.5 million (Cdn$841 million).
"This contract award was the culmination of a long process, resulting in a
tremendous win for Ashton-Potter and the achievement of a primary objective,"
said Barry Switzer, General Manager. "We are excited to continue our long-term
relationship with the USPS with significantly increased volumes and product
offerings. Our product line under the new contract will be expanded to include
all definitive products, coils, booklets and sheets. To provide additional
capacity and improved production efficiency, Ashton-Potter will add the latest
in printing and finishing technologies to our facility in Williamsville, New
York."
"We are thrilled with the results of our contract award from the USPS," said
Miles Nadal, Chairman and CEO of MDC. "Our partnership with the USPS, which
dates back to 1994, has been a great success. We look forward to continuing to
grow our partnership in the years ahead."
About the United States Postal Service
The USPS is the world's largest Postal Authority, processing and delivering
over 40% of the world's card and letter volume; over 203 billion mail pieces
annually to 138 million delivery addresses. The USPS has annual operating
revenues of US$66 billion and employs over 750,000 people. The USPS' fiscal
2002 stamp program was a total of 44.5 billion stamps.
About Ashton-Potter
Ashton-Potter, part of MDC's Secure Transaction Division has significant
long-term relationships and contracts with a number of the world's largest
Postal Authorities, including the USPS and Canada Post Corporation. Ashton
Potter specializes in the production of postage stamp products, including
definitive stamps - coils, booklets and sheets, and commemorative stamps.
Ashton Potter's security print capabilities, both offset and intaglio,
combined with its prepress and finishing capabilities are suitable to a wide
variety of additional niche marketplaces.
About MDC Corporation Inc.
MDC is a publicly traded international business services organization with
operating units in Canada, the United States, United Kingdom and Australia.
MDC provides marketing communication services, through Maxxcom, and offers
security sensitive transaction products and services in four primary areas:
personalized transaction products such as personal and business cheques;
electronic transaction products such as credit, debit, telephone & smart
cards; secure ticketing products, such as airline, transit and event tickets;
and stamps, both postal and excise. MDC shares are traded on the Toronto Stock
Exchange under the symbol MDZ.A and on NASDAQ National Market under the symbol
MDCA.
Document 2
PRESS RELEASE
-------------
FOR IMMEDIATE RELEASE
---------------------
For: MDC Corporation Inc.
45 Hazelton Avenue
Toronto, Ontario M5R 2E3
Contacts:
MILES S. NADAL PETER M. LEWIS GRAHAM L. ROSENBERG
Chairman and Executive Vice-President Executive Vice-President
Chief Executive Officer and Chief Financial Officer MDC Corporation Inc.
MDC Corporation Inc. MDC Corporation Inc. Tel: (416) 960-9000, ext. 239
Tel: (416) 960-9000 ext. 223 Tel: (416) 960-9000 ext. 272
TSX Stock Symbol: MDZ.A
NASDAQ Stock Symbol: MDCA
Website: WWW.MDCCORP.COM
---------------
MDC CORPORATION INC. AND CUSTOM DIRECT INCOME FUND ANNOUNCE
FIRST QUARTER FINANCIAL PERFORMANCE
FOR CUSTOM DIRECT, INC.
(All figures in US Dollars)
TORONTO - April 22, 2003 - MDC Corporation Inc. of Toronto
(TSX: MDZ.A; NASDAQ: MDCA) and Custom Direct Income Fund (the "Fund") today
announced the financial results of Custom Direct, Inc. (the "Company") for the
first quarter ended March 31, 2003.
During the quarter, the Company generated sales of $29.0
million, an increase of 9.8% over sales of $26.4 million for the same period
last year. The growth resulted from an increase in both the number of orders
and average order revenue, as the Company continued to migrate customers to
higher value ordering channels including the telephone and Internet. This
growth was achieved without increasing advertising expenditures above the
levels of the prior year.
EBITDA for the quarter was $6.0 million, an increase of
23.9% from the $4.8 million in EBITDA generated for the same period last year.
EBITDA margins for the quarter improved to 20.6% of sales from 18.2% a year
earlier. Net income for the quarter was $3.2 million, an increase of 22.3%
from the $2.6 million in Net income generated for the same period last year.
These increases resulted from higher gross profits and gross profit margins as
the Company realized operational efficiencies and increased the mix of product
lines produced internally at lower costs than those produced through
outsourcing arrangements.
"EBITDA" means earnings before interest, income taxes,
depreciation and amortization and non-recurring costs. Management believes
that in addition to net income or loss, EBITDA is a useful supplemental
measure of cash available for distribution prior to debt service, capital
expenditures and income taxes. However, EBITDA is not a recognized measure
under Canadian generally accepted accounting principles ("GAAP"). EBITDA
should not be construed as an alternative to net income or loss determined in
accordance with GAAP as an indicator of the Company's performance or to cash
flows from operating, investing and financing activities as a measure of
liquidity and cash flows. The
Company's method of calculating EBITDA may differ from the methods used by
other companies and, accordingly, the Company's EBITDA calculations may not be
comparable to similarly titled measures used by other companies.
On March 28, 2003, Custom Direct Income Fund refiled its
preliminary prospectus with the securities regulatory authorities in each of
the provinces and territories of Canada in connection with the previously
announced proposed initial public offering of units of the Fund. The net
proceeds of this offering will be used to acquire an indirect interest in the
Company from MDC.
The units of the Fund have not been and will not be
registered under the United States Securities Act of 1933 and may not be
offered or sold in the United States absent registration or an applicable
exemption from such registration requirements.
About Custom Direct
Based in Maryland and Arkansas, Custom Direct has been
selling cheques and cheque related accessories across the United States since
1992 and offers the industry's widest selection of product designs. Custom
Direct is the second largest participant in the direct-to-consumer segment of
the U.S. cheque industry with sales and EBITDA for the year ended December 31,
2002 of approximately $103 million and $20 million respectively.
About MDC Corporation Inc.
MDC is a publicly traded international business services
organization with operating units in Canada, the United States, United Kingdom
and Australia. MDC provides marketing communication services, through Maxxcom,
and offers security sensitive transaction products and services in four
primary areas: personalized transaction products such as personal and business
cheques; electronic transaction products such as credit, debit, telephone &
smart cards; secure ticketing products, such as airline, transit and event
tickets; and stamps, both postal and excise. MDC shares are traded on the
Toronto Stock Exchange under the symbol MDZ.A and on NASDAQ National Market
under the symbol MDCA.
SIGNATURES
Pursuant to the requirement of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
MDC CORPORATION INC.
--------------------------------------
(Registrant)
Date: May 12, 2003 By: /s/ Walter Campbell
------------------------ --------------------------------------
(Signature)
Walter Campbell
Senior Vice President Finance