wfn.org | PPC Board Examines Current Financial Position and Future Operations

[PCUSA.NEWS@ecunet.org]

19-December-1996 
 
96505          PPC Board Examines Current Financial 
                  Position and Future Operations 
 
                         by Julian Shipp 
 
LOUISVILLE, Ky.--The fledgling Presbyterian Publishing Corporation (PPC) 
continues to hold its own despite mounting challenges -- including action 
taken in July by the 208th General Assembly (1996) restoring to the General 
Assembly Council the curriculum production and publishing functions that 
for the two previous years had been part of PPC. 
 
     PPC's board of directors looked at end-of-the year sales figures, 
conducted strategic planning for the future and authorized construction of 
a new conference room in its Presbyterian Center quarters during its 
meeting here Dec. 6-7. 
 
     PPC management had already started strategic planning before the 
curriculum transfer was authorized by the Assembly.  This made it possible 
in December for PPC directors to continue their "visioning" of the 
corporation's future. 
 
     Key initiatives identified by the PPC Board at the December meeting 
included expanding the range of books published by of Westminster John Knox 
Press, developing a new multimedia product line that complements existing 
print resources, developing Geneva Press as an imprint for the PC(USA), and 
producing and distributing an array of congregational resources to serve 
the needs of PC(USA) churches. 
 
                        PPC status report 
 
     According to Davis Perkins, PPC president and publisher, Westminster 
John Knox Press (WJK) and most other trade publishers have experienced the 
same problem -- excessive industry-wide returns of unsold books. Large 
superstore chains have created more outlets for books, but the number of 
readers and book buyers has remained more or less constant. 
 
     Fortunately, Perkins said, stronger-than-expected WJK sales through 
PPC's retail operation in Louisville have offset lower-than-expected trade 
sales through the corporation's wholesaler, Spring Arbor. 
 
     "The largest single benefit to PPC's 1996 financial picture was 
transfer publishing of Presbyterian and Reformed Educational Ministry 
(PREM) curriculum to the GAC," Perkins told the Presbyterian News Service. 
"Fair resolution of financial issues related to transition led to the 
elimination of PPC's long-term indebtedness of $2.3 million and royalty on 
PREM sales will produce revenue into 1997." 
 
     Additionally, Perkins said, savings in expenses associated with 
curriculum development and production is greater than lost sales revenue. 
 
     Perkins said encouraging factors regarding PPC's future include: 
 
          Creation of a cogent set of curriculum offerings via PPC's new 
Congregational 
          Resources product line for 1997 
          Dramatic growth in Geneva Press, which should legitimate PPC as 
"the publisher of the 
          Presbyterian Church" and generate significant sales revenue 
          A "Presbyterian Hymnal" CD and a new hymnal, "Sing and Rejoice: 
Favorite Hymns 
          in Large Print," edited by William D. Auld, which are expected to 
produce good revenue 
          for the hymnal product line 
          Solid administrative leadership in WJK and hiring of a full 
complement of WJK sales 
          representatives to put WJK sales back on track 
 
     "PPC strategic planning is plotting a positive future for the next 
five years," Perkins said.  "Specifically, the development of a multi-media 
product line represents great upside potential for PPC." 
 
                 A look at end-of-the-year sales 
      
     According to Belva Ollis, PPC controller,  PPC's estimated 1996 sales 
are $9.8 million. This figure includes curriculum sales through July 21, 
the date the GAC assumed PPC's PREM curriculum production and publishing 
functions. 
 
     Budgeted income for 1996 is $12 million.  However, this figure 
includes projected curriculum sales for the full 12 months of this year. 
Ollis said actual curriculum sales for PPC stopped on July 21, so it is not 
an "apples to apples" contrast when comparing estimated actual sales to 
budgeted sales. 
 
     Actual sales in 1995 were $13 million, including a full year of 
curriculum sales. 
 
                    A new PPC conference room 
 
     The PPC board also authorized construction of a conference room in its 
corporate offices on the second floor of the Presbyterian Center in 
Louisville. 
 
     Hilary Easley, PPC marketing and sales analyst, said creating the 
13-by-24 foot room involved enclosing an open meeting area that is 
currently in use adjacent to PPC's production department.   The room should 
be completed by late December. 

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  phone 502-569-5504             fax 502-569-8073  
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