News Good Year So Far for Reed Elsevier London, England – A solid first-half show<strong>in</strong>g by Reed Exhibitions helped keep parent company Reed Elsevier on track to meet its <strong>2008</strong> f<strong>in</strong>ancial goals, <strong>the</strong> company announced at <strong>the</strong> midpo<strong>in</strong>t of <strong>the</strong> year. Reed Elsevier said its cont<strong>in</strong>u<strong>in</strong>g operations, which <strong>in</strong>clude Reed Exhibitions, had grown 5% <strong>in</strong> <strong>the</strong> first half of <strong>the</strong> year to £1.97 billion (about $3.7 billion). Operat<strong>in</strong>g profit, adjusted for amortization, restructur<strong>in</strong>g and <strong>in</strong>tegration costs, climbed 12% to £577 million. “I am confident we will deliver on our goals,” said Reed Elsevier CEO Sir Crisp<strong>in</strong> Davis. While onl<strong>in</strong>e <strong>in</strong>formation and workflow products were also major contributors to <strong>the</strong> results, <strong>the</strong> exhibitions division received glow<strong>in</strong>g praise from Davis <strong>in</strong> his presentation on July 31. Reed Exhibitions posted first-half revenues of £377 million pounds ($702.8 million), up 9% from <strong>the</strong> £315 million ($587.2 million) <strong>in</strong> <strong>the</strong> first half of 2007. The adjusted operat<strong>in</strong>g profit of £128 million ($227.3 million) for <strong>the</strong> first half of <strong>2008</strong> was 16% over <strong>the</strong> same period last year. The company said that while <strong>the</strong> SIMA residential property show <strong>in</strong> Madrid was hit hard by <strong>the</strong> downturn <strong>in</strong> <strong>the</strong> Spanish real estate market, strong growth was reported across <strong>the</strong> board. Particularly robust this year were <strong>the</strong> PGA Merchandise <strong>Show</strong>, JCK jewelry and ISC West security shows <strong>in</strong> <strong>the</strong> U.S., along with M-Tech <strong>in</strong> Japan and Interclima Interconfort <strong>in</strong> Paris. “We’re see<strong>in</strong>g very high ROI from our customers com<strong>in</strong>g from <strong>the</strong>se face-to-face meet<strong>in</strong>gs,” Davis said. Reed Exhibitions launched 11 events <strong>in</strong> <strong>the</strong> first half of <strong>2008</strong> and acquired six. The company now br<strong>in</strong>gs <strong>in</strong> 20% of its exhibitions bus<strong>in</strong>ess from socalled emerg<strong>in</strong>g markets. Much of <strong>the</strong> exhibition growth was <strong>in</strong> boom<strong>in</strong>g sectors such as alternative-energy and “green” technology, aerospace and medical devices. “Hav<strong>in</strong>g <strong>the</strong> leadership show <strong>in</strong> each of <strong>the</strong>se sectors rema<strong>in</strong>s crucial,” Davis said. Reed Exhibitions annually organizes more than 500 events <strong>in</strong> 38 countries that draw more than 6 million total attendees. Reach Mike Rusbridge, chairman and CEO of Reed Exhibitions at +44 (0) 208 910 7901 or mike.rusbridge@reedexpo. co.uk Marketplace Events Hits <strong>the</strong> Ground Runn<strong>in</strong>g after Acquir<strong>in</strong>g dmg’s Home <strong>Show</strong> Portfolio By Hil Anderson, senior editor Cleveland, OH – The new company formed <strong>in</strong> <strong>the</strong> sale of dmg world media’s North American home shows portfolio wasted no time <strong>in</strong> hir<strong>in</strong>g a high-profile spokesman and also launch<strong>in</strong>g a consult<strong>in</strong>g service for consumer show organizers and exhibitors. Marketplace Events, which acquired <strong>the</strong> dmg shows on July 24 <strong>in</strong> a deal valued at $53 million, followed up with <strong>the</strong> announcement July 25 that it had signed Ty Penn<strong>in</strong>gton, host of ABC’s Extreme Makeover: Home Edition, as <strong>the</strong> official spokesman for <strong>the</strong> 38 shows held <strong>in</strong> 27 markets. Tom Baugh, who ran <strong>the</strong> home shows for dmg and has been named <strong>the</strong> first CEO of Marketplace Events, said Penn<strong>in</strong>gton’s deal showed that <strong>the</strong> newly formed company was <strong>in</strong>tent on streng<strong>the</strong>n<strong>in</strong>g <strong>the</strong> portfolio. “Our new partnership with Ty Penn<strong>in</strong>gton is just one example of how we <strong>in</strong>tend to grow our bus<strong>in</strong>ess by aggressively and strategically differentiat<strong>in</strong>g ourselves from o<strong>the</strong>r home show producers,” said Baugh. Marketplace Events consists of <strong>the</strong> dmg North American home shows division and was formed for <strong>the</strong> purpose of <strong>the</strong> acquisition by an affiliate of Stephens Inc., a private <strong>in</strong>vestment bank<strong>in</strong>g firm based <strong>in</strong> Little Rock, AR. Baugh will be jo<strong>in</strong>ed at Marketplace Events by a host of dmg employees who were <strong>in</strong>cluded <strong>in</strong> <strong>the</strong> transaction. Senior executives <strong>in</strong>clude CFO Mark White, who had been vice president f<strong>in</strong>ance at dmg; Lisa Kropf, senior vice president, Tom Baugh Ty Penn<strong>in</strong>gton sales and market<strong>in</strong>g and former director of market<strong>in</strong>g and sponsorship at dmg, and Regional Vice Presidents Liz Benkovich and Mike Webster, both former dmg regional directors. Along with keep<strong>in</strong>g its shows operat<strong>in</strong>g as scheduled, Marketplace Events is also branch<strong>in</strong>g out <strong>in</strong>to <strong>the</strong> consult<strong>in</strong>g field. Marketplace Event Consultants will be led by <strong>in</strong>dustry veteran Paul Schweitzer, who began his career <strong>in</strong> 1979 with Sou<strong>the</strong>x Exhibitions, which was acquired by dmg <strong>in</strong> 1996. Baugh said <strong>the</strong> consultancy would draw on his staff ’s collective experience to assist consumer show exhibitors and producers of events <strong>in</strong> non-competitive markets. “We produce 38 shows each year, which gives us an opportunity to test, measure and learn what works – and what doesn’t – much more quickly than o<strong>the</strong>r operators,” he said. Reach Tom Baugh at (866) 463-3663 or tom@marketplaceevents.com Cont<strong>in</strong>ued on page 8 6 <strong>September</strong> <strong>2008</strong> <strong>Trade</strong> <strong>Show</strong> <strong>Executive</strong> www.<strong>Trade</strong><strong>Show</strong><strong>Executive</strong>.com
Welcome to Ch<strong>in</strong>a, Greece, Italy, Mexico, Poland and Russia. In o<strong>the</strong>r words, welcome to Chicago. Easy access, big bus<strong>in</strong>ess and great diversity make Chicago one of <strong>the</strong> truly global cities. Neighborhoods like Greektown, Little Italy and Ukra<strong>in</strong>ian Village not only welcome <strong>the</strong> world, <strong>the</strong>y embody it. What’s more, <strong>the</strong> McCormick Place Campus, with its own diverse array of meet<strong>in</strong>g facilities, lets you plan events of all shapes and sizes. Make no little plans ṢM Choose Chicago. choosechicago.com www.<strong>Trade</strong><strong>Show</strong><strong>Executive</strong>.com <strong>Trade</strong> <strong>Show</strong> <strong>Executive</strong> <strong>September</strong> <strong>2008</strong> 7
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