Decline In Checks Business Continues ToHurt Deluxe
ST. PAUL, Minn. - (04/29/05) -- Deluxe Corp. said it continues to beplagued by the fall-off in its core check printing business, asfirst quarter net income fell 19% to $39 million, or 78 cents ashare. The contributed the fall in fist quarter earnings to theloss of a large financial institution client and higher interestexpenses related to last year's acquisition of New England BusinessServices. But the combination with NEBS helped boost first quarterrevenues by 41% to $437 million, with $160 million of the increaseattributed to NEBS. Still, revenues for the company's checkprinting operations, the largest in the country, continued to drop,with sales in the company's financial services operations,representing checks sold to financial institutions, declining 14%for the period to $145 million, and checks sold directly toconsumers dipping 13$ to $67 million, for the quarter.