Printing press manufacturer Cerutti, the world’s only producer of publication gravure presses, is fighting for survival after the continuing Covid crisis has jeopardised relaunch plans.
The company was founded in 1921, but instead of celebrating its centenary there is a real risk that the Italian business will close down.
Its two operations were Officine Meccaniche Cerutti in Casale which produced publication gravure and flexo newspaper presses, and Cerutti Packaging Equipment in Vercelli, both in the Piedmont region in northern Italy. Last year these were reorganised into a new business, Gruppo Cerutti which took over the operations in September with a much reduced workforce operating from the Casale factory.
Unions representing the staff have been protesting the plans, including the claim that under the transfer to new ownership, they would lose accumulated redundancy rights. At its height Cerutti employed more than 1,000 with sales of more than €260 million, selling gravure presses to the likes of Polestar and Prinovis and flexo newspaper presses to Harmsworth Quays Printing for production of the Daily Mail. It acquired the gravure press arm of KBA and focused its packaging efforts on gravure technology.
Now the collapse of demand in long run gravure publication print and a shift towards shorter runs in packaging and improvements in flexo technology, have left all with a stake in the future of the business in conflict while administrators seek new investors. Administrators are reported to have locked the doors to staff, which has also prevented completion of work on a packaging press which is reported to be almost ready for shipping.
The next, potentially the last, chapter may unwind this week when the Italian court has to decide whether to proceed to a liquidation of the business or whether there is still hope that outside investors may come forward. Interests from Mexico and Canada had been expected to fund the reorganised business, but the uncertainty and confusion around Covid has resulted in further delays.
Appeals for government assistance have reached the national government in Rome with hopes that it will work alongside the regional authorities to overcome what is described as a temporary situation. The question will rest on whether there will be a future for the gravure presses, laminators and slitters that the company has made with its much reduced overhead and whether those backing the business can convince the authorities that this is indeed a temporary blip.
