The country’s largest print group used an announcement to the ASX to reveal that that new chief executive Peter George would discuss “likely changes to the Directories business” at the annual general meeting on 22 November.

No specific plans have been revealed, but sources close to the business have told ProPrint that the group is mulling the closure of the Directories production facility in Chullora and could bring the work into its Moorebank plant.

That would mean a change from coldset production to heatset.

However, George could not be reached at time of publication, nor could the AMWU, which would be keeping a close eye on the situation due to the heavily unionised workforce at Chullora.

PMP won a seven-year contract in 2009 to print the Yellow Pages and White Pages for Sensis, which was then valued at $50 million in the first year.

However, the internet has had a dramatic impact on the relevance of directories. Last year, Sensis slashed volumes of White Pages and redesigned the directories to a smaller format.

[Related: PMP wins eight-figure catalogue contract ]

PMP has also forecast earnings of $31 million to $41 million, less than half what they were five years ago.

PMP expected to end 2012-13 with earnings before interest and tax (EBIT) and before significant items of $31-41 million and earnings before interest, taxes, depreciation and amortisation (EBITDA) and before significant items of $69-72 million.

The group’s 2007-08 EBIT was $85.1 million.

According to the ASX statement, the group is also planning “headcount reductions and cost savings across all support functions” to find $32 million of annual savings.

One well-placed source told ProPrint the group would need to cut around 300 jobs to find that level of savings.

[Related: Ups & downs of PMP]

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