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Go To | Fact Sheets |
Imation Corp. is a global technology company that creates customer-based solutions -- whether systems, products or services -- for the handling, storage, transmission and use of information. Created from the spin-off by 3M of its data storage and imaging businesses, Imation has a strong foundation for a start-up company: market-leading products, a marketing connection with one of the world's most recognized brands, a solid balance sheet, proven technology platforms and a dedicated group of experienced employees. Imation is focused on creating long-term customer and shareholder value through innovative product solutions, a lean organizational structure, strategic industry alliances, new technology platforms and fast response time. Imation holds leadership positions in the markets in which it participates. In 1995, Imation generated sales of $2.3 billion, which would have placed it on the Fortune 500 list of the United States' largest manufacturing companies. Strongly positioned in the global marketplace, over 50 percent of the company's sales are generated outside of the United States. Led by Chairman and Chief Executive Officer William T. (Bill) Monahan, Imation has approximately 10,000 employees and a market presence in more than 60 countries. The company is headquartered in Oakdale, Minnesota, and has 17 manufacturing, research and distribution facilities located in a number of countries. Imation common stock will be traded on the New York Stock Exchange and the Chicago Stock Exchange under the trading symbol "IMN." Significant Global Opportunity While Imation is a leader in most of the industries in which it does business, it currently operates in a largely untapped $20 billion global imaging and data storage market, offering tremendous domestic and international opportunities for growth through existing and new products and technologies. "The digital revolution has arrived, and our industries are exploding with technological advancements and opportunities," said Monahan. "With increased rates of data transmission, a growing need for storing digital content, increased use of color in information applications and worldwide acceleration of information processing technology, Imation could not be better positioned to realize both short- and long-term profitable growth." Worldwide expansion is another avenue of significant opportunity for Imation. With a strategic focus on Europe, Asia and Latin America, Imation's non-U.S. business is expected to increase from its current 50 percent of total revenues within the next few years. All of these opportunities are reflected in Imation's aggressive corporate goals: to improve Imation's economic profit by $150 million by the end of 1998 and achieve an annual earnings per share growth rate of 15 percent. Strategic Outlook "Imation's long-term growth will come from a focus on worldwide market penetration, developing customer solutions, leveraging business unit synergies, formation of strategic alliances and acquisitions," Monahan said. "Our key product platforms -- DryView™ digital laser imagers, Travan™ data cartridges, the LS-120 diskette technology, and our Rainbow™ color proofing systems -- give us the solid foundation for domestic and international market growth in the short-term. Longer-term growth will come from leveraging our business unit synergies and core technologies to create new business solutions." A key corporate initiative is the development of industry alliances with software, hardware, networking and service partners to provide customers with high-value or value-added solutions. Current alliances include:
A New Entrepreneurial Structure While many of 3M's powerful business principles have been carried over to the new company, Imation will make significant changes to its business operations and organizational structure. "Our primary objective is to change our company from a product developer to a customer solution enterprise. We are building our company's structure around a singular purpose: creating value for our customers, shareholders and employees," Monahan said. As soon as the spin-off plan was announced, Imation management began developing and implementing an 18-month re-engineering process to facilitate sustainable, profitable growth, increase cash flow and improve asset management. Changes will include a systematic program to reduce operating costs, trimmed product portfolios, plant and facility consolidations, a focus on profitable new product solutions, decreased management layers to create a streamlined organization, new performance-based compensation structures, outsourcing of non-core competencies and a re-engineered supply chain with a goal to signficantly reduce cycle time. Imation's businesses also will be more closely integrated. Barriers that existed between business units are being broken down to leverage their synergies and create new market opportunities from shared technologies and distribution channels. Operating Philosophy Imation's vision is to deliver unsurpassed value to its customers, shareholders, employees and communities throughout the world. Imation's operating mission is clear and concise: To be the best global source for imaging and information solutions for customers seeking tailored products and systems for their information needs. A common thread woven through all company operations will be "Customer First." The creation of the name Imation and its corporate logo also reflect the company's key philosophies. "To invent a name that reflects who and what we are as a company, we took our core businesses -- information and imaging -- and combined them with our central values of innovation and imagination to create Imation," said Monahan. Imation's logo -- a hand waiving a wand that trails bits of information from its tip -- demonstrates the company's focus on creating imaginative customer solutions. The logo, referred to as "The Hand of Imagination," emphasizes the creative touch that sets Imation apart. Strength Of Heritage Imation is leveraging the well-established tradition of 3M innovation to shape a new, independent business that is focused and flexible. Imation has taken 3M's heritage -- brand recognition, reliability, solid leadership and a commitment to quality -- and combined it with its own characteristics as an aggressive, entrepreneurial and customer-driven company, quickly able to adjust to the marketplace and customers' needs. To support its transition to an independent company, Imation's logo and product packaging temporarily will carry the phrase "Borne of 3M Innovation." "We've had a once in a lifetime opportunity to take a group of market-leading products, innovative technologies and top-notch people and create a new, streamlined customer solution enterprise. We have retained key qualities from our 3M legacy -- innovation, global understanding, quality products, ethical values -- and created a new company that's fast, decisive, focused and proactive," said Monahan.
Copyright 1996 Imation. All rights reserved. 
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