Angie Pedersen's Scrapbooking Industry News

Martha Stewart Living Co-Invests in Wilton

Via Craftrends News Headlines:

NEW YORK, Aug. 2 /PRNewswire-FirstCall/ -- Martha Stewart Living Omnimedia, Inc. has invested $10 million cash in an entity that acquired Wilton Industries, Inc. and Dimensions Holdings, LLC, announced MSLO President and CEO Susan Lyne. The deal broadens the media and merchandising company's footprint in the crafts market, paving the way for additional licensed Martha Stewart branded crafts products, including food crafts, party favors and weddings.

MSLO co-invested with GTCR Golder Rauner, LLC, one of the nation's leading private equity firms, in Wilton Products, Inc., an entity that already owns EK Success and just acquired two additional crafts companies, Wilton Industries, Inc. and Dimensions Holdings, LLC. The newly combined business has been renamed Wilton Products, Inc., and will be headquartered in Woodridge, Illinois.

MSLO had a preexisting relationship with EK Success and GTCR Golder Rauner. With the new investment, MSLO restructured its existing ownership stake on more favorable terms.

EK Success manufactures, markets and sells the new Martha Stewart Crafts line of paper-based crafting and storage products. The line launched in May exclusively in more than 900 Michaels arts and crafts stores in the United States and Canada and on http://www.marthastewart.com/crafts. It will be rolling out to independent retailers in the fall.

"I'm enormously proud of our Martha Stewart Crafts line and delighted with the response to it. I'm looking forward to working with Wilton, which represents a tremendous number of opportunities in baking, cake decorating and crafts," said MSLO Founder Martha Stewart.

"This is a great opportunity for us to put our balance sheet to work," stated Ms. Lyne. "We are excited to roll out these additional crafts lines and, by restructuring our existing ownership interest in this larger crafts entity, we are able to participate in a more meaningful way in the value creation associated with our brand."

Robin Marino, President of Merchandising for MSLO, added: "Expansion of our crafts line enables us to serve millions of customers inspired by Martha Stewart to create and celebrate special occasions beautifully. We look forward to working with Wilton to expand our distribution and answer the needs of our passionate crafting constituency."

Memory Makers Books to Release Scrapbooking PageMaps by Becky Fleck

Announced in Becky Fleck's August PageMaps Newsletter:

Fleck has authored a sketch idea book, to be published by Memory Maker Books. Scrapbook PageMaps: Sketches for Creative Layouts will premiere at CHA Winter February 2008 in Anaheim.

"Scrapbook PageMaps is not yo momma’s average sketch idea book," cautions Fleck. She hints that "in the coming months, I will be sharing sneak peeks and more details about its content, including an awesome bonus section that pops right out of the back of the book, as well as some very unique and unconventional techniques".

Epson Introduces Free Online Courses to Help Consumers Use Technology

New Creative LearningZone Provides Practical Tips and Advice on Digital Scrapbooking, Digital Photography and Genealogy

Austin, TX – August 1, 2007 – Powered, Inc., the leading provider of online consumer education programs for the world’s leading brands, today announced that Epson, a global leader in imaging products, is launching the Epson Creative LearningZone at www.creativelearningzone.com. The virtual classroom features a range of courses designed to help participants make the best use of home technology that enhances their lifestyles, as well as preserve and share family memories. The first month’s courses celebrate family life and creative projects with a “do-it-yourself” approach to at-home publishing, digital scrapbooking, digital photography, and genealogy – all under the tutelage of expert instructors.

“Epson is dedicated to serving the Chief Memory Officer®, or ‘CMO,’ with a full range of tools to make the job as easy and fulfilling as possible,” said Epson senior marketing manager, Barbara Kotsos. “Our new Creative LearningZone is a great ‘do-it-yourself’ resource for busy moms, parents, grandparents, students, and amateur photographers who would like to learn how to get the best results from the technology they already own. We’re very excited to offer our customers these free educational courses.”

Four initial courses will be available at the Epson Creative LearningZone beginning Aug. 3, and new courses will be added to the site on a monthly basis. Pre-registration for the following courses is available now at www.creativelearningzone.com.

• Digital Photography Made Simple
• Getting Started With Digital Scrapbooking
• Genealogy In a Wired World
• Set up a Home Print Shop for Flyers, Newsletters and More

Each of the complimentary, instructor-led courses will be available 24/7 to accommodate all schedules. Once they have completed a course, students can print and proudly display a certificate of completion for each course they have taken. Powered will help develop and host the course in partnership with Epson.

“As more and more people go online to find information, they are increasingly looking for authentic educational opportunities where they can gain in-depth information about the topics that interest them most,” said Dave Ellett, CEO of Powered. “We’re thrilled that a leading brand like Epson has partnered with Powered to help consumers preserve and share their family’s memories, and also to master the technology tools that are common in most households today - from digital cameras to music-downloading devices to home theater systems.”

Research shows that consumers are eager to participate in online courses, while a recent report from Next Century Media shows that online consumer education like the Epson Creative LearningZone is a highly preferable vehicle for reaching consumers over more traditional marketing tools. The study showed that 94% of consumers taking online education courses had a favorable impression of the company’s brand, and 93% are likely to recommend the product to a friend.

DIY Acquires 'Martha Stewart Crafts' Series

According to TVWeek - News and Reuters.com:

Scripps’ DIY Network has acquired “Martha Stewart Crafts,” a new show made from clips about craft projects from “Martha Stewart Living.”

The new half-hour series features how-to segments on scrapbooking, handmade gifts, decoupage, framing and rubber stamping.

Martha Stewart Living Omnimedia in the spring launched a line of paper-based crafting and storage products.

DIY plans to start running the series on Thanksgiving, Nov. 22.

GCTR to Combine EK Success with Dimensions & Wilton

An update to a previous post: GCTR to Finance EK Success' Acquisition of Dimensions & Wilton...

GTCR Announces Combination of EK Success with Wilton Industries and Dimensions Holdings, LLC

CHICAGO--(BUSINESS WIRE)--GTCR Golder Rauner, LLC, one of the nation's leading private equity firms, announced today that EK Success, a leading provider of scrapbooking and paper-based crafts products, has acquired Wilton Industries, Inc. and Dimensions Holdings, LLC. EK Success is a creative consumer products company with a major market position in the scrapbooking segment of the $30 billion U.S. craft industry. EK Success was acquired by GTCR in February 2006. The combined companies will be named Wilton Products, Inc. and be headquartered in Woodridge, Illinois.

Wilton Industries, founded in 1929 and based in Woodridge, Illinois, is the leading food crafting company in the industry, with the number one position in cake decorating and bakeware. Wilton offers the industry's most comprehensive selection of baking, cake decorating, candy making, cookie, wedding and seasonal products. In addition, Wilton participates in the specialty home products industry through The Weston Gallery and Copco divisions. The Weston Gallery is a leader in upscale picture frame design and trend right home decor. Copco is the premier designer and marketer of tea kettles and quality kitchenware. Brands include Mario Batali(TM), Rick Bayless(TM) and Chef Robert Irvine(TM) in addition to Wilton's 14 children's character licenses.

Dimensions, based in Reading, Pennsylvania, is a leading designer, producer, and distributor of premium quality craft and hobby products for adults and children. The company maintains a solid leadership position in the scrapbook and paper-based craft industry through its highly recognized K&Co brand. As a result, K&Co is highly complementary to EK Success' existing business, product innovation and overall value proposition. In addition, Dimensions has developed market leading brands in the small and niche product segments of the crafts industry. These brands include Dimensions® (needlecraft), Paintworks(TM) (paint-by-number), Perler Beads® (kid's activity beading), and Inkadinkado® (rubber stamping).

The newly-formed company will be led by industry veteran and existing Wilton President and Chief Operating Officer, Steven Fraser. Mr. Fraser will oversee the combined businesses as Chairman and Chief Executive Officer. "On behalf of the management team, we are very excited to partner with GTCR to build the new Wilton Products into the largest and most diversified player in the crafts industry," stated Fraser. "By leveraging Wilton's legendary brand status and the direct synergies between EK Success and Dimensions, our new company will be poised for unprecedented growth opportunities."

"This is an outstanding investment opportunity for GTCR," said GTCR Principal David Donnini. "We are very excited to partner with Steve to help build a truly exceptional platform in the crafts industry. We look forward to capitalizing on the market leadership positions of Wilton, EK Success, and Dimensions to secure broader growth opportunities."

"EK Success' demonstrated track record of creativity and product innovation has made it the leading player in the industry," added GTCR Principal Vince Hemmer. "The company's next phase as the new Wilton Products ensures that it will continue to build on its strong presence in papercrafting products, and continue as the leader in baking and cake decorating products as well." Hemmer added, "We are thrilled about the opportunity to work with Steve and his team. He is a superior executive with a proven track record for excellence and fits well with GTCR's strategy of partnering with exceptional management teams."

UBS Investment Bank and Deutsche Bank Securities, Inc. acted as exclusive financial advisors to GTCR and provided the debt financing for the acquisitions. Robert W. Baird & Co. acted as exclusive financial advisor to Wilton Industries, and Edgeview Partners provided advisory services to Dimensions. Legal counsel was provided to GTCR by Kirkland & Ellis LLP, and to Wilton Industries by Ungaretti & Harris LLP.