Advent International sells its stake in Herlitz to Pelikan International Corporation Berhad

Frankfurt / Berlin. Advent International, the global private equity firm, today signed agreements to sell its 66% stake in Herlitz, a leading provider of stationary products in Europe, to Pelikan International Corporation Berhad, the international manufacturer and distributer of writing instruments, school stationery, office supplies, and printer consumables.

Herlitz is a long established household brand in Germany and has been listed on the Frankfurt Stock Exchange since 1977. Following a rapid expansion until the mid 1990’s, the company underwent a significant financial restructuring in 2001 which included Herlitz’ consortium of banks taking a stake of 65%. In 2005 Advent acquired a total of 66% of the company taking over the stake from the banks and from a voluntary takeover offer.

The acquisition of Herlitz by Pelikan represents a logical step as it combines two leading brands and two complementary businesses. Herlitz has a strong regional presence in Germany and Eastern Europe and well established sales channels, particularly in the food retailing sector. Pelikan has a leading market position in Western Europe, Latin America and Asia and long-lasting client relationships with specialist shops. The transaction will thus open up additional business opportunities for Pelikan and Herlitz."

Bumpy Road of Recovery: Unemployment shoots past 10 percent

WASHINGTON — Just when it was beginning to look a little better, the economy relapsed Friday with a return to double-digit unemployment for only the second time since World War II and warnings that next year will be even worse than previously thought.

Payrolls fell by 190,000 last month, more than forecast by economists, a Labor Department report showed today in Washington. The jobless rate rose from 9.8 percent in September. Factory payrolls dropped by the most in four months, and the average workweek held at a record low.

President Barack Obama called it "a sobering number that underscores the economic challenges that lie ahead." He signed a measure to extend unemployment benefits and to expand a tax credit for homebuyers.

Unemployment at 11 percent would be a post-World War II record. Only once since then has joblessness hit double digits in the United States — from September 1982 to July 1983, topping out at 10.8 percent. "It's not a good report," said Dan Greenhaus, chief economic strategist for New York-based investment firm Miller Tabak & Co. "What we're seeing is a validation of the idea that a jobless recovery is perfectly on track."

2cents: Obviously the bad report came out of nowhere and shocked everyone. However, there has been a saying that our stock market moves ahead of actual market condition (same say 6 months ahead), and judging that D.J still swings around 10,000 +/- 500 pts since the past few weeks, we shall buckled up tight and anticipate a bumpy ride as we head to year 2010...