SOURCE: Schawk, Inc.

June 21, 2006 08:30 ET

Schawk, Inc. to Acquire WBK, Inc., a Leading Cincinnati, Ohio-Based Design Agency

DES PLAINES, IL -- (MARKET WIRE) -- June 21, 2006 -- Schawk, Inc. (NYSE: SGK), one of the world's leading providers of digital imaging graphic services to the consumer products and brand imaging markets, announced today that it has signed a letter of intent to acquire WBK, a Cincinnati, Ohio-based design agency with approximately $4.5 million in revenues that provides services to retailers and consumer products companies.

"Our acquisition of WBK is consistent with our strategy of acquiring quality companies that enhance the integrated global services that Schawk provides to its clients," said David A. Schawk, president and chief executive officer. "These same global resources will be available to all of WBK's clients."

Added Schawk, "WBK's commitment to innovation, excellence and speed made them a great fit with our organization. WBK will become part of Anthem Worldwide, a Schawk strategic design company that specializes in creating world-class brand solutions."

"We are very excited about welcoming the dedicated team of professionals at WBK to Anthem's growing organization," said Anne Marie Pagliacci, executive vice president and group managing director, Anthem Worldwide. "Our criteria for acquiring established design firms is very stringent and identifying the right fit culturally is just as important."

"We were very impressed by the growth possibilities and global resources that Anthem and Schawk have to offer," said Steve Klein, former president of WBK who will assume the post of managing director for Anthem's Cincinnati office. "Philosophically, our cultures are similarly aligned around innovative 'concept-to-shelf' strategic design."

The acquisition is expected to close effective July 2006.

Schawk, Inc., headquartered in suburban Chicago, is one of the world's largest independent brand image solutions companies. Schawk delivers a broad range of digital pre-media graphic services through 169 locations in 13 countries across North America, Europe, Asia and Australia. Schawk designs, creates and manages images and text for reproduction to exact specifications for a variety of media, including packaging for consumer products, point-of-sale displays and other promotional and advertising materials. Schawk provides its services to the food, beverage, health & beauty, pharmaceutical, home care and consumer products industries. For more information, visit www.schawk.com.

Anthem Worldwide, a Schawk Strategic Design Company, blends innovation and efficiency to create high performance, first-to-market brand solutions. Anthem manages the entire brand creation process, providing long-term vision, client-centered workflow systems, and predictable schedules, quality, and cost. Anthem currently has offices in Chicago, Cincinnati, Los Angeles, New Jersey, New York, St. Paul, San Francisco, Shenzhen, Singapore, Sydney, Toronto, and York (U.K.). For more information on Anthem visit www.anthemworldwide.com.

Certain statements in this press release are forward-looking statements within the meaning of Section 21E of the Securities and Exchange Act of 1934, as amended and are subject to the safe harbor created thereby. These statements are made based upon current expectations and beliefs that are subject to risk and uncertainty. Actual results might differ materially from those contained in the forward-looking statements because of factors, such as, among other things, higher than expected costs, or unanticipated difficulties associated with integrating the acquired operations of Weir Holdings Limited ("Winnetts") and Seven Worldwide, higher than expected costs associated with compliance with legal and regulatory requirements, the strength of the United States economy in general and specifically market conditions for the consumer products industry, the level of demand for Schawk's services, loss of key management and operational personnel, our ability to implement our growth strategy, the stability of state, federal and foreign tax laws, our continued ability to identify and exploit industry trends and exploit technological advances in the imaging industry, our ability to implement restructuring plans, the stability of political conditions in Asia and other foreign countries in which we have production capabilities, terrorist attacks and the U.S. response to such attacks, as well as other factors detailed in Schawk, Inc.'s filings with the Securities and Exchange Commission.

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