Xerox Completes Multimillion-Dollar Deal With Staples for 1,200 Color Printers

New sign-printing process saves time, streamlines customer communications

WILSONVILLE, Ore., July 30, 2006 -- Xerox Corporation (NYSE: XRX) has completed a multimillion-dollar deal with Staples Inc., the world’s largest office products company, placing more than 1,200 Xerox Phaser™ network color printers in Staples stores across the United States.

Staples associates are using the Xerox Phaser 8400 solid ink printer to produce store signs, shelf tags and other point-of-sale materials.

Seeking to replace competitive black-and-white printers, Staples turned to Xerox for technology that would capture customer attention, save store associates’ time and cut store costs. Staples previously sent each store pre-printed color forms for signs, shelf tags and labels, upon which associates then printed specific details like prices or sale offers in black-and-white.

After evaluating this time-intensive process, Staples and Xerox collaborated to develop a more simple and productive method for in-store network printing using Xerox technology. Instead of depending on standard color forms shipped from a central location, each Staples store now prints shelf tags, sale signs and other point-of-sale materials on-demand and in full color on a Phaser 8400.

In addition, Xerox worked with Staples to standardize Staples’ labels and signs, reducing the number of forms from 20 to five - so Staples associates no longer have to spend time switching media in and out of the printer. The new process cuts several steps and helps store associates print signs faster and with fewer errors, giving them more time to serve customers.

"Staples can now create more dynamic, eye-catching and timely signs and labels because this solution allows Staples to quickly and easily deploy new sign messaging" said James (Ed) E. Farris, senior manager, retail information systems, Staples Inc. "With the new printers and work processes in place, we’ve decreased our shipping and warehouse storage costs in the network printing space. We have also been able to reallocate store labor based on these improvements and helped prevent the potential waste created when promotional messaging changes occur that would otherwise result in unused pre-printed forms"

"The vibrant color and consistent print quality of Xerox solid ink technology made it a great choice for Staples" said Tim Williams, president, Xerox Office Group. "This project clearly demonstrates Xerox’s ability to work with customers to find more efficient ways to produce the documents that drive their businesses"

Xerox’s color product line includes printers, digital copiers, multifunction systems and production printing systems with starting prices as low as $499 and speeds from 5 ppm to 110 ppm.

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Shelly Dates

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Xerox Corporation

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