Douglas Dynamics Inc., a Milwaukee-based firm that manufactures and sells snowplows and ice removal equipment under the Western Snowplow, Blizzard and Fisher brands, filed documents on Friday for an initial public offering with the Securities and Exchange Commission.

Generac Holdings Inc., the corporate parent of Generac Power Systems Inc., and RedPrairie, a software and technology provider to manufacturers, retailers and distributors, both filed last year for IPOs with the SEC.

All three of the companies are owned by private equity groups. Douglas Dynamics is owned by Aurora Capital Group of Los Angeles. Generac Holdings is owned by CCMP Capital Advisors LP of New York. RedPrairie is owned by Francisco Partners LLC from San Francisco.

Sussex-based Quad/Graphics Inc., will also become a publicly traded company this year, through its acquisition of publicly-traded World Color Press Inc., which was announced early last week. After the acquisition closes, World Color Press shareholders will receive about 40 percent of the shares of the combined company’s stock. The Quadracci family will retain roughly 60 percent of the stock of the company.  The new Quad/Graphics stock will be registered with the SEC and traded on a leading exchange, the company said previously.

The IPOs for all four companies are expected to happen this year.

With its three brands, Douglas Dynamics controls roughly 50 percent of the light truck snow and ice removal market, the SEC filing states. In the first nine months of 2009, Douglas Dynamics had roughly $125 million in revenues, $28 million in EBITDA and $2.7 million in net income.

According to the SEC documents, Douglas Dynamics anticipates raising as much as $150 million in the offering. There is no indication on the number of shares, share price or timing of the offering in the filing.

Generac anticipates offering more than 3 million shares of stock during its IPO, according to filings with the SEC that were updated last week. The shares are expected to sell between $15 and $17 per share.

Generac will trade on the New York Stock Exchange under the symbol GNRC.

Generac’s IPO has been raised to as much as $427.6 million, a more than 42.5 percent increase. The company earlier had said it expected to raise $300 million in the offering.

In the updated filing, Generac says its 2009 earnings were between $584 million and $589 million, with between $94 million and $99 million in income.

RedPrairie’s IPO filing states the company expects to generate up to $172.5 million with its offering.

RedPrairie had about $194 million in revenues for the first nine months of 2009, according to its filings with the SEC, compared to $221 million in the same period of 2008. It had about $95 million in profit by the end of September of 2009, compared to $106.5 million during the first three quarters of 2008.

After the declines seen through the Great Recession, mergers and acquisition activity in the U.S. is set for at least a moderate rebound in 2010, according to Robert W. Baird & Co.’s 2010 Market Analysis.

Recent stock market performance, renewed strength in the credit markets, rising investor and CEO confidence, and increasing valuations will contribute to an increase in M&A activity, the report states. Increases will be tempered by a choppy economic environment, continuing high levels of bankruptcies, restructurings and corporate scandals, as well as the tumultuous political landscape and volatility in international relations.

“The rapidly improving credit markets and an increase in CEO confidence could be the catalysts needed for a robust M&A environment that could resemble 2004 – the last time we came out of a recession,” the Baird report states. “However, the M&A market in 2010 will go the way the economy goes: any hint of a double-dip recession could roil the credit markets, and M&A activity would in turn dry up as fast it sprouted up.”

The report identifies four drivers in the middle market for 2010. They are:

Strategic buyers. Many corporations looking for significant growth in 2010 are likely to do so through acquisitions. Healthy corporations will have easier access to lending and many have large cash reserves available for buyouts, the report says.

Private equity. 2009 saw some of the lowest levels of private equity acquisitions in decades, and Baird believes equity investors will return to the table in 2010 as both buyers as sellers. Some equity groups will continue to struggle with portfolio performance, however.

Credit markets.  Some lenders have shown an increased appetite for leveraged buyouts, which has made it easier to fund M&A deals, the report says, including those in the middle market.

The economy. If economic conditions worsen, there could be a return to the sluggish M&A marketplace of 2009, the report states.

To read the full Baird report, click here.

Quad/Graphics will become a public company with acquisition

Quad/Graphics Inc. will acquire World Color Press Inc., and the merged corporation will become a publicly traded company after an initial public offering (IPO).

The combined company will be the second largest provider of print, digital and related services in the Americas. It will have nearly 30,000 employees serving customers in the U.S., Canada, Latin America and Europe.

The boards of directors of both companies unanimously have approved a definitive agreement to merge.

Worldcolor and Quad/Graphics had aggregate unaudited revenues for the 12-month period ended Sept. 30, 2009, of $5.1 billion.

The transaction is expected to close this summer.

Quad/Graphics’ management estimates that the combination will generate approximately $225 million in pre-tax net annualized synergies within 24 months.

“By combining the strengths of both companies, we will enhance our leadership position in the printing industry,” said Joel Quadracci, who will continue in his roles as Quad/Graphics chairman, president and chief executive officer. “Customer needs and demands are rapidly evolving, and our expanded company will be even better equipped to meet those demands. With increased access to capital markets, we plan to make appropriate investments in our platform and data-driven solutions to secure the future of print. With our strong commitment to innovation and customer satisfaction, combined with the greater operational efficiencies we are targeting, we will be better able to achieve our strategic objectives and continue to generate industry-leading margins and profitable growth, all while creating opportunities for our customers, shareholders and employees.”

Concurrent with the closing of the transaction, Quad/Graphics intends to become a publicly traded company. Quad/Graphics expects to register its Class A Common shares with the U.S. Securities and Exchange Commission (SEC) and proceed with a listing on a leading U.S. exchange.

Under terms of the agreement, World Color shareholders will receive at closing approximately 40 percent of the outstanding shares of Quad/Graphics, and Quad/Graphics’ shareholders will hold approximately 60 percent of the shares.

The future board will be comprised of the six current Quad/Graphics directors and two World Color directors.

Quad/Graphics’ shareholders will continue to own Class A, Class B and Class C shares for approximately 60 percent total ownership of the company. The Harry V. Quadracci family will control the company through ownership of the high-voting Class B shares. The Class C shares are owned by a qualified retirement trust for Quad/Graphics employees.

United Scale and Engineering Corp. acquired by Transcat

Waukesha-based United Scale and Engineering Corp., a distributor and servicer of industrial equipment, has been acquired by Transcat Inc., a Rochester, N.Y.-based distributor of handheld test and measurement instruments.

Transcat is publicly traded under the symbol TRNS on the Nasdaq exchange. Terms of the acquisition were not disclosed.

United Scale has grown itself through three different acquisitions previously, said Judy Trenec, president of the company.

“We continued with that thought, that we wanted to grow our business, but the (companies) we looked at in the last two to three years didn’t pan out,” she said. “We decided to go into another direction and see if a larger firm might be interested in us.”

United Scale’s approximate 2,000 customers in Wisconsin, Illinois and the Upper Michigan made it an attractive acquisition, said Charles Hadeed, president, CEO and COO of Transcat. Its market position in sales and service of industrial scales and other equipment also made it a logical bolt-on to the company.

“United Scale is a well respected name and a well known provider of sales and service. This acquisition expands our product line into scales and the service of scales,” Hadeed said. “A major component of our growth strategy is to acquire smaller calibration services companies within this highly fragmented industry, which further broadens our calibration capabilities, geographically complements our current 12 calibration laboratories' locations and capitalizes on the strength of our infrastructure and reputation for quality, service and integrity.”

United Scale and Engineering has about 30 employees. Judy Trenec, president of the company, will join Transcat and will continue to manage the United Scale operation.

“We will be basically running the business the way it always has been,” Hadeed said. “We believe that United's similar customer-focused philosophy of earning trust and respect through value will enable a smooth and rapid integration into Transcat."

Transcat was an attractive buyer for United Scale because of its size and health, Trenec said. Transcat’s profits increased by more than 27 percent in 2009.

“We shared a lot of clients and they could see opportunities to grow,” she said. “The larger we are here, the more opportunities we have for promotions for our employees. I think we will have a good fit together.”

Waukesha-based Mertz Associates and Tim Reardon, an attorney with Reinhart, Boerner, Van Deuren S.C. represented United Scale in the transaction.

GMR Marketing acquires German firm

New Berlin-based GMR Marketing LLC has acquired Germany-based marketing and advertising firm Experience.

Experience will be integrated into the Global GMR brand.

“We are delighted to enter the German market with an agency of the quality and strength of Experience, which has been one of Europe’s top-ranked agencies for so long,” said GMR Marketing founder, chairman and CEO Gary Reynolds. “The addition of Experience is mutually beneficial. Our new colleagues have access to GMR’s expertise and innovation, while expanding our presence in Europe will open doors for our clients and their growing need for global platforms. It also increases our understanding of the global consumer.”

With the Experience acquisition, GMR Marketing now has 14 offices in five countries.

“Joining the GMR family will be of great value to our loyal clients and will open doors in other regions of the world,” said Uwe Alten, Experience’s managing director in Frankfurt.

M&I adds staff to Brookfield call center

Milwaukee-based Marshall & Ilsley Corp. announced Monday that it is adding 85 new jobs at a variety of levels at its call center office in Brookfield.

The company hired an additional 65 new employees at the center last year. M&I has grown the Brookfield call center because of an expanded business relationship with a third-party customer for whom it provides customer service support.

The job openings range in level from supervisors and managers to customer service representatives.

Waukesha mortgage banking firm gains license in Missouri

Inlanta Mortgage, a Waukesha-based mortgage banking firm, has obtained a license to operate in Missouri. The company, which has grown during the rapidly declining home mortgage market in recent years, is now seeking partner branches in Missouri.

“From our continued growth and expansion into additional states, we are able to provide increasing opportunities for our mortgage professionals, partner branches and the customers they serve,” said Joe Ramis, branch recruitment director at Inlanta Mortgage. “We encourage mortgage professionals to learn about our offerings, including how we allow them to originate more and worry less, and invite them to become a part of our growth into Missouri.”

The company has partner branches in Florida, Illinois, Indiana, Iowa, Michigan, Minnesota, North Dakota and Wisconsin, and has plans for expansion into additional states in the future.

New president named for United Heartland Insurance

Steve Cooper has been named the president of New Berlin-based United Heartland Insurance, a national workers compensation insurer, by parent company Accident Fund Holdings Inc.

Cooper succeeds Emil Pfenninger, who has led United Heartland since its founding in 1990. Cooper has 21 years of property-casualty experience. Prior to joining United Heartland, he served as vice president of claim operations at Accident Fund Insurance Company of America, another Accident Fund Holdings subsidiary. Prior to joining Accident Fund, he served in various service center and claims leadership positions at Specialty Underwriters Alliance, General Electric Insurance Solutions, Metropolitan Life Insurance Company and Travelers Insurance Company.

“Steve Cooper is uniquely suited to build on the past success of United Heartland and the team,” said Elizabeth R. Haar, president and CEO of Accident Fund Holdings. “Under Steve’s direction, United Heartland will continue to flourish as a national player in workers compensation insurance, partnering with agents to deliver exceptional value to our policyholders. I would like to thank and recognize Emil Pfenninger for his leadership of United Heartland over the last 20 years. Emil is a special leader who built United Heartland into the growing, successful company that it is today.”

United Heartland now has more than 260 employees, and writes more than $200 million in premium annually.

In December, the company moved into a newly built headquarters in New Berlin.

Pfenninger will remain with United Heartland in the coming months to help in the transition of his responsibilities to Cooper and work on special projects with Accident Fund Holdings until his retirement in 2011.

Northwestern Mutual to pay $4.7 billion in dividends

Northwestern Mutual Life Insurance Co. has approved more than $4.7 billion in dividends for payment to policyowners in 2010.

The estimated dividend payout for 2010 includes $120 million in dividends paid on term life insurance, as compared to $83 million in 2009, and $225 million in dividends on individual disability insurance policies, an increase of $19 million over the 2009 payout. Northwestern Long Term Care Insurance Company has approved payment of an estimated $8 million in dividends to its participating long-term care policyowners in 2010.

The company said its operating gain before dividends and taxes was $5.2 billion in 2009, down 3 percent from 2008 due primarily to lower net investment income. Net gain from operations was $475 million for 2009, a decline from $1.1 billion in 2008, which included the benefit of a significant, one-time tax reserve adjustment. Total insurance premium revenue, including both new and renewal premiums, totaled $13.1 billion for 2009, a decrease of 4 percent from the prior year. Net investment income was $7.8 billion for 2009, a 1 percent decrease from 2008.

“Given the rotten economy during 2009, we are more than satisfied with what we have accomplished for our policyowners,” said Edward J. Zore, chairman and chief executive officer of Northwestern Mutual. “At its heart, our brand of financial security is about giving people confidence in their future. I’m proud of how we’ve been able to keep our promises at a time when people need to know who they can really count on. As the dust starts to settle on a difficult period for the economy, we can look back on 2009 and know that our business model performs well in both good times and bad. Our results have been remarkably stable and consistent in volatile times. We provided industry-leading value and maintained our unquestioned financial strength. That performance brings more talented financial representatives to our system and gives our clients the confidence to stick with the plans they have made for their financial future.”

The company said its total surplus (the combination of surplus and asset valuation reserve) increased more than $800 million during 2009 to end the year at $14.2 billion. At the end of 2009, the company said its total surplus represented 11.4 percent of general account insurance reserves.

M&I launches iPhone application

Milwaukee-based M&I Bank has launched an iPhone application for its retail mobile banking customers.

The new M&I Mobile iPhone application, available for free in the Apple App Store, provides M&I customers an enhanced mibank.com mobile banking experience where they can check balances, pay bills, view e-bill information, transfer funds, locate an M&I Bank location or ATM and more.

"iPhone users demand applications that allow them to take advantage of their phone's unique features. Because so many of our M&I Mobile customers use an iPhone, we believe it is important to ensure their mobile banking experience is as good as possible," said Patrick Reetz, vice president, director of online and mobile channels. "This new application positions M&I as a leader among our peers and will allow for future growth in mobile banking.”

MGIC’s annual loss tops $1.3 billion

MGIC Investment Corp. reported a net loss of $1.3 billion, or $10.65 per share, for the full year of 2009, which was worse than a loss of $525.4 million, or $4.61 per share, the company incurred in 2008.

The Milwaukee-based private mortgage insurer reported a net loss for fourth quarter of $280.1 million, compared with a net loss of $275.6 million for the same period a year ago. Total revenues for the fourth quarter were $405.5 million, compared with $411.5 million in the same period a year earlier.

Curt Culver, chairman and chief executive officer of MGIC, said the weak economy, higher unemployment and lower home prices have resulted in an increase in the delinquent inventory and elevated incurred losses. He added that he was pleased to report a sequential decline in the number of new notices received and that the new insurance written, since the implementation of the underwriting guidelines in early 2008, is improving the overall credit risk profile of the company’s insurance in force.

Northwestern Mutual Investment Services honored by financial magazine

Northwestern Mutual Investment Services LLC, has been recognized by Investment News, a financial services magazine, as a top ten independent broker dealer, based on study results published on the magazine’s web site that examined the production of financial representatives and the size of company field forces.

Northwestern Mutual Investment Services LLC is a subsidiary of Milwaukee-based The Northwestern Mutual Life Insurance Company.

Clifton Gunderson will present the webinar “M&A Today: Financial Reporting and Tax Implications” on Wednesday, Feb. 17 at 10 a.m. and 2 p.m. The free, hour-long webinar will discuss valuation, tax and legal issues that are changing in the M&A industry, which has gained traction as the economy has recovered. Registration is required at http://www.cliftoncpa.com/Resources/Events.

Associated Bank will present the webinar “Trends in Online Fraud” on Tuesday, Feb. 9 from 8:30-9:30 a.m. Todd Adler, senior vice president and director of Treasury Management Services, and Joseph Smits, senior vice president and chief information security officer, will discuss:

• Associated’s experts in fraud prevention.
• Scams specifically targeting businesses and business owners.
• How fraudsters use social engineering to obtain critical information.
• The importance of employee education and internal controls.
• How companies can protect themselves from online fraud.
• Emerging technology available to combat fraud.

The complimentary webinar is open to everyone. Registration is required. For more information about Associated Bank’s Business Knowledge Series or to register for the webinar, visit www.associatedbank.com/businessknowledgeseries.

Banking

• Wisconsin Department of Financial Institutions 
• Federal Deposit Insurance Corp.
• Wisconsin Bankers Association 
• Community Bankers of Wisconsin
• Wisconsin Mortgage Bankers Association
• American Bankers Association
• Bankers Association for Finance and Trade
• Commercial Finance Association 
• Risk Management Association

Mergers & Acquisitions

• Association for Corporate Growth 
• International Business Brokers Association 
• Mergers.com

Wealth Management/Financial/Retirement Planning

• Financial Planning Association
• Financial Planning Association of Southern Wisconsin
• Investment Management Consultants Association
• National Association of Personal Financial Advisors (NAPFA)

Other 

• Society of Financial Service Providers
• Small Business Administration
• State public awareness campaign
• Wisconsin Credit Union League
• CFA Institute
• CFA Society of Milwaukee
• Wisconsin Angel Network