Banta ( BN) plunged 15% Wednesday after the a printing and supply-chain management services provider missed second-quarter estimates. The Wisconsin-based company earned $16.1 million, or 66 cents a share, in the quarter, compared with $33.8 million, or $1.35 a share, a year ago. Second quarter result includes stock-based compensation expense of 5 cents a share. Earnings from continuing operations, excluding a 15 cents a share benefit from tax reserve reversal, were $12.4 million, or 51 cents a share. On that basis, analysts surveyed by Thomson First Call were expecting earnings of 57 cents a share. Second-quarter revenue fell 1.3% from a year ago to $361.4 million. The company expects to earn $2.90 a share to $3 a share from its continuing operations, for the year 2006, on revenue of $1.55 billion to $1.58 billion. Excluding items, earnings from continuing operations were expected to be $2.75 a share to $2.85 a share. Analysts were expecting revenue of $1.64 billion for the full year. "Our print sector faced considerable pricing pressures and volume challenges in the second quarter, which negatively affected our results from operations," the company said. Second-quarter gross profit fell 3.4% from a year ago to $76.6 million and gross margin declined 47 basis points to 21.2%. Operating income for the quarter fell 15.4% to $17.6 million and operating margin declined 81 basis points to 4.9%. By segment, second-quarter revenue from printing services fell 1% from a year ago to $254.2 million and revenue from management services segment fell 1.9% to $107.2 million. The company also said that, effective today, it will reorganize its five print divisions into two divisions to eliminate management infrastructure and reduce general and administrative costs. Under its reorganizing plan its Banta book publications and consumer catalog print divisions will become a single division called Banta Publishing and Catalog Solutions and its direct marketing and literature management divisions will form a new division called Banta Direct Marketing Solutions. The company expects print sector reorganization to generate annualized pre-tax savings of about $3 million, beginning in 2007. The action will result in a third quarter cash charge of about $2 million, primarily related to employee severance costs, the company added. Shares fell $6.35 Wednesday to $37.41.