ELCA NEWS SERVICE

February 27, 2006  

ELCA Publishing Ministry Exceeds 2005 Sales Goal by $2 Million
06-028-JB

     CHICAGO (ELCA) -- Augsburg Fortress, the Minneapolis-based
publishing ministry of the Evangelical Lutheran Church in America
(ELCA), achieved a $1 million increase in product sales from 2004
to 2005, and exceeded its 2005 sales goal by more than $2
million.  This was the first time in 10 years the publisher had a
$1 million increase in product sales and exceeded its sales goal,
said Beth A. Lewis, Augsburg Fortress president and chief
executive officer.
     Actual sales in 2005 were $38.9 million.  The company began
the year with a sales forecast of slightly less than $36.9
million.
     Lewis attributed the company's 2005 sales success to
"wonderful" new resources such as "The Lutheran Course," an adult
forum curriculum intended as a companion piece to "The Lutheran
Handbook."  The handbook, published in March 2005, was intended
as a serious and humorous teaching tool for Confirmation students
and is part of the company's "Here We Stand" print and Web-based
Confirmation curriculum.  It quickly became a popular item for
all Lutherans and has sold more than 116,000 copies.  The
companion course materials went on sale Dec. 28 and sold out the
first day, Lewis said.
     The publisher also introduced "The Christian Handbook," an
ecumenical version of "The Lutheran Handbook," which sold more
than 30,000 copies since its introduction in October 2005.
Subscriptions to "Sundays and Seasons.com," a Web-based worship
planning and resource site, sold well, as did "core resources" in
faith formation and worship, Lewis said.
     "Our sales and marketing are better and more focused, and
customer service is much improved," Lewis told the ELCA News
Service.
     "We had a fabulous sales year," said John Rahja, Augsburg
Fortress' chief financial officer.  He said the company was able
to manage its expenses while achieving greater productivity and
efficiency in its operations.
     The disappointing news was that Augsburg Fortress fell short
of its goal of an operational breakeven in 2005.  Unaudited
financial results showed an operating loss of $400,000 compared
to a forecast loss of $573,000. A key factor affecting the
operating loss was the publisher's defined benefit pension plan
expenses, Rahja said.
     "We're disappointed in the operating income figures," Lewis
said.  "We thought we'd get to breakeven for 2005."
     In October 2005 the Augsburg Fortress board of trustees
approved a revenue forecast of $40 million for 2006, up $1.1
million or 2.8 percent over 2005.  To meet that goal the
publisher plans to introduce several new products.
     This year Augsburg Fortress is planning to introduce several
"brand extensions" of "The Lutheran Handbook." It is also
planning to introduce new Web-based materials in its popular "New
Proclamation" preaching resource series and a CD-ROM version of
"Hermeneia."  The first five volumes of a new Spanish-language
biblical commentary series, "Conozca su Biblia," will also be
launched in spring 2006.
     A new initiative that will be launched at synod assemblies
this spring is "Akaloo," a lifelong intergenerational faith
formation resource for congregations.
     Last year the ELCA publisher introduced a new 2006 Vacation
Bible School resource, "Gospel Express."
     Later this year new worship resources, including a new
worship book, "Evangelical Lutheran Worship," will be available
through Augsburg Fortress.
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     Information about Augsburg Fortress is at
http://www.augsburgfortress.com on the Web.

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