Madison, Wis. (Friday, March 6, 2015) – MCD, Inc., one of the largest graphic arts products and finishing companies in the Midwest, announced today that it has transferred 100% ownership of the company to its 57 full-time employees.
MCD’s ownership transfer was conducted via an Employee Stock Ownership Plan, or ESOP. An ESOP is a qualified retirement plan that buys, holds and sells company stock for the benefit of the employees, providing them with an ownership stake in the company.
"After more than 40 years of growth and successful transitions, we are proud to announce the sale of MCD to the employees through an ESOP. This is perhaps the most important new phase in the life of the company – one in which employees will further increase their ownership in our company and our customers’ futures, and will benefit greatly in the success they build together," said Dave Boyer, former CEO and former owner of MCD, Inc.
With the sale, company leadership transitions immediately from Boyer to Bryon Johnson, who has been appointed President and CEO by MCD’s Board of Directors. Johnson has been with the company for more than 20 years, most recently as President and COO.
“The sale of MCD, Inc. to an ESOP creates a very exciting opportunity to align employee ownership with MCD’s efforts to exceed our customers’ expectations. I’m honored to lead MCD for the benefit of all our employees and business partners,” said Johnson.
According to The Employee Ownership Foundation’s 23rd Annual ESOP Economic Performance Survey, the majority of ESOP companies showed increases in productivity, revenue, stock value and profitability, all of which benefit employees.
ESOP Partners, an ESOP consulting and administration firm in Appleton, Wis., assisted with the sale and will continue to work with the company as an ESOP consultant and third party administrator.
About MCD, Inc.
Founded in 1972, and owned since 1998 by Dave Boyer and Joan Philip, MCD, Inc. applies its creative and technical skills in die cutting, foil stamping, embossing, and specialty coatings to enhance the visual appeal of communications pieces that require high levels of differentiation and impact. MCD is one the Midwest’s largest graphic arts products and finishing companies, serving commercial and specialty carton printers, brand marketing companies, educational book publishers, gift and credit cards manufacturers, and magazine publishers.
There are approximately 10,000 ESOPs in place in the U.S., covering 10.3 million employees (10 percent of the private sector workforce). Research suggests that ESOP companies grow faster than their non-ESOP counterparts, and that their employees have more sustainable employment, increased job satisfaction, and greater organizational commitment.