Lexmark 2015 Annual Report Download - page 8

4
Part I
Item 1. BUSINESS
General
Lexmark International, Inc. (“Lexmark” or the “Company”) is a Delaware corporation and the surviving company of a merger
between itself and its former parent holding company, Lexmark International Group, Inc., (“Group”) consummated on July 1, 2000.
Group was formed in July 1990 in connection with the acquisition of IBM Information Products Corporation from International
Business Machines Corporation (“IBM”). The acquisition was completed in March 1991. On November 15, 1995, Group completed
its initial public offering of Class A Common Stock and Lexmark now trades on the New York Stock Exchange under the symbol
“LXK.”
Lexmark makes it easier for businesses of all sizes to improve their business processes by enabling them to capture, manage and
access critical unstructured business information in the context of their business processes while speeding the movement and
management of information between the paper and digital worlds. Since its inception in 1991, Lexmark has become a leading
developer, manufacturer and supplier of printing, imaging, device management, managed print services (“MPS”), document workflow
and, more recently, business process and content management solutions. The Company operates in the office printing and imaging,
enterprise content management (“ECM”), business process management (“BPM”), document output management (“DOM”)/customer
communications management (“CCM”), intelligent content capture and data extraction and enterprise search software markets.
Lexmark’s products include laser printers and multifunction devices, dot matrix printers and the associated supplies/solutions/services.
They also include an integrated suite of ECM, BPM and DOM/CCM that includes case management, electronic signature, process
analytics, information and application integration, intelligent content capture and data extraction, enterprise search and medical
imaging vendor neutral archive (“VNA”) software products and solutions. Lexmark develops and owns most of the technology for its
printing and imaging products and its software related to MPS and content and process management solutions.
The Company acquired Perceptive Software, Inc., a leading provider of ECM software and document workflow solutions, in June of
2010 and acquired Pallas Athena, a leading provider of BPM, DOM/CCM and process mining and discovery software in October of
2011. These acquisitions built upon and strengthened Lexmark’s industry workflow solutions and MPS capabilities and allow the
Company to compete in the faster growing content and process management software solutions markets. In keeping with this strategy
and with the goal of becoming an end-to-end solutions provider, Lexmark acquired BDGB Enterprise Software (Lux) S.C.A.
(“Brainware”) in February of 2012, and ISYS Search Software Pty Ltd. (“ISYS”) and Nolij Corporation (“Nolij”) in March of 2012.
Brainware’s intelligent content capture and automated data extraction platform extracts critical information from paper documents and
electronic unstructured content enabling customers to more efficiently perform business processes. ISYS’s search solutions deliver
powerful text mining and enterprise and federated search capabilities across a wide range of platforms enabling customers to facilitate
rapid discovery of critical intelligence for more informed decision making. Nolij’s software is a fully web-based document imaging
and workflow platform that includes innovative, native support for mobile devices and forms processing capabilities, focused on the
education market. In December of 2012, Lexmark acquired Acuo Technologies, LLC (“Acuo”), a leader in the VNA software segment
that resides within the high growth enterprise clinical management and medical imaging software and services market.
In March of 2013, the Company acquired AccessVia, Inc. (“AccessVia”) and Twistage, Inc. (“Twistage”). AccessVia provides
industry-leading signage solutions to create and produce retail shelf-edge materials, all from a single platform, which can be directed
to a variety of output devices and published to digital signs or electronic shelf tags. Twistage offers an industry-leading, cloud-enabled
software platform for managing video, audio and image content. In September of 2013, Lexmark acquired Saperion AG (“Saperion”),
a European-based leader in ECM solutions, focused on providing document archive and workflow solutions. In October of 2013, the
Company acquired PACSGEAR, Inc. (“PACSGEAR”), a leading provider of connectivity solutions for healthcare providers to
capture, manage and share medical images and related documents and integrate them with existing picture archiving and
communication systems and electronic medical record (“EMR”) systems.
In August of 2014, the Company acquired ReadSoft AB (“ReadSoft”), a leading global provider of software solutions that automate
business processes, both on premise and in the cloud. ReadSoft’s software captures, classifies, sorts and routes both hard copy and
digital business documents, provides approval and exception workflows, and automatically extracts and verifies relevant data before
depositing it into a customer’s system of record. In October of 2014, the Company acquired GNAX Healthcare LLC (“GNAX
Health”), a provider of image exchange software technology for exchanging medical content between medical facilities.
In January of 2015, Lexmark acquired Claron Technology, Inc. (“Claron”), a leading provider of medical image viewing, distribution,
sharing and collaboration software technology. Claron helps healthcare delivery organizations provide universal access to patient
imaging studies and other content across and between healthcare enterprises. In May of 2015, the Company acquired Kofax Limited
(“Kofax”), a leading provider of smart process applications. The addition of Kofax enhances the Company’s industry-leading ECM
and BPM offerings and strengthens the Company’s portfolio of multi-channel capture solutions in the market, ranging from Web
portals and mobile devices to smart multifunction printers (“MFPs”). Lexmark continues the transition to a solutions company as it