Exhibit 99.1

Media Contact:                                  Investor Contact:


William H. Lowe                                 Jonathon Singer
Vice President, Corporate Communication         Director, Investor Relations
(312) 326-7740                                  (312) 326-7754



For Immediate Release


R.R. Donnelley Strengthens Core Business Focus, Announces Stream International
Holdings Ownership Restructuring

Chicago, Dec. 16, 1997 -- R.R. Donnelley & Sons Company (NYSE: DNY) today
announced plans to restructure its ownership in Stream International Holdings,
Inc. (SIH), reclassify a portion of the business as discontinued operations and
record a fourth-quarter charge of approximately $100 million pre-tax ($60
million after tax, or 41 cents per share) to adjust the carrying cost of the
properties.  In an unrelated action, R.R. Donnelley announced a $71 million 
pre-tax charge ($43 million after tax, or 29 cents per share) for the impairment
of assets no longer aligned with its strategic objectives.

     In April 1997, SIH was reorganized into three independent businesses:
Stream International, which provides outsource technical support services;
Corporate Software & Technology, a software resale and technology services
company; and Modus Media International, a global manufacturing and fulfillment
business.

     Under the plan announced today, R.R. Donnelley will convert its current
equity and debt positions in SIH into approximately 87 percent of the shares of
common stock in both Stream International and Corporate Software & Technology,
and non-voting preferred stock in Modus Media.  Bain Capital, a minority
shareholder of SIH, together with management of the companies will assume
operating responsibility for Corporate Software & Technology to facilitate the
management and planned divestiture of that company, and will assume operating
control of Modus Media.  R.R. Donnelley will reclassify Corporate Software &
Technology and Modus Media as discontinued operations and reclassify its prior
three years' consolidated financial statements.

 
R.R. Donnelley & Sons Company Strengthens Core Business Focus,
Announces Stream International Holdings Ownership Restructuring
Page 2


     Stream International has previously announced plans to become public
through an initial offering of common shares.  Upon completion of the offering,
R.R. Donnelley's interest in Stream International will be reduced to less than
50 percent and the company will change its method of accounting for Stream
International from consolidation to the equity method.

     "Today's actions, along with our recently announced management
reorganization, further demonstrate that we are committed to our strategy of
focusing on our core businesses," said Cheryl A. Francis, executive vice
president and chief financial officer of R.R. Donnelley.  "The reorganization
frees resources, time and attention to build on our printing industry
leadership."

     The $71 million pre-tax impairment charge will cover the cessation of
activities no longer aligned with the company's strategic focus, including the
development of certain manufacturing information systems, the pending sale of
its Coris content-management software subsidiary, the shut-down of its book
fulfillment operations and the closing of a development office in Singapore.
Cash outlays associated with this charge are expected to total approximately $17
million.

     "Combined with the reorganization of our interest in SIH, these actions
represent significant progress in the disposition of assets and discontinuation
of activities that do not contribute to our core print businesses," Chairman and
Chief Executive Officer William L. Davis said.  "By exiting non-strategic
ventures we have generated approximately $60 million in cash during the course
of this year to supplement the strong cash flow generated by our core print
businesses.  We also have reduced capital spending significantly from the levels
originally expected for 1997.  With our enhanced focus and capital discipline,
we expect core-business cash generation to accelerate in 1998 as our return on
investment improves."

     R.R. Donnelley & Sons Company (1996 print-related sales: $4.9 billion) is a
world leader in managing, reproducing and distributing print and digital
information for the publishing, retailing, merchandising and information-
technology markets.  It specializes in the production of catalogs, inserts,
magazines, books, directories and financial documentation.  Founded in Chicago
in 1864, the company employs approximately 28,000 people in its printing
operations in North America and worldwide.

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