Rush Enterprises Announces Formation of New Retail Center Division
4 February 1998
Rush Enterprises Announces Formation of New Retail Center Division and Preliminary Agreement to Acquire D&D Farm and Ranch Supermarket, Inc.
SAN ANTONIO, Feb. 4 -- Rush Enterprises, Inc. ,
which operates the largest network of Peterbilt heavy-duty truck dealerships
in North America and a John Deere construction equipment dealership in
Houston, Texas, today announced the formation of a new retail center division,
Rush Retail Centers.
Additionally, RUSH announced it has reached a preliminary agreement to
purchase the stock of D&D Farm and Ranch Supermarket, Inc ("D&D"). D&D, which
operates a retail farm and ranch superstore, is located in the Greater San
Antonio, Texas area (Seguin, Texas). The acquisition is expected to close on
or about March 2, 1998. Georgette Hawkins, President, and Bobby Hawkins,
Vice-President, combined with their existing management and customer service
team, will remain with the Company.
RUSH, which operates in 17 locations in 5 states reported revenue of
$343.7 million in 1996. Based on the year ended April 30, 1997, the Company
anticipates D&D will generate revenues of approximately $17.0 million.
RUSH will continue to operate the company as a full-service retail center
under the Rush retail center concept, which RUSH believes will provide
increased opportunities for expansion into additional metropolitan markets.
To facilitate the planned expansion RUSH has further announced the addition of
Mr. Daryl Lansdale who will serve as president of the newly formed retail
center. Mr. Lansdale brings over 30 years of retail industry experience to
RUSH and has specialized in multi-location expansion. He has served as
President and Chief Executive Officer of Handy Dan, Inc., Chairman and Chief
Executive Officer of Scottys, Inc. as well as served on the Board of Directors
of W. R. Grace's retail division, which included operations such as Sheplers
Western Wear and other retail businesses. Additionally, Mr. Lansdale has
served on the Board of Directors of C. T. Farm and Country Supply, Inc.
W. Marvin Rush, Chairman and Chief Executive Officer of Rush Enterprises,
Inc. stated, "The acquisition of D&D marks our entrance into the retail farm
and ranch superstore market. Our purchase of this company creates an exciting
new avenue of strategic diversification and an opportunity for growth. The
addition of Daryl Lansdale to our team brings industry and management
expertise. Daryl, working with Georgette, Bobby and their management and
customer service team, will be responsible for expanding our presence in this
newly formed division."
"We remain committed to our strategy of industry consolidation in both the
heavy-duty truck and construction equipment industries and believe the
offering of high-quality service to our customers over a wide geographic area
will enable us to realize economies of scale and more favorable purchasing
power," Mr. Rush continued.
Rush Enterprises operates the largest network of Peterbilt heavy-duty
truck dealerships in North America and a John Deere construction equipment
dealership in Houston, Texas. Its current operations include a network of
dealerships located in Texas, California, Oklahoma, Louisiana and Colorado.
These dealerships provide an integrated, one-stop source for the retail sale
of new and used heavy-duty trucks and construction equipment; aftermarket
parts, service and body shop facilities; and a wide array of financial
services, including the financing of truck and equipment sales, insurance
products, and leasing and rentals.
Certain statements contained herein are "forward-looking" statements (as
such term is defined in the Private Securities Litigation Reform Act of 1995).
Because such statements include risks and uncertainties, actual results may
differ materially from those expressed or implied by such forward-looking
statements. Factors that could cause actual results to differ materially from
those expressed or implied by such forward-looking statements include, but are
not limited to, those discussed in filings made by the Company with the
Securities and Exchange Commission.
SOURCE Rush Enterprises