Industrial Distribution Group Continues Expansion
6 October 1998
Industrial Distribution Group Continues Expansion With The Acquisitions of Three Industrial Supply Distributors
- J.M. Tool And Supply, Inc. -
- Austin Ford Logan, Inc. -
- Atlantic Industrial Supplies, Inc. -
ATLANTA, Oct. 6 -- Industrial Distribution Group, Inc.
today announced that it has completed the acquisitions of J.M.
Tool and Supply, Inc., Austin Ford Logan, Inc. and Atlantic Industrial
Supplies, Inc. The Company expects these three recently acquired companies to
add approximately $23.7 million to IDG's annual revenue base.
"Each of these three 'spoke' acquisitions will significantly strengthen
our market position for the IDG hub companies in these key industrial
markets," stated Martin S. Pinson, the Company's Chairman and Chief Executive
Officer. "We are very pleased to be adding these three organizations and
their combined 58 associates to the IDG family," Mr. Pinson commented further.
Since its formation in 1997, IDG has grown to 24 operating companies and
approximately 1,500 associates serving 28 of the top industrial markets
throughout the United States, with annualized revenues of approximately
$520 million. The Company has completed fifteen acquisitions in 1998,
representing combined annual revenues of approximately $220 million.
The acquired companies are:
J.M. Tool and Supply, Inc.
J.M. Tool and Supply is an ISO 9001 certified cutting tool specialist
serving the automotive and related industries from its Madison Heights,
Michigan location. Founded in 1981 by Joe Mazzenga, J. M. Tool received the
Ford Q1 Preferred Supplier Designation, recognizing the company as a select
vendor of Ford Motor Company. With annualized revenues of approximately $13.8
million, J.M. Tool is expected to play an important role in IDG's growth in
the region, complementing the operations of IDG's Grinding Supplies Company in
Detroit. Joe Mazzenga will continue to manage the J.M. Tool operations.
Austin Ford Logan, Inc.
Since 1953, Austin Ford Logan has served the industrial supply needs of
the upstate New York market. With its expertise in cutting tools, Austin Ford
Logan will become a spoke to IDG's Cramer Industrial Supplies, Inc. Together,
these companies will continue to serve a large and diverse customer base in
western New York and northern Pennsylvania, including General Electric, Austin
Ford Logan's largest customer. Austin Ford Logan has annualized revenues of
approximately $6.2 million.
Atlantic Industrial Supplies, Inc.
Serving the New England market from Burlington, Massachusetts, Atlantic
Industrial Supplies is a specialty industrial supplier which emphasizes its
expertise in metalcutting tools and metalworking fluids. Established in 1954,
Atlantic Industrial Supplies had 1997 revenues of approximately $3.7 million.
Bill Gage and Gregory Andonian will continue to manage the company, which will
become a spoke to IDG's New England hub.
Industrial Distribution Group, Inc. is a nationwide supplier of
maintenance, repair, operating and production ("MROP") products and services.
The Company distributes a full line of MROP products, specializing in cutting
tools, abrasives, hand and power tools, coolants, lubricants, adhesives and
machine tools, and can supply virtually any other MROP product that its
customers may require. IDG also provides an array of value-added services and
other arrangements, including integrated supply, emphasizing its specialized
expertise in product application. The Company completed its initial public
offering in September 1997.
Certain matters set forth in this news release are forward-looking
statements, including but not limited to statements relating to the expected
effects of the acquisitions upon the success of the Company. IDG warned that
caution should be taken in relying upon any forward-looking statements in this
release, as they involve a number of risks and uncertainties that include the
risks associated with a strategy of expansion through acquisitions and other
risks and uncertainties discussed in the Company's Form 10-K for the year
ended December 31, 1997 under the caption "Certain Factors Affecting Forward
Looking Statements," which discussion is incorporated herein by reference.