NEW YORK--(BUSINESS WIRE)--Feb. 13, 2012--
Retailer Saks Incorporated (NYSE: SKS) (“Saks or the “Company”) today
announced it will expand its distribution and fulfillment capacity,
adding a new facility in Tennessee in 2012.
The new distribution and fulfillment center will occupy approximately
564,000 square feet of leased space and will be located in LaVergne,
Tennessee, which is in Rutherford County and near the state capital of
Nashville. The new center will be state-of-the-art and equipped with a
sophisticated mobile-robotic fulfillment system that has been
successfully utilized in the Company’s Maryland facility. The Company
expects the Tennessee facility to be operational by August 2012 and
ultimately to employ over 250 full-time associates at complete capacity.
Steve Sadove, Chairman and Chief Executive Officer of Saks, noted, “In
order to support our omni-channel strategy and our continued sales
growth, some time ago we recognized that we would need additional
distribution and fulfillment capacity beginning in 2012. Middle
Tennessee is a great fit for our new facility and was selected for its
central location, attractive real estate and operating costs, and very
capable workforce. We are most appreciative of Governor Haslam and the
various state and local leaders that worked together so diligently to
make this possible.”
“Saks Incorporated has made a great decision in choosing Tennessee as
its newest distribution center location, and I am pleased to welcome
this well-respected company to Rutherford County,” Tennessee Gov. Bill
Haslam said. “We’re working to make Tennessee the No. 1 location in the
Southeast for high quality jobs, and by focusing on a business-friendly
environment, it encourages businesses to invest, grow and create jobs.”
“Tennessee holds a unique competitive advantage in the distribution
sector with our state’s central location and outstanding transportation
infrastructure that provide easy access to customers around the
country,” said Bill Hagerty, commissioner, Tennessee Department of
Economic and Community Development. “I am excited that Rutherford County
and the area workforce have proven to be the right fit for Saks
Incorporated’s distribution center, and I thank the company for its
investment in our state.”
La Vergne Mayor Senna Mosley commented, “As the gateway to Rutherford
County, La Vergne is a great destination for companies and retail
businesses. We are ecstatic that Saks Fifth Avenue chose our town as
their new place to call home. The jobs they are providing will hugely
benefit La Vergne and its residents. We look forward to a long,
successful relationship with this good corporate citizen and warmly
welcome them home.”
Rutherford County Mayor Ernest Burgess stated, “Saks Fifth Avenue is a
welcome addition to our well-established family of top companies. We are
thrilled the company has chosen our community to do business and provide
jobs.”
Saks currently operates a leased distribution center in Aberdeen,
Maryland, totaling approximately 471,000 square feet, and a leased
distribution center in Ontario, California, totaling approximately
120,000 square feet. The Company will continue to operate those two
facilities.
The Tennessee distribution center is owned in a joint venture managed by
DCT Industrial Trust (NYSE: DCT), a leading real estate company.
Saks Incorporated operates 46 Saks Fifth Avenue stores, 60 Saks Fifth
Avenue OFF 5TH stores, and saks.com.
Forward-looking Information
The information contained in this press release that addresses future
results or expectations is considered “forward-looking” information
within the definition of the Federal securities laws. Forward-looking
information in this document can be identified through the use of words
such as “may,” “will,” “intend,” “plan,” “project,” “expect,”
“anticipate,” “should,” “would,” “believe,” “estimate,” “contemplate,”
“possible,” and “point.” The forward-looking information is premised on
many factors, some of which are outlined below. Actual
consolidated results might differ materially from projected
forward-looking information.
The forward-looking information and statements are or may be based on
a series of projections and estimates and involve risks and
uncertainties. These risks and uncertainties include such factors
as: the level of consumer spending for luxury apparel and other
merchandise carried by the Company and its ability to respond quickly to
consumer trends; macroeconomic conditions and their effect on consumer
spending; the Company’s ability to secure adequate financing; adequate
and stable sources of merchandise; the competitive pricing environment
within the retail sector; the effectiveness of planned advertising,
marketing, and promotional campaigns; favorable customer response to
relationship marketing efforts of proprietary credit card loyalty
programs; appropriate inventory management; effective expense control;
successful operation of the Company’s proprietary credit card strategic
alliance with HSBC Bank Nevada, N.A.; geo-political risks; the
performance of the financial markets; changes in interest rates; and
fluctuations in foreign currency and exchange rates. For
additional information regarding these and other risk factors, please
refer to the Company’s filings with the SEC, including its Annual Report
on Form 10-K for the fiscal year ended January 29, 2011, its Quarterly
Reports on Form 10-Q, and its Current Reports on Form 8-K, which may be
accessed via the Internet at www.sec.gov.
The Company undertakes no obligation to correct or update any
forward-looking statements, whether as a result of new information,
future events, or otherwise.
Source: Saks Incorporated
Saks Incorporated
Julia Bentley, 865-981-6243
