BlueLinx to Provide CCA Global Members With Carton Service for Global Direct Product Line
ATLANTA, July 16, 2007 (PRIME NEWSWIRE) -- BlueLinx Holdings Inc. (NYSE:BXC), a leading distributor of building products in North America, and CCA Global Partners, Inc., North America's largest floor covering specialty group, jointly announced a strategic relationship under which BlueLinx will provide CCA Global with comprehensive logistics and product management services for the company's private label Global Direct flooring product line. This new business arrangement was designed specifically to serve CCA's national specialty floor covering group. BlueLinx will deliver Global Direct Flooring to CCA retailers, provide customer service, manage inventory and accounts receivable as well as create demand for the Global Direct flooring line.
The long-term agreement provides CCA Global the ability to offer all of its affiliated flooring wholesalers and retailers with carton delivery of its Global Direct private-label product. CCA Global will continue to source and own the inventory, which includes approximately one hundred stock keeping units of solid and engineered wood, laminate and cork flooring. Leveraging its 900-person sales force, BlueLinx will provide delivery of the product in a variety of unit sizes, including by the carton, to a network of more than 2,300 flooring retailers. BlueLinx will also manage CCA Global's inventory and receivables related to the Global Direct products.
"This is a unique opportunity for BlueLinx to build demand for CCA Global's private label flooring products among the company's members and franchisees, while at the same time leveraging our inventory, logistics and accounts receivable services to provide a seamless product and sales management process for CCA Global," said George Judd, BlueLinx president and chief operating officer. "BlueLinx is well positioned to offer CCA Global business owners ancillary products that accompany the sale of flooring products, including mouldings, underlayment, fasteners and tools, as well as unfinished hardwood."
BlueLinx has exclusive rights to distribute the CCA Global Direct flooring line, including delivery of the cartons, pallets, truckloads and direct containers. Carton quantities can be ordered and delivered based on the requirements for a specific job without generating the excess product typical of larger quantity purchases.
"This is a ground breaking relationship for CCA Global and an innovative development for our industry," said Jim Gould, CCA Global chief product officer. "We have worked with BlueLinx for the past year and have been impressed with their capabilities. Our new, expanded relationship allows us to globally source products and leverage BlueLinx' expertise to manage the sales and inventory process across America, providing just-in-time local delivery."
About BlueLinx Holdings Inc.
Headquartered in Atlanta, Georgia, BlueLinx Holdings Inc., operating through its wholly owned subsidiary BlueLinx Corporation, is a leading distributor of building products in North America. Employing more than 3,300 people in North America, BlueLinx offers more than 10,000 products from over 750 suppliers to service approximately 11,700 customers nationwide, including dealers, industrial manufacturers, manufactured housing producers and home improvement retailers. The company operates its distribution business from sales centers in Atlanta and Denver, and its network of more than 70 warehouses. BlueLinx delivers value to its vendors and customers that extends beyond distribution, providing local and national sales representation, inventory management, and logistics optimization. With a network of nationwide distribution centers, BlueLinx serves markets locally and plays an important role in providing customers with the products they need through just-in-time deliveries. BlueLinx, which is on the Fortune 500 list of the nation's largest companies, is traded on the New York Stock Exchange under the symbol BXC. Additional information about BlueLinx can be found on its website at www.bluelinxco.com.
About CCA Global Partners, Inc.
CCA Global Partners, Inc. is a privately held company that was founded in 1984 with 13 stores. The organization's members and franchisees have grown to nearly 3,600 locations worldwide, operating through 15 different affiliate companies, with annual sales throughout the organization and its affiliates of approximately $10.2 billion. In the United States, CCA Global's flooring affiliates are: Carpet One Floor & Home, a cooperative of 1,029 full-service flooring retailers; FloorExpo, a 264-store cooperative serving the residential flooring contractor market; Flooring America, a 638-store cooperative of full-service floor covering retailers; International Design Guild, a 100-store marketing alliance of independent, decorative home furnishings showrooms serving the luxury floor covering market; ProSource, 156 independently owned and operated flooring franchise showrooms open to trade professionals; Rug Decor, whose 32 franchisees sell branded, fashion-oriented area and accent rugs and operate in high-traffic retail locations; and Stone Mountain's Flooring Outlet/GCO Flooring Outlet/The Floor Trader, a franchise with 92 retail stores providing a factory-outlet environment and substantial inventory at special pricing. Additional information about CCA Global can be found on its website at www.ccaglobal.com.
CONTACT: BlueLinx Holdings Inc.