CHICAGO, July 10 /PRNewswire-FirstCall/ — Grainger (NYSE:GWW) , North America’s leading industrial distributor, today announced that its direct marketing subsidiary, Lab Safety Supply, Inc., (LSS) has acquired substantially all of the assets of Highsmith, Inc. located in Fort Atkinson, Wisconsin. Highsmith is a direct marketing leader in the library equipment, furniture and supplies market. Terms of the agreement were not disclosed.
“We are pleased to be adding Highsmith to our specialty catalog group,” said Larry Loizzo, President of Lab Safety Supply. “They have built a solid brand position in the library and school supplies market over the past 50 years; we intend to build upon it.”
The integration of Highsmith into LSS’s operations should be completed over the next 6 months. The acquisition is expected to add $20-30 million to LSS’s sales in 2008. The transaction is expected to breakeven in the first 12 months; due to the timing and anticipated transition costs, the 2008 impact is expected to be dilutive by $.02 to $.03 per share.
About Lab Safety Supply, Inc. (LSS)
LSS provides safety and other products to more than 800,000 customers in North America. It reaches them through a variety of branded catalogs, flyers and Web sites targeted to specific niche markets. Customers represent all sizes and a range of sectors, including manufacturing, government and agriculture.
W.W. Grainger, Inc. (NYSE:GWW) , with 2007 sales of $6.4 billion, is the leading broad line supplier of facilities maintenance products serving businesses and institutions in the United States, Canada, Mexico and China. Through a highly integrated network including more than 600 branches, 18 distribution centers and multiple Web sites, Grainger’s employees help customers get the job done.
Forward-Looking Statements
This document contains forward-looking statements under the federal securities law. The forward-looking statements relate to the company’s expected future financial results and business plans, strategies and objectives are not historical facts. They are generally identified by qualifiers such as “anticipated”, “expected,” “intend”, “should” or similar expressions. There are risks and uncertainties the outcome of which could cause the company’s results to differ materially from what is projected. The forward-looking statements should be read in conjunction with the company’s most recent annual report, as well as the company’s Form 10-K and other reports filed with the Securities & Exchange Commission, containing a discussion of the company’s business and various factors that may affect it.
First Call Analyst:
FCMN Contact: elizabeth.valdez@grainger.com
Source: Grainger
