Napa Auto Parts 2004 Annual Report Download - page 12

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S.P. Richards’ product offering includes: filing supplies, office
furniture, cleaning and breakroom supplies, computer supplies
and accessories, consumer electronics, school supplies, business
machines, writing instruments, desk accessories, paper products
and healthcare supplies.
The Company meets the needs of its diverse customer base by
providing a wide range of specialized services. Through convenient
access to a broad spectrum of products and comprehensive
logistical support, S.P. Richards’ services complement the
initiatives of large contract stationers, national office supply
superstores and mail order customers. In addition, many
resellers can avoid the significant investment typically required
to expand their national accounts service area by relying on the
Company’s logistical capabilities. S.P. Richards’ comprehensive
array of marketing programs designed for the independent
reseller is another valuable service that distinguishes this group
as a leader in the wholesale distribution of business products.
Within the S.P. Richards organization, the Company operates
Horizon and S.P. Richards Canada. Horizon distributes computer
supplies, accessories and business machines throughout the
U.S. and Western Canada. Its customers include the traditional
S.P. Richards’ customer, the general office supplies reseller, as
well as computer supplies specialists, business machine dealers,
retail computer dealers, value-added resellers and business
forms dealers. S.P. Richards Canada distributes more than
20,000 office supply and furniture products from locations in
Vancouver, Calgary, Winnipeg and Toronto.
S.P. Richards produced consistent results in each of the quarters
in 2004 and revenues grew 6% for the year compared to 2003.
Increases in the office furniture category and at S.P. Richards
Canada helped lead the Company to its strongest sales growth
in the last few years. Industry factors, such as positive trends in
white-collar employment, also provided us with growth opportu-
nities in 2004.
Growth Initiatives
In 2004, the Company focused on various initiatives to enhance
revenue and earnings growth. Primarily, we focused on expanding
the product offering, marketing programs and dealer services
offered to our reseller customer base, both in the Independent
channel and at National Accounts. Our improved product,
marketing and service capabilities better position S.P. Richards
and its customers to grow their sales and profits.
Utilizing more than 350 leading business product manufacturers
worldwide, S.P. Richards delivers a broad range of products to
its customers. We are constantly updating our product offering
to support the reseller as a single source provider of business
products. This year, initiatives to expand our office furniture and
cleaning supply and breakroom product categories were integral
to our growth. In addition, we added another new value alternative
for customers with Integra, a proprietary line of writing instruments.
Integra is the sixth line in our proprietary product family that
includes: Sparco office supply basics, Compucessory computer
accessories, Nature Saver recycled paper products, Elite Image
new and remanufactured toner cartridges and Lorell office furniture.
S.P. Richards has designed and implemented numerous market-
ing programs and dealer services to support and grow existing
business as well as generate new business opportunities for the
Company and its resellers. The SPR Advantage Program, which
S.P. Richards Company is one of North America’s leading business products
wholesalers, offering over 30,000 items to more than 7,000 resellers in the U.S.
and Canada. From a network of 44 distribution centers, the Company supplies
its customers with a vast assortment of business products.