O'Reilly Auto Parts 2003 Annual Report Download - page 18

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page 16
O’Reilly Automotive
Strategic
Distribution Systems
We see our delivery model setting the
standard for the future of the automotive
aftermarket industry.
On average, we stock over 100,000 individual stock keeping units (SKUs) in our distribution centers.
Customers have unparalleled access to hard-to-find parts, creating a competitive advantage for our company.
They have become accustomed to our same-day or overnight delivery of any part in our distribution center,
making any substitute unacceptable. We believe they deserve this level of service and will continue to
reward our company with their loyalty.
We continue to evaluate the efficiencies and capacity of our distribution network. We have successfully
completed expansions of our distribution centers in Little Rock, Arkansas and Houston, Texas. We
completed the remodel of our distribution centers in Knoxville, Tennessee and Springfield, Missouri
and expect to complete the remodel of our distribution center in Nashville, Tennessee in spring of 2004.
It’s our commitment to extraordinary customer service that determines the number and location of
our distribution centers. Our distribution centers are strategically located to pursue new, contiguous
markets, allowing for growth, while sustaining overnight delivery to every store. In June 2003, we
successfully opened our 10th distribution center near Mobile, Alabama, which will enable further
penetration into the Southeast and further capitalize on the acquisition of Mid-State Automotive
Distributors, Inc., completed in 2001.