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Wholesale marketing and buying group Affiliated Distributors, Wayne, PA, has agreed to merge with Canadian electrical buying group Independent Electrical Distributors. The merger strengthens the market position of electrical independents in Canada and commands 23 percent of the total market.
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According to AD’s President of Electrical Divisions, David Oldfather, “The synergy between the two groups is a natural fit as former IED members will have the opportunity to take advantage of increased earnings, cost reductions, access to AD’s financial tools, new marketing programs, best in class networking and North American relationships.”
Jim Milne, current president of IED, will manage the newly combined Canadian group as AD’s Canadian Division president.
“We’ve always had a great deal of respect for the AD Canada distributors,” said Milne, “and now that we have the opportunity to join into a single entity, the collective strength of this group will allow even further market penetration and growth ... As IED, we also bring to the group a long-standing, successful customer rewards program, a well-known differentiator in the contractor community and a proven way to gain and retain mindshare.”
AD’s Canadian Electrical Division includes 16 distributors, representing 143 branches with a sales volume of $750 million. IED (less EECOL, whose volumes will remain part of IED through 2013) is comprised of 36 companies with 90 branches and a volume of $800 million, for a combined volume total for AD/IED of over $1.5 billion in Canada.
AD’s total electrical sales in North America are over $13 billion.