Distribution ReallocationWe pretty much all know McLanes is the 33 billion dollar distributor. McLanes services distribution to retailers that P3 is at. There is no sense in having 6-8 distributors when one can do the same thing, better, and at a lower cost with faster storage rack to retailer turn around. Also this gives a central location to maximize shelf life at the retail level with a faster turn around of stock all the way to the customers buying at the retail level. This should help cost also in product "not" expiring on the shelf. If you are familiar with the term J.I.T. (just in time) and with a centralized computerization system in place McLanes is able to know exactly what is in stock at each retailer and can fill the needs of the retail customer immediately eleviating out of stock situations... Inventory will be replenished at retailers by McLanes. It just takes a little time to make the transition, Roy has already emailed retail distributors that they can start picking up/oders thru McLanes. Additionally with going to McLanes with over 65 thousand retail distributors nationally in addition to Wal-Marts, Sams, WaWa, 7-11,McLanes puts out to those they deliver to a "new product availability list". This is great news for expansion, almost on auto pilot from here on out.
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