Basics of a ‘Rebate Recovery Program’
Do it Best revealed details of a plan to allow True Value dealers to recover rebates that were lost as a result of True Value bankruptcy. The distributor also revealed key elements of a 2025 Growth Rebate Program.
The chief requirement of the recovery program is for dealers to maintain 2024 spending levels with Do it Best or True Value, which Do it Best officially acquired out of bankruptcy in November.
The 2024 Rebate Recovery Program “is tailored to help you regain lost profits and reward your ongoing loyalty,” the company said in a message describing the plan to True Value dealers.
Dealers could theoretically recover lost rebates by filing claims through the court, but such a recovery is highly unlikely given the large number of claims— secured and unsecured —from banks, vendors and others.
As of Dec. 30, there were 2,990 claims in the docket totaling more than $2.5 billion, including $1.9 billion in secured claims.
To be eligible for the True Value Rebate Recovery Program, retailers must maintain their 2024 total handled purchase volume each quarter to qualify. New stores that don’t have a 2024 baseline of purchases, must maintain a prorated monthly purchase volume each quarter to qualify.
Growth Rebate Program
In addition to the recovery program, the True Value 2025 Growth Rebate Program is designed to reward growth in 2025. Essentially, the program will deliver a 5% rebate on incremental growth beyond a qualifying baseline. To qualify, handled purchases must grow by $10,00 per store over the baseline.
Certain purchases will not qualify for the growth rebate. For instance, these include opening stock order purchases, and non-merchandise store supplies.
"Our mission is to help True Value retailers achieve outstanding growth and profitability,” said Dent Johnson, True Value president. “The 2024 rebate recovery program is designed to ensure these loyal retailers can maximize the full benefit of their partnership with us. By offering this program, plus an additional growth-focused program for 2025, we’re empowering them to receive additional dollars that can be reinvested into their businesses, strengthening their operations, and positioning them for long-term success."
