True Value suspends drop ship
A November 4 letter to True Value retailers and vendors informed them that the Chicago-based distributor is suspending its drop ship program.
The company, which filed for Chapter 11 bankruptcy protection on Oct. 14, said the change will enable it to build warehouse inventory in the short term and enhance seasonal fill-rates heading into winter and spring. The drop-ship program is suspended until Nov. 22, the target date for the completion of Do it Best's acquisition of True Value assets.
While True Value emphasized that dealers can arrange their direct ship needs however they see fit, it also pointed to Do it Best as a logical supplier during the transition period.
"Because Do it Best likely will be acquiring our assets and combining our business with theirs in the next few weeks, we think it makes sense to send your direct ship business to [Do it Best] until our sale transaction is completed," the letter states.
Meanwhile, Memphis, Tenn.-based Orgill and the Hardware Distribution Alliance have both publicly thrown their hats in the ring to supply True Value dealers affected by the bankruptcy.
Ace Hardware, the Oak Brook, Illinois-based co-op has declined to comment on any effort to recruit True Value dealers.
