CDW Opens New State-of-the-Art Western Distribution Center in North Las Vegas
Largest single building distribution center in Southern Nevada more than triples CDW's capacity for shipping IT products to customers, bolstering speed and accuracy
VERNON HILLS, Ill. - February 9, 2006 - CDW Corporation (NASDAQ: CDWC), today announced the official opening of its new Western Distribution Center in North Las Vegas, Nev., which more than triples the company's capacity for shipping IT products with speed and accuracy to customers.
At more than 513,000 square feet, the new North Las Vegas facility becomes the second and largest distribution center for CDW, a leading provider of technology products and services to business, government and education. This new facility, the largest single building distribution center in Southern Nevada, will predominantly serve customers in the western United States and complements CDW's existing 450,000 square-foot Vernon Hills, Ill. distribution center.
"Our ability to ship quickly to our customers from the largest in-stock inventory in the industry has long been one of CDW's key competitive advantages. This new Western Distribution Center expands that advantage and helps position us for continued growth," said John A. Edwardson, CDW chairman and chief executive officer. "The efficiency and productivity gains from this facility will enable CDW to meet our future needs and respond with even greater urgency to our customers' IT requirements."
The Western Distribution Center's highly automated system has a capacity of handling 96,000 outbound cases of IT products every day, compared to a maximum of 45,000 cases per day at the current Vernon Hills, Ill., facility. CDW leases the facility and expects to invest up to $35 million in equipment through 2006. The new distribution center, which began ramping up operations in December, has more than 11 acres of interior floor space and more than seven miles of conveyor belts. This second distribution center also provides CDW with operational redundancy and allows each of the company's distribution centers to backup the other.
CDW's Western Distribution Center also features a product configuration center in a near "clean-room" setting. At approximately 25,000 square feet - more than three times the size of the company's existing Enterprise Configuration Center in Vernon Hills - the center will offer expanded capability for CDW technicians to configure IT products to customers' specifications before shipment.
To foster the company's renowned "coworker-first" corporate culture, CDW permanently transferred about 50 experienced coworkers who volunteered to move to Nevada from Illinois. Including these experienced coworkers; CDW expects to hire another 120 to 130 new local employees, bringing total initial employment 170 to 180 coworkers at the Western Distribution Center. The company plans to replace those coworkers transferred from its Vernon Hills facility in 2006.
"The opening of this amazing distribution facility is fantastic news for the growing business base in North Las Vegas, bringing with it new shipping and high-tech jobs for our residents. I'm confident that CDW will also serve as a beacon to other businesses considering locating operations in the Las Vegas area," said North Las Vegas Mayor Michael L. Montandon.
"I see CDW as a 'cowbell company,' said Somer Hollingsworth, President and CEO of the Nevada Development Authority. "Just as members of the herd will follow the cowbell, when other companies see that a respected Fortune 500 company like CDW has chosen North Las Vegas, they'll look to locate here too."
About CDW
CDW® (NASDAQ: CDWC), ranked No. 347 on the FORTUNE 500, is a leading provider of technology products and services for business, government and education. CDW is a principal source of technology from top name brands such as Adobe, APC, Apple, Cisco, HP, IBM, Lenovo, Microsoft, Sony, Symantec, Toshiba and ViewSonic.
CDW was founded in 1984 and employs approximately 4,300 coworkers. In 2005, the company generated sales of $6.3 billion. CDW's direct model offers one-on-one relationships with knowledgeable account managers; purchasing by telephone, fax, the company's award-winning CDW.com Web site, customized CDW@work™ extranets, CDWG.com Web site and macwarehouse.com Web site; custom configured solutions and same day shipping; and pre- and post-sales technical support, with approximately 120 factory-trained and A+ certified technicians on staff.
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