While Bunzl Distribution Inc., St. Louis, is no stranger to acquisitions, the past year has been an anomaly. The company, a supplier of disposable paper and plastic supplies, has acquired seven companies in the past 12 months.

While recent activity is amplified, Patrick Larmon, president and CEO of Bunzl, said it is not due to any newly established effort or initiative.

“We’re always looking for acquisitions ... and there seems to be a lot of quality ones available right now, so we’re taking advantage of that,” said Larmon.

Bunzl is not pursuing acquisitions in any one market sector or region, though Larmon said the majority of the acquisitions have been redistributors. “There’s a lot more companies involved in that area so there’s a lot more opportunity for acquisition,” said Larmon.

Bunzl’s acquisitions include:

• October 19: Weiss Bros., Co., Philadelphia, a distributor of store supplies for supermarkets.

• October 11: Retail Resources LP, New York, a distributor of store supplies, jan/san maintenance items, labels, boxes and other paper products.

• October 3: A.W. Mendenhall, Chicago, a redistribution company.

• August 3: SOFCO, New York State, a distributor of jan/san, industrial and paper products.

• June 22: Maintenance Depot, West Palm Beach, Fla., a distributor of food service disposables and jan/san maintenance products.

• December 6, 2004: Temo Sales Inc., a New York-based redistributor of food service and jan/san maintenance supplies.

•November 29, 2004: Joseph Weil & Sons, Chicago, a redistributor of jan/san, food service and non-food retail products.

Larmon sees industry changes that cause him to believe that the companies Bunzl has acquired have benefitted.

“I think some of our acquisitions see that our strategies are in line with what they want to see take place long-term, and we provide opportunities for their employees,” said Larmon. “If they are at a point in time in their lives that it’s good for them to sell, we may be a good option for them to sell to.”

Larmon said employees from acquired companies are generally embraced. “We were able to pick up a lot of quality people who have a lot of experience and knowledge in the industry, which will help us build a stronger team of people throughout our company,” said Larmon.

Larmon expects acquisition activity to continue — he believes there are many more opportunities. “We have had many, many acquisitions over the years, but not quite so many as in this period of time.”

NEWS MAKERS

ISSA/INTERCLEAN® Enters Asian Markets
ISSA, in a partnership with Amsterdam RAI and the Italian Association of Manufacturers and Distributors of Professional Cleaning Equipment and Products (AFIDAMP), has reached an agreement with Clean Asia Media to acquire the Clean Asia trade show and magazine.

The partners will serve as hosts to the ISSA/INTERCLEAN China trade show and educational exhibition, the first of which is scheduled for September 20-22, 2006, at the ShanghaiMart Expo in Shanghai, China.

The partnership also incorporates the former Clean Asia magazine into the Asia Cleaning Journal, which is owned by Criterion Publishing Ltd., publisher of the European Cleaning Journal.

Debate Continues Over Antibacterials
 In October, the FDA’s Nonprescription Drugs Advisory Committee voted 11-1 that antibacterial washes are not more effective in preventing disease than ordinary soap and water.

The Soap and Detergent Association (SDA) and the Cosmetic, Toiletry and Fragrance Association (CTFA) contend that antibacterial products are safe and effective.

While the FDA committee isn’t recommending any official FDA action against antibacterial products, it is urging the agency to study the products further. Concerns over antibacterial products’ possible role in aiding the formation of drug-resistant bacteria prompted the study.
Intellibot Gets A New Gig
GCA Services Group, a large facility services contractor, has announced it will utilize Intellibot’s scrubbers in the facilities it services. Intellibot Robotics LLC is a developer of autonomous commercial floor cleaners.

GCA currently uses Intellibot’s scrubbers in large, high tech customer facilities. It realized that the machines help reduce labor costs by up to 85 percent while increasing the quality and consistency of cleaning, so it has expanded the use to other facilities.


REGULATORY NEWS

The Occupational Safety and Health Administration (OSHA) recently revealed its 10 most violated standards, as collected from citations issued between October 1, 2004, and August 30, 2005.

The top 10 types of violations were: (in order) scaffolding, hazard communication, fall protection (general requirements), respiratory protection, lockout/tagout, powered industrial trucks, electrical (wiring methods, components and equipment), machine guarding (general requirements), electrical (general requirements) and ladders.

Donations Continue To Pour In For Hurricane Victims
As the cleanup of areas affected by hurricanes Katrina and Rita continues, jan/san companies and associations are not only contributing to the relief effort with products and services they normally would, but are also pitching in with monetary donations.

Here are just a few of the efforts taking place among industry companies and associations:

• Employees at Minuteman Intl., Inc., Addison, Ill., wanted to support cleanup efforts along the Gulf Coast, so the company is giving employees the opportunity to contribute a designated dollar amount to be deducted from each paycheck over a period of time. The company is matching all contributions, which will go to the Red Cross.

• The Industrial Supply Association (ISA) will donate $50,000 to the American Red Cross on behalf of its member companies.

• Network Services Co., Mount Prospect, Ill., has donated a truckload of products to the Salvation Army. Items include 11 pallets of disposable gloves for cleanup and food preparation, seven pallets of trash bags and four pallets of containers for serving food to evacuees.

• DuPont, Wilmington, Del., made a $1 million cash contribution in late August and has also established the DuPont Hurricane Katrina Fund for employees and retirees. DuPont will contribute an amount equal to that contributed by employees and retirees through the end of 2005, up to $1 million.

• United Stationers, parent company of New-Orleans based LagasseSweet, created a disaster-relief foundation and pledged to match each dollar contributed by LagasseSweet and United Stationers Associates.

The Red Cross, one of the largest charitable organizations assisting in the clean-up efforts, is estimating it will spend $2 billion in aid.

As of November 2, the organization had collected $1.3 billion in gifts and pledges.


Correction: The Editor’s Note in the October 2005 issue of Sanitary Maintenance incorrectly stated, with regard to the article “AmSan On the Record” that “AmSan is looking at its third consecutive year with operating profits exceeding 25 percent.” The Editor’s Note should have reflected what was stated in the article — that 2005 will represent the third consecutive year AmSan’s operating profit increased by more than 25 percent.




POSTED ON: 11/1/2005