American Tire Distributors Holding Inc. (ATD) has closed eight of the 23 Am-Pac Tire Distributors warehouses it acquired last year and plans to close Am-Pac's headquarters and warehouse in Simi Valley, Calif., in the coming months.
ATD consolidated the activities of the closed warehouses into existing ATD distribution centers in the same area. The company did not say how many jobs were eliminated in the closing nor what costs it incurred or will occur related to the closings, nor what cost savings it might accrue from them.
The Simi Valley closing will affect 63 employees, starting in late June and stretching through to year-end.
The consolidations are part of ATD's integration of Am-Pac, which the Huntersville-based wholesaler acquired last December for $75 million. ATD recently disclosed Am-Pac operated in the red during fiscal years 2006-2008, racking up $21.5 million in losses during those three years on $937.1 million in sales.
ATD did not give the locations of the closed warehouses. It said the Am-Pac centers in St. Louis, Birmingham, Ala., and El Paso and Waco, Texas, have proved valuable in improving ATD's service to its customers in those areas.
Earlier ATD said it intends to sell the 37 retail stores in California and Missouri it acquired last year as part of its acquisition of Am-Pac.
Those outlets generated approximately $55 million in sales revenue last year, with roughly 335 employees, ATD said.