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Reliable focuses on core markets

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BLACKWOOD, N.J.—Reliable Tire Co. sold two distribution centers in Texas in September and opened a warehouse in Albany, N.Y., as part of its strategy to focus efforts on its core Northeast and Eastern seaboard regions.

“We feel to serve our core markets we need to expand our footprint with locations that will put us within 100 miles of our dealers,” said Chuck McLuckey, director of sales and marketing at Reliable. “A great example of this is the addition of our newest location in Albany, N.Y. This complements our already existing locations in East Syracuse, N.Y., and Hartford. Conn.”

Blackwood-based Reliable said opening the center will allow the company to expand its presence in the region to support local dealers who have been loyal customers throughout the years.

“We feel the proximity of these locations gives us additional support through moving inventory between ourselves,” Mr. McLuckey said.

He explained that Reliable has seen a change in the needs and expectations of today's tire dealers over the last several years. The dealers are not stocking tires as heavily as they had in the past, thus making their needs increase for distributors with a high service model.

“Dealers are still looking for multiple brand offerings,” he continued, “in addition to multiple times a day delivery. “We are studying our core areas and looking at areas that will support these strategies. Where appropriate, we plan to add locations.”

With the decision to focus on the core markets, Reliable sold its locations in Houston and Dallas to Delphos, Ohio-based K&M Tire.

Mr. McLuckey said the deal with K&M gave Reliable the opportunity to focus its attention back on its core areas.

“We had been in the Texas market for many years. Over this time we have built some very strong ties to many tire dealers in that region.

“We have known for a long time that the changing needs of today's tire dealer would require a similar effort in Texas as we are pursuing in the East. We have had numerous discussions and plans to expand our presence in that region.”

Financial terms of the sale were not disclosed.

Reliable operates warehouses in Connecticut, New York, New Jersey and Georgia.

While a Georgia location would appear to be outside Reliable's “core” market, Mr. McLuckey said, “Our current complement of locations fit neatly within what we consider our core areas. Atlanta is well within our area of service, and in time we hope to be linked from the Northeast through to Atlanta.”

Reliable handles more than a dozen manufacturer and private label tires, including: Aurora, Bridgestone, Continental, Falken, Firestone, Fuzion, General, Multi-Mile, Nankang, Pirelli, Sigma, Trazano, Vandervilt and Westlake.
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