DXP Enterprises, Inc. (NASDAQ: DXPE) today announced the
immediate termination of the remaining distributor agreements with
ITT Goulds. Subsequent to DXP’s press release dated September 24,
2015, ITT Goulds notified DXP of the immediate termination. As of
October 27, 2015, DXP accepted the immediate termination of the
distribution agreements.
David Little, Chief Executive Officer, stated, “DXP decided to
accept Goulds’ immediate termination. Goulds’ non-compete
requirements known as section or paragraph 7C of the distributor
agreement, did not allow DXP to service all our existing customers.
Despite Goulds’ persistence to cancel DXP after 30 plus years of
building customer trust and relationships, it became necessary to
accept Goulds’ desire for immediate termination. This will allow
DXP to continue to focus on being a customer-driven solutions
provider. As a Goulds distributor, DXP had developed relationships
with our customers in Texas, Louisiana, Mississippi, Oklahoma, New
Mexico, Ohio, Indiana, Kentucky, Colorado, Arizona, Nevada,
Montana, Wyoming, North Dakota, South Dakota, Alaska, Alberta
(Canada) and Hermosillo (Mexico). DXP is presently in 35 states and
well positioned to continue our growth strategy, becoming the one
source solution for customers' rotating equipment needs. We are
excited to move forward for our customers' and employees' benefit.
This resolution increases our flexibility to grow profitably as we
continue to focus on meeting customer needs, delivering strong
performance and sustainable economic value for our customers,
employees and shareholders. DXP is committed to make this
transition as seamless and orderly as possible for our customers,
employees and shareholders.”
Part of DXP’s solution for the customer was the purchase of B27
and the manufacturing capabilities of PumpWorks 610 and PumpWorks
Industrial. B27 brings four decades of rotating equipment
manufacturing and customer service experience, state-of-the art
manufacturing facilities, foundry ownership as well as all pumps
being manufactured and tested in the USA. DXP and PumpWorks is now
in a position to meet all our customer needs through a complete
supply chain solution. Together, through this transition and in the
future, we can provide our customers with the required stock
inventory and related rotating equipment supplies for increased
production capabilities. PumpWorks cut their teeth on the stringent
API requirements for the PumpWorks 610 line and are now focusing
their manufacturing prowess on the ANSI industrial market segment,
PumpWorks Industrial. The PumpWorks Industrial line is supremely
poised to rocket across the oil & gas, power-generation,
chemical, water wastewater, pulp & paper, food & beverage
as well as general industrial market segments with a robust ANSI
pump offering. Technology, experience and a complete supply chain
will ensure that our customers receive unmatched price, delivery
and quality.
As DXP moves forward, we are also excited to work with suppliers
like Grundfos, IDEX, John Crane, National Oilwell Varco, Pentair,
Peerless, PSG, PumpWorks, Sundyne and Xylem, to name a few. DXP
looks forward to creating the best solution for our customers on
competitive pricing, accelerated delivery, aftermarket service and
quality of product.
DXP is prepared to replace all of Goulds’ products with existing
manufacturers, new manufacturers and a high-quality private label
offerings. DXP is eager to move forward with all of its supplier
partners.
DXP is a value added distribution company that brings expertise
and total cost savings to the industrial customer. DXP is, and
always will be, a customer-driven growth company. DXP will continue
to bring unrivaled expertise, quality, speed of service and a total
solution for the customers' rotating equipment needs.
Slower, older and restrictive suppliers along with increased
pricing are not the answers that customers want, nor where the
industry is headed. Competitive pricing, faster delivery, better
quality, increased flexibility, high energy and customer-driven
solutions are the future.
DXP welcomes calls and inquiries from any existing as well as
new customers regarding how we will continue to better serve their
needs. Let us show you a better solution!
Visit us or call us today at www.dxpe.com, www.pumpworks610.com,
www.pumpworksindustrial.com or 1-800-830-3973. DXP looks forward to
serving your needs.
About DXP Enterprises, Inc.
DXP Enterprises, Inc. is a leading products and service
distributor that adds value and total cost savings solutions to
industrial customers throughout the United States, Canada, Dubai
and Mexico. DXP provides innovative pumping solutions, supply chain
services and maintenance, repair, operating and production ("MROP")
services that emphasize and utilize DXP’s vast product knowledge
and technical expertise in rotating equipment, bearings, power
transmission, cutting tools, industrial supplies and safety
products and services. DXP's breadth of MROP products and service
solutions allows DXP to be flexible and customer driven, creating
competitive advantages for our customers. DXP’s business segments
include Service Centers, Innovative Pumping Solutions and Supply
Chain Services. For more information, go to www.dxpe.com.
The Private Securities Litigation Reform Act of 1995 provides a
“safe-harbor” for forward-looking statements. Certain information
included in this press release (as well as information included in
oral statements or other written statements made by or to be made
by the Company) contains statements that are forward-looking. Such
forward-looking information involves important risks and
uncertainties that could significantly affect anticipated results
in the future; and accordingly, such results may differ from those
expressed in any forward-looking statement made by or on behalf of
the Company. These risks and uncertainties include, but are not
limited to; ability to obtain needed capital, dependence on
existing management, leverage and debt service, domestic or global
economic conditions, and changes in customer preferences and
attitudes. For more information, review the Company’s filings with
the Securities and Exchange Commission.
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version on businesswire.com: http://www.businesswire.com/news/home/20151029006268/en/
DXP Enterprises, Inc.Mac McConnell, 713-996-4700Senior Vice
President, Finance & CFOwww.dxpe.com
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