Purchaser plans new direction
The purchaser of Innotrac Corp. plans to change the focus of the company’s fulfillment center in Reno, but it’s keeping quiet on the details.
GSI Commerce Inc. of King of Prussia, Pa., said last week it reached a definitive agreement to acquire Innotrac, a Georgia company that operates a call center and distribution facility in 260,000 square feet at 4910 Longley Lane.
A key element of the acquisition, a GSI Commerce executive said, is a plan to use the Reno facility to provide regional fulfillment capabilities to its clients.
Through use of regional fulfillment centers, GSI expects to provide speedier deliveries to consumers while cutting shipping costs for the retailers that are GSI’s customers.
GSI takes e-commerce orders, fills online orders and provides other services for companies that include Ace Hardware, Dockers and Sports Authority.
By purchasing Innotrac and the Reno facility, GSI can move into regional fulfillment a year earlier than originally planned, a GSI Commerce executive said.
The acquisition of Innotrac is scheduled to close in the first half of 2009, and a GSI spokeswoman said the company won’t have much to say about its plans for the Reno facility until the final papers are signed.
She said, however, the current facility appears to have enough space for expanded operations. Innotrac’s lease of the building, which can support a 200 workstation call center along with a distribution center, runs through September 2010.
The facility currently employs 150 fulltime workers during most of the year, and the number of worker surges to 400 with the addition of temporary workers during peak seasons.
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