Building merchant chain Wolseley plans to spend £100m on two new distribution centres to bolster its UK operation.
The supplier of building materials and plumbing and heating products hopes to open a new national hub alongside its UK headquarters at Leamington Spa by summer 2006.
The move is likely to create 150 jobs.
Wolseley will also open a regional feeder centre in the North West to add to existing sites at Melmerby in North Yorkshire, Worcester and Milton Keynes.
The company said the extra capacity would enable a wider range of products to be held, as well as providing better service to branches and lower costs through a fully integrated supply chain.
Wolseley, which achieves more than half of its sales in the United States, said the £100m cost would be met from existing resources.
Chief executive Charlie Banks added: “This £100m infrastructure investment demonstrates a long-term commitment to growing our business and sharing best practice across the group.”
Today’s developments follow a period of sustained growth for Wolseley, which announced in September that annual sales had broken the £10bn barrier.
Wolseley, which has its corporate HQ at Reading, also said pre-tax profits rose by 31.2% to £559.1m in the year to July 31. It achieved sales of £2bn in the UK, including those from the Plumb Center and Hire Center brands.
References: EGi News 11/01/05
