This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

SED International Launches SED Lehrhoff

SED International Holdings, Inc. (Amex: SED), a multinational supply chain management provider and distributor of leading computer technology, consumer electronics and small appliances, today announced the launch of its SED Lehrhoff business segment, which includes small appliances, housewares, and personal care products. SED Lehrhoff considerably expands these segments of SED’s business, and over time is expected to increase SED’s sales and profitability.

For approximately $5 million, a discount to the fair value of these assets, SED acquired inventory, intellectual property including customer and vendor records, and a lease option to a distribution center in New Jersey. Lehrhoff & Co., Inc. was an established distributor of small appliances, housewares and personal care that has been in business for over 90 years.

The Lehrhoff business has historically generated annual revenues of more than $40 million. SED has hired key Lehrhoff personnel and is working to restore the highly regarded Lehrhoff enterprise to historical run rates and bolster overall SED profitability. The SED Lehrhoff business segment is expected to contribute modestly to revenue beginning immediately. In association with the SED Lehrhoff business segment, SED expects to incur one-time transaction fees and start-up costs in the first half of fiscal 2012, with meaningful addition to profitability in fiscal 2013.

“The launch of the SED Lehrhoff business segment significantly enhances our small appliances, housewares and personal care business, broadens the scope of our product offering, and is in line with our strategic initiatives to improve our product mix and margins over time,” said Jonathan Elster, President and Chief Executive Officer of SED International. “Moreover, a distribution facility in New Jersey will enable SED to reduce shipping costs and delivery times for clients in the Northeast and Mid-Atlantic regions, providing us with the opportunity to expand our business with existing and prospective clients.

“Since these business segments have historically produced more than double SED’s historical margins, it is an area we have been looking to expand in for some time. SED Lehrhoff serves as the base from which we can establish our Company as a competitive player in the small appliances, housewares and personal care distribution industries based on an established, 93 year-old organization that is well respected by manufacturers and customers alike,” Elster concluded.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,132.70 -81.72 -0.45%
S&P 500 2,104.50 -6.24 -0.30%
NASDAQ 4,963.5270 -24.3630 -0.49%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs