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McLane Company

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McLane Company
Company typeSubsidiary
IndustryLogistics and Supply Chain
Founded1894 in Cameron, Texas
HeadquartersTemple, Texas
Revenue$48 billion (2015)
Number of employees
20,545
ParentBerkshire Hathaway
Websitewww.mclaneco.com

McLane is an American supply chain services company, distributing grocery and food to convenience stores, mass merchants, drug stores and military locations and chain restaurants throughout the United States. McLane is a wholly owned subsidiary of Berkshire Hathaway Inc.

Founded in 1894 in Cameron, Texas, McLane Company has grown from a local merchant to an international distribution and logistics company. The company is headquartered in Temple, Texas, and operates 39 grocery and foodservice distribution centers across the country, as well as one in Brazil.

Corporate operations

McLane Company operates 21 grocery distribution centers and 18 foodservice distribution centers across the country[citation needed].

The President & CEO of McLane Company since 1995 is W. Grady Rosier.

History

The history of McLane Company dates to 1894, when Robert McLane opened a small retail grocery store in downtown Cameron, Texas. In 1903, he expanded into wholesale trade, supplying grocery stores in neighboring towns via rail and horse-drawn wagons. During the 1920s through the 1940s, with the advent of the automobile and a robust highway system, his business grew rapidly to encompass much of the Central Texas region.

In 1966, McLane Company moved its operations to Temple, Texas, and began tailoring its warehouse operations and distribution methods to better accommodate the retail market, including the rapid growth of the convenience store market.

McLane Company pursued a plan of expansion beyond Texas beginning in 1976 under the leadership of Drayton McLane, Jr., the third generation of family leadership. By 1990, the company had established a national presence.

In December 1990, Drayton McLane sold McLane Company to Wal-Mart Stores, Inc. for 10.4 million shares of Wal-Mart stock and an undisclosed amount of cash.[1]

McLane Company entered the foodservice business in December 2000, when it acquired certain assets from AmeriServe Food Distribution to create McLane Foodservice.[2]

In May 2003, Berkshire Hathaway acquired McLane Company from Wal-Mart for $1.45 billion.[3]

In 2012, McLane opened its 21st grocery distribution center in Republic, Missouri. This is a 350,000 square foot building with state of the art technology including the Schaefer Case Picking system. Their 18th and most recent foodservice distribution center was built in Manassas, Virginia in 2010.[4]

In 2012, McLane acquired Meadowbrook Meat Company (MBM), a Foodservice distributor.[5]

Customers

Retail chains that receive one or more product categories from McLane include Wal-Mart, Sam's Club, Walgreens, Pilot / Flying J, Kangaroo Express, WaWa, 7-Eleven, ExxonMobil,[3] Target Stores,[6] Love's, Kmart, Hess, Family Dollar, and AAFES.

Restaurant chains supplied by McLane Foodservice are the Yum! Brands family of concepts: Taco Bell, KFC, Pizza Hut,and former Yum Concepts Long John Silvers/A&W Restaurants.[7] They also provide food to Sonic as of August 2010 and Buffalo Wild Wings.

Specialty divisions and companies

McLane Company owns the following specialty divisions and subsidiary companies:

  • McLane Foodservice, Inc. is a supplier of food and foodservice items to restaurants throughout the US, serving more than 20,000 customers[citation needed].
  • Salado Sales develops and markets private label products to McLane’s convenience store customers. Its lines include various health and beauty care items, film and flash products, light bulbs, motor oil and work gloves.
  • C.D. Hartnett, Inc. is a grocery wholesaler based in Weatherford, Texas. C.D. Hartnett supplies food service accounts, convenience stores, and independent grocers in Texas, Kansas, Oklahoma, and Louisiana. McLane Company acquired C.D. Hartnett in 2004.[8]
  • McCarty-Hull, Inc. is a grocery wholesaler based in Amarillo, Texas. McLane acquired McCarty-Hull in 2006.[8]
  • Empire Distributors is a wholesale alcoholic beverage distributor in the Southeast US. In 2010, McLane Company purchased Empire.
  • MBM Foodservice, Rocky Mount, NC

References

  1. ^ "Astros sale: Changing of the guard" Houston Chronicle, July 5, 1992.
  2. ^ "Tricon pleased by McLane purchase of AmeriServe". QSR Magazine, December 5, 2000. Retrieved June 13, 2007.
  3. ^ a b "Wal-Mart agrees to sell food supplier " New York Times, May 3, 2003.
  4. ^ http://www.expansionmanagement.com/Industryspotlights/Distribution_Centers/18615 "McLane Company to Build 400,000-square-foot (37,000 m2) Grocery Distribution Center in Jessup, Pennsylvania"]. Expansion Management, April 27, 2007. Retrieved June 13, 2007.
  5. ^ McLane Company agrees to acquire MBM
  6. ^ "Grocery distributor starts new center in Lackawanna County" "The Associated Press State & Local Wire", April 13, 2007.
  7. ^ "Tricon pleased by McLane purchase of AmeriServe "". QSR Magazine, December 5, 2000. Retrieved June 13, 2007.
  8. ^ a b "McLane buys McCarty-Hull" Amarillo Daily News, March 30, 2006.
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