Global Imaging Systems, Inc. is owned by Xerox, Global has agreed to buy Comdoc.
For the sake of almost 3,000 people who lost their jobs, was this a good move by a Xerox owned company? Heck in Rochester the other day, Xerox laid off 40% of the HR department!
Terms of the deal have not been disclosed, however I'd like to see where all of the money came from. You don't go out and lay off 3,000 workers and then buy one of the largest independent dealers for office equipment in the US.
KUDOS to the employees of Comdoc, I'm thinking all of you made out real well with the sale.
Quote from Crains in Cleveland:
The employees at ComDoc Inc. might not own the company for much longer.
The pending purchase would bring to an end what ComDoc CEO Riley Lochridge in a past interview with Crain’s had described as a “culture of ownership.” The company’s employees increased their ownership stake in ComDoc to 100% from 42% on Dec. 29, 2006.
The Akron-based distributor of copiers and printers has agreed to be acquired by Global Imaging Systems Inc., a subsidiary of Xerox Corp. The deal is expected to close by the end of the first quarter of 2009. Terms were not disclosed.
Global Imaging Systems, Inc., a Xerox company (NYSE: XRX), today announced a definitive agreement to acquire ComDoc, Inc. This acquisition will expand Global Imaging’s coverage into four states offering them access to more than 14,000 new customers.
One of the larger independent dealers in the U.S., ComDoc, sells products from various suppliers, none of which today include Xerox. In addition to its existing offerings, ComDoc will start selling Xerox document management products following the close of the acquisition.
Comdoc, founded and headquartered in Akron, Ohio in 1955, has offices in Cincinnati, Cleveland, Columbus, Dayton and Youngstown, Ohio; Pittsburgh, Pa.; Albany, Buffalo and Syracuse, N.Y.; and Fairmont, W. Va.
Summary: This was one of Ricoh's largest dealers in the North East, another hit for them and probably all the more reason to keep expanding direct. Canon? Where were they, you haven't heard squat from them since Ricoh bought IKON except for a purchase of NewCal in California.