The adidas Group is to consolidate the adidas brand’s apparel distribution centre in Hebron, Kentucky, its footwear distribution centre in Spartanburg, South Carolina and the Reebok brand’s apparel distribution centre in Memphis, Tennessee, and its footwear distribution centres in Stoughton and Norwood, Massachusetts, into new facilities in Spartanburg, South Carolina, by autumn 2009. The decision aims to develop an integrated distribution network which will strengthen the group’s competitive position and contribute to the synergies created by the integration of adidas and Reebok.
The facilities in Memphis and Hebron are expected to remain in operation until autumn 2008, whilst the facilities in Stoughton, Norwood and Spartanburg are expected to remain in operation until autumn 2009.
US distribution centres not affected by the consolidation include Reebok’s Sports Licensed Division facilities in Mattapoisett, Massachusetts, Indianapolis, Indiana and Cedar Rapids, Iowa, the Rockport Company facility in Lancaster, Massachusetts, and the Taylor Made-adidas Golf facility in Carlsbad, California.
The strategy will affect approximately 375 adidas and Reebok jobs at the apparel distribution facilities in Memphis and Hebron and at footwear distribution facilities in Stoughton and Norwood. Adidas employees currently in Spartanburg will move to the new site a few miles away.