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SEMA Show, Day Three: Alliance may add third D/C

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Now that it has integrated several additional brands into its portfolio, Alliance Tire Groupe sees the need to beef up its distribution in the United States.

“We expect to have another distribution center sometime during the second quarter of 2011,” Alliance President Manny Cicero told at this week's Global Tire Expo -- Powered by TIA/Specialty Equipment Market Association Show.

The Israel-based company currently has distribution centers in Memphis, Tenn., and Houston, Texas. Alliance acquired the Houston warehouse as part of its acquisition of GPX International Tire Corp., which was finalized earlier this year.

The purchase of GPX, which was in bankruptcy, also brought the Galaxy and Primex brands to Alliance. And it gave Alliance the North American rights to Aelous, a Chinese-made medium truck tire line.

Alliance has spent the better part of 2010 integrating and positioning those brands, according to Yogesh Mahansaria, the company’s CEO. "We sort of viewed 2010 as a year of consolidation. We see 2011 as the year we begin leveraging all of our investments."

He added that Alliance "wants to end 2012 with sales of $500 million.” Alliance achieved $275 million in sales during 2009.

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