Alpha Pro will no longer supply VWR with Critical Cover
March 30, 2010 - United States Of America
Alpha Pro Tech Ltd a leading manufacturer of products designed to protect people, products and environments, including disposable protective apparel and building products, announced a strategic change in the Company’s disposable protective apparel distribution strategy.
The Critical Cover disposable protective apparel brand and its associated trade names, SureGrip, AquaTrak, ComforTech and Microbreathe, are trademarks owned by Alpha Pro Tech and have been manufactured by Alpha Pro Tech exclusively for VWR International, LLC (“VWR”) since the early 1990s. Alpha Pro Tech has recently been informed that VWR, which has always been Alpha Pro Tech’s largest distributor of disposable protective apparel, has decided to launch its own private label line of disposable protective apparel, and has made a business decision to transition away from selling Alpha Pro Tech’s disposable garments to their own brand of apparel.
As a result of this decision, Alpha Pro Tech will no longer supply VWR with Critical Cover proprietary shoe and boot apparel. To ensure that end customers have access to our widely known and well-recognized Critical Cover products, Alpha Pro Tech has made these products available through a broader distribution network. We anticipate that the balance of our Critical Cover apparel product line will be available through both the increased distribution network and VWR.
Al Millar, President of Alpha Pro Tech commented, “We are disappointed that it has come to this, but, having learned of VWR’s decision to launch a competing line of products, and based on the resulting change in our relationship with VWR, we have no choice but to shift away from VWR as the sole distributor of our Critical Cover protective apparel product line and to utilize a more diversified, broader, global distribution strategy. We will be working closely with our distribution partners to ensure continuity in our distribution channel to minimize potential supply-chain interruptions.”
Mr. Millar continued, “Shoe and boot covers account for approximately 50% of our apparel business and it is possible that our decision to not supply these products to VWR could have an adverse affect on the remainder of our relationship with them and on our business and financial condition. However, we hope that we will have a continued relationship with VWR for the balance of our product line, based on our long history with them. Above all, we are committed to producing the highest quality products and we have an obligation to our customers and our shareholders to protect our brand.”