Frank Parsons Sells NY Division to Central National-Gottesman

Frank Parsons Inc. signed a definitive agreement to sell its Hudson City division, which services the metropolitan New York area, to Central National-Gottesman Inc., a New York-based pulp and paper company. The sale was expected to close on or before Dec. 31, 2009.

“This transaction will enable Frank Parsons to focus its sales and marketing efforts on our core mid-Atlantic markets and provide us with the resources needed to expand our growing position in the office supplies industry,” said J. Michael Lane, CEO of Frank Parsons. “Although selling a division is always a difficult decision, we felt Central National-Gottesman was the best long-term choice for the families that will be affected.”

“The Hudson City division of Frank Parsons Inc. has a long and successful history as one of the preferred paper suppliers in the metropolitan New York area,” said Ken Wallach, chairman and CEO of Central National-Gottesman. “We look forward to combining the excellent resources of the Hudson City division with our New York sales and support group, located in our state-of-the-art regional distribution center in Moonachie, N.J. This acquisition will strengthen Lindenmeyr Munroe’s leading position in the important New York market and underscores our continued commitment to expand our paper distribution business, both internally and through strategic acquisitions.”

In 2008, Frank Parsons moved its corporate headquarters to a new 200,000-square-foot warehouse and distribution center in Hanover, Md., minutes from Baltimore-Washington International Airport. This state-of-the-art facility also serves as a hub for the company’s mid-Atlantic operations, providing overnight service to Maryland, Pennsylvania, Virginia and Washington, D.C.

A recent expansion of the Hanover facility will add 32,000 square feet of space and will serve as the company’s new office supplies distribution center. It will also be home to Frank Parsons Express plus, the company’s next generation of wholesale stores. Unlike the current stores, which sell only paper, envelopes, and ink, Frank Parsons Express plus will also carry a full line of office supplies.