Volvo Construction Equipment (Volvo CE) has announced the purchase of the assets associated with the Volvo distribution business of L.B. Smith Inc., its largest dealer in the U.S. and distributor for a majority of the East Coast.
Volvo CE takes over the assets, primarily inventory, and certain liabilities at fair wholesale market value.
Volvo CE intends to continue the operation from the existing 31 locations in Florida, Georgia, Tennessee, Alabama, North and South Carolina, New Jersey, Virginia, eastern Pennsylvania and New York. The new company will be doing business as L.B. Smith.
Volvo CE's action is taken in order to ensure that the Volvo customers in these territories continue to receive highest possible standards of product support and service.
"More than four years of recession in the overall U.S. market for construction equipment is impacting both manufacturers and dealers," said Scott Hall, executive vice president and responsible for Global Marketing & Sales within Volvo CE. "We feel it's important to show our customers and the employees of L.B. Smith our strong commitment to the U.S. market."