BlueLinx announces consolidation

BlueLinx Holdings, a nationwide distributor of building materials, has announced plans to eliminate underperforming skus from its assortment as part of a cost-cutting effort. The company plans to “aggressively sell through its inventory in these skus” commencing in the fourth quarter, according to a prepared statement.

No details were given on which skus have been targeted, or how many are involved.

BlueLinx will also consolidate its Atlanta headquarters and sales center into one building, thereby saving a projected $1 million to $1.5 million in operating expenses in 2008. Both buildings are leased facilities, and declines in headcount have produced excess capacity.

According to the statement, both moves were prompted by the “prolonged downturn in the housing market.”

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