Digital video disk firm moving to LV
By Richard N. Velotta
LAS VEGAS SUN
A California company that is North America's largest distributor of laserdisc movies hopes to attain that stature in the digital video disc category when it moves into its new facility near McCarran International Airport.
Image Entertainment Inc. of Chatsworth is building a 76,000-square-foot automated distribution center scheduled to open in September. The facility will offer same-day shipping and 24-hour nationwide delivery from the $7 million center.
"Distribution is one of our strongest skills," said Image President and Chief Executive Officer Martin Greenwald. "A larger, well-planned facility, designed specifically with our needs in mind, will give us a competitive edge in customer service. It is our goal to be a world-class distributor of entertainment software. The Las Vegas facility, located next to the country's ninth busiest airport, is a significant step in that direction."
The new facility will replace Image's 48,300-square-foot distribution center in Chatsworth, which is under lease until March 31, 2000. When distribution operations are moved to Southern Nevada, the 7-year-old company will sublease the space and keep its corporate headquarters in Southern California.
Image acquired the 17 acres at Sunset Road and Spencer Street in 1996 for $4 million. Last May, the company postponed construction while it worked to improve its short-term cash flow and earnings. The project got back on track last month and executives reviewed progress last week when they attended the Winter Consumer Electronics Show in Las Vegas.
The new facility, which will employ 35, will have a bar code-based paperless system to allow for the distribution of all configurations of home entertainment software, including laserdisc, DVD, CD and videocassette. Of the 35 to be based in Las Vegas, 25 will be hired locally, said David Borshell, vice president of sales, marketing and operations.
The publicly traded company has exclusive DVD license and distribution agreements with Disney's Buena Vista Home Video, Twentieth Century Fox Home Entertainment, Warner Home Video, MGM Home Entertainment, New Line Home Video, PolyGram Home Video, Orion Home Video, The Criterion Collection, Playboy Home Video and Central Park Media. |
