Talks relating to the voluntary distribution-consolidation program for Nacco Material Handling Group (NMHG) brands are generating rumours but, so far, only one deal.

While NMHG acknowledges that discussions are under way with several dealers, the company has a policy of not commenting on any specific transactions until after the deal is closed, says Colin Wilson, chief operating officer and president, Americas, for NMHG in Greenville.

In August, Hyster dealer Arnold Machinery Co became the authorised dealer for Yale material handling equipment for all of Colorado, Utah and Wyoming and portions of Nevada, Idaho, Oregon and Arizona (Forkliftaction.com News #420).

The seller, H&E Equipment Services Inc of Baton Rouge, Louisiana, says in a financial filing that it received about USD15.7 million for a substantial portion of its Yale forklift assets in the intermountain region. Arnold Machinery is based in Salt Lake City, Utah.

"Following that (Arnold-H&E) development, there have been several rumours surrounding potential deals between Hyster and Yale dealers," Wilson says.

NMHG opened the door in June to possible dealership and distribution consolidations as part of a North American growth strategy. Wilson emphasises that NMHG intends for any changes to be evolutionary, not revolutionary, and that current dealers are not required to consolidate.

"We have continuously stated that we have the best dealer networks in the industry," Wilson notes. "Our goal is to strengthen these networks even further, whether through having dealers representing Hyster products only, Yale products only or . . . both brands and products."
NMHG plans to continue offering full product lines through both the Hyster and Yale dealer channels.

NMHG is a business of publicly traded Nacco Industries Inc of Mayfield Heights, Ohio.