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Wheeler Fleet Solutions expands distribution capability

Feb. 3, 2023
VSE Corporation's subsidiary seeks to ensure faster response and delivery times by bringing parts closer to end-users and capitalize on market demand with its new facility.

VSE Corporation opened its new distribution and e-commerce fulfillment center of excellence in the greater Memphis, Tennessee, area. The new, state-of-the-art 450,000 sq.-ft. distribution center more than doubles the existing warehouse footprint of VSE’s Fleet segment, adding greater capacity to its Wheeler Fleet Solutions (Somerset, Pennsylvania) subsidiary, which distributes heavy-, medium-, and light-duty vehicle parts.

“During the last four years, our commercial fleet sales have grown from approximately 10% to 40% of Fleet Segment revenue, driven by share gains across both commercial fleet and e-commerce fulfillment channels,” said John Cuomo, president and CEO of VSE Corporation. “Looking ahead, we anticipate this distribution center will contribute more than $50 million in new, incremental sales to our Fleet segment in 2023.”

The new center of excellence will support faster, same-day order-to-delivery times and allow for additional shipping carrier options. The facility features a new warehouse management system (WMS) and automation technology to increase capacity and productivity while ensuring customer order accuracy. Once fully operational, the center will stock more than 175,000 SKUs.

Wheeler Fleet Solutions will remain headquartered in Somerset, Pennsylvania, a central distribution center supporting its other fleet and United States Postal Service (USPS) customers.

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