Volvo Construction Equipment announced May 7 it has acquired the distribution businesses of L.B. Smith, its largest U.S. dealer and distributor for the majority of the East Coast.
Volvo CE says it will continue operating the business from the existing 31 locations in Florida, Georgia, Tennessee, Alabama, North and South Carolina, New Jersey, Virginia, eastern Pennsylvania and New York. Volvo CE will operate the company as LB Smith.
Scott Hall, executive vice president responsible for global marketing and sales for Volvo CE, said L.B. Smith was a victim of tough economic times. “More than four years of recession in the overall U.S. market for construction equipment is impacting both manufacturers and dealers,” Hall said. “Our primary objectives are to provide ongoing and complete services to Volvo customers and to protect their interests and investments in Volvo construction equipment. Personnel and management systems are in place at each of the dealership locations involved to make certain that those objectives are met as seamlessly as possible.”
Volvo said in a press release its strategy to work mainly with independent dealers remains and the company hopes to spin off the acquired distribution business over time.