Diamond Comic Distributors, Inc. has announced that it is closing its Atlanta distribution center, effective after the February 27th distribution.  According to Diamond Vice-President Operations Cindy Fournier, this will primarily impact the thirty retailers that pick up their goods at Diamond's warehouse; other customers in the area are already receiving shipments via UPS or LTL truck shipments.  The pick-up accounts  were given three options -- UPS, LTL, or, if enough customers participated, meeting a Diamond truck at a drop point.  Fournier indicated, however, that the interest in a drop point was low and that all customers will be switched over to UPS or LTL truck delivery. 

According to Fournier, Diamond's move of its central US distribution facility from Sparta, Illinois to Memphis (see 'End of an Era -- Diamond Closing Sparta') led to the decision to close Atlanta.  'Once we realized the UPS and LTL coverage we were capable of out of there [Memphis],' she said, 'it became clear that we could give the Atlanta accounts good service from Memphis without much disruption.'  Fournier cited the improved access to backlist Diamond's central backlist warehouse as another factor -- retailers serviced from Memphis can place reorders until Thursday and receive them with weekly shipments the following week, while the Atlanta-serviced customers only had until Tuesday to place reorders before the cutoff.  And of course, the closing will represent reduced costs for Diamond, with one less facility to staff, heat, and rent. 

Diamond's new Memphis facility, in the town called 'Pick and Pack, USA' because of the numerous distribution hubs located there, has been in operation for about five weeks.  Eighty employees were hired for the new facility, including a number that were relocated from other Diamond facilities.  Eight relocated from Sparta, two from other facilities, and 'a couple more' are expected to relocate from Atlanta.  Fournier described the transition from Sparta to Memphis as going 'very well.'  She cited the movement of Diamond's entire inventory from Sparta to Memphis in only five days as a 'pretty big feat.'  While there's still 'some catch-up' to be done, over-all she said shipments were moving smoothly.  One service parameter remains reduced in comparison to Diamond's old Sparta facility -- retailers must order by 1 pm in order to have orders shipped the following day, while Sparta was able to do same day shipments.  Fournier said that Diamond was still studying how to handle this issue.

We asked whether it made things more difficult to handle the transition of the Atlanta accounts on top of the Sparta to Memphis move.  Fournier said, 'We wouldn't have done it if we didn't think we could do it,' and said that the scope of the Atlanta move was much smaller than the Sparta/Memphis relocation and fit will into the  over-all changes that were being made.