Tube City Almanac

January 29, 2010

Book Country Eyes Expansion; Could Buy Precoat Property

(News)

Book Country Clearing House is eying the former site of Precoat Metals for a major expansion, Tube City Almanac has learned.

Book Country CEO Richard Roberts confirmed Thursday his company made an offer to Precoat and hopes to find out within the next two weeks if the bid has been accepted.

Book Country, which supplies remaindered books to retail stores all over the world, needs to add about 250,000 square feet, and the eight-acre Precoat site on Walnut Street in the 12th Ward would be ideal for its needs, Roberts says.

A Precoat spokeswoman has not responded to email or a phone message left by the Almanac at the company's headquarters in St. Louis.

Other sources say at least one other party besides Roberts is interested in the Precoat site.

. . .

"We saw a 20 percent increase in our wholesale business last year," says Roberts, who with his wife, Sandy, purchased Book Country in 2003. "Bargain books sell very, very well during a down economy."

Book Country currently occupies all of the former Potter-McCune Co. warehouse, which was used by Greater Pittsburgh Community Food Bank from the mid-1980s until it relocated to Duquesne in 2001.

But to service new clients in China, southern Africa and Europe, Roberts says, the company needs to grow again.

Rapid expansion forced Book Country last year to shut down a short-lived retail outlet in the front of the approximately 375,000 square foot warehouse, he says.

. . .

"Unfortunately, we had to close the store," Roberts says. "We needed the space."

The Precoat plant, previously operated by Enamel Products & Plating Co., closed in March 2009. Demolition of the structures began earlier this month.

According to City Administrator Dennis Pittman, Precoat is reportedly removing the buildings and their contents because of continued demand for scrap metals overseas, and to clear the property for resale.

. . .

But Pittman says that Precoat also has not ruled out returning to McKeesport if the economy --- and particularly new home construction --- recovers.

The company, which has seven other plants around the United States, plates steel for use in construction and building materials.

"They told us that facility was no longer working for them, and they needed to upgrade their equipment," Pittman says. "But they said they want to be back in this geographic area if they start over."

McKeesport is just three miles from U.S. Steel's Irvin Works, which produces flat-rolled steel coils of the type used in Precoat's products.

. . .

Book Country, which currently employs about 100 people, envisions constructing a new warehouse and distribution center on the Precoat property.

The company receives books from stores all over the country that have been returned to their publisher as "unsellable" because they've become damaged or out-of-date, or because they're simply not in demand.

It then repackages those books --- best-sellers, children's books, cookbooks, reference books and all kinds of works --- and resells them to discount stores and other retailers.

The Christy Park warehouse currently holds about 10 million books representing 35,000 titles, Roberts says.

. . .

If Book Country expands its facility in McKeesport, it will likely hire another 25 to 35 employees, he says.

When the Dish Network call center announced it was closing, KDKA talk-show host Marty Griffin reported rumors that it was unable to hire Mon-Yough residents because they were lazy or drug addicts.

But Roberts disputed that accusation, saying his company's work force is "the best asset we've got." Book Country has begun offering profit-sharing and other incentives to retain employees, he says.

"You could not find a better group of people anywhere," Roberts says. "I would put my workers up against anyone in terms of productivity."







Feedback on “Book Country Eyes Expansion; Could Buy Precoat Property”

I salute the owners of Book Country for sticking to it! This is the type of business that Cong. Doyle and others should look at for an injection of the elusive Economic Stimulus money so they can expand and hire more local employees! I wish them all the best of luck!
Donn Nemchick - January 29, 2010




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