Canadian Tire, NAPA Canada In Auto Hard Parts Pact

TORONTO -November 4, 2002 Dow Jones is reporting that Canadian Tire Corp. has entered into a five-year supply and technology agreement with NAPA Canada.

In a news release, Canadian Tire said NAPA Canada will supply Canadian Tire stores with emergency parts and automotive products not normally kept in stock. The retailer said parts represented in the agreement make up about 15% of its total automotive hard part sales.

Canadian Tire said the agreement will significantly reduce infrastructure costs and improve product delivery time to stores while also expanding the range of products available to customers.

The company said the related technology agreement for parts ordering, automated inventory tools and other associated technology will be implemented in phases begining in the first quarter of 2003. The project will be phased in over 12-18 months with the majority of the implementation targeted to be complete by the end of 2003.