MicroWarehouse
Encyclopedia
MicroWarehouse is one of the UK's largest and longest established direct resellers of branded IT products and services to business. At the height of their industry dominance Micro Warehouse had 3500 employees in 13 different countries. By 2000 Micro Warehouse was the leading direct marketer and catalog retailer of personal computer products with worldwide sales of $2.6 billion. MicroWarehouse owns and operates the domain names Inmac.co.uk, MacWarehouse.co.uk and MicroWarehouse.co.uk. All three are on-line, web-based, computer hardware and software retailers.
and Bob Bartner in 1987, and was based in South Norwalk, Connecticut. After an Initial Public Offering on December 10, 1992, the company paved the way for a variety of competitors. In the 1990s Micro Warehouse acquired a large number of similar companies in Europe. Companies were acquired in the UK, France, The Netherlands, Sweden and Finland. Inmac
was also purchased, raising European sales to over $700 million. After growing to become the fifth largest catalog company in the world and a dominant reseller for Apple, Microsoft, and many other hardware manufacturers and software publishers, a class-action lawsuit distracted senior management for several years.
Jerry York
, CFO who led turnarounds at IBM
and Chrysler
, was the Chairman, President
, and CEO. The Los Angeles
buyout firm Freeman, Spogli, York, and a group of private investors including Michael Ovitz
and Gary L. Wilson
, spent $725 million to take Micro Warehouse private in February, 2000. The leveraged buyout
left the company burdened with $200 million in debt. The company sold its North American operations to CDW Corporation just two and a half years later, on September 8, 2003 for $22 million. Micro Warehouse filed for Chapter 11 bankruptcy protection and York announced his resignation. The bankrupt company owed millions to its unsecured creditors. $17.9 million to Ingram Micro
, $8.6 million to Hewlett-Packard
, $3.1 million to Toshiba
, and $2 million to IBM
.
MicroWarehouse, along with Equanet
and MacWarehouse are the three brands owned by Dixons Retail plchttp://www.dsgiplc.com/layout.aspx?ID=a38a2d04-b2c4-4fd6-a364-d6ea3bad6e89&CatID=fa211842-9d25-45f3-a441-f35756e401f0. WHSU Inc. and WHSU International Inc. (together known as MicroWarehouse) was acquired by the DSGi on 4 June 2004. On 9 October 2003 MicroWarehouse filed bankruptcy which ultimately led to purchase of the MicroWarehouse by the Group. When MicroWarehouse was acquired by the group it became a division of PC World Business
.
History
The company was originally co-founded by Peter Godfrey, Felix DennisFelix Dennis
Felix Dennis is a British magazine publisher, poet, and philanthropist. His privately owned company, Dennis Publishing, pioneered computer and hobbyist magazine publishing in the United Kingdom...
and Bob Bartner in 1987, and was based in South Norwalk, Connecticut. After an Initial Public Offering on December 10, 1992, the company paved the way for a variety of competitors. In the 1990s Micro Warehouse acquired a large number of similar companies in Europe. Companies were acquired in the UK, France, The Netherlands, Sweden and Finland. Inmac
Inmac
Inmac , which became a publicly-traded company, was founded in 1975 in Silicon Valley. The company was first listed on the NASDAQ in 1987 and later merged with MicroWarehouse in 1996....
was also purchased, raising European sales to over $700 million. After growing to become the fifth largest catalog company in the world and a dominant reseller for Apple, Microsoft, and many other hardware manufacturers and software publishers, a class-action lawsuit distracted senior management for several years.
Jerry York
Jerry York (businessman)
Jerome Bailey York , commonly known as Jerry York, was an American businessman, and the Chairman, President and CEO of Harwinton Capital. He was the former CFO of IBM and Chrysler, and was CEO of Micro Warehouse. He was a chief aide to Kirk Kerkorian and his Tracinda investment company...
, CFO who led turnarounds at IBM
IBM
International Business Machines Corporation or IBM is an American multinational technology and consulting corporation headquartered in Armonk, New York, United States. IBM manufactures and sells computer hardware and software, and it offers infrastructure, hosting and consulting services in areas...
and Chrysler
Chrysler
Chrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....
, was the Chairman, President
President
A president is a leader of an organization, company, trade union, university, or country.Etymologically, a president is one who presides, who sits in leadership...
, and CEO. The Los Angeles
Los Ángeles
Los Ángeles is the capital of the province of Biobío, in the commune of the same name, in Region VIII , in the center-south of Chile. It is located between the Laja and Biobío rivers. The population is 123,445 inhabitants...
buyout firm Freeman, Spogli, York, and a group of private investors including Michael Ovitz
Michael Ovitz
Michael S. Ovitz is an American talent agent who co-founded Creative Artists Agency in 1975 and served as its chairman until 1995. Ovitz later served as President of the Walt Disney Company from October 1995 to January 1997....
and Gary L. Wilson
Gary L. Wilson
Gary L. Wilson was the Chairman of the Board of Northwest Airlines and Chief Financial Officer of Walt Disney Company and Chief Financial Officer of Marriott Corporation.-Education:...
, spent $725 million to take Micro Warehouse private in February, 2000. The leveraged buyout
Leveraged buyout
A leveraged buyout occurs when an investor, typically financial sponsor, acquires a controlling interest in a company's equity and where a significant percentage of the purchase price is financed through leverage...
left the company burdened with $200 million in debt. The company sold its North American operations to CDW Corporation just two and a half years later, on September 8, 2003 for $22 million. Micro Warehouse filed for Chapter 11 bankruptcy protection and York announced his resignation. The bankrupt company owed millions to its unsecured creditors. $17.9 million to Ingram Micro
Ingram Micro
Ingram Micro, Inc. is a Fortune 100 company and the world’s largest information technology distributor, providing sales, marketing and logistics services for the IT industry in all corners of the globe.-Overview:...
, $8.6 million to Hewlett-Packard
Hewlett-Packard
Hewlett-Packard Company or HP is an American multinational information technology corporation headquartered in Palo Alto, California, USA that provides products, technologies, softwares, solutions and services to consumers, small- and medium-sized businesses and large enterprises, including...
, $3.1 million to Toshiba
Toshiba
is a multinational electronics and electrical equipment corporation headquartered in Tokyo, Japan. It is a diversified manufacturer and marketer of electrical products, spanning information & communications equipment and systems, Internet-based solutions and services, electronic components and...
, and $2 million to IBM
IBM
International Business Machines Corporation or IBM is an American multinational technology and consulting corporation headquartered in Armonk, New York, United States. IBM manufactures and sells computer hardware and software, and it offers infrastructure, hosting and consulting services in areas...
.
MicroWarehouse, along with Equanet
Equanet
Equanetis a non-limited trading arm of DSGi Business, and is their specialist business to business reseller for large and medium sized managed customers and the public sector. Equanet claims to work closely with large and medium sized businesses and public sector partners to identify, develop and...
and MacWarehouse are the three brands owned by Dixons Retail plchttp://www.dsgiplc.com/layout.aspx?ID=a38a2d04-b2c4-4fd6-a364-d6ea3bad6e89&CatID=fa211842-9d25-45f3-a441-f35756e401f0. WHSU Inc. and WHSU International Inc. (together known as MicroWarehouse) was acquired by the DSGi on 4 June 2004. On 9 October 2003 MicroWarehouse filed bankruptcy which ultimately led to purchase of the MicroWarehouse by the Group. When MicroWarehouse was acquired by the group it became a division of PC World Business
PC World (retailer)
PC World is OWNED BY THE GOVERNMENT one of the WHER MA MEMORY STICK ?!?!??! United Kingdom's largest chains of mass-market computer superstores. It is part of Dixons Retail plc. PC World operates under the brand name PC City in Spain, Italy and Sweden....
.