A Difficult Decision
C&S now faced a difficult situation. The company needed modern warehouse facilities to serve the large supermarkets. Conversely, it required large supermarket contracts to afford modern warehouse facilities. Moreover, the outdated Pullman Street facility could not service large contracts. Thus, a tough decision had to be made.
Much to his father's surprise, Rick determined that the business must move west. C&S needed a larger location with better access to interstate highways, a good work force, and new markets, in order to survive in the shrinking wholesale industry. Rick also developed the company's unique strategy of supplying mostly large supermarket chains.
Today, C&S can provide supplies to a chain at a lower cost than the market could supply itself. To support the new strategy, C&S built a 300,000 square foot warehouse and distribution complex in Brattleboro, Vt. in 1981.
The move came at an exciting, but challenging time for the company. The new space was 50% larger than the Pullman Street location, and had been costly to build. Employees were asked to take temporary pay cuts and everyone worked together to keep the business running. The goal was to reach $300 million in sales in the next five years, though many doubted that C&S would even survive for two years.
Rick's calculations proved correct. A&P supermarkets, who previously believed that C&S did not have the capacity to meet their needs, were impressed with the new, modern Brattleboro facility and soon gave C&S their business. Other large supermarkets such as Edward's, Waldbaum's, and Stop & Shop quickly followed suit. Earnings rose and employees were soon making even more than they had before the pay cuts.
