Fastenal Plans to Add 185 Stores

John Wolz

Fastenal Inc. opened 36 stores during the first quarter of 2003 bringing its total to 1,205 in 50 states, Puerto Rico, Canada, Mexico and Singapore.
Fastenal plans to open 150 to 185 stores this year, compared with 144 in 2002 and 128 in 2001.
A company news release said new stores build the infrastructure for growth, but first-year sales are low and such added expenses as payroll, occupancy and transportation impact its earnings leverage in a weak economy. Fastenal finds new stores take 10 to 12 months to become profitable.
In addition to store expansion, Fastenal added product lines stocked at stores. Fastenal stocks approximately 356,000 SKUs in industrial and construction supplies. While threaded fasteners and related supplies account for 169,000 SKUs, the company also stocks 10,000 SKUs in electrical supplies and 67,000 SKUs in tools. Fastenal also stocks metal-cutting tool blades, fluid transfer components and accessories for hydraulic and pneumatic power, material handling and storage products, janitorial and paper products, welding supplies and safety supplies. Web: fastenal.com �2003 FastenerNews.com