PURCHASING AGENTS SEND LETTER TO CONTRACT INVESTIGATORS

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Date: Monday April 5, 2010 10:32:36 am
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    PURCHASING AGENTS SEND LETTER TO
    CONTRACT INVESTIGATORS

    APRIL  2010 –
    Alexandria (VA), USAFour major US independent dealer organisations have
    put their names to a letter addressed to local and state purchasing,
    auditing and investigations officials regarding manufacturer list
    prices.The letter below – which was co-signed by the heads of AOPD,
    is.group, NOPA and TriMega – was emailed to recipients on 12 March.While
    the letter does not specifically refer to Office Depot, opi.net
    understands that the letter is a response to Office Depot allegedly
    refusing to provide list price data to agencies reviewing their Office
    Depot contracts, asserting that list price data is proprietary and
    confidential information.

    Dear Local and State Purchasing,
    Auditing and Investigations Officials:
    We are writing on behalf of
    our organizations’ members in Florida and throughout the United States
    who are independent office products dealers, all of whom purchase most
    of the products they distribute to the final customer from S.P. Richards
    and/or United Stationers, the two largest national, full-line
    wholesalers in the office products industry. Those wholesalers’ products
    also are available to the national Big Box companies for items they do
    not buy directly from manufacturers.

    As several of our dealer
    members have advised you, manufacturers’ suggested list prices are not
    proprietary information. To the contrary, those prices are widely
    published in hard copy and online by industry wholesalers as well as by
    manufacturers themselves. They also are made available to independent
    dealers electronically in price files that are regularly updated.

    Thus,
    manufacturers’ list prices are readily available to all industry
    companies in a variety of published formats and can be verified
    independently. NOPA, with support from AOPD, is.group and TriMega, is
    leading an ongoing initiative to ensure maximum standardization of
    product data for all office supplies and certain other items that
    dealers sell. Without full transparency on item numbers (SKUs) and the
    manufacturers’ suggested list prices that accompany them, it would be
    impossible for any customer to verify that they are receiving correct
    net prices according to their contracts for office products.We hope this
    letter clarifies the apparent misunderstanding regarding the public
    nature of manufacturer list prices in our industry.

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