Industry News

Brambles to Divest Recall

Sydney-based Brambles Ltd. has announced it will divest Recall, its information management business, with global headquarters in Norcross, Ga. Brambles has opted to focus on building its global pooling solutions business, which includes CHEP and IFCO.

"It was evident from the strategic planning process that Recall is a strong business with improving returns and a positive outlook," Brambles Chairman Graham Kraehe says. "However, the growth opportunity in pooling solutions is sufficiently compelling to drive a single focus for Brambles."

Brambles CEO Tom Gorman says, "Now is the right time to prepare Recall for sale," adding that it will "unlock value" for the company's shareholders and provide funds for Brambles' focus on its pooling business.

Brambles says it also will use proceeds from Recall's sale to reduce debt in line with its targeted net debt-to-EBITDA (earnings before interest, taxes, depreciation and amortization) ratio of less than 1.75 times.

Brambles says it "will complete the divestment as and when financial market conditions support an appropriate outcome for shareholders."

Recall serves nearly 80,000 customers from nearly 300 operations centers in more than 20 countries, providing document management, data protection and secure destruction services.

 

Shred-it Acquires Brink's Document Destruction

Toronto-based Shred-it has acquired the assets of Brink's Document Destruction (BDD), a division of Brink's Inc., based in Bayberry, Conn.

The acquisition applies to all of BDD's U.S. operations, which will be transitioned to Shred-it's existing operations in each market.

Vince De Palma, Shred-it president and CEO, says, "This acquisition supports our corporate growth strategy and will significantly enhance our presence and density in key U.S. markets, including Boston, Chicago, Dallas and New York. Further, it will allow us to leverage existing infrastructure to better serve and expand our customer base."

According to Shred-it, BDD and Shred-it both provide on-site document destruction and share similar cultures.

Shred-it has appointed Shawn Lanthier as vice president of corporate development. He is responsible for executing a strategic acquisition program for the company. Shred-it has completed eight acquisitions in the past year.

 

Cornerstone Acquires Second Firm in Houston Area

Cornerstone Records Management LLC, Columbia, Md., has announced that it has acquired the assets of The Houston File Room Inc., Spring, Texas. The Houston File Room is a privately owned company providing secure document storage for customers in the region.

Steven Sisney, Cornerstone president and CEO, says, "The Houston File Room's approach of developing customized records management programs that fit a client's specific needs and working with their clients in a consultative manner matches Cornerstone's vision and values. We are pleased to welcome their customers to Cornerstone, and I am confident we will continue to serve them in the customer centric manner they are accustomed to."

This is the 17th acquisition completed by Cornerstone since June 2008. Cornerstone says it is continuing to focus on rapidly growing its business in the Southern California, Denver, Houston, Northeast and Mid-Atlantic markets and also is contemplating entry into other markets.

"The acquisition of The Houston File Room represents the second Houston acquisition for Cornerstone in the past two months," Sisney adds. "After our acquisition of MedResolutions Corp. in June, Cornerstone was committed to enhancing our service capabilities in Houston. With these two acquisitions, we are able to offer our Houston customers first-class document storage services, medical release of information services and document scanning services. We are committed to further expanding our presence in this growing market and are evaluating additional expansion opportunities."

 

Summit Partners Invests in Access

Livermore, Calif.-based Access Information Management, a provider of records management, storage and destruction services for hardcopy and electronic records, has announced the receipt of a growth equity investment from Summit Partners, with offices in Boston; Palo Alto, Calif.; and London. According to Access, the investment will fund the continued growth of its records and information management (RIM) service operations throughout the United States.

Founded in 2004 by Dennis Barnedt, Access provides off-site records storage, secure document shredding, climate-controlled media vaulting, digital imaging and electronic records hosting. The company has more than 10,000 clients across many industries, including health care, legal, financial services and manufacturing.

With roots in the San Francisco Bay area, Access has expanded geographically through organic growth as well as through strategic acquisitions. The company has locations in Northern and Southern California, Arizona, Florida, Georgia, Hawaii, Oregon and Wisconsin and was named to the Inc. 5000 list of America's fastest-growing private companies from 2009 through 2011.

Rob Alston, Access chief executive officer, says, "This investment will strengthen our ability to expand the company's geographic service reach, enhance our service offering and grow the business in support of client needs."

John Chendo, Access president, adds, "Access will continue to search for and identify strategic acquisition opportunities with select RIM organizations throughout North America. This will further position Access to provide premier customer service to its growing client base."

Managing Director of Summit Partners C.J. Fitzgerald will join the Access board of directors as will Len Ferrington, a principal with Summit Partners.

Milwaukee-based Robert W. Baird & Co. served as exclusive financial advisor to Access in this transaction.

 

Retrievex Expands in New England

J. Peter Pierce, founder, president and CEO of the records and information management services firm Retrievex Inc., headquartered in Conshohocken, Pa., has announced the acquisition of Metropolitan Records Storage, based in Wilmington, Mass.

The transaction follows Retrievex' acquisition of Millennium Records Storage, another Massachusetts-based storage firm, in April 2011. The company says the deal is expected to further broaden its customer base in New England.

Neal Mizner, owner of Metropolitan Records Storage, says, "Since our start we have enjoyed rapid growth based on providing our customers with the highest levels of service and flexible solutions. Not only will this continue to be true by joining with Retrievex, but our customers will have broader and more robust systems and more comprehensive alternatives in information management available to them."

Pierce says, "The acquisition of Metropolitan Record Storage represents our growing commitment to the New England market where we already have our largest customer base. We're very pleased and look forward to continue serving Metropolitan's customers with the same outstanding service they have become accustomed to receiving from Neal Mizner and his team."

 

Paper Recycling Conference Speaker Lineup Takes Shape

The Recycling Today Media Group, publisher of SDB magazine, has announced that the 2011 Paper Recycling Conference & Trade Show, to be held Oct. 23-25 in downtown Chicago, features a number of sessions that address the concerns and interests of paper recyclers and document destruction firms. In addition to the regular programming, this year's event features a second track, with programming from event partner, the Paper Stock Industries (PSI), a national chapter of the Institute of Scrap Recycling Industries Inc., Washington, D.C.

A workshop Sunday, Oct. 23, titled "The Risks and Rewards of Electronic Scrap," addresses how companies can best handle customer requests to handle their unwanted electronics. The session, which begins at 2:30 p.m., addresses the importance of choosing the right business partner, industry certifications, auditing electronics recyclers and keeping up to date with changing legislation. Speakers include Joe Clayton of Synergy Recycling, Madison, N.C.; Mark Shikles of Winfield Alloys, Atkinson, N.H.; and Mark Robards of ECS Refining, Santa Clara, Calif.

Also joining the speaker roster for this year's event are Vic Rice, senior vice president of Sweden-based CellMark Inc.; Pat DeRueda, president of Waste Management Recycle America, headquartered in Houston; and Al Metauro of Cascades Recovery, Toronto. These men take part in a roundtable discussion planned for Oct. 24, titled "The Processors' Viewpoint," where they discuss their views on key issues driving the paper stock industry.

Also scheduled for Oct. 24 from 4:30 to 5:30 p.m. is "Smooth Operations." This session looks at possible ways recyclers and equipment vendors can meet shifting quality demands. Panelists include Johnny Gold of The Newark Group, Cranford, N.J.; and Cory Tomczyk of IROW, Mosinee, Wis.

More information is available at www.PaperRecyclingConference.com.

 

NAID Introduces Professional Liability Insurance

The National Association for Information Destruction (NAID), based in Phoenix, has announced the launch of Downstream Data Coverage, a professional liability insurance policy created for companies providing data protection services to third-party clients.

"The professional liability insurance policies currently aimed at the risks of third-party data service providers were originally created for the risks of primary data controllers, such as financial and health care organizations," NAID CEO Bob Johnson says. "In the absence of a thorough understanding of the data protection regulations, those insurers mistakenly applied the same policy language to service provider exposures, which are actually quite different."

Downstream Data Coverage is available to the 850-plus NAID-certified organizations providing physical or electronic data destruction services. Soon, the coverage will be available to records storage and imaging services providers after those organizations have been NAID certified for destruction services.

NAID certification is a voluntary program available to NAID members that is designed to verify the security and effectiveness of their operations using scheduled and unannounced audits.

According to the Downstream Data Coverage website, www.downstreamdata.com, the policy is "created specifically to complement NAID AAA Certification" and is "the only professional liability product offered for which the ultimate goal is to reduce the cost of coverage to members and ensure their clients are properly protected."

Johnson adds, "Because clients are also protected by the service provider's professional liability coverage, we ultimately expect they will favor vendors who are properly covered, especially as HIPAA (Health Insurance Portability and Accountability Act) mandatory fines come into effect this fall."

Details on the insurance policy are available at the Downstream Data Coverage website, www.downstreamdata.com.

 

LifeStorage Centers Expands into Records Management

LifeStorage Centers LLC, the Chicago-based provider of home, business and office self-storage solutions, has expanded its services to include records management. The company has begun offering vault storage rooms, document and data destruction, bar-code tracking for boxes and files, rush pick-up and delivery services, file indexing services and a Web search tool for accessing stored files at all 18 of its Chicago area locations.

"It was a natural fit for us to adopt record storage into our business plan," says Matt Clark, vice president of operations for LifeStorage. "We are expanding our storage options and services to better accommodate our clients' needs and lead the charge in changing how records storage management is utilized."

Customers have the option to choose between full- and self-service offerings. The full-service option provides customers with confidential file storage, rush pick-up and delivery to an archive center, bar-code tracking, document scanning services and a secure file viewing area, according to the company.

"Records storage has always been something our clients have used our storage facilities for, but now we offer an easy full-service option for those who wish to have their documents kept safe, organized and managed without any hassle," Clark adds.

The self-service option is HIPAA (Health Insurance Portability and Accountability Act) compliant and designed to allow for easy document retrieval as needed with individual vault sizes and flexible leasing arrangements, according to LifeStorage.

"In our analysis between private 'vault' storage vs. full-service record storage solutions, we realized that the 'vault' concept wasn't being offered," Clark says. "The self-service 'vault' solution supplies an industry niche that allows customers a new alternative for document storage with the ability to access and store documents without the middleman."

Jean Jodoin and Christopher Barry founded LifeStorage in 2002.