Ports, Distribution Firms Surge Together

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The huge wave of trade with China and other countries that has washed over the ports here and in Long Beach has been a boon to companies that once regarded themselves simply as small warehouse and distribution businesses, the New York Times reports.


Processing and distributing millions of freight-laden containers through the region and out to the rest of the United States have become the largest source of jobs in the region. But the overall growth in the industry is raising new challenges, as state regulators demand reductions in air pollution in the port areas and larger national companies increase the pressure on smaller businesses.


Weber Distribution is one company that has grown with the port. It started in 1925 as a warehouse for products made in the East and Midwest and shipped to what was then the remote West Coast. Today, Weber, based in Santa Fe Springs, Calif., has 11 warehouses in three states, 500 employees and more than $120 million in revenue distributing products that come mainly from Asia through the enormous Southern California ports.


Dan Sanker, a onetime Procter & Gamble executive, formed CaseStack in 1999. Based in Santa Monica, it now relies upon a network of half a dozen warehouses and 1,000 independent trucking firms, linked by the Internet, to transport goods from manufacturers to retailers nationwide. CaseStack has 320 employees and will bring in $74 million in revenue this year, Mr. Sanker said in an interview.


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