ITT Goulds Pumps Terminates Distribution Agreement with DXP Enterprises

Nov. 4, 2015
The company appointed new distributors to better serve customers

Goulds Pumps Inc., a business of ITT, announced that it has terminated its distribution agreement with DXP Enterprises Inc. and its subsidiaries, effective immediately.

On Sept. 17, 2015, Goulds Pumps won arbitration against DXP, who was found to have violated a 2010 agreement that prevented DXP from selling or promoting products competitive with products covered by the agreement. Following the arbitration award, Goulds Pumps served notice to DXP and its subsidiaries to terminate the agreement.

During the notice period and despite the terms of the arbitration award, DXP further violated the 2010 distribution agreement by manufacturing and marketing pumps and parts that compete with Goulds Pumps’ ANSI pumps. With this violation, Goulds Pumps took immediate action to terminate the agreement for DXP's areas of primary responsibility, which include various portions of Texas, Oklahoma, New Mexico, Arkansas, Louisiana and Mississippi. Goulds Pumps also served notices to terminate on DXP’s subsidiaries including Austin & Denholm Industrial Sales (Alberta) Inc., Alaska Pumps Supply Inc., Quadna Inc., RA Mueller Inc. and MW Smith.

“We have been planning for this transition for some time and have been focused on the strategic opportunities we have to build an even stronger sales channel for Goulds Pumps in North America,” said David Steblein, Goulds Pumps’ VP and general manager for sales for the Americas.

“We have already established new distributors in the affected areas and are assigning direct Goulds Pumps sales engineers to some accounts to serve customers in these territories,” Steblein said. “Goulds Pumps has a strong network of existing sales engineers and distributors throughout the Americas and we are confident that we will be able to serve our customers and maintain a high customer service level during this planned transition.”

Goulds Pumps recently appointed Phoenix Pumps for Arizona and parts of New Mexico, and Fischer Process Industries for Indiana.

Source: ITT Goulds Pumps

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