Handleman Co. history

Started to distribute pharmaceuticals, the firm soon shifted to selling health and beauty aids in 1940.

In 1946 another brother, David, joined the business.

In 1974 he became chairman and CEO. The following year, under his leadership, the firm moved into book distribution with the purchase of Sieberts, a record and book marketer.

By 1980 the firm stocked records at over 8,000 retail stores.

In 1983 Handleman began a major push into stocking home computer software.

In 1984, Handleman won a contract to rack all software sold at Kmart.

Videos brought in twice the revenue per square foot of other merchandise and retailers began giving them more shelf space. As a result, videotape revenues reached $43 million in 1985.

In 1988 Handleman bought Viking Entertainment, a southern California-based rack jobber of pre-recorded video and audio.

In 1991 the firm bought the entertainment software rack-jobbing business of Live Entertainment Company.

In 1992 Handleman began stocking products by Lotus Software.

In September 1994 the firm opened an automated distribution center in Sparks, Nevada.

The company restructured in 1995, forming three business groups.

Handleman had a terrible year in 1996, posting its first loss since going public, and watching its share price fall.

In 1998 Handleman acquired a 75 percent interest in The itsy bitsy Entertainment Company, which held licensing rights for children’s entertainment properties including the popular Teletubbies characters.

Handleman distributed 130 million CDs and tapes in 2000; net sales were up 13 percent to $1.14 billion from the previous year.

Roberts-Witt, Sarah L., “They May Be Old, but They’re Acting Like Start-Ups,” PC Magazine, June 5, 2001.

The United States music industry was going through a slump in 2002, but mass merchandisers had raised their share to 30 percent.

Most of the North Coast Entertainment unit (Madacy and Anchor Bay) was sold in 2003 as Handleman focused on its core strengths.

A move into the growing video game business followed a couple of years later, as Handleman acquired distributor Crave Entertainment in 2005 in a deal worth more than $72 million.

Total revenues in the fiscal year ending April 29, 2006 were $1.31 billion.

“Handelman opens Tesco Distribution Centre in Bolton, 200 new jobs for the area,” April 13, 2007, http://www.a2mediagroup.com.