Ownership change brings new energy to RLB
Ownership change brings new energy to RLB
WEST CALDWELL, NJ -- Spirits were high at RLB Food Distributors LP here, in mid-May as company staff celebrated an ownership change that placed two well-liked executives at the helm of the firm.
As The Produce News met with Floyd Avillo and Pat Mele III, who had just purchased all the company's stock, the staff coincidentally threw a congratulatory party for the new owners.
Mr. Avillo and Mr. Mele officially signed the deal earlier in the month to buy the company from Rob Bildner and his wife, Elisa Spungen Bildner. Mrs. Bildner was the president of FreshPro, which is RLB's produce processing division. Mr. Avillo, 49, has been with RLB for 26 years, rising to the position of chief operating officer. He is now president of RLB. Mr. Mele has been with RLB for nine years and serves as RLB's vice president and controller and is general manager of FreshPro.
Mr. Mele, 47, said of the new ownership, "We are hands-on. We have been involved in a lot of the operations for the last couple of years and have seen things come to fruition." "We are fortunate enough to have the opportunity to do this," Mr. Avillo added.
He said the RLB employees have a sense of stability, and added, "To the Bildners' credit, they could have sold this company to other people. But that would not have been best for everyone here."
Mr. Avillo said that he and Mr. Mele had had "very positive" feedback on the purchase from people in the industry -- not only vendors and customers, but companies that haven't dealt with RLB. "Our biggest opportunity is with the people who don't know us who are within 50 miles."
Mr. Mele noted, "We will put a greater focus on getting our name beyond the tri-state area."
Of the ownership change, Joey Granata, RLB's director of produce sales, said, "This is like a breath of fresh air." The purchase "couldn't happen to two nicer guys."
Mr. Avillo, who has an MBA with a finance background, started his retail career in 1981 at Kings Super Markets Inc., based in Parsippany, NJ, which at the time was owned by the Bildner family. He said many of RLB's employees arrived with retail experience, primarily from Kings or the now-defunct Grand Union chain.
Mr. Avillo said that RLB has three distinct business segments, with produce distribution the core of the business.
Second is FreshPro, the fresh-cut business, which is a dozen years old "and has gone gangbusters the last two or three years." This is mostly a private-label business, with customers ranging from convenience stores to retail, "with business growing by leaps and bounds."
The third business segment is delicatessen distribution with non-produce items such as high-end cheeses, bakery items and sauces. The company offers 2,000 deli SKUs.
Jeff Shilling, RLB's vice president of procurement, heads a staff of four buyers, including himself. He said that he buys through shipping-point brokers because of the efficiencies therein.
"It is cheaper in the long run" and very useful for receiving many mixed loads, said Mr. Shilling.
He said that the firm buys many different items but rarely straight loads of anything. "We could double our business here but still not have the volume in any single commodity group to support trailerloads."
He half-joked that he can handle 2,000 produce items but customers "focus on the two you don't have."
He added that RLB doesn't handle volume sufficient to support its own California produce-buying office.
The firm operates from a 90,000-square-foot facility, which is in an industrial park in an upscale suburban part of northern New Jersey. About 12,000 square-feet of RLB are dedicated to produce processing, and the remainder of the space is for office needs. The enclosed loading dock is kept at 48 degrees. All aspects of the company meet the highest food safety standards.
The warehouse is located near interstate highways 80 and 287 as well as the New Jersey Turnpike, which leads to Boston or Philadelphia. The firm is 25 miles west of New York City on I-80.
For inbound freight and deliveries, RLB operates its own fleet of trucks with drivers. The firm owns 30 pieces of equipment, most of these being tractor-trailers. The first truck leaves the warehouse at 5:30 p.m., and the last truck leaves about 5 a.m. Store door deliveries are the norm, and drivers with local deliveries may make several deliveries in a night.
"We keep the trucks on the road. That's the only way you make money," Mr. Avillo said. "We have good fleet management, with people who've worked for large companies. But this is a shirt-sleeve type of business. These guys get it done."
As The Produce News met with Floyd Avillo and Pat Mele III, who had just purchased all the company's stock, the staff coincidentally threw a congratulatory party for the new owners.
Mr. Avillo and Mr. Mele officially signed the deal earlier in the month to buy the company from Rob Bildner and his wife, Elisa Spungen Bildner. Mrs. Bildner was the president of FreshPro, which is RLB's produce processing division. Mr. Avillo, 49, has been with RLB for 26 years, rising to the position of chief operating officer. He is now president of RLB. Mr. Mele has been with RLB for nine years and serves as RLB's vice president and controller and is general manager of FreshPro.
Mr. Mele, 47, said of the new ownership, "We are hands-on. We have been involved in a lot of the operations for the last couple of years and have seen things come to fruition." "We are fortunate enough to have the opportunity to do this," Mr. Avillo added.
He said the RLB employees have a sense of stability, and added, "To the Bildners' credit, they could have sold this company to other people. But that would not have been best for everyone here."
Mr. Avillo said that he and Mr. Mele had had "very positive" feedback on the purchase from people in the industry -- not only vendors and customers, but companies that haven't dealt with RLB. "Our biggest opportunity is with the people who don't know us who are within 50 miles."
Mr. Mele noted, "We will put a greater focus on getting our name beyond the tri-state area."
Of the ownership change, Joey Granata, RLB's director of produce sales, said, "This is like a breath of fresh air." The purchase "couldn't happen to two nicer guys."
Mr. Avillo, who has an MBA with a finance background, started his retail career in 1981 at Kings Super Markets Inc., based in Parsippany, NJ, which at the time was owned by the Bildner family. He said many of RLB's employees arrived with retail experience, primarily from Kings or the now-defunct Grand Union chain.
Mr. Avillo said that RLB has three distinct business segments, with produce distribution the core of the business.
Second is FreshPro, the fresh-cut business, which is a dozen years old "and has gone gangbusters the last two or three years." This is mostly a private-label business, with customers ranging from convenience stores to retail, "with business growing by leaps and bounds."
The third business segment is delicatessen distribution with non-produce items such as high-end cheeses, bakery items and sauces. The company offers 2,000 deli SKUs.
Jeff Shilling, RLB's vice president of procurement, heads a staff of four buyers, including himself. He said that he buys through shipping-point brokers because of the efficiencies therein.
"It is cheaper in the long run" and very useful for receiving many mixed loads, said Mr. Shilling.
He said that the firm buys many different items but rarely straight loads of anything. "We could double our business here but still not have the volume in any single commodity group to support trailerloads."
He half-joked that he can handle 2,000 produce items but customers "focus on the two you don't have."
He added that RLB doesn't handle volume sufficient to support its own California produce-buying office.
The firm operates from a 90,000-square-foot facility, which is in an industrial park in an upscale suburban part of northern New Jersey. About 12,000 square-feet of RLB are dedicated to produce processing, and the remainder of the space is for office needs. The enclosed loading dock is kept at 48 degrees. All aspects of the company meet the highest food safety standards.
The warehouse is located near interstate highways 80 and 287 as well as the New Jersey Turnpike, which leads to Boston or Philadelphia. The firm is 25 miles west of New York City on I-80.
For inbound freight and deliveries, RLB operates its own fleet of trucks with drivers. The firm owns 30 pieces of equipment, most of these being tractor-trailers. The first truck leaves the warehouse at 5:30 p.m., and the last truck leaves about 5 a.m. Store door deliveries are the norm, and drivers with local deliveries may make several deliveries in a night.
"We keep the trucks on the road. That's the only way you make money," Mr. Avillo said. "We have good fleet management, with people who've worked for large companies. But this is a shirt-sleeve type of business. These guys get it done."
