Hugg & Hall Equipment Company and Scott Equipment Company have formed an agreement to trade Volvo and Toyota manufacturer territories in Louisiana and Arkansas to better align product offerings. The agreement is designed to expand the companies' core operations, streamline manufacturer-dealer engagements and increase value to clients through focus on primary business lines.
“This is a transformative agreement that enables Hugg & Hall to expand our industry-leading position in the forklift market, sharpen our manufacturer relationships and deliver greater value to clients by enhancing the core capabilities we provide throughout our operating territory,” Hugg & Hall President John Hugg said. “Volvo Construction Equipment and Toyota Material Handling have both lent their full support to this innovative arrangement and are optimistic the new structure will result in growth across each brand.”
Under the terms of the agreement, Hugg & Hall will transfer its Volvo construction equipment territory in Arkansas to Scott Equipment. In return, Scott Equipment will transfer its Toyota material handling territory in Louisiana.
With Hugg & Hall's focus on rental, parts and service of material handling and light construction equipment, the company will operate out of its current New Orleans and Baton Rouge Material Handling locations, per the agreement. Operations in Broussard, Lake Charles, Alexandria, Shreveport and Monroe will absorb into existing Hugg & Hall facilities.
Meanwhile, Scott will absorb the Hugg & Hall Volvo operations into its existing Arkansas facilities. Scott Equipment focuses on rental, parts and service of heavy-duty construction equipment and cranes.
In order to expand their presence in Louisiana, Hugg & Hall intends to retain Scott’s material handling employees within the territory. As part of the deal, Scott Equipment will absorb Volvo-specific Hugg & Hall team members into its current Arkansas operations.
“We have enjoyed being a Volvo dealer for 33 years and are confident the talented team at Scott will continue to represent the brand well in Arkansas,” Hugg said. “At the same time, we are excited to grow our already strong relationship with Toyota, adding new territory in Louisiana that provides a valuable opportunity to advance our long-term strategic objectives.”