so we remain best of breed in a sector under consolidation.
"A merger would give the companies options to cut costs in terms of their store footprints and workforces. A number of the companies' stores are in the same market competing against each other. A merger could also result in better leverage with suppliers. "Consolidation would address the office supply sector's disadvantaged industry structure," Sanford C. Bernstein retail analyst Colin McGranahan wrote in a research note Friday. He added that business combinations could drive a significant improvement in the sector's economics.
A "conservative" estimate in synergies in a hypothetical merger between Office Depot and OfficeMax would be $400 million to $500 million, and perhaps as high as $700 million, Mr. McGranahan wrote.
"Money, money, money, money, money, money! That's all I ever hear in this house."
-scarface 1983 (elvira to tony)
"Responding to media reports, Benjamin Nahum of Neuberger Berman, told Reuters in an interview that his preference would be for OfficeMax to declare a special dividend before merging with Office Depot."