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## Operations Review – Distribution 

CRH distributes building materials to general building contractors, Sanitary, Heating and Plumbing (SHAP) specialist contractors and Do-It-Yourself (DIY) customers in Europe and to professional roofing/siding and interior products contractors in the United States. 

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Top: CRH Bouwmaat, builders merchants in the Netherlands, provide a one-stop wholesale cash and carry facility with a wide range of products to meet the needs of contractors in the RMI market. 

Bottom: Allied, CRH’s distribution brand in the United States, supplied the tiles needed to reconstruct the roof of New Hope Presbyterian Church in Castle Rock, Colorado, following a severe hail storm in June 2012. 

## Europe Distribution 

Europe Distribution’s strategy is to seek opportunities to increase its network density in the largely unconsolidated core European markets while also investing in other attractive segments of building materials distribution. Organisational initiatives leverage expertise between DIY and builders merchants and use best-in-class IT to deliver operational excellence, optimise the supply chain and provide superior customer service. 

From a solid base in the Netherlands, CRH has expanded its leading Builders Merchants positions in Switzerland, Germany, Austria and France in addition to growing its DIY “Gamma” format in the Benelux. Substantial opportunities remain to increase our existing network in core European markets and to establish new platforms aimed at growing our exposure to RMI market demand. An example is CRH’s entry into the developing SHAP distribution market through the acquisition of a Swiss provider of high-end sanitary ware, since replicated in contiguous markets in Germany and Belgium. Europe Distribution employs approximately 11,900 people at over 780 operating locations. 

## Americas Distribution 

Americas Distribution’s strategy is focussed on being the supplier of choice to the professional roofing and siding contractor and to applying this successful distribution model to the Interior Products segment. Demand in the Exterior Products business is largely influenced by residential and commercial replacement activity with the key products having an average life span of 25 years. The Interior Products division has less exposure to replacement activity as demand is largely driven by the new commercial construction market. State-of-the-art IT, disciplined and focussed cash management and well-established procurement and commercial systems support supply chain optimisation and enable CRH to provide superior customer service. 

Operating in 31 States, growth opportunities include investment in new regions, in complementary private label and energy-saving product offerings, and in other attractive building materials distribution segments that service professional dealer networks. Employees total approximately 3,500 at over 180 operating locations. 

