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Living Values

2008 Corporate Social Responsibility Report

 

Report and Corporate Profiles

 

Company Structure, Markets and Brands

From the largest global corporations to individual households, OfficeMax is dedicated to our customers’ success. We serve them through two business segments: OfficeMax Contract and OfficeMax Retail. Each of these business segments accounts for roughly half of our revenues, both worldwide and in our U.S. Operations.

OfficeMax Contract is our business-to-business division, which distributes a broad line of office supplies, paper, technology products, and office furniture, and provides print and document services directly to businesses and governmental entities in the United States, Canada (via Grand & Toy Limited), Australia (via OfficeMax Australia Limited), and New Zealand (via OfficeMax New Zealand Limited). OfficeMax Contract operates 47 distribution centers and six customer service and outbound telesales centers, as well as 60 office products stores in Canada, Hawaii, Australia and New Zealand.

OfficeMax Retail sells office supplies, paper, technology products, office furniture, and print and document services from retail stores. Our Retail business segment operates 1,024 stores in the United States, Puerto Rico, the U.S. Virgin Islands and, through our 51 percent-owned joint venture, Grupo OfficeMax, in Mexico. It also operates three large distribution centers in the U.S., and two small distribution centers in Mexico.

All of our subsidiaries and other companies that we control report up through either the Contract or Retail business segments. For a complete list of OfficeMax subsidiaries, please see OfficeMax’s Form 10-K for fiscal year 2008.

For our business customers in other locations throughout the world, OfficeMax formed a global alliance with Lyreco in October 2008. This alliance took the place of our partnership with the European Office Supply Association, enabling us to compete more effectively for multi-national Contract customers.

Customer Segments

The Contract and Retail business segments work in concert to satisfy the needs of our various customer segments. These include the following:

Large Enterprise Businesses, large multi-location companies and governmental entities for which OfficeMax provides expert enterprise-wide coordination with the procurement process.

Mid-Size Businesses, regional and local companies, typically with single locations, for which OfficeMax offers personalized service and effortless ordering.

Small Businesses, Home Offices and Individuals, which are served by retail stores, catalogs and our public Web site, OfficeMax.com.

OfficeMax offers a wide variety of national brands and private-label products and services. See Appendix A: OfficeMax Brands for more information.

Changes in Operations

During 2008, OfficeMax opened up 44 new stores in the United States and 11 in Mexico. We also closed 12 stores in the United States, 13 in Canada, and 2 in Australia.

We also reduced our workforce by approximately 2,000 positions, partly due to attrition, but primarily in association with our ongoing efforts to reduce operating costs in the challenging economic climate. The majority of the positions were eliminated in North America.