Alternate Marketing Networks Sells Sampling Business to Valassis

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Alternate Marketing Networks Inc., Grand Rapids, MI, has sold its offline sampling business to Valassis Communications Inc., Livonia, MI, a marketing services company, AMN announced this week.


Terms of the deal were not disclosed.


AMN said the deal includes its in-home sampling programs, which offer door-to-door delivery of targeted consumer goods, as well as proprietary delivery products such as its Media Optimizer national database. A key AMN door-to-door sampling program is its La Canasta ethnic in-home sampling program. AMN, however, will retain its online sampling site.


Phillip Miller, chairman/CEO of AMN, said, "This decision will allow Alternate Marketing Networks to focus attention and resources on our new online products and services, as well as on our newspaper advertising network."


Valassis, which reported revenues of $795 million in 1999, allows advertisers to reach more than 50 million households through its stable of targeted marketing services.


"We look forward to adding the strengths of door-to-door delivery to our current in-home sampling program," said Alan Schultz, chairman and president/CEO of Valassis. "We have been impressed with the scope of its offerings and its client base and feel the in-home sampling division of Alternate Marketing Networks will be able to immediately contribute to meeting our clients' needs."


Miller added that "this divestiture, which was unanimously approved by our board of directors, will allow us a better opportunity to provide increased returns to our shareholders."
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