MDS quarter profits halved as accounts are integrated

JULY 30, 2001--Marriott Distribution Services (MDS), Washington, DC, has reported a 4 percent increase in its fiscal 2001 second quarter ended June 15. However, profits declined to $3 million from $6 million, as a result of a decline in business from a significant customer. Although a substantial amount of this business has been replaced, operating inefficiencies were cited in association with the new accounts.

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