If a client is interested in maximizing the return on excess inventory over the long term, Magellan will tailor a shared revenue program towards accomplishing this objective. Magellan's expertise is in structuring and implementing shared revenue solutions such that they become integral to a client's supply chain strategy.

Magellan will: evaluate a client's excess list, establish revenue projections based on the market liquidity of the assets, prepare an agreement covering the proposed solution, and arrange for inventory transfer to a Magellan facility. Magellan will then embark on a worldwide marketing and resale program to match client inventory (i.e. supply) with demand from over 8,000 trading partners worldwide. As client inventory is sold, Magellan pays the client their share of the sales revenue in accordance with the revenue share agreement.

Client Benefits:

• Maximum return on excess assets through a recurring revenue stream of monthly revenue share payments
• Preservation of future upside opportunity across long term, fluctuating market demand cycles
• Elimination of carrying costs and reduced administrative costs
• Visibility on inventory and sales transactions via online reporting
• Ability to recall inventory at zero cost for production purposes
• On-demand financial auditing
• Option value, vis-a-vis the ability to change the inventory disposition program in the future.

If you are interested in consignment or shared revenue solutions, please contact a Magellan Excess Inventory specialist at (617) 399-7900, Ext 212, or email excessinventory@magellandc.com.