Rand McNally to Buy Thomas Bros. Maps
Thomas Bros. Maps, whose thick, detailed guidebooks have helped millions of Angelenos navigate Southland freeways for decades, is being acquired by global map maker Rand McNally & Co., the companies said Thursday.
Rand McNally is expected to push the privately held Irvine company into a more ambitious effort to develop sophisticated high-tech tools to guide motorists.
Although Thomas Bros. has ventured into technology-driven products such as maps that can be viewed on computers, the venerable Thomas Guide still accounts for more than 85% of the company’s $27 million in annual sales.
More than 1 million Thomas Guides are sold each year in Los Angeles and Orange counties.
Rand McNally, the world’s largest maker of commercial maps, said that both the Thomas Guide and the company’s work force of about 180 employees will remain intact.
Financial terms of the deal were not disclosed.
Warren B. Wilson, 77, who acquired Thomas Bros. in 1962 from the family of founder George Coupland Thomas, said Thursday was a bittersweet day for the company, one of the largest minority-owned firms in California.
“It’ll be very hard for me to leave it. Very hard,” he said, following a meeting with employees on Thursday.
Wilson, who has four daughters and a son, said he plans to retire next year. He said he is selling the company partly because none of his offspring is interested in running it.
Rand McNally, which is based in Skokie, Ill., and has about 1,000 employees, produces commercial maps and atlases, among other products. It also is privately owned and has annual sales of about $70 million.
While Thomas Bros. is particularly strong in local mapping products, both print and digital, Rand McNally is stronger in national and international products, which include TripMaker, a national travel planning software program. The company published its first nation road atlas in 1924.
“Bringing Thomas Bros. and Rand McNally together is strategically a complementary joining,” said Henry J. Feinberg, Rand McNally’s chief executive.
Thomas Bros. has excelled at integrating print and electronic products, Feinberg said. For example, Thomas Bros. offers a CD-ROM of Orange County with page and grid numbers that correlate with the printed Thomas Guide, he said.
Rand McNally doesn’t intend to change the Thomas Guides, except to expand into new geographic regions over time with new capabilities, he said. He declined to elaborate.
In January, Thomas Bros. will unveil a Spanish language version of its Los Angeles and Orange county map books. Jim Welch, vice president of marketing, said books in other languages are a possibility.
Wilson, whose late brother Lionel Wilson was the first African American mayor of Oakland, was Thomas Bros.’ attorney before buying the company.
He is credited with pushing the map maker to expand and launch high-tech ventures. Wilson moved the company from Los Angeles to Irvine in 1980, spending $10 million to switch from manual cartography to computerized mapping.
The company also began to expand beyond California. It moved eastward for the first time in 1995 when it won a $2-million contract to develop a digital database of Washington and neighboring counties in Maryland for the region’s real estate association.
Until recently, Wilson envisioned a city-by-city expansion along the East Coast, but getting established in the Washington area cost more than $1 million.
“It became apparent it was very expensive and put pressure on our cash flow,” he said. “We saw that if we did that in Philadelphia, Boston and New York, we just didn’t have the financial resources for that kind of growth.”
There are now more than 60 editions of the Thomas Guide, primarily in the West’s major cities such as Seattle, Phoenix and Las Vegas.
While consolidation has not been a major factor in the map business as it has in other industries, competition has been growing since mapping has become more computerized.
“More people can make maps, but there are not many major companies that can publish Thomas Guides,” Wilson said. “That’s why Rand McNally bought us.”
Thomas Bros. was founded in Oakland in 1915. When road changes occurred in the early days, the company would send out workers to update existing maps rather than drawing up new ones.
When Thomas Bros. moved to Los Angeles in the mid-1940s to take advantage of the area’s burgeoning growth, its signature guides were small enough to fit into a car’s glove compartment. The company also made maps to the homes of movie stars, including Mary Pickford and Gary Cooper.