Random House Distribution Services is adding its first children's book publisher, Candlewick Press. The press has been with Penguin Group (USA) since it started publishing in 1992. Effective April 1, 2005, Candlewick will shift its back-office U.S. operations to RHDS; Penguin Canada will continue to serve as its Canadian distributor. Candlewick president Karen Lotz said "evolving business requirements" were behind the decision to change distributors.

Since its launch in May, 2003, RHDS has selectively added publishers, beginning with full-service distribution clients Steerforth Press and Real U. Rugged Land moved to RHDS for back-office operations. Other publishers include Rizzoli, Shambhala, Random House Mondadori and Karen Brown Guides.