Whitbread PLC
03 April 2008
Thursday 3rd April 2008
Whitbread Plc to outsource Food Logistics Operations
to Kuehne + Nagel
Whitbread Plc, UK's largest hotel and restaurant group, today announced that it
has exchanged contracts in an agreement to outsource its food logistics
operations to Kuehne + Nagel, one of the world's leading logistics companies.
Kuehne + Nagel was chosen as preferred supplier after a detailed evaluation was
undertaken to find the most operationally efficient way to supply food to the
Whitbread businesses.
Under the terms of the five year contract, Kuehne + Nagel will supply all the
food requirements across the current Whitbread estate in the UK.
Kuehne + Nagel will begin a phased transition of operations from the existing
Whitbread Food Logistics depots in Reading and Castle Donington to a new,
bespoke depot based in Wellingborough, Northamptonshire. Kuehne + Nagel will
retain the Whitbread Food Logistics depots in Trafford Park and Cullompton.
The approximately 340 WFL employees will transfer under TUPE to Kuehne & Nagel
at the time of completion, expected in May 2008.
As previously announced, the decision to outsource Whitbread Food Logistics
combined with the on-going organisational review will result in cost savings of
£25 million per annum in 2009/10. An exceptional cost of £35 million will be
taken in 2007/8 and 2008/9.
Alan Parker, Chief Executive Officer, said:
'There is a compelling financial case for outsourcing versus retaining our food
logistics operations in house and we will derive significant financial benefits
from moving to a new operational location.
'We chose Kuehne + Nagel as our preferred supplier because they offered the most
attractive and competitive solution and clearly demonstrated their commitment
and desire to work with Whitbread during the tender process.'
- ENDS-
For more information please contact:
Media:
Julie Foster +44 (0) 7826 873031
Interim Director of Communications, Whitbread Plc
Andrew Grant/Tom Murray
Tulchan Communications +44 (0) 20 7353 4200
Notes to Editors
About Whitbread:
Whitbread PLC is the UK's leading hospitality company, managing market leading
businesses in the budget hotels and restaurant sectors, including Premier Inn,
Brewers Fayre, Beefeater and Costa Coffee.
Whitbread's strategy is to create value for our shareholders by focusing
investment and growing in expanding sectors of the hospitality industry,
primarily in the UK but also in selected overseas markets.
In the financial year to 1 March 2007, Whitbread generated pre-tax,
pre-exceptional profit of £213.0m. Founded in 1742, the company is listed on
the London Stock Exchange (as WTB.L) and is a member of the FTSE4Good indices.
Further information can be found on www.Whitbread.co.uk
About Kuehne + Nagel:
With more than 51,000 employees at 830 locations in over 100 countries, the
Kuehne + Nagel Group is one of the world's leading logistics companies. Its
strong market position lies in the seafreight, airfreight, contract logistics
and overland businesses, with a clear focus on providing IT-based supply chain
management services.
Further information can be found on www.kuehne-nagel.com.
This information is provided by RNS
The company news service from the London Stock Exchange
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