PepsiCo outsources its warehouse and distribution logistics in the Netherlands to Kuehne + Nagel

Utrecht / NL, January 11, 2011 – PepsiCo, one of the world’s leading producers of convenience foods and beverages, has awarded a ten-year contract to Kuehne + Nagel for its Dutch warehousing and distribution activities. Kuehne + Nagel’s solution exploits synergies to secure a faster and environmentally friendly supply chain.

PepsiCo decided to outsource its warehousing, freight management and distribution operations in the Netherlands to achieve three main goals: The global food and beverages corporation wanted to improve customer service by responding even quicker to changing market demands while at the same time reducing supply chain costs as well as the environmental impact of its transportation activities.

“We have chosen Kuehne + Nagel due to the company’s in-depth knowledge of the FMCG industry,” said Erwin Rosens, Supply Chain Director at PepsiCo Netherlands. “They provide us with an integrated and flexible solution that copes with the daily patterns and seasonality of the food industry.”

Within the scope of the contract, Kuehne + Nagel provides a supply chain solution tailored to PepsiCo’s specific needs. By integrating PepsiCo into Kuehne + Nagel’s Dutch distribution network, fewer kilometres will be needed to transport salty snacks, cereals and nuts from Belgian and Dutch manufacturing sites to the distribution centre in Utrecht and further to retailers throughout the Netherlands. In addition, Kuehne + Nagel will develop a new state-of-the-art, multi-user FMCG (Fast Moving Consumer Goods) campus in Utrecht, equipped with high bay storage and automatic layer picking during the first year of the agreement.

“We are delighted that PepsiCo has trusted us to increase the efficiency of its warehousing and supply chain activities in the Benelux. It is a confirmation that we provide optimal service to FMCG customers,” said Tim Beckmann, Director Contract Logistics at Kuehne + Nagel Netherlands.

About PepsiCo
PepsiCo offers the world’s largest portfolio of billion-dollar food and beverage brands, including 19 different product lines that each generates more than $1 billion in annual retail sales. Our main businesses – Frito-Lay, Quaker, Pepsi-Cola, Tropicana and Gatorade – also make hundreds of other nourishing, tasty foods and drinks that bring joy to our consumers in more than 200 countries. With annualized revenues of nearly $60 billion, PepsiCo’s people are united by our unique commitment to sustainable growth, called Performance with Purpose. By dedicating ourselves to offering a broad array of choices for healthy, convenient and fun nourishment, reducing our environmental impact, and fostering a diverse and inclusive workplace culture, PepsiCo balances strong financial returns with giving back to our communities worldwide. In recognition of its continued sustainability efforts, PepsiCo was named for the third time to the Dow Jones Sustainability World Index (DJSI World) and for the fourth time to the Dow Jones Sustainability North America Index (DJSI North America) in 2009.

For more information, please visit www.pepsico.com or www.pepsico.nl

About Kuehne + Nagel

With more than 56,000 employees at 900 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.

In the Netherlands, Kuehne + Nagel operates at 23 locations and employs around 1,700 people.