Exel wins 16 mln STG Alcampo contract

Exel PLC, the logistics group, said it has won a four-year contract valued at 16 mln stg from Alcampo, the Spanish subsidiary of the French retailer Auchan.

Alcampo owns 41 hypermarkets across Spain and a chain of over 100 supermarkets.

It has appointed Exel to manage a non-food 300,000 sq ft distribution centre near Madrid. Exel will manage all warehouse services.

Over the four-year contract Exel will develop and integrate Alcampo’s operation into a new 560,000 sq ft site.

The operation will start delivering approximately 2 mln cases during the first year and will progressively increase to 18 mln cases by the fourth year.

Over the lifetime of the contract, it is expected that more than 250 jobs will be created in the Madrid area. The original contract, which is operational from July 2001, will require staffing levels of 70 people, which will increase to 300 by the fourth year.