Analytiqa: Logistics Bulletin: Friday 23rd March

This week's Logistics Bulletin reports on the ongoing battle for ownership of EGL, with an offer originally accepted from a consortium led by CEO James Crane, only to see a higher value offer made by Apollo Management, owners of CEVA Logistics. Shareholder unrest has since come to light in an open letter to the Board of EGL, which urges them to bring about the highest and best offer for EGL, without giving its influence to any particular party involved. Elsewhere, NYK is merging logistics subsidiaries in Japan, whilst UTi Worldwide Inc. has revealed details of its next five-year strategic plan, called CLIENTasONE.

DPWN, parent of DHL, reported 2006 results this week. Revenues at DHL Exel Supply Chain reached €11.96 billion, with Automotive accounting for 12.7% of these. Healthcare and Pharmaceuticals accounted for a further 6.0%, with Electronics/Telecoms (11.4%), FMCG (44.6%) and Fashion (10.4%) also contributing.

Among contract news this week, business wins have been reported across the Americas, Middle East and Europe for Exel, Kuehne + Nagel, Schenker, DSC Logistics, TDG, Panalpina and Bibby Distribution.

Tesco to send powerful economic signals through the supply chain

20 March 2007 - A speech by Sir Terry Leahy at Green City Initiative on 12 March 2007, outlined how the retailer’s experience with food labelling has shown that providing clear, simple information on the front of pack brings about changes in buying behaviour, which in turn is driving innovation through the industry.

Tesco is now to give its customers clear information about the carbon cost of the products they buy. This in turn will help drive demand for low-carbon products and stimulate businesses to change their production methods so that they use less carbon.

The first stage of this development is to find an accepted and commonly understood measure of the carbon footprint of every product – looking at its complete life-cycle from production, through distribution to consumption.

The retailer believes that when millions of customers a week have this information and start using it to exercise green choices, it will send very powerful economic signals through the supply chain – shock waves that will change behaviour.

Sir Terry Leahy noted that some hard choices will have to be made and air freighted goods may not always be those with the largest carbon footprint. For example, taking the extension of growing seasons in UK farms, by growing fruit in greenhouses, it might be better environmentally to import fruit grown out in the open in a sunnier climate. However, with a simple label that shows a product’s carbon footprint at a glance, consumers will have the information to make those choices and judgements for themselves.

European Contract Logistics markets to grow by 33%

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Elsewhere this week:

InterBulk Investments acquires UBC
http://www.analytiqa.com/newsitem.aspx?articleid=2350

SCI Logistics announces expansion in Canada
http://www.analytiqa.com/newsitem.aspx?articleid=2348

Impressive 2006 performance at Kuehne + Nagel
http://www.analytiqa.com/newsitem.aspx?articleid=2335

Record figures for Panalpina in 2006
http://www.analytiqa.com/newsitem.aspx?articleid=2337

Thiel Logistik posts 3.7% organic sales growth in 2006
http://www.analytiqa.com/newsitem.aspx?articleid=2344

CEVA Logistics signs partnership with Rolls-Royce Marine AS - Diesels
http://www.analytiqa.com/newsitem.aspx?articleid=2340

Amtrak wins multi-million Kleeneze deal
http://www.analytiqa.com/newsitem.aspx?articleid=2341

JCPenney to open 40,505 m2 logistics centre
http://www.analytiqa.com/newsitem.aspx?articleid=2342

AMB Property Corporation leases to DHL Exel Supply Chain in Shanghai
http://www.analytiqa.com/newsitem.aspx?articleid=2346

Con-way Freight Announces Expansion of Freight Assembly Centre
http://www.analytiqa.com/newsitem.aspx?articleid=2339

ARAMEX expands UK operations
http://www.analytiqa.com/newsitem.aspx?articleid=2345

Constellation Europe invest in new warehousing
http://www.analytiqa.com/newsitem.aspx?articleid=2352

Boeing to supply six 767 Freighters to re-fleet DHL US operations
http://www.analytiqa.com/newsitem.aspx?articleid=2343

M&S unveils 'Air Freighted' symbol for food packaging
http://www.analytiqa.com/newsitem.aspx?articleid=2353

Tesco modernise supply chain for global expansion
http://www.analytiqa.com/newsitem.aspx?articleid=2336

Supply chain performance impacts UK retailer's results
http://www.analytiqa.com/newsitem.aspx?articleid=2349

EGL announces management promotions as CFO resigns
http://www.analytiqa.com/newsitem.aspx?articleid=2338

Holistica appoint Solutions Director
http://www.analytiqa.com/newsitem.aspx?articleid=2347

Urban Transport Policy in Europe: Meeting City Demands for Green Logistics

New Research from Analytiqa
Urban Transport Policy in Europe: Meeting City Demands for Green Logistics takes an in-depth look at the current initiatives and legislation currently being planned and implemented across twenty cities in twelve European countries across both West and Eastern Europe.

The issues addressed are those that will have the greatest impact on providers working within the express, logistics or supply chain arena. It is critical that hauliers, courier and express, logistics and distribution companies across all sectors understand and account for changes in their operational environment.

This report will assist decision makers within these organisations to ensure correct future investment into vehicles, resources, strategies and services that are not only compliant with future environmental legislation (Euro 4, Euro IV, Euro 5, Euro V, etc) and developments, but more importantly, are considered and hence able to take full advantage of some of the opportunities the future, 'greener', market will provide.

Click http://www.analytiqa.com/reports.aspx?ReportId=252 for more information.

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Logistics and Supply Chain Research:

Who’s Who in Global Logistics and Freight Forwarding 2006

Since this report was last published, the Global Logistics and Freight Forwarding market has undergone significant change and widespread consolidation. This has dramatically impacted on the dynamics of the market as well as the competitive capabilities of many players.

This report provides you the insight into the market that you need in order to evaluate either your service providers or your competitors.

For more information, click: http://www.analytiqa.com/reports.aspx?ReportId=237

For more information about Analytiqa’s products please click:
http://www.analytiqa.com/Research.aspx

Analytiqa is a market analysis and business intelligence company providing published reports, custom research and consulting for multi-national clients across a number of industry sectors from Logistics and Distribution through to FMCG and Professional Services.

List of Key Industry Participants:

ABX LOGISTICS; BAX Global; CH Robinson; DHL Global Forwarding; EGL; Exel; Expeditors; FedEx; GeoLogistics; Hellmann Worldwide Logistics; Kintetsu World Express; Kuehne & Nagel; Maersk Logistics; Nippon Express; Panalpina; Schenker; SDV; UPS SCS; UTi Worldwide Logistics; Yusen; Wincanton; APL Logistics; TDG; Rhenus Logistics; Penske Logistics; DPWN; DHL; DHL Exel Supply Chain; Federal Express; Schneider Logistics; Schneider National; Schenker Logistics; Stinnes; Gist; Eagle Global Logistics; Menlo Worldwide; Jones Lang LaSalle; ProLogis; DTZ; Gazeley; Groupe Norbert Dentressangle; National Logistics Company; TNT; TNT Logistics; Gefco; Maersk; Geodis; GEFCO; Bibby Distribution; Global Automotive Logistics; Autologic; NYK Logistics; Dachser; DSV; Fiege; Frans Maas; Hellmann Worldwide; MOL; KWE; Kintetsu; Ewals; UPS; Ryder.

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