K+N realigns its contract logistics in UK
This news does not come as a surprise. Kuehne + Nagel has been restructuring its contract logistics business in the United Kingdom for several years now. In an interview with the ITJ at K+N‘s annual media conference in Zurich on 27 February, CEO Detlef Trefzger had already indicated that further steps were in the pipeline.
Now the group from Schindellegi (Switzerland) is selling a major part of its contract logistics activities to XPO Logistics. The sale comprises the following segments: drinks logistics, food services and retail & technology. This business generated a turnover of around CHF 750 million in 2019. It employs about 7,500 people.
Trefzger says that the purpose of the move is to increase profitability: "One year ago we announced the strategic review of our contract logistics business to improve profitability and increase our focus on our scalable solutions.”
In its contract logistics services in the United Kingdom, the company will now concentrate on the – particularly lucrative – aerospace, government and pharma segments. (mw)