LG confirms CEVA Logistics as its logistics partner for the future
23 May 2008 - 09:00 CET
After seven years of on-going collaboration, CEVA renews its agreement with LG by signing a three-year contract worth approximately 40 Million euro
Milan – CEVA Logistics, the fourth largest supply chain management company in the world signs a new contract for the next 3 years with LG Electronics. LG is a leading force in the Air Conditioning, Brown Goods, White Goods, Information System Products and Mobile Communications sectors. With a turnover of 790 million Euro in 2007, LG Electronics has 81 subsidiaries around the world.
On behalf of LG, CEVA manages the receipt of goods, storage, order preparation, distribution, transport and collection of trade-ins for the entire range of products offered by LG: air conditioning, communications, brown & white goods and IT. LG products are widely distributed throughout Italy, both through large specialised distributors and small retailers. CEVA also transports damaged devices to technical assistance centres around Italy. CEVA develops and manages a specialised website that deals with requests for technical intervention and can only be accessed by LG technical assistance centres.
The collaboration between the two companies began in 2000 and it has allowed them to best confront the growing distribution complexity, which characterises the electronics market. This can be counted as one of the factors that have contributed to the growth of LG in our country: the Korean company has increased its turnover 395 billion lire in 2000 to 790 million Euro last year.
In order to adapt to the evolutions that are underway, CEVA has also placed an ensemble of integrated technologies at the customer’s disposal so as to ensure maximum reliability and the constant monitoring of all activities. In order to grant the customer maximum visibility, the contract also includes the Track & Trace service developed by CEVA: this service allows deliveries and the status of every single item to be monitored in real time. The timeliness of the information is one of the elements that defines the excellence of the service that CEVA Logistics is capable of supplying its customers with.
CEVA has made two warehouses in Cortemaggiore (PC) and Maddaloni (CE) available to LG, with an overall dedicated surface area of 30,000 m2 for the management and handling of more than 2 million parcels per year.
“The LG contract renewal confirms the attention that we pay in supporting our customers in executing daily activities that are fundamental to developing their business” commented Carlo Rosa, Divisional Director of CEVA Logistics. “In-depth knowledge and recognised leadership in the sector, quality of service, reliability, and ability to innovate are the elements that set us apart and enable us to create customer loyalty and be perceived as the fundamental cogs of their business system”.
For more information contact:
Sara Faravelli
Marketing & Communication Manager
+39 02 89230270
sara.faravelli@cevalogistics.com
CEVA. Making Business Flow
CEVA Logistics is a leading global supply chain management company. We provide end-to-end design, implementation and operational solutions in contract logistics and freight forwarding to large and medium-sized national and multinational companies. CEVA employs 54,000 people and runs an extensive global network with facilities in over 100 countries. Following the merger with EGL in August 2007, the new combined company had pro forma sales of € 6.3 billion. For more information, please visit http://www.cevalogistics.com/
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT of 1995:
The statements included in this news release, and other statements that are not historical facts, may contain forward-looking statements. In addition to the assumptions specifically mentioned in the above paragraphs, there are a number of other factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements. These factors include, but are not limited to, the process of combining EGL and CEVA, the actual effects of recent and future regulatory changes and technological developments, globalization, levels of spending in major economies, the economic climate in Asia and the US, levels of marketing and promotional expenditure, actions of competitors and joint venture partners, employee costs, future exchange and interest rates, changes in tax rates, unexpected costs of integrating recently acquired businesses and future business combination or dispositions and other factors detailed in risk factors and elsewhere in CEVA and EGL's most recent Annual Reports, including but not restricted to the EGL Annual Report on Form 10-K. Further information concerning the Company and its business, including factors that potentially could materially affect the Company’s financial results, is contained in the Company’s filings with the Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize (or the consequences of such a development worsen), or should underlying assumptions prove incorrect, actual outcomes may vary materially from those forecasted or expected. EGL and CEVA disclaim any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise.
