XPO Logistics wins contract for Iceland

Frozen food retailer Iceland has awarded a five year warehousing and distribution contract to international logistics company XPO Logistics. The logistics company will handle the retailer’s distribution centres in Warrington, Enfield, Livingston and Swindon.

XPO Logistics will be involved in warehousing activities ranging from product receipt to nationwide store distribution, as well as multiple primary collections. Around 1900 staff at the four sites will be re-employed by the logistics company as part of the TUPE process that comes as part of the deal.

The logistics company will also manage Iceland’s existing temperature controlled fleet of 320 tractors and 450 trailers.

Iceland supply chain director Nigel Morley said: “XPO Logistics shares our values when it comes to putting people at the forefront of everything we do.”

XPO Logistics UK and Ireland supply chain managing director Richard Cawston said: “We’re delighted to be working with Iceland and believe that our significant experience working with major food retailers will be invaluable in supporting our customer’s expansion.”

The company has said that it has developed a supply chain solution that aggregates Iceland’s network with the capacity of its shared-user facilities to accommodate increasing volumes, seasonal peaks and promotional activity.

Earlier this month, Apex Insight reported that XPO Logistics received a reverse logistics and maintenance contract from supermarket retailer Aldi in the UK.

As part of the deal, XPO Logistics will wash and repair reusable transit packaging collected from Aldi stores in the UK.

The new deal further expands XPO Logistics interests in the UK, as it takes on the logistics requirements of more and more UK retailers and large scale grocers.