CHEP Relationship with P&G Extends into Seven Additional Countries

Procter & Gamble (P&G) will convert its remaining white pallet flows to CHEP’s pooled pallet
system in seven additional countries in Central and Eastern Europe.

CHEP reports that the strategic collaboration covers P&G operations in Bulgaria, Romania, Croatia, Serbia and the three Baltic states of Estonia, Latvia and Lithuania, the seven countries in Central & Eastern Europe into which CHEP announced its expansion in November 2011 in response to its customers’ needs and growth plans.

Under the agreement, CHEP will provide P&G, the largest consumer packaged goods company in the world, with approximately 2 million pallet flows annually throughout Central & Eastern Europe.

CHEP Vice President of Global Accounts, John Riley, said: “We’ve enjoyed a very close relationship with P&G for many years. This agreement fits CHEP’s strategy of offering a broader set of pooling solutions and expanding into new geographies while responding to the needs of one of our most valued customers. In my mind, it’s an excellent example of a two-way
partnership.”

CHEP has been operating in Central & Eastern Europe since 1998, delivering double digit
growth over the five years to 30 June 2012. Prior to the November 2011 expansion, CHEP
Central & Eastern Europe already had operations in Czech Republic, Hungary, Greece,
Poland, Slovakia, Slovenia and Turkey.

CHEP Central & Eastern Europe President, Rodney Francis, said: “Multinational companies
have made the decision to move operations into Central & Eastern Europe using a CHEP
pallet management system that meets their needs for operational efficiencies and cost
reduction in an environmentally-friendly manner. Many of them have turned to CHEP after
struggling with the inefficiencies and high costs inherent in the white exchange pallet system. P&G is a good example.”

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