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DHL expands logistics role for U.K. retailer

DHL expands logistics role for U.K. retailer

   DHL Supply Chain has won an $815 million five-year contract to manage the U.K. warehousing and distribution of all goods for the food retailer Iceland.

   'Iceland has been supported by DHL through steady growth over the last four years and as a result DHL will service a further 70 stores as the company's expansion continues in the coming year,' the logistics company said. 'The new stores will be serviced by Iceland's existing network of distribution centers and DHL will be responsible for ensuring that the sites are able to manage the increased volume while maintaining service levels. As the majority of new stores will be based in the south of England, DHL will also manage the re-allocation of existing stores to alternative distribution centers within the network.'

   DHL said it has saved Iceland $6.5 million in operating costs the past two years and expects to save the company another $4.8 million this year.