C Butt wins 'multi-million-pound' Netto deal

Commercial Motor
September 10, 2009

Logistics firm C Butt has won a "multi-million-pound" five-year contract with supermarket chain Netto.

Northampton-based C Butt will distribute to 193 stores from Netto's Distribution Centres (DCs) at South Elmsall, West Yorks and Daventry, Northants.

Under the deal, C Butt has committed to a £9m investment in 63 lorries and 96 refrigerated trailers, supported with a fully-integrated ICT solution.

The company says the contract secures the ongoing employment of approximately 150 staff that are transferring from two incumbent third-party providers.

NYK Logistics, which has worked with Netto for a "number of years", says the transfer of work to C Butt follows a competitive tendering process.

"NYK Logistics (UK) currently employs 96 people on the operation, based at the Netto Distribution Centre at South Elmsall, near Wakefield. It is our understanding that these employees will transfer to Netto's new logistics service provider under TUPE regulations," says Ian Smith, operations and business improvement director at NYK.

Netto managing director Charles Kay says: "It is vital that we employ first-class logistics solutions to support growth and ensure that all of our UK stores receive the correct deliveries on time, every time. I am more than confident that C Butt will deliver the goods as one of Netto's trusted retail partners."

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