AG Barr secures £18m Stobart deal

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AG Barr, the maker of Irn-Bru, has signed a three-year warehousing and distribution contract worth £18 million with Eddie Stobart.

The deal involves the consolidation of deliveries at a newly created central stockholding warehouse in Crick and distribution to retailers throughout the UK.

Stobart will move stock by rail from AG Barr’s factory in Cumbernauls to the distribution centre in Crick. Operations are expected to begin in May 2010.

Graeme Kay, head of logistics at AG Barr, said: “Our decision to partner with Eddie Stobart was based on its networked solution and proven track record of integrating new business.”

Andrew Tinkler, CEO of Stobart Group, added: “This contract provides an important opportunity to expand our multimodal services from Scotland. As well as delivering day-to-day efficiency benefits for AG Barr through our distribution system, the multimodal offering will also bring carbon reduction improvements.”

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