Menzies Distribution delivers “significant” newspaper deal from rival Ceva

Logistics firm Menzies Distribution has won a primary distribution deal with newspaper publisher Reach.

The agreement sees Menzies Distribution replace Ceva Logistics as Reach’s logistics partner in England and Wales. The deal also sees Menzies Distribution extend its current contract with Reach, formerly known as Trinity Mirror, in Scotland.

The six year contract will require Menzies Distribution to collect all of Reach’s daily and regional weekly newspapers, including the Daily Mirror, Sunday People and the Manchester Evening News. It will also deliver titles printed on behalf of third parties to wholesale distribution locations across the UK.

The new service in England and Wales will begin in September.

Menzies Distribution will carry approximately 380 tonnes of newspapers, to 60 wholesale DCs, across around 7,000 miles on a daily basis, seven days a week. The group declined to reveal the value of the contract.

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Greg Michael, MD of Menzies Distribution (pictured), said: “Our strategic focus is on working in real partnership with our newstrade customers to develop innovative solutions that enhance and protect a sustainable route to market for their product.

“This significant deal does just that, streamlining the supply chain for publishers and retailers. It allows us to maximise our expertise and resources in providing UK-wide time critical-logistics and demonstrates our commitment to add value to the supply chain at every step of the journey.”

Parent group John Menzies is currently seeking a buyer for Menzies Distribution. Last year talks on a possible merger between John Menzies and DX Group were abandoned after opposition from DX’s principal shareholder.

Last month the company revealed that the sale of its distribution business was taking longer than expected.

In a trading update, John Menzies group said the sale process “is taking longer than we anticipated but we remain fully engaged with a number of potential buyers".

“We remain hopeful that we will be able to reach a satisfactory conclusion and will update shareholders at the appropriate time,” it said.