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1113 loses out to AAH

10th March 1994, Page 11
10th March 1994
Page 11
Page 11, 10th March 1994 — 1113 loses out to AAH
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Which of the following most accurately describes the problem?

by Juliet Parish • United Biscuits' haulage arm, United Biscuits Distribution Services (UBDS), is to lose almost all of its third-party work, which is for Terry's Suchard, to AAH subsidiary Baylis Distribution.

Baylis will take over 97% of the three-year contract in June and UBDS will close its Colchester depot, making 47 employees redundant—some of the 25 drivers and 14 warehouse staff may be offered jobs at UBDS's remaining eight sites. The parent of Terry's Suchard's believes that a third-party contractor will be more flexible than UBDS, which is predominantly an own-account operator. UBDS was awarded the contract for six million cases a year by United Biscuits, which sold Terry's last April to Kraft Jacob Suchard.

Baylis plans to bring in 60 extra drivers and trucks for the contract, which will be operated from a new temperature-controlled warehouse in Wolverhampton. The trucks will be based at seven of AAH's 16 depots.

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Locations: Wolverhampton

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