BRS loses out to Stobart
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• Mystery surrounds the loss of a plum £4m BRS Midlands distribution contract with CMB Foodcan. Braunstone, to Carlisle haulier, Eddie Stobart.
The contract, to distribute cans for food packaging, was won by Stobart against the background of "financial difficulties" BRS claims it was having with the work. According to BRS, "lengthy discussions" with CMB had failed to "resolve the problems".
But Stobart's announcement that it won the CMB contract for five years beginning 1 January 1991 took the NFC company by surprise. BRS says it has more substantial business with CMB at other locations — in particular Wisbech, Cambs — and that this is unaffected by the loss of the Braunstone contract.
To service the contract Eddie Stobart says it plans to open a depot in Leicester and is seeking suitable premises. Company secretary Barrie Thomas believes this may cost Lim and is prepared to spend "whatever it takes".
The transport operation will require 50 vehicles and 80 drivers. Some of these may come from BRS, which is anxious to redeploy drivers who will lose work in the transfer of the contract. To this end, BRS has said it will talk to Stobart.
In the meantime, Stobart has a temporary site for parking lorries in Leicester and, according to Thomas, has placed a "substantial" vehicle order with Volvo. He is not prepared to comment on the difficulties BRS had with the contract — but points to the requirement for flexibility. "It's a difficult game to be in because they are delicate goods to carry," he explains.