EXEL AND FUJITSU ANNOUNCE AGREEMENT IN PRINCIPLE
FOR EXEL TO ACQUIRE FUJITSU LOGISTICS LTD
(London, UK - 16 February, 2004) -- Exel, the UK-based, world
leader in supply chain management and Fujitsu Limited, a leading
provider of customer-focused IT and communications solutions for
the global marketplace, have today announced that they have
agreed in principle for Exel to acquire Fujitsu's wholly owned
subsidiary company, Fujitsu Logistics Ltd (FJL).
FJL provides a range of logistics services to Fujitsu companies
in Japan. The proposed agreement supports Fujitsu's strategy to
enhance the management of the global supply chain for its
products, by selecting a logistics outsourcing partner with whom
it can develop a truly global relationship. Through the
partnership, which would include an outsourcing agreement under
which FJL, as an Exel company, would continue to provide
logistics services to Fujitsu in Japan, Fujitsu will enhance the
competitiveness of its supply chain management capabilities for
both domestic and global customers. All FJL staff will be
transferred to Exel.
For Exel, this move represents a continuation of its strategy to
build its contract logistics business across Asia Pacific and to
strengthen its position in the important Japanese market, the
second largest economy in the world. Exel will be poised to
offer more extensive and higher value-added services to its many
customers through the combination of FJL's logistics expertise
in the Japanese IT industry with its own global network and
advanced technologies. The acquisition will triple the size of
Exel's current operations in Japan.
John Allan, Chief Executive, Exel commented, "Over the past 30
years that Exel has operated in Japan, it has developed a
strong position in international freight management. Recently
it has developed domestic contract logistics services for
technology sector customers and sees significant opportunity
to expand this business. This acquisition of FJL, with its
combination of nationwide distribution and service centres,
together with extensive road transport operations and a skilled
workforce, will provide an excellent platform from which Exel
can achieve the growth it is seeking in the region."
Hiroaki Kurokawa, President of Fujitsu Limited, stated that "To
date, FJL's focus has been the provision of domestic logistics
services exclusively to Fujitsu companies. Going forward,
however, FJL's technical expertise and service offering will be
further expanded and strengthened through its effective
integration into Exel's global network. At the same time, I
expect that Fujitsu's global supply chain management
capabilities will be greatly enhanced as a result of this
alliance, resulting in reduced product cost and improved service
for our customers."
Fujitsu and Exel will continue discussions on the details of the
agreement, which they expect to conclude by the end of April this
Notes to Editors - Exel
Exel is the global leader in supply chain management, providing
customer-focused solutions to a wide range of manufacturing and
retail industries. Exel's comprehensive range of innovative
logistics solutions encompasses the complete supply chain from
design and consulting through freight forwarding, warehousing
and distribution services to integrated information management
and e-commerce support.
Exel, a UK listed, FTSE 100 company, in 2002 had turnover of
£4.7 billion (over US$7 billion) and employed around 67,000
people in 1,600 locations in over 120 countries worldwide.
Exel's customers include over two thirds of the world's largest,
quoted non-financial companies. More information is available at
All other company/product names mentioned herein are trademarks or registered trademarks of their respective companies.
Fujitsu is a leading provider of customer-focused IT and communications solutions for the global marketplace. Pace-setting technologies, highly reliable computing and telecommunications platforms, and a worldwide corps of systems and services experts uniquely position Fujitsu to deliver comprehensive solutions that open up infinite possibilities for its customers' success. Headquartered in Tokyo, Fujitsu Limited (TSE:6702) reported consolidated revenues of 4.6 trillion yen (US$38 billion) for the fiscal year ended March 31, 2003. For more information, please see : http://www.fujitsu.com/.
John Allan, Chief Executive +44 1344 744409
John Dawson, Corporate Affairs +44 1344 744409
Simon Millington, Managing Director,
Far East Region +81-3-5762-2953
Public & Investor Relations
All company/product names mentioned may be trademarks or registered trademarks of their respective holders and are used for identification purpose only.