Wal-Mart Contracts with Schneider Logistics Subsidiary for Chicago DC

American Port Services to establish new 3.4 million square foot import distribution center in Elwood

American Port Services to establish new 3.4 million square foot import distribution center in Elwood

Green Bay, WI — May 15, 2006 — Mega-retailer Wal-Mart Stores has inked a deal with Schneider Logistics that will see Schneider subsidiary American Port Services provide the retailer with full operating services in its 3.4 million square feet of warehousing space in Elwood, Ill., creating a new import distribution center and bringing more than 300 new jobs to the area.

The American Port Services contract supports Wal-Mart's import business flowing from West Coast ports by rail to the Chicago area. Products moving through the corridor are en route to Wal-Mart distribution centers and stores throughout the Midwest.

"The Elwood distribution center will provide Wal-Mart the opportunity to better serve our stores throughout the Midwest," said Johnnie Dobbs, executive vice president of logistics and supply chain for Wal-Mart. "Our partnership with American Port Services, Schneider Logistics and [Schneider parent company] Schneider National will create hundreds of good paying jobs for the region and represents our continued commitment to Illinois as a partner in both economic and community development."

The Elwood, Ill., contract comes on the heels of a major Mira Loma, Calif., transloading and warehousing contract awarded to American Port Services by Wal-Mart earlier this year. Under the Elwood contract, American Port Services will provide warehousing services out of the CenterPoint Industrial Park, adjacent to the BNSF Logistics Park-Chicago. Operations at the facility will begin mid-summer.

Additional Articles of Interest

— A recent independent study revealed that Wal-Mart customers are finding the items they wanted in stock more often due to the retailer's use of RFID technologies when compared to control stores. Read more in "Wal-Mart Achieving Improved On-shelf Availability with RFID, Study Finds" on SDCExec.com.

— Capturing the sourcing savings in a low-cost manufacturing strategy means weighing the risks and understanding total cost. Read more in "Supply Base Localization: A Different Look at Low-cost Country Sourcing," in the February/March 2006 issue of Supply & Demand Chain Executive.

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