LOGISTICAL CENTRE IN JÜRI, TALLINN WAS OPENED

Kesko’s logistical centre at the junction of the Tallinn ringroad and the Tallinn-Tartu highway in Jüri has been completed. The logistical centre with a total floor area of 16,200 square metres represents an investment of about FIM 50 million (about EUR 8.4 million). The centre has a staff of about 100 persons.

The logistical centre provides services to the entire area of Estonia. It provides local retail stores and catering customers with a full range of modern logistical services that meet the EU standards. At the same time, the centre serves as a warehouse for imported groceries and supports the building of Kesko’s own retail store network in the country. The unit also offers an efficient distribution and export channel to the Estonian food industry.

The total area is divided into the following storage areas: frozen foods 1,100 square metres, fresh foods 2,500 square metres and the ambient temperature and customs warehouse 10,000 square metres. The total number of Euro pallet places is 13,600. The area of technical premises and offices is 3,700 square metres. Eesti Ehitus AS was the contractor for this building project. The operations control system used is SAP R3.

Kesko will build a comprehensive network of grocery stores in Estonia to provide services to the local consumers. There are two SuperNetto stores operating in Tallinn at present, and the next stores will be opened in Tartu in spring 2001 (2,500 m2) and in Pärnu in autumn 2001 (2,200 m2). In 2002, a large grocery outlet will be opened in the immediate vicinity of the port of Tallinn. In Latvia, Kesko’s aim is to open four hypermarkets in Riga within two years. Kesko’s target is a market share of 20-25 % in the Baltic countries of the total grocery market of EUR 3.4 billion.

Kesko also owns Ehitusmaailm, the largest hardware store chain in Estonia, which has five hardware stores in Estonia and one in Latvia. In addition, Kesko carries on agricultural trade in all Baltic countries. At present, Kesko has a total staff of 600 persons in Estonia.

Further information

: Kesko Eesti AS’s Managing Director Timo Hämälä, telephone +372-6059 421, gsm +372-56 251 157 or timo.hamala@kesko.ee
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