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fax 12 619 98 01 - the Ukrainian contract for PLN 1.14m

Press release
                                                                                                                                                                                                                                               Cracow, 17th January, 2013 - the Ukrainian contract for PLN 1.14m – a distribution company, part of the Group, expands its portfolio of retail clients. In 2012, the company signed a contract with ALLO, the largest e-store selling telecommunication equipment, extended the cooperation terms with Foxtrot, an electronic chain store in Ukraine, as well as renewed the contract with BILLA, the European supermarket chain, and one of the major players in the food industry in the Ukrainian market. In January 2013, the operator signed the contract with Technopolis, the significant distributor of electronics on the local market. cooperation with Technopolis covers 24 distribution activities across Ukraine in 2013, providing delivery of 10m up to 20m unaddressed mail items. The maximum contract value - concluded for a period of one year - is estimated at nearly PLN 1.14 million. In 2012 the unaddressed mail sector in Ukraine was valued at PLN 120 million, with 12% growth compared to 2011. distributes about 6.1m of leaflets monthly. As a result of new contracts as well as renewing the existing one, in 2012 Group increased the volume of distributed unaddressed mail from 50 m to 73m items per year. Currently, provides its services for Foxtrot in the central and western Ukraine, distributing unaddressed mail for Technopolis, BILLA and 425 ALLO stores throughout Ukraine.


“Both the contracts signed or extended at the end of 2012 and in early 2013 indicate strong position of in the Ukrainian market of unaddressed mail. Right now we can confidently say about the leading position in the sector, thanks to the long-standing relationship with the key retail chains. Our competitive advantages are demonstrated not only by our comprehensive offering, but also geographically comprehensive services based on our own resources and logistics. The Ukrainian market of unaddressed mails – compared to the Western Europe – is in the initial phase of development. However, for, it means strengthening the leading position and staying ahead of the competition, which will appear at the time of the largest growth. We believe that - following the example of the Polish market of postal services - it will be far too late to fight for the largest contracts that are just being signed by us”, says Waldemar Brzoska, CEO of and advisor to the management board of Group.



At the same time, Group prepares to deploy even 250 easyPack by InPost machines in Ukraine as a part of 4-year-plan of international expansion. In February 2013, 20 machines to send and collect parcels 24/7 will be located in Kiev. task is to provide logistics and human support of the project based on the company branch offices in Ukraine, as well as technical support, and maintenance.


With the development of business in Ukraine, and activities covering easyPack project, the Group also plans to increase employment in the local market. That also requires a logistics development, including an increase of the office space, warehouse, and vehicle fleet. In 2013, the company plans to invest about 3m euros in the infrastructure.


„We decided to sustain our ambitious plans for Ukraine. We are mobilized by the possibility of development of one of our subsidiaries. We are experienced as far as distribution activities are concerned. Although, due to its limited infrastructure, existing legislation and mentality of people, Ukraine is a very specific, difficult and demanding market. Therefore, each new, or renewed contract, especially the one extending on going cooperation is very important for us. Both Ukrainian and international networks perceive as a reliable business partner, and every month our portfolio is increased by adding new clients”, saidRafał Brzoska, the CEO of Group. has been operating on the Ukrainian market of unaddressed mail since 2008. Since 2009, the company has been providing transport services for OSD. The company distributes 120 tons of advertising materials annually, including BonPrix catalogues, and about 2.5m "Расти, Малыш" item dedicated for mothers and their children. The company is also the Leroy Merlin sole partner within the quarterly distribution activities in Kiev.


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