Penske losing Big Lots logistics contract - Jacksonville Business Journal:

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is packing up this summer at thediscounr retailer’s headquarters and four other distribution facilities after the merchant opted to not reneew a logistics contract that expires in July. The Pa.-based Penske said 186 workers, including 53 in could be affected when its contracgwith Columbus-based Big Lots (NYSE:BIG) expireas July 31. Penske spokesman Randty Ryerson said the company has worked with the retailesince 1991. The 1,300-store Big Lots has chosen a new third-party logistics provider to continues the warehousing and distribution work that Penske performed atthe retailer’d Phillipi Road headquarters and its distribution centers in Pa; Montgomery, Ala.
; Rancho Cucamonga, Calif.; and Durant, Okla. Timothy Johnson, Big Lots’ vice president of strategicc planning andinvestor relations, said more than a dozejn carriers bid for the work. He declinec to disclose the company Big Lots selected tosuccee Penske. Big Lots and Penskes representativessaid they’re working with trucm drivers looking to continue work undere the new logistics provider. Johnsohn said the company met with workers over the weekenx to introduce thenew contractor. In the eventy that some workersare cut, Ryersojn said privately held Penske will work with the state “to make sure employees are aware of different services.
” Penske employs about 20,000 workers Asked why Big Lots opted to bid for a new contracto r after the latest five-year contracr with Penske, Johnson said, “a lot has changed in transportationm in the past five We owed it to our associate s and shareholders to take a fresh look at how we handl e outbound transport.” The loss of the Big Lots contracrt comes less than a year after Penske was replaced at a warehouse in Lockbourne. Chattanooga, Tenn.-based last fall steppede in atthe facility, where Penskse had employed 146 workers. Penske has 400 logisticw centers worldwide. Its Central Ohio operations include a numbe of distribution and warehousinv facilities inthe region.