Ann: GENERAL: SCL: Scales Corporation's Polarcold expands into Auckland

• Release Date: 19/08/14 17:07
• Summary: GENERAL: SCL: Scales Corporation's Polarcold expands into Auckland
• Price Sensitive: No
• Download Document  3.77KB

					SCL
19/08/2014 17:07
GENERAL

REL: 1707 HRS Scales Corporation Limited

GENERAL: SCL: Scales Corporation's Polarcold expands into Auckland

Media release
19 August, 2014

Scales Corporation's Polarcold expands into Auckland

Recently listed Scales Corporation is making moves in Auckland where its
Polarcold Stores operation has secured Fonterra as a customer for a new cold
store.

The facility will accommodate around 20,000 pallets of goods (8,700m2)
expanding Scales' total cold storage capacity by 16 per cent. Fonterra is
taking 50 per cent of the space under a long-term agreement.

Polarcold has secured a long term lease at Ports of Auckland's intermodal
freight hub in Wiri. The hub is strategically located within the South
Auckland manufacturing and logistics cluster and also hosts an inland port
and empty container depot.  It has rail links to the Auckland Port and the
Central and Lower North Island, plus easy access to SH1 & SH20.

Subject to final project assumptions meeting expectations, construction is
set to begin in Q4 2014 with the new facility set to be operational in Q3
2015.

Scales Corporation managing director Andy Borland says there is consistent
and ongoing demand for domestic temperature controlled storage.

"New Zealand's perishable food exports have increased by almost 65 per cent
in volume terms since 1990 and our forecasts show this continuing into the
future. While half of the capacity is fully contracted, it is anticipated the
balance will be quickly picked up by import/export clients and FMCG customers
across the Auckland region" says Borland.

Ports of Auckland chief executive Tony Gibson says, "Wiri's strength is its
location plus its road and rail links to the Auckland sea port.  It offers
access to New Zealand's largest market for importers and domestic producers
and a fast efficient route to overseas markets for exporters."

Polarcold currently operates facilities in Timaru, Christchurch and Dunedin
with a total temperature controlled storage capacity of more than 265,500 cu
m. Associated company Whakatu Coldstores has 341,000 cu m of cold storage
facilities in Hastings, Napier, Kerepehi and Wellington.

Both companies are part of Scales Corporation's storage and logistics
division along with bulk liquid storage terminal operator Liqueo.

Scales Corporation's Investment Statement issued prior to its recent IPO
forecast its storage and logistics division would contribute 36 per cent of
the company's 2014 financial year EBITDA.

About Scales Corporation
Scales Corporation has been a trusted partner of major New Zealand and global
businesses for more than a century. Today it is an established market leader
across all of its businesses with long standing customer relationships,
efficient operating systems and an experienced management team.  Listed on
the New Zealand Stock Exchange (NZX:SCL), Scales Corporation comprises three
operating divisions involved in horticulture, storage and logistics and food
ingredients. The company's diverse spread of activities gives Scales broad
exposure to the strong New Zealand agribusiness sector. The group continues
to invest in growth areas including producing more apples to meet growth
markets in Asia, developing new cold storage facilities at key transport hubs
and investing in new ingredients products. Scales was founded in 1897 as a
shipping business by George Herbert Scales. Today it employs more than 400
staff New Zealand wide.  Find out more at www.scalescorporation.co.nz

Issued for Scales Corporation by Pead PR

Contacts:
Andy Borland, Managing Director, Scales Corporation Limited, DDI: 0-3-371
0345, Mob: 021-975 999, email: [email protected]
Leandri Smith, Pead PR, Tel: 0-9-551 2377, Mob: 027 365 9003, email:
[email protected]
End CA:00254069 For:SCL    Type:GENERAL    Time:2014-08-19 17:07:53