UK temperature controlled storage and distribution provider Innovate Logistics has signed a 10-year contract with Nestlé to operate a 75,000 pallet automated facility in Bardon, UK.

The new contract will see the transfer of the existing workforce on July 1 2007. The facility, which has been purchased by Innovate on a sale and leaseback option, is being extended by 138,000 sq ft. These enhancements will allow increased output and multi-temperature product handling.

A variety of Nestlé grocery, water and confectionary products are handled at the site, and this contract will launch Innovate into the ambient logistics marketplace.

Said Pete Osborne, managing director of Innovate Logistics: "This is a huge win for us. We have built our reputation on high standards and have a commitment to deliver a service that is second to none in terms of storage, distribution and cost-effective supply chain management to this new marketplace. Overall, we welcome the current team at the Bardon site to Innovate and the exciting employment opportunities the new facility provides."

Innovate's existing relationship with Nestlé in Scunthorpe will not be affected by this contract.