F&N OPENS RM25 MILLION WAREHOUSE IN KUCHING

Thursday, April 02, 2009

F&N OPENS RM25 MILLION WAREHOUSE IN KUCHING

The soft drinks division of Fraser & Neave Holdings Bhd, Malaysia opened on 2 April 2009 a RM25 million state-of-the art warehouse in Kuching Sarawak to manage the increased demand for storage capacity of raw and finished goods to meet the projected volume growth in Sabah and Sarawak.

The new facility more than triples F&N’s warehousing capacity to 600,000 cases from 180,000 cases currently.

The new warehouse would improve operational facilities especially in enhancing F&N’s service to its customers in the region.

The new facility and its integrated, computerized Warehouse Management System enables F&N to better manage inventory in terms of security, movement, handling, stock rotation and traceability of the products to minimize inventory losses and optimize dispatch operations.

The RM25 million investment in setting up the new warehouse facility includes the cost of acquiring the required land. The 4,850m2 warehouse complements the existing warehousing facilities in Kuching. In essence, F&N is able to house all its products under one roof amounting to over two weeks of stock to cater to market needs.

F&N has a significant presence in Sarawak. Besides the soft drinks operation, the company also owns and operates Borneo Springs, a mineral water company. The Group directly and indirectly employs 650 Sarawakians, and over the last 43 years, has successfully trained and developed local talents, who have contributed positively to the continuing growth of the Company. F&N’s total investments in Sarawak amount to over RM100 million, while F&N’s soft drinks and dairies division contribute over RM400 million per annum to the Sarawak economy.

F&N commenced operations in Kuching in 1966 with one production line producing a capacity of 567,000 cases per year. The company has since grown its operations and sales manifold. Based on the soft drinks division’s performance in the last financial year, total sales volume in Sarawak exceeded five million cases while production was in excess of seven million cases.

Fraser & Neave Holdings Bhd is a Malaysian company listed on Bursa Malaysia with F&B businesses in soft drinks, dairies and glass packaging. The Group employs nearly 5,000 employees in operations straddling Malaysia, Thailand, China and Vietnam.

F&N is Malaysia’s largest soft drinks manufacturer and distributor and has a total workforce of about 1,380 employees in 21 offices throughout the country. The company operates four manufacturing plants nationwide, among which includes a state-of-the-art facility at its headquarters in Shah Alam, Selangor and distributes F&N products comprising 100PLUS, F&N Fun flavors, F&N Sarsi, SEASONS, Fruit Tree, and Coca-Cola products in Malaysia.