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Supply Chain

Kroger Invests $17m In Northern Kentucky Distribution Centre

US retailer Kroger has announced that it will invest $17 million (€14.5 million) in its Florence, Kentucky distribution centre.

The investment is supported by Kentucky Business Investment incentive, which will offer up to $1 million (€854,000) over the course of 10 years. The tax credit will be eligible to Kroger based on job creation and retention, as well as meeting hourly wage targets.

The aim is to increase production at the facility, and the investment will create 250 primarily full-time jobs. The distribution centre currently has 80 employees. Kroger overall employs more than 21,000 people in the state of Kentucky.

Increasing Demand In Distribution Needs

"This significant investment in the distribution facility and our associates will allow us to more efficiently reach our customers and help to deliver on new ways to shop with Kroger, as we redefine the grocery customer experience through Restock Kroger," said Frank Bruni,  the VP of supply chain and logistics at Kroger.

Kentucky Governor Matt Bevin commented on the investment, "It was less than a year ago that Kroger opened its distribution centre in Boone County, and it is clear from this additional investment that the company recognises Northern Kentucky as the best possible location for further success and growth."

According to judge-executive of Kenton County and current Northern Kentucky Tri-ED board chair, Kris Knochelmann, this particular region is poised for growth in the distribution industry.

"Northern Kentucky continues to attract businesses that benefit from the extensive logistics infrastructure we have here. Our region is perfectly suited to complement Kroger's distribution expansion efforts and we recognise the significant investments Kroger continues to make in Northern Kentucky, which has a positive impact on our region and our community."

© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Padideh Aghanoury. Click subscribe to sign up to ESM: European Supermarket Magazine.

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