CEVA named as General Motors’ Tier One supplier
29 June 2009 - 11:44 CET
Sao Paulo, Brazil, 29 June 2009 - CEVA Logistics, one of the world's leading supply chain management companies, today announced its subsidiary AV Manufacturing (AVM) had been named as a Tier One supplier for General Motors. As the first logistics operator in South America to be selected as a systemist, CEVA will provide complete dressed up engine supply chain services from its warehouse in Gravatai, located in the countryside of Rio Grande do Sul State.In partnership with the customer, CEVA has created a bespoke solution for the contract, called Direct Buy. Designed to be integrated with GM's existing supply chain, the service includes production scheduling, acquisition of components from the 30 vendors, inbound transportation of parts, sub-assembly of engines (dress up) and sequencing for the GM installation.
The purpose built operating facility in Gravatai was erected in 2006 to house a production line for sub-assembly of engines. In 2009 AVM started an identical operation with a suspension and rear axle module supply chain in the same industrial complex.
"With this project we are demonstrating our capability of implementing full solutions, overcoming the traditional logistics limitations and maintaining our position in the forefront of the market", says Giuseppe De Vincenzo, Vice President of CEVA Logistics in Brazil.
The Direct Buy solution aims to significantly reduce inventory, achieving just in time delivery of GM's engines at its production line. To ensure seamless operations, AVM will use the MRP system, an inventory management software program, which allows the procurement of materials and management of inventory, according to GM's production schedule.
For more information contact:
Elisandra Casaroti
+55 11 3556-2566
elisandra.casaroti@cevalogistics.com
CEVA Making Business Flow
CEVA Logistics is a leading global supply chain management company. We provide end-to-end design, implementation and operational solutions in contract logistics and freight management to large and medium-sized national and multinational companies. CEVA employs circa 50,000 people and runs an extensive global network with facilities in over 100 countries. For the year ending 31 December 2008, the Group reported revenues of €6.3bn. For more information, please visit www.cevalogistics.com.
About AV Manufacturing
Created in June 2006, AV Manufacturing (AVM) is dedicate to sub-assembly of mechanical sub-assemblies including the programming and purchasing of mechanical or electronics components. The company, which its head office is located in Gravatai (country side of Rio Grande do Sul, Brazil), belongs to CEVA Logistics Group and employs 150 people. In 2007, AVM conquest the ISO/TS 16949 Certification and has become reference in the GM QSB (Quality System Basic), created by GM, one of its main customers. For more information, please call +55 51 3430-3507.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT of 1995:
The statements included in this news release, and other statements that are not historical facts, may contain forward-looking statements. In addition to the assumptions specifically mentioned in the above paragraphs, there are a number of other factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements. These factors include, but are not limited to, the process of combining EGL and CEVA, the actual effects of recent and future regulatory changes and technological developments, globalization, levels of spending in major economies, the economic downturn in Asia, Europe and the US, including the economic downturn in the automotive sector, levels of marketing and promotional expenditure, actions of competitors and joint venture partners, employee costs, future exchange and interest rates, changes in tax rates, unexpected costs of future business combinations or dispositions and other factors detailed in risk factors and elsewhere in CEVA most recent Annual Reports. Further information concerning the Company and its business, including factors that potentially could materially affect the Company's financial results, is contained in the Company's annual and quarterly reports, available on the Company's website. Should one or more of these risks or uncertainties materialize or the consequences of such a development worsen, or should underlying assumptions prove incorrect, actual outcomes may vary materially from those forecasted or expected. CEVA disclaims any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise.
