UPS today marked the 25th anniversary of its European air hub at Cologne/Bonn airport byannouncing a $200 million investment that will increase sorting capacity by more than 70% to cope
with future growth.The expansion project, due to be completed by the end of 2013, will equip the existing facilitywith additional state-of-the-art technology and will include a major extension to the existingbuilding that will be partially dedicated to processing larger freight shipments.
Together, the initiatives will significantly increase the hub’s package sorting capacity fromtoday’s 110,000 to 190,000 packages per hour, ensuring the Cologne/Bonn air hub remains one of themost advanced sorting facilities in the world, UPS said. At an estimated $200 million, theexpansion will constitute UPS’s largest facility investment outside the United States in thecompany’s history.
“The Cologne hub has served us well for 25 years and continues to be exactly where we need it inorder to best serve our customers on the important trading lanes within Europe, and beyond to theAmericas and Asia,” said Jim Barber, president, UPS Europe. “This investment demonstrates ourlong-term confidence in, and commitment to, the European economy and its businesses that continueto produce goods sought after the world over.”
UPS, which does not release separate figures for its Europe business, stressed that it hasenjoyed great success in Europe, with a compound annual export volume growth rate of more than 10%over the past 10 years. With the planned expansion announced today, the company was positioningitself for continued growth of its international express business.
“This announcement is good news for UPS customers in Europe and all over the world,” addedBarber. “Increased capacity and efficiency at our Cologne/Bonn facility will ensure they continueto enjoy the highest possible levels of service in today’s highly competitive, fast-moving globaleconomy.”
UPS originally chose Cologne/Bonn as the location for its European air hub on account of itsexcellent location at the heart of Europe’s most productive economic region, the area’s welldeveloped road network and infrastructure, the good local weather conditions for year-round flightoperations, the airport’s excellent runway system and its proximity to a skilled and flexibleworkforce. Those conditions have not changed to this day. Crucially, Cologne/Bonn Airport alsooffers UPS the possibility to fly at night until at least 2030.
UPS is already the largest employer at Cologne/Bonn Airport, with almost 2,300 employees. Theexpansion is expected to create up to 200 new jobs at the hub by the end of 2013, a figure thatwill rise further as new capacity is utilized.
