Diversification
At the heart of Brambles’ growth strategy is diversification. This involves building our global Pooling Solutions business, which operates primarily under the CHEP and IFCO brands. We are expanding into more customer segments, broadening our range of products and services, and growing geographically, including in emerging markets. In the Recall business, we continue to diversify and develop the way we deliver services to customers, including through providing document management services digitally to customers.
IFCO North America growth
A key aspect of Brambles’ diversification is the expansion of its Reusable Plastic Crates (RPCs) operations under the IFCO brand in North America. In the 2012 financial year, leading retailer Safeway was one customer that continued to expand its use of RPCs throughout its network. As Safeway’s primary RPC partner, IFCO first worked alongside the retailer to test RPCs in its distribution system for fresh wet-pack produce – that is, produce kept on ice until it reaches the store. After this successful test phase, the retailer implemented the RPC system in every one of its distribution centres in the USA within just 10 months. Now more than 75 types of produce are shipped from growers in RPCs to Safeway distribution centres every day. Safeway says RPCs benefit the retailer in a variety of ways, including waste reduction, reduced product damage and reduced cost. So far, Safeway’s transition has eliminated the use of more than 7.5 million kilograms of corrugated boxes from its system. By the end of the 2012 financial year, IFCO RPCs were being shipped into 105 retail distribution centres in North America including, in addition to Safeway, leading national grocery retailers Walmart and Kroger, leading regional chains Stater Bros, Raley’s, Harris Teeter and Wegman’s and leading Canadian retailer Loblaws.

Central &
Eastern Europe expansion
A key part of Brambles’ growth strategy in the Pallets segment in emerging markets is the expansion of its CHEP pallet-pooling operations in Central & Eastern Europe. In November 2011, CHEP Central & Eastern Europe announced its intention to support customers’ expansion by entering seven new countries in the region: Bulgaria, Croatia, Estonia, Latvia, Lithuania, Romania and Serbia. A key milestone in July 2012 was the signing of a contract to service leading fast-moving consumer goods company Procter & Gamble in all seven of these countries.
Emerging markets
Pallets sales revenue
(USSM, 30 Jun 11 FX)


CHEP Aerospace Solutions
Following Brambles entry into the aviation container and pallet pooling sector in the 2011 financial year, the launch of CHEP Aerospace Solutions in November 2011 was an important step in Brambles diversification strategy. CHEP Aerospace Solutions brings together Unitpool, the aviation container and pallet pooler Brambles acquired in August 2010, with two leading maintenance and repair organisations, JMI and Driessen Services, which Brambles has also acquired. Together the business offers the world’s largest independent network of container and pallet pooling and maintenance services for airlines, with more than 50,000 unit-load devices – the industry term for the containers and pallets used to transport cargo, baggage and mail in-flight – now under ownership and management. In August 2012, CHEP Aerospace Solutions announced Air Canada as its latest customer win, and its largest passenger airline pooling customer to date.