Intranet message to Shell employees from Shell VP’s Tony Patterson and Colin Abraham
01-Dec-2009
Shell has signed an agreement to appoint Univar as a “Macro Distributor” of Shell lubricants products in Sweden, Norway,
Denmark and Finland. Univar will be responsible for marketing, selling and distributing Shell branded lubricants in these four countries.
As part of this transaction, AB SVENSKA SHELL, OY SHELL AB, A/S NORSKE SHELL and A/S DANSK SHELL have each signed an agreement with affiliates of the Univar Group to transfer their local lubricants business to the relevant Univar affiliate.
Univar is one of the world’s leading independent distributors of industrial and specialty chemicals and related services. In the Nordic region, Univar is the market leader in its segment, serving some 5,000 customers.
This new distributorship is consistent with our continued efforts to increase global competitiveness and strengthen our ability to respond to market changes in the Lubricants business. Part of this response is in simplifying our route to market operations. In appointing Univar as a Macro Distributor, we believe we can offer even better levels of service to customers and improve business performance.
From previous experience in other countries, customers have benefited from working with more locally focused businesses that are already active in key channels and have extensive business contacts in the local markets. The model is a proven success in sustaining and growing Shell branded lubricant sales in countries where it has been implemented.
This appointment focuses solely on the domestic lubricants sales, marketing and distribution activities of the four Shell companies in the Nordics, including local Aviation and Marine lubricants businesses.
The agreements exclude the selling and marketing of lubricants to international Marine customers, to a small number of key global Lubricants customers and the selling and marketing of process oils.
Univar will also become a delivery service provider for Shell Marine Products’ international customers and key global Lubricants customers.
These business transfers do not affect any other Shell activities in the Nordics.
We anticipate that the transaction will be concluded in April 2010. The implementation and completion of the transaction is subject to the receipt of the necessary regulatory approvals.
Univar will be making presentations to the relevant lubricants-related staff in the next week when they will be able to answer staff questions.
Until completion of the transaction, business will continue as usual. Whilst this time of change is understandably unsettling, staff are asked to continue to focus on running the business with the same professionalism and dedication as always and with safety as the number one priority.
The NLT, the Nordics Lubricants leadership team, HR and line managers are all planning and working to make the transition period as easy and as short as possible for everyone and will keep staff informed on progress over the next period.
Tony Patterson, VP Nordics
Colin Abraham, VP Marketing, Strategy and Distributor Markets Shell
Lubricants
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