Business
5yr contract extension with Guardian News & Media
5yr contract extension with Guardian News & Media.
About this update from Smiths News Plc
[{"type":"text","content":"\n \nRNS Number : 4366S Connect Group PLC 24 September 2014 \n \n\n \n \nConnect Group PLC\n('Connect Group' or \"the Group\")\n \n \n \nSmiths News agrees five year contract extension with Guardian News and Media\nNew contract secures c£63m of annual revenues\nConnect Group PLC (\"the Group\") a leading specialist distributor operating in three divisions; News & Media, Books and Education & Care, is today delighted to announce Smiths News, the UK's leading newspaper and magazine wholesaler, has reached an agreement with Guardian News and Media to extend their newspaper wholesaling agreement until February 2021.\nThe new agreement secures the existing 60% market share of Guardian News and Media's distribution business for an additional five years.\nThe contract is valued at £63m pa (at FY14 values) equating to 7% of the national newspaper distribution market. Guardian News and Media publishes both The Guardian and The Observer which sell 180,000 and 200,000 papers per day respectively.\nFollowing this extension, Smiths News has now secured c.£1.2bn of revenues per annum (at FY14 values) through to 2019 equating to 84% of total sales. \nMark Cashmore, Chief Executive Officer, commented\n\"We are delighted to have extended our relationship with Guardian News and Media, securing another significant publisher agreement for our newspaper and magazine distribution business. With 84% of newspaper distribution revenues secured to 2019 and beyond, this further endorses our market leading proposition.\"\nEnquiries:\n\n\n\n\nConnect Group PLC\n\n\n \n\n\n\n\nMark Cashmore, Group Chief Executive\n\n\nTel: 01793 563641\n\n\n\n\nNick Gresham, Chief Financial Officer\n\n\n \n\n\n\n\n \n\n\n \n\n\n\n\nBuchanan\n\n\n \n\n\n\n\nJeremy Garcia / Gabriella Clinkard\n\n\nTel: 020 7466 5000\n\n\n\n\n \nAbout Connect Group PLC:\n \nConnect Group PLC is a leading specialist distributor operating in large and diverse markets. The Group has three separate divisions, connecting suppliers to customers in an efficient, knowledgeable and service oriented way:\n \nConnect News & Media - Encompassing: Smiths News, the UK's largest news wholesaling business with an approximate 55% market share, distributing newspapers and magazines on behalf of all the major national pu...