DHL announced that it has completed consolidation of hub operations and has transitioned primary hub operations to the new $300 million air and ground facility in Wilmington, Ohio ' one month ahead of schedule. The opening of the hub will significantly enhance DHL's competitive position and will benefit customers, providing increased flexibility and enhanced service levels in many markets.
The renovated facility, DHL's principal air and ground hub in the US, is projected to create approximately 900 new jobs at the DHL Air Park located in southwestern Ohio. There are currently about 6,600 employees already based at the facility.
"Operations at the DHL Air Park in Wilmington are integral to DHL in providing and setting a new standard in shipping and logistics services, and are part of our commitment to create an unparalleled customer experience. DHL expects to offer customers enhanced service by operating out of this new facility as well as benefiting from cost improvements, efficiency in air routes and opportunities for growth," said Fred Beljaars, executive vice president, Operations, DHL Americas. "This investment will capitalize on improved package processing capabilities and provides superior network connectivity system wide."
As announced earlier, DHL operations at the Greater Cincinnati/Northern Kentucky International Airport will be maintained as a back-up as needed. The DHL Air Park in Wilmington will play host to a grand opening event scheduled for early October 2005.
As part of a $1.2 billion network investment, DHL has invested $160 million for a new hub integration and automation initiative which began in Wilmington in March 2005. This initiative includes DHL hub locations in Allentown, PA, and Riverside, CA.
Upon completion in July 2006, the Wilmington hub integration and automation program will provide DHL customers and company operations nationwide with even greater operational accuracy and shipment visibility, will significantly enhance overall operational capabilities and enable DHL to rapidly adapt to changing technical shipping requirements.
Key facts about the new facility at the DHL Air Park include:
- Approximately 1.2 million square feet of additional sort space and 36 acres of additional aircraft ramp pavement
- A package sort capacity of 708K pieces per night, up from 637K pieces per night
- A letter/small-package automated sort system with the capacity of 720k pieces per night
- Ramp space for 124 jets
- An economic benefit of approximately $40 million to the local economy through payroll and taxes
- Capacity to provide direct service to 31 DHL stations throughout the Midwest region
- Capability to handle a wide variety of shipments, including multi-modal palletized, container freight, letter and box shipments, and hazardous goods
- Operations 24 hours a day, seven days a week
DHL's continuing investment in its US network includes construction on a new West Coast Distribution Facility in Riverside, CA, and the development of an East Coast sort facility in Allentown, PA. An additional seven new Regional Sort Centers were completed during 2004.
