Carlsberg and Punch sign five-year supply deal

Carlsberg UK and Punch Taverns have unveiled a new five-year agreement for the brewer to continue as the pubco's exclusive drinks distribution provider until 2017.

Carlsberg UK, which is the only national brewer with its own distribution service, will supply all of Punch Taverns managed and leased pubs across the UK with a composite drinks supply operation.

"The high level of service and competitive pricing structures were two key elements in securing the long-term partnership," said Punch chief executive Giles Thorley.

"The difference between Carlsberg UK and other logistics providers in the market is quite simply that they understand beer and pubs.

"Carlsberg UK has shown a huge amount of professionalism and commitment in their logistical business and I have no doubt that they will continue to deliver a high level of performance."

Isaac Sheps, chief executive of Carlsberg UK, said: "Carlsberg UK is committed to delivering high class logistics solutions to all its key customers. So to secure a long-term agreement with one of the biggest retailers in the UK clearly shows our credentials in this area.

"Our logistics operation is a core part of our business and one we are looking to expand. Being a brewer who is passionate about beer, pubs and great service differentiates us from other drinks logistics companies. "

The new deal will start once the current agreement finishes in 2012, taking the partnership through to 2017. It will see Carlsberg UK delivering all alcoholic and non-alcoholic drinks to Punch's entire estate.