Algol Technics becomes HK Ruokatalo´s contractual partner

Algol Technics has signed an agreement with HK Ruokatalo to service and
maintain the logistics system in the Finnish foodstuffs company´s new logistics
centre, which will be open in Vantaa, Finland at the beginning of 2008. The
integrated logistics systems will be supplied by Algol´s German partner Dematic
and installed by Algol Technics.

According to Managing Director Pekka Järvinen, the agreement promotes a close
and long-term partnership in which Algol Technics is responsible for the
faultless operation and efficient use of the logistics package. This represents
a broader than usual operating model that highlights both the technical
expertise and the innovative and anticipatory grasp of service technicians
regarding the machinery and equipment. Managing the readiness to deliver is an
important success factor within the foodstuffs industry, in which fresh
products are the basis of all the operations.

The integrated logistics system that will be installed by Algol Technics in the
new logistics centre will warehouse the products, collect them through an
order-picking system and deliver them to the dispatch area for delivery to the
distribution chain.

The main components of the logistics package include an automated high-bay
warehouse, conveyor systems, automated palletising systems and pick-by-light
order-picking systems. The Multishuttle system, which represents the newest
technology available in the industry, has been specially developed for
warehousing and transporting plastic containers, replenishing picking stations
and combining orders. The system is based on shuttles that travel along rails
and that operate on all warehousing levels. The logistics system at HK
Ruokatalo´s new logistics centre is entirely automated with the exception of
manual picking.

HK Ruokatalo manufactures and markets meat, processed meat and convenience
foods. Its brands in Finland are HK, Kariniemen, Via and Kokki. The company
operates at eight locations in Finland and employs approximately 2300
personnel. HK Ruokatalo´s turnover in the fiscal year 2006 amounted to EUR 608
million. The company is part of the HKScan Corporation.

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