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Kraft Foods and Missouri's Springfield Underground have reached agreement for Kraft to lease 400,000 square feet of refrigerated warehouse space. This new regional distribution center will consolidate leased refrigerated storage requirements for the Springfield plant one of Kraft's larger operations and eventually also serve other Midwestern Kraft locations. Exel will operate the new warehouse for Kraft.
The new underground refrigerated storage facility offers significant energy savings opportunities, with electric power being reduced by two-thirds versus an above-ground facility of the same size, said David Augustine, Kraft's senior director for North American logistics. This is roughly equivalent to the annual power requirements for 700 homes. Additionally, by reducing the number of stops by Kraft and customer trucks, fuel consumption and carbon emissions will be reduced across the supply chain.
Springfield is well-positioned as the site for a regional refrigerated distribution facility for Kraft, due to the needs of the local plant; the presence of a Kraft private fleet hub and other major transportation carriers; and proximity to customer distribution points.
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