DALLAS -- 7-Eleven Inc. has signed a five-year transportation agreement with Kenan Advantage Group. Canton, Ohio-based KAG, a major North American bulk transportation and logistics provider to the petroleum and specialty products industries, will be the single-source provider of bulk fuel transportation and logistics services to the convenience retailer.
The just-announced deal, valued at more than $300 million, was signed on July 11, 2008 (7/11).
According to Gary Lockhart, 7-Eleven's vice president of gasoline supply, the retailer is "focused on streamlining our business and gaining [image-nocss] efficiencies which includes using companies such as KAG. This agreement provides a complete supply chain solution for our fuel needs today and positions us well for future growth."
Dennis Nash, president and chief executive officer of KAG, said, "Extending this longstanding agreement with 7-Eleven is an indication of the strength of our relationship and the value that we deliver as a 'single-source' provider with our national presence."
He added, "Aligning ourselves with the country's largest convenience store operator speaks directly to our commitment to excellence and the value-added services we provide our customers. By building strong, long-term partnerships with our customers, both parties are better poised to meet the challenges of the future."
KAG operates nationwide through its subsidiaries: Advantage Tank Lines, BXI, KAG West, Kenan Transport, Klemm Tank Lines, North Canton Transfer, Petro-Chemical Transport and Transport Service Co. KAG's fleet consists of more than 3,100 power units and 4,100 trailers. KAG also provides specialized supply chain logistics services through KAG Logistics and KAG Ethanol Logistics.
Dallas-based 7-Eleven has approximately 7,600 stores in North America serving approximately 7 million customers per day.
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