Beam's New Distribution Center Is Where Else?

Shanken reported yesterday that Beam Inc. has selected a location for its new 600,000-square foot distribution center. The 92-acre tract is at 1509 U.S. Highway 421, a few miles south of Beam's Frankfort, Kentucky, maturation and bottling facility, and closer to Interstate 64.

Construction is expected to begin next month and be completed by year-end. The new DC will be operated by a third-party logistics provider to be named later. It will employ approximately 60 people.

“With two-thirds of Beam’s total spirits volume being produced in Kentucky, having our new distribution facility in close proximity to our production will help us gain increased efficiencies in our supply chain,” said David Hunter, vice president of global manufacturing for Beam.

In addition to the Beam whiskeys and DeKuyper liqueurs that are made in Kentucky, Canadian Club Canadian Whisky and other Beam products made elsewhere are bottled in Kentucky. The new DC probably will free up space at the company's three Kentucky bottling plants at Frankfort, Clermont, and Loretto.

What's next? It makes very little sense for Beam's headquarters to remain in Deerfield, Illinois.