The BLG Group operates externally under the brand BLG LOGISTICS. BLG LOGISTICS is a seaport-oriented logistics service provider with an international network and is represented with almost 100 subsidiaries and offices in Europe, America, Africa, and Asia. The CONTRACT, AUTOMOBILE and CONTAINER operating divisions offer their customers in industry and retailing complex logistics system services.
The main services provided by the divisions are presented below, broken down by business area or area of expertise.
AUTOMOBILE
The AUTOMOBILE Division is a leading terminal, technical and logistics service provider for the international automotive industry. In this division, BLG LOGISTICS offers multimodal transport concepts with global logistics reach and dovetails individualized and innovative technical service packages. The AUTOMOBILE Division is divided into five business areas:
The locations of the seaport terminals business area serve as hubs and are export ports for European vehicle production overseas such as China, Japan, Korea, the US, Australia, South Africa and Scandinavia. As import ports, these terminals provide all services for the European vehicle market. In addition to passenger car handling, the services also include traditional warehouse logistics and a large number of technical services such as pre-delivery inspection (PDI), special installations and conversions for new and used vehicles. In order to bundle the expertise in heavy goods handling, the logistics for offshore and onshore wind energy and high & heavy cargo handling segments in Bremerhaven were integrated into the seaport terminals business area.
The inland terminals offer short distances to the European highway network, have their own railway connections, and most have a direct connection to the waterways. This network creates reliable logistics chains from car manufacturers around the world to car dealers and private end customers in the destination countries. The services include passenger car handling, warehouse logistics and technical services, e.g. the preparation of newer used vehicles, auctions, Internet sales.
In addition, through its Southern/Eastern Europe business area, BLG LOGISTICS is represented by several maritime and inland terminals in Europe.
In the AutoTransport and rail business areas, the core competence lies in transport by road, rail and inland waterways. The services also include individual transports and special shuttle concepts. Our focus here is on modernizing our fleets in order to be able to offer our customers low-emission transport chains.
In the AUTOMOBILE Division, revenue is normally recognized in the amount permitted to be invoiced, as the invoiced amounts correspond directly with the value of the performance completed to date. The services are mostly invoiced and paid on a monthly basis. This is based on the number of vehicles processed or transported and the agreed unit prices. In some cases, the invoice is issued before the performance obligation is fully met or only after all performance steps have been carried out. The portion of the consideration received from customers for which the services have not yet been performed is recognized as contract liabilities in the statement of financial position. In these cases, the sales are only recognized once the services have been transferred to the customer. Services already performed for which no invoice has yet been issued are recognized as contract assets in the statement of financial position.
CONTRACT
The CONTRACT Division manages complex projects and offers customized logistics solutions ranging from highly automated logistics centers to manual in-house handling. Its services focus on procurement, production and distribution logistics as well as reverse and spare parts logistics. The division is made up of three areas of expertise.
The Contract Operations business area focuses increasingly on proximity to the customer through a regional organization, while Customer & Business Development focuses on market developments, thus positioning itself competitively and flexibly. Performance Support intrinsically strengthens the organization, making it future-proof and transparent.
The individual locations, which are clustered in the various regions, provide logistics activities for both the manufacturing industry and retail companies.
For car manufacturers, in addition to procurement logistics from the suppliers and the supply of production lines, we also consolidate, process, pack and ship goods for the supply of production plants. Complex system services ensure reliable supplies to assembly lines in Germany and abroad. With the pre-assembly of vehicle components and production-related work processes, the locations of the CONTRACT Division function as an extended workbench of automobile manufacturers.
For industrial companies in other sectors, complex goods flows relating to production are designed and optimized. The range of services also includes the supplies to and waste removal from production lines, on-site logistics for the optimal design of internal goods flows, reverse logistics management and complex assemblies. In addition, forwarding activities are carried out for the planning and scheduling of land transports.
For retail companies, we design, implement, manage and execute complex logistics processes and offer our customers a one-stop solution. This applies in particular to the areas of e-commerce, multi-channel retailing, processing and value-added services for goods, the collection and processing of returns, as well as the handling of flat and hanging merchandise in the fashion logistics segment. Customized innovative solutions for high-profile customers are developed with the help of in-house IT expertise and ensure comprehensive information transparency and goods movements. In addition, we handle and store refrigerated and frozen goods at the Bremerhaven container terminal, and provide all related services.
Conventional goods handling at Neustädter Hafen in Bremen is also assigned to the CONTRACT Division. This includes the handling, storage and other logistics services for handling paper, forestry and steel products as well as project business and the handling of other heavy or bulky goods.
In the CONTRACT Division, revenue is usually recognized in the amount permitted to be invoiced, as the invoiced amounts correspond directly with the value of the performance completed to date. The services are mostly invoiced and paid on a monthly basis. Capital-intensive services such as the provision of space and storage facilities are largely invoiced at fixed prices, but sometimes also according to actual use.
The invoicing of personnel-intensive services is based on prices per performance unit or a combination of fixed basic remuneration and variable remuneration per performance unit, sometimes using volume tiers.
CONTAINER
The CONTAINER Division is represented by the joint venture EUROGATE GmbH & Co. KGaA, KG, Bremen, in which BLG holds a 50 percent share. EUROGATE has its own subsidiaries and investees. The EUROGATE Group companies are included in the combined financial statements using the equity method of accounting.
The focus of the activities of the EUROGATE Group includes handling containers on the European continent as well as in North Africa. EUROGATE operates, in some cases with partners, container terminals in Bremerhaven, Hamburg and Wilhelmshaven, Germany, at the Italian locations La Spezia, Ravenna and Salerno, in Tangier, Morocco, and in Limassol, Cyprus. In addition, EUROGATE has investments in several inland terminals and rail transport companies.
Complementary services are offered in the form of intermodal services (the transport of sea containers to and from the terminals), repairs, depot storage and trading of containers, cargo-modal services and technical services.