Wincor Nixdorf strengthens business in reverse vending systems – New premises in Ilmenau for production and development

Wincor Nixdorf AG is expanding its capacity levels for the development and production of reverse vending systems deployed within the retail sector. Injecting funds of around five million euros, the company specializing in IT solutions for branch and store operations within the area of retail banking and retailing plans to introduce a new production facility in Ilmenau/Thuringia, Germany. Wincor Nixdorf President & CEO Eckard Heidloff and the Thuringian Minister of Economics, Technology and Labor, Jürgen Reinholz, attended the symbolic groundbreaking ceremony on April 23, 2007, which marks the official start of the construction project to be completed by as early as fall 2007. Aimed at accommodating business growth, the new premises will help Wincor Nixdorf to pursue its expansion plans in this specific line of business. Speaking to representatives of the political and business community, Heidloff emphasized: "Having achieved our target of 30 percent market share within the area of reverse vending systems deployed by retailers in Germany, we are now looking to extend our position and gain forward momentum in the international arena." He went on to explain that Wincor Nixdorf's efforts within this sector had been bolstered by recent orders for more than 500 reverse vending systems to be supplied to German-based retailers as well as initial orders from companies in Scandinavia, where several major retailers are currently involved in large-scale pilot operations.

In Germany, business within the area of reverse vending systems received fresh impetus when the second phase of the so-called "Leergutrücknahmeverordnung", a regulation governing the return of empty beverage containers, came into force in May 2006. Under this legislation, all retailers and wholesalers selling beverage cans as well as PET or disposable bottles are obliged to accept empty containers sold either via their own stores or by other retailers. Wincor Nixdorf was quick off the mark in preparing for the surge in demand anticipated on the back of this legislation and acquired the insolvent prokent AG as early as 2003, thus entering the market for reverse vending systems. In doing so, the company specializing in systems supplied to bank branches and retail outlets added to its extensive portfolio of self-service and automation solutions for retail chains.

Wincor Nixdorf entrusted the development and production activities for reverse vending systems to an independent subsidiary by the name of Wincor Nixdorf Technology GmbH, based in Ilmenau. Since its inception in 2003, the Illmenau-based enterprise has close to doubled its personnel from 80 to 150. One of the focal points has been the creation of new jobs in development and quality management. In addition, a new call center with 25 staff members has been established in Illmenau. It is responsible for addressing the full range of customer service issues. "In future, we intend to centralize at our Illmenau site development, production and services relating to reverse vending systems . Thus, we will be in a position to respond even faster to market requirements when developing next-generation reverse vending systems," said Heidloff.

"In Wincor Nixdorf, the town of Illmenau has attracted a global technology enterprise," said Thuringia's Minister of Economics Jürgen Reinholz in applause of the company's investment. "This is a clear tribute to the economic appeal of this region." He added that the investment decision in favor of Thuringia would secure vital expertise in the logistics of empty beverage containers and would also contribute to the creation of new jobs in the region. The Free State of Thuringia is supporting the project by providing funds of approx. €1.4 million within the framework of the joint scheme for improving regional economic structures.