10 November 2009 | Jake Kanter
US media company the Reader's Digest Association (RDA) has outsourced its procurement to Arvato Bertelsmann for an undisclosed amount.
Under the five-year contract Arvato Bertelsmann's subsidiary, Arvato Print Management, will control RDA's purchasing and production management in 35 countries in North America, Europe and Asia.
The German outsourcing firm will oversee a spend of $400 million (£240 million) on books, CDs and DVDs. The Arvato group will manufacture some of the products, while others will be purchased from separate suppliers.
Albert Perruzza, senior vice president of global operations at RDA, said: "RDA is pleased to have forged a relationship with Arvato to be an integral partner in our global supply chain. This agreement will complement our strategic procurement vision as we go forward creating efficiency and value to our company."