XPO Logistics Announces Sandeep Sakharkar as Chief Information Officer for GXO Logistics Spin-Off

Rhea-AI Summary

XPO Logistics, Inc. (NYSE: XPO) announced that Sandeep Sakharkar will become the chief information officer of GXO Logistics, Inc., the upcoming spin-off of XPO’s logistics segment. Currently serving as XPO’s senior VP of logistics technology, Sakharkar has over 20 years of experience in tech roles at notable companies. Following the spin-off, expected in the second half of 2021, GXO will emerge as a separate publicly traded company, becoming the second largest contract logistics provider globally, with operations in approximately 890 locations across 27 countries.

Positive

• Sandeep Sakharkar's appointment as CIO for GXO may enhance the focus on technology development, potentially driving growth.
• GXO will be the second largest contract logistics provider globally after the spin-off, indicating significant market position.

Negative

• The spin-off of the logistics segment may lead to uncertainties regarding the future performance and size of XPO.
• Forward-looking statements regarding the spin-off are subject to various risks, including potential delays and adverse economic conditions.

GREENWICH, Conn., March 31, 2021 (GLOBE NEWSWIRE) --  XPO Logistics, Inc. (NYSE: XPO), a leading global provider of transportation and logistics solutions, today announced that Sandeep Sakharkar will become the chief information officer of GXO Logistics, Inc., the intended spin-off of XPO’s logistics segment. Sakharkar currently serves as XPO’s senior vice president – logistics technology. He will lead GXO’s global systems development when the logistics segment’s technology organization transitions to GXO.

Sakharkar’s 20-year career includes roles as global vice president – core retail and infrastructure with Foot Locker, Inc., and EMEA director of digital technology with Johnson & Johnson. Earlier, he served as Johnson & Johnson’s IT director for the Asia Pacific region, and as practice head with Cognizant Technology Services in Europe. He holds a post-graduate certification in management from Warwick Business School, Warwick University, in the UK.

Mario Harik, chief information officer of XPO Logistics, said, “Sandeep has an outstanding track record of achieving transformational change for global companies through digitalization and data science. Under his leadership, GXO’s technology organization will have a single-minded focus on realizing the company’s full potential as a leader in e-commerce fulfillment and advanced warehouse automation — major tailwinds driving growth in logistics outsourcing.”

As previously announced, XPO expects to spin off its logistics business in the second half of 2021, with GXO becoming a separate, publicly traded logistics company. GXO will be the second largest contract logistics provider in the world, with a value proposition that includes technology-driven capabilities in e-commerce, food and beverage, consumer electronics, industrial, reverse logistics and other key sectors. The logistics operations currently include approximately 890 locations in 27 countries.

About XPO Logistics

XPO Logistics, Inc. (NYSE: XPO) is a top ten global logistics provider of cutting-edge supply chain solutions to the most successful companies in the world. The company operates as a highly integrated network of people, technology and physical assets in 30 countries, with 1,629 locations and more than 100,000 employees. XPO uses its network to help more than 50,000 customers manage their goods most efficiently throughout their supply chains. XPO's corporate headquarters are in Greenwich, Conn., USA, and its European headquarters are in Lyon, France. Visit xpo.com for more information, and connect with XPO on Facebook, Twitter, LinkedIn, Instagram and YouTube.

Forward-looking Statements

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements, including the statements above regarding plans, benefits and timing of the contemplated spin-off transaction. In some cases, forward-looking statements can be identified by the use of forward-looking terms such as “anticipate,” “estimate,” “believe,” “continue,” “could,” “intend,” “may,” “plan,” “potential,” “predict,” “should,” “will,” “expect,” “objective,” “projection,” “forecast,” “goal,” “guidance,” “outlook,” “effort,” “target,” “trajectory” or the negative of these terms or other comparable terms. However, the absence of these words does not mean that the statements are not forward-looking. These forward-looking statements are based on certain assumptions and analyses made by the company in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors the company believes are appropriate in the circumstances.

These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions that may cause actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Factors that might cause or contribute to a material difference include the risks discussed in our filings with the SEC and the following: economic conditions generally; the severity, magnitude, duration and aftereffects of the COVID-19 pandemic and government responses to the COVID-19 pandemic; our ability to align our investments in capital assets, including equipment, service centers and warehouses, to our customers' demands; our ability to implement our cost and revenue initiatives; our ability to successfully integrate and realize anticipated synergies, cost savings and profit improvement opportunities with respect to acquired companies; matters related to our intellectual property rights; fluctuations in currency exchange rates; fuel price and fuel surcharge changes; natural disasters, terrorist attacks or similar incidents; risks and uncertainties regarding the potential timing and expected benefits of the proposed spin-off of our logistics segment, including final approval for the proposed spin-off and the risk that the spin-off may not be completed on the terms or timeline currently contemplated, if at all; the impact of the proposed spin-off on the size and business diversity of our company; the ability of the proposed spin-off to qualify for tax-free treatment for U.S. federal income tax purposes; our ability to develop and implement suitable information technology systems and prevent failures in or breaches of such systems; our substantial indebtedness; our ability to raise debt and equity capital; fluctuations in fixed and floating interest rates; our ability to maintain positive relationships with our network of third-party transportation providers; our ability to attract and retain qualified drivers; labor matters, including our ability to manage our subcontractors, and risks associated with labor disputes at our customers and efforts by labor organizations to organize our employees; litigation, including litigation related to alleged misclassification of independent contractors and securities class actions; risks associated with our self-insured claims; risks associated with defined benefit plans for our current and former employees; and governmental regulation, including trade compliance laws, as well as changes in international trade policies and tax regimes; governmental or political actions, including the United Kingdom's exit from the European Union; and competition and pricing pressures.

All forward-looking statements set forth in this release are qualified by these cautionary statements and there can be no assurance that the actual results or developments anticipated by us will be realized or, even if substantially realized, that they will have the expected consequences to or effects on us or our business or operations. Forward-looking statements set forth in this release speak only as of the date hereof, and we do not undertake any obligation to update forward-looking statements to reflect subsequent events or circumstances, changes in expectations or the occurrence of unanticipated events, except to the extent required by law.

Investor Contact
XPO Logistics, Inc.
Tavio Headley
+1-203-413-4006
tavio.headley@xpo.com

Media Contact
XPO Logistics, Inc.
Joe Checkler
+1-203-423-2098
joe.checkler@xpo.com

FAQ

What is the significance of Sandeep Sakharkar's appointment as CIO for GXO?

Sandeep Sakharkar's appointment as CIO is significant as he will lead the technology organization, focusing on digitalization and data science, which are crucial for GXO's growth in logistics.

When is the planned spin-off of XPO's logistics segment?

The planned spin-off of XPO's logistics segment is expected to occur in the second half of 2021.

What are the operational details of GXO after the spin-off?

After the spin-off, GXO will operate approximately 890 locations in 27 countries and will be the second largest contract logistics provider globally.

What risks are associated with the spin-off of XPO Logistics?

The risks associated with the spin-off include potential delays, uncertainties in performance post-spin-off, and external economic factors.