Nuance to operate $66m Swedish contracts

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The Nuance Group has been named the winner of the 15-airport tender for duty-free retail in Sweden. This includes the key outlets at Stockholm Arlanda and Gothenburg, as well as a number of small airports around the country. The contract is worth about $66m a year.

The first set of five-year contracts begins at Gothenburg Landvetter as well as at the regional airports on January 1, 2002. This will be followed later in the year by the opening of shops at Arlanda, except at terminal two, where new stores will open in January 2003.

Swedish Civil Aviation Administration Luftfartsverket (LFV) commercial director Per Lehmann said the Nuance bid proved the strongest "in all aspects", including financial. "They have succeeded in international markets before and we're convinced they'll be a success here too."

Nuance will operate duty-free at all 15 airports, excluding Malmo, after LFV said it preferred one operator rather than several. It beat off competition from SAS Trading and an Alpha Retail/Inflight Service partnership. Lehmann admitted the move to appoint Nuance would come as a severe blow to the two Swedish companies, which between them have traditionally operated the duty-free shops in Sweden's airports.

Nuance will operate 23 stores in total. LFV also plans to add 10,000sq m (107,640sq ft) of space at the country's main airports over the next three years.

The contract is worth SKr2m ($188,600) a year to LFV.