K-Group and OP Bank Group agree on joint development of K-Plussa Supercard and other long-term cooperation


KESKO CORPORATION STOCK EXCHANGE RELEASE 20.06.2006 AT 12.00
 
Kesko and OP Bank Group Central Cooperative have today signed a long-term agreement on extensive cooperation for card development, transfer of payments, cash management and customer financing. In the future, the cooperation will also include Pohjola's insurance products. The aim is to develop a diversified range of new products and services for the customers of both groups. The intention is, within the next twelve months, to launch a K-Plussa Supercard. The number of partners will be increased and both payment and credit properties will be developed, especially with OP Bank Group.
 
The purpose of the agreement is to find a customer-oriented solution offering customers reliable and simple ways to arrange their finances and use the customer loyalty benefits of the K-Group. In the future, K-store customers will only need one card  in Finland and abroad.
 
The objective of the cooperation is to offer additional services to existing K-Group and OP Bank Group customers and to establish new customer relationships.
 
Additionally, the agreement covers cooperation for the transfer of payments, cash management and customer financing.
 
The signed cooperation agreement will open way for developing concrete services, products and solutions to be offered to customers and inside the groups.
 
According to Kesko's President and CEO Matti Halmesmäki, the signed agreement, combined with other K-Plussa system development projects, will open new opportunities to strengthen K-stores' customer loyalty. Customer loyalty rewards will be based on a percentage table and it will become possible to pay K-Plussa benefit amounts directly to customers' bank accounts. There will be more special K-Plussa offers and any special offer to loyal customers will be guaranteed to give a mimimum benefit of 10 percent. K-Plussa's loyal customer magazine Pirkka will also undergo a reform.
 
According to OP Bank Group Central Cooperative's President Reijo Karhinen, the agreement will provide more comprehensive benefits to be offered to customers in addition to OP Bank Group's own bonus system. Customer perspective played a major part when this cooperation was considered and planned. In addition to the expansion of card cooperation, the agreement will enable consumer financing services to be offered in a new way via the K-Group to the customers of OP Bank Group.
 
In close cooperation with retailer entrepreneurs and other partners Kesko produces retail and wholesale services that are highly valued by customers. It has a total of about 2,200 stores engaged in chain operations in seven countries. K-Plussa is the most comprehensive and diversified customer loyalty system in Finland. Approximately 3.4 million Finns already have a K-Plussa card.
 
OP Bank Group is the biggest financial services group in Finland and it has about four million customers. OP Bank Group comprises 236 cooperative banks, their competence and service centre OP Bank Group Central Cooperative, and OKO Bank plc.
 
Further information:
Kesko Corporation, President and CEO Matti Halmesmäki, tel. +358 1053 22201
Kesko Corporation, Corporate Executive Vice President Juhani Järvi, tel. +358 1053 22209
Kesko Food Ltd, President Terho Kalliokoski, tel. +358 1053 22204
 
 
Kesko Corporation
 
 
 
Paavo Moilanen
Senior Vice President, Corporate Communications
 
 
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