Gordon and Gotch have secured an agreement to provide magazine distribution services to Bauer Media.

The agreement states that Gordon and Gotch will take control of the retail magazine distribution activities that are currently provided by the Australian distribution division.

Bauer Media had previously closed the Australian distribution division, Network Services.

Gordon and Gotch also expect to enter into similar agreements with Bauer Media's New Zealand distribution division, Netlink Distribution.

The new agreements with Bauer Media will allow Gordon and Gotch to provide magazine distribution services for the next 5 years.

Gordon and Gotch will also provide distribution services to other publishers that Network Services and Netlink Distribution currently provide distribution for.

The new Gordon and Gotch contracts are expected to generate around $300M in sales per annum.

Bauer Media's existing warehouse space in Moorebank will be leased by Gordon and Gotch, to accommodate for the the increased distribution volumes.

David Hogan, general manager of Gordon and Gotch Australia, said: “I am delighted that Bauer Media has shown the confidence in Gordon and Gotch to outsource this important component of its business. We are excited about the opportunities this arrangement will deliver for our business in the long term and for our publishing and retail partners.”

Peter George, CEO of PMP, said: “PMP is delighted to provide magazine distribution services to Bauer Media as this complements our existing long term printing relationship, provides Gordon and Gotch greater efficiencies in light of the ongoing decline in magazine distribution volumes, and ensures ongoing services to support the magazine industry in Australia and New Zealand.”