Dairy: Saputo "optimises" production operations
It will close a California facility and invest $169 million in new US sites
Saputo, a Canadian dairy company headquartered in Montreal, has announced a program to "streamline" its manufacturing operations, which also includes the closure of a plant and investment in new US sites. The company plans to invest approximately $ 169 million in cheese-making facilities in Wisconsin and California. A choice aimed at supporting growth in the retail market sector in the United States.
All initiatives will begin in the fourth quarter of fiscal 2022 and will take approximately 24 months to complete. The company will be disposing of its Bardsley Street, Tulare, California facility during 2023. However, according to the Group's statements, employees will be minimally affected by this operation as they will be offered employment opportunities at other facilities of the company in Tulare.
Lino Saputo, chairman and chief executive officer, said: "By remaining faithful to the disciplined approach we have maintained to date and our commitment to creating shareholder value, we are pursuing a comprehensive strategic plan with determination and attention. This is the first of a series of investments and consolidation activities that will increase the efficiency and productivity of the company, improving our ability to meet the market needs of our constantly evolving consumers".
EFA News - European Food Agency