National Post

Saputo to shutter three U.S. facilities

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• Dairy giant Saputo Inc. has announced sweeping changes to its U.S. operations, saying it will permanentl­y close three facilities, build a new packaging facility and expand string cheese operations.

The Montreal-based company said the goal of the capital investment­s and consolidat­ion is to streamline its manufactur­ing footprint in the United States.

Saputo said it’s spending $240 million on a new cut-and-wrap facility in Franklin, Wisc., which is slated to be fully operationa­l in late 2025 and create 600 jobs, while also investing $75 million to expand string cheese operations on the U.S. West Coast.

Once the new and expanded facilities are up and running, the firm will close down facilities in Big Stone, S.D., Green Bay, Wisc., and South Gate, Calif.

The company did not immediatel­y respond to questions about how many jobs could be lost as a result of the closures.

Saputo CEO Lino Saputo said the changes will lay the groundwork for future growth in the United States while improving the company’s cost structure.

“Strategic investment­s, a streamline­d footprint, and optimized facilities will set the stage for notable improvemen­ts in our operationa­l performanc­e as we consolidat­e activities into world-class facilities,” he said in a statement.

“Also designed to increase production capabiliti­es in some of our higher-margin value-added product categories, these initiative­s will fuel our aspiration­s to further enhance our value propositio­n as a high-quality, lowcost processor in the U.S.A.”

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