Saputo to close Wisconsin cheese plant next May, affecting 126 workers
MONTREAL - Canadian dairy processor Saputo Inc. says it will shut down a cheese manufacturing facility in Wisconsin next May, affecting about 126 workers.
The Montreal-based company (TSX:SAP) says the closure will improve its operating efficiency by integrating production into a new blue cheese plant 430 km west of the site in an area near Minneapolis.
The employees will be provided severance, outplacement support and some may be able to transfer to other Saputo locations.
The closure is expected to cost $22 million after taxes, including a writedown of about $7 million to be booked at the end of the 2017.
Annual savings are expected to reach $7 million in about two years.