ConAgra to close Reddi-wip plant

by FoodBusinessNews.net Staff
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OMAHA, NEB. — ConAgra Foods, Inc. announced it will close its Holland, Mich., plant and transfer production to its Indianapolis plant. The transition is expected to be completed by December.

The company said the Holland plant, which produces Reddi-wip sweetened whipped cream, is being closed as a result of limited infrastructure and physical restrictions on expansion and implementation of new technology. Additionally, there will be an expansion and upgrade of the refrigerated facility at the Indianapolis plant to accommodate the transfer in production, ConAgra said. The Indianapolis plant also produces table spreads.

"As a company, we are committed to maximizing our efficiencies in production, storage and transportation of our products and ingredients," said Jim Hardy, executive vice-president of product supply. "By realigning this portion of our refrigerated platform, we have taken another step in achieving a more efficient business model and optimizing our portfolio for continued success."

ConAgra announced in March 2006 that it would close 10 to 12 plants in an effort to achieve profitable growth. With the details of the closing of the Holland plant, the company has announced dates of the closing of nine plants. ConAgra said it expects the closings to result in a savings of $100 million in annual fixed costs by fiscal 2009.

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