Dean Foods to invest in one facility, close another
December 08, 2006
by FoodBusinessNews.net Staff
AKRON, OHIO — Dean Foods Co. said it plans to invest $1 million to build a new distribution facility in Reiter-Akron by next fall and cease operations by Feb. 8, 2007, at its plant located at Barberton, Ohio, due to excess capacity in the region.
The new distribution facility will employ approximately 45 drivers and 8 to 15 warehouse positions. In addition, Reiter’s existing sales staff will remain in place.
"We will stay an integral part of the community," said John Gillam, group vice-president. "We have been part of this area for over 70 years and we don’t plan to leave any time soon."
Reiter-Akron is centrally located between three other sister plants in Springfield, Ohio; Erie, Pa; and Sharpsville, Pa. According to Dean Foods, the Akron locations as well as these three affiliated plants all have excess capacity. As a result, the company chose to close the Akron production operation and shift production.
Approximately 50% of the volume will be transferred to the two Pennsylvania operations and 50% to Springfield, Dean Foods said.