Brantford plant
closure expected in early 2025; Company to support affected Team
Members
MISSISSAUGA, ON, May 22, 2024
/PRNewswire/ - Maple Leaf Foods (TSX: MFI) today announced its
decision to close its Brantford,
Ontario plant and consolidate most of its Further Processed
Poultry (FPP) production into its existing plant network through
early 2025.
Earlier this year, the Company determined that this 100-year-old
facility would likely require significant ongoing investment to
continue long-term operations.
"The decision to close any plant is one that we take very
seriously," said Curtis Frank,
President and Chief Executive Officer, Maple Leaf Foods. "We are
very proud of our team at Brantford and appreciate the great work they
do each and every day."
The closure of the plant will be completed in a phased manner to
maintain business continuity and meet customer demand. The Company
will work with the affected Team Members to provide support and
assistance through this transition, including supporting other
opportunities at other Maple Leaf Foods facilities.
"Consolidating production into our current network allows us to
reallocate our resources and increase our efficiencies by further
optimizing the existing, more modern facilities in our network,"
said Frank. "This supports our vision to be the most sustainable
protein company on Earth and our commitment to produce world-class
products safely and efficiently as we support the growth of our
protein business."
Consolidating production enables the Company to harvest the
benefits of its network and focus on improving operational
efficiency, cutting down on waste, and growing asset
utilization.
Maple Leaf Foods will work with the community of Brantford to seek alternate uses for the
property.
Forward Looking Statements Disclaimer
This release contains statements, made by representatives of the
Company in connection with this release, may contain
forward-looking statements within the meaning of applicable
securities law. These statements are based on current expectations,
estimates, forecasts, and projections about the industries in which
the Company operates, as well as beliefs and assumptions made by
Management of the Company. Such statements include, but are not
limited to, statements with respect to the timing, implications,
benefits, efficiencies, risks and returns associated with the plant
closure and consolidation of FPP operations within the Company's
existing network and the implications and ability to secure
co-manufacturing services, as well as the Company's overall plans,
actions and strategies. These statements are not guarantees of
future performance and involve assumptions, risks and uncertainties
that are difficult to predict.
These statements are based on and were developed using a number
of factors and assumptions including, but not limited to: timelines
to complete close out activities and any unanticipated
decommissioning or issues; ability to transition SKUs; customer and
consumer behaviour; labour considerations; the ability to manage
pricing; dynamics in the competitive environment; product quality;
and the potential occurrence of unexpected or unforeseen events
occurring that would materially alter the Company's current plans.
All of these assumptions have been derived from information
currently available to the Company including information obtained
by the Company from third-party sources. Although these assumptions
were considered reasonable by the Company at the time of
preparation they may prove to be incorrect in whole or in part. In
addition, actual results may differ materially from those
expressed, implied or forecasted in such forward-looking
statements, which reflect the Company's expectations only as of the
date hereof. Readers are cautioned not to place undue reliance on
forward-looking statements, as such statements are not guarantees
of future performance. Additional factors that could cause actual
results or outcomes to differ materially from the results
expressed, implied or forecasted by the forward-looking statements
are discussed more fully in the Company's filings made with the
Canadian securities regulators including in the section entitled
"Risk Factors" in the Company's Management's Discussion and
Analysis for the year ended December 31,
2023 and the quarter ended March 31,
2024. All of such filings are available on SEDAR+ at
www.sedarplus.ca.
The Company does not intend to, and disclaims any obligation to,
update any forward-looking statements (including any financial
outlooks), whether written or oral, or whether as a result of new
information, future events or otherwise, except as required by
law.
About Maple Leaf Foods
About Maple Leaf Foods Inc. Maple Leaf Foods is a carbon neutral
company with a vision to be the most sustainable protein company on
earth, responsibly producing food products under leading brands
including Maple Leaf®, Maple Leaf Prime®, Maple Leaf Natural
Selections®, Schneiders®, Schneiders® Country Naturals®, Mina®,
Greenfield Natural Meat Co.®, Lightlife® and Field Roast™. The
Company employs approximately 13,500 people and does business
primarily in Canada, the U.S. and
Asia. The Company is headquartered
in Mississauga, Ontario and its
shares trade on the Toronto Stock Exchange (MFI).
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SOURCE Maple Leaf Foods Inc.