SPRINGFIELD, Mo., Feb. 28, 2011 /PRNewswire/ -- Bay Valley Foods, a
division of TreeHouse Foods, Inc. (NYSE: THS), today announced its
intention to close its Springfield,
Missouri pickle plant. Most plant production will
cease in August 2011, with full plant
closure occurring by December 2011.
The plant has 46 employees.
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Brian Demos, Senior Vice
President, Operations, said, "The decision to close the
Springfield plant was a difficult
one because of the impact it will have on our employees and their
families. The employees have demonstrated exceptional loyalty
and dedication over the years. A recent analysis of overall
pickle production capacity and plant efficiency led us to this
difficult decision. The balance of the volume will be
transferred to other Bay Valley Foods locations."
Demos said that the company expects no supply disruptions during
the transition. He also indicated that transition benefits
and outplacement support would be provided to employees.
TreeHouse will record non-recurring, pre-tax charges to
operating income of approximately $5.0
million, or approximately $0.09 per share in connection with the closure.
Ongoing annual cost savings from the closing are expected to
be approximately $2.0 million.
FORWARD LOOKING STATEMENTS
This press release contains "forward-looking statements."
Forward-looking statements include all statements that do not
relate solely to historical or current facts, and can generally be
identified by the use of words such as "may," "should," "could,"
"expects," "seek to," "anticipates," "plans," "believes,"
"estimates," "intends," "predicts," "projects," "potential" or
"continue" or the negative of such terms and other comparable
terminology. These statements are only predictions. The
outcome of the events described in these forward-looking statements
is subject to known and unknown risks, uncertainties and other
factors that may cause the Company or its industry's actual
results, levels of activity, performance or achievements to be
materially different from any future results, levels of activity,
performance or achievement expressed or implied by these
forward-looking statements. TreeHouse's Form 10-K for the
year ended December 31, 2010
discusses some of the factors that could contribute to these
differences. You are cautioned not to unduly rely on such
forward-looking statements, which speak only as of the date made,
when evaluating the information presented in this presentation.
The Company expressly disclaims any obligation or undertaking
to disseminate any updates or revisions to any forward-looking
statement contained herein, to reflect any change in its
expectations with regard thereto, or any other change in events,
conditions or circumstances on which any statement is based.
SOURCE Bay Valley Foods