MINNEAPOLIS — General Mills, Inc. has announced restructuring plans affecting operations in the United States, Brazil and China.
The Minneapolis-based company said it has made a tentative decision to shutter a soup facility in Vineland, New Jersey, and transfer production to other US facilities. The plant has been operated by General Mills since 2001 and employs approximately 370. The company said the closing would be completed by the first quarter of fiscal 2018 if the decision is finalized. However, the action is subject to negotiation with union officials, who on July 21 released a statement denouncing the closing.
General Mills also said it has reached a tentative agreement to sell its Martel, Ohio, plant to Mennel Milling Co., pending negotiations with union officials. The Martel plant, which manufactures dry baking mix products, has been operated by General Mills since 2001 and employs approximately 180. If the decision becomes final, the sale is expected to close by the second quarter of fiscal 2017, at which time Mennel would act as a supplier to General Mills.
Additionally, General Mills announced the decision to close a manufacturing plant and distribution center in Marília, Brazil, and transfer production of a facility in São Bernardo do Campo, Brazil, to other General Mills facilities in Brazil. The company said it is negotiating an exit package for the approximately 420 affected employees with union officials for both locations. Both plants have been operated by General Mills since 2012. The actions are expected to be completed in the first quarter of fiscal 2017.
In China, General Mills said it will exit its fruit snacks business and will cease production of Trix products at its Nanjing plant in the first quarter of fiscal 2017. The company plans to continue manufacturing Bugles snacks in Nanjing. The decision will result in the loss of approximately 300 positions in China. The company has manufactured Bugles in China since 1999 and Trix since 2005.
