General Mills to Cut Jobs As It Closes Plants World-Wide

By Austen Hufford 

General Mills Inc. said Thursday that it could reduce its head count by up to 1,410 jobs as the food maker shutters or reduces production operations around the world.

As of May 29, General Mills had about 39,000 employees.

The Minneapolis-based food giant said it made the tentative decision to close its Vineland, N.J., facility in fiscal year 2018, pending negotiations and consultation with the union, to reduce excess soup capacity in the U.S. If finalized, about 370 positions will be eliminated.

The company, which makes Cheerios cereal, Häagen-Dazs ice cream and Annie's mac & cheese, also announced capacity reductions internationally. It will be closing its snacks manufacturing facility in Marília, Brazil, and will stop producing meals and snacks at its facility in São Bernardo do Campo, Brazil.

General Mills also will stop producing certain underperforming snack products at its Nanjing, China, facility. The moves will impact about 420 positions In Brazil and about 440 positions in China.

General Mills said it had reached a deal to sell its plant in Martel, Ohio, which produces dry mixes for the company's convenience stores and food service segment, for about $18 million in cash. The company expected the transaction to close in the current fiscal year and said the move would impact about 180 positions.

In total, the company expected to take charges and have increased expenses of about $120 million for the moves announced Thursday.

Write to Austen Hufford at [e-mail]

(END) Dow Jones Newswires

July 21, 2016 10:46 ET (14:46 GMT)

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