Campbell Soup Company (CPB) announced on Tuesday the planned closure of its Tualatin, Oregon plant and a reduction in size of its Jeffersonville, Indiana plant, potentially affecting 415 employees. This strategic move aims to enhance overall efficiency and return on investment.
The Tualatin plant will undergo a phased closure, with operations ceasing entirely by July 2026. The company explained that the plant no longer aligns with the increasing customer demand and ongoing business growth. The initial phase of the closure will impact 120 of the plant's 330 employees starting in August 2024.
In contrast, the Jeffersonville facility will continue producing regional snacks. However, the production of kettle chips will be relocated to the Charlotte and Hanover plants by July 2024, affecting approximately 85 of its 230 employees.
Moreover, Campbell plans to invest around $230 million and create 210 new jobs by the end of fiscal year 2026.
At present, Campbell's stock is down 2.07 percent, trading at $44.40 on the New York Stock Exchange.
