CHILTON, Wis. (WFRV) – The Foremost Farms USA announced on Monday that it will be closing its Chilton cheese plant facility in July.
President & CEO Greg Schlafer said, “Closing the facility is difficult for us. But in looking at our operations holistically, we don’t think making long-term investments in the plant make strategic sense for our network.”
He continued, “We have other plants with upgraded technology and optimized logistics that will drive significant cost efficiencies.”
Foremost Farms USA added that the closure comes after the market change due to the COVID-19 pandemic.
The organization says work order volumes from foodservice were affected as clients have decreased in a short period of time creating product overcapacity and a sudden production demand drop.
“We don’t see an immediate bounce back in cheese orders from foodservice clients serviced by the location,” said Schlafer.
The company noted that the 53 workers that work in the Chilton cheese facility were notified on of the closure on Monday.
Schlafer stated, “This is not a reflection on our employees in Chilton. This is a business decision that has nothing to do with their performance, which has been excellent. We are committed to treating our employees with respect and dignity and will be working with them through this transition.”