SunOpta Invests in Roasted Snacks Capabilities
The investments further the company’s ongoing commitment to provide significant operational efficiencies
SunOpta Inc., a global company focused on organic, non-genetically modified and specialty foods, announced that it is making a significant investment in its roasted snacks operations at its facility in Crookston, Minn. In conjunction with the investment, customers and capabilities from its Wahpeton, ND roasting facility will be consolidated into the Crookston location, and operations at the Wahpeton location are anticipated to cease during the second fiscal quarter of 2018. These investments further the company’s ongoing commitment to produce food products of the highest quality and safety for its customers and are expected to provide significant operational efficiencies as part of the company’s ongoing portfolio optimization strategy and Value Creation Plan.
“The investment in our roasted snacking capabilities reflects our continued efforts to optimize our portfolio and focus on product lines where the Company is effectively positioned to generate long-term profitable returns,” said Dave Colo, CEO of SunOpta. “The investment in the Crookston facility will expand our capabilities and allow us to capitalize on the strong underlying consumer trends in healthy snacking and further advance our quality and food safety initiatives.”
The company expects to incur expenses relating to the Wahpeton facility closure of approximately $2.0 million to $2.5 million related to asset impairment charges and severance costs of which less than $1.0 million is expected to be cash. These charges are expected to be recognized during the fourth quarter of fiscal 2017.