North America, Processing, fries, chips

NORPAC’s buyer plans to close processing plant, lay off 485 workers

The Oregon Potato Co. plans to close a plant in Stayton next month and lay off all 485 employees who work there, beginning at the end of October, The Oregonian reports.

Farmers cooperative NORPAC filed for bankruptcy last month and agreed to sell its assets to Oregon Potato for $155.5 million. NORPAC’s Stayton food processing plant wasn’t initially part of the sale, but the cooperative notified employees last week that Oregon Potato does now plan to buy that facility – and to close it.

Another buyer could conceivably outbid Oregon Potato in the pending bankruptcy auction and take control of the Stayton facility, but NORPAC warned employees that even in that case the new owner might not keep the facility open.

Oregon Potato is acquiring NORPAC facilities in Brooks and Salem and in Quincy, Washington.

Full report in The Oregonian here

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