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PepsiCo will close 3 more bottling plants and lay off hundreds of workers
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PepsiCo will close 3 more bottling plants and lay off hundreds of workers

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PepsiCo is closing three more bottling plants, causing more than 300 job losses as the beverage giant streamlines its production network.

The company said it was halting production in Cincinnati; Harrisburg, Pennsylvania; and Atlanta. The closures will result in the loss of 136 jobs in Cincinnati, 127 in Harrisburg and fewer than 50 in Atlanta. Each location will continue to operate a warehouse, PepsiCo said.

The closure of these places takes place in just three days PepsiCo abruptly closes its last factory in Chicago It employed 131 people.

“We are investing in a more agile and optimized production network to best meet dynamic consumer needs,” PepsiCo said in a statement to Food Dive. “As a result, we stopped our production operations at four locations.”

PepsiCo this month lowered its sales outlook for this year as consumers stopped buying drinks and snacks to save money amid rising prices. The New York-based company said: Beverage volume in North America down 3.5% so far in 2024.

PepsiCo became the latest company to announce that it will close its factories at a time when businesses are trying to increase the efficiency of their production networks and align supply with demand. Great bread maker Flowers Foodscanned fruit and vegetable giant Del Monte Foods and Slim Jim manufacturer Conagra Brands These are just a few of the companies that have announced the closure of their facilities.

In some cases, companies close some facilities while opening others.

PepsiCo We’re building a 1.2 million square foot manufacturing facility in ColoradoThis will reportedly be the largest facility in the U.S. behind schedule. Earlier this year, PepsiCo announced it will permanently close a store in Danville, IllinoisThe Quaker Oats plant was temporarily closed following the recall of its products due to Salmonella contamination.

Campbell Soup also said in May: closing one plant and reducing the size of the second plant. The soup and snack maker also announced it will invest $230 million through fiscal 2026 in newer, more efficient facilities as it aims to increase the competitiveness of its supply chain.