Thursday, February 23, 2017

Canada Bread Company, Limited plans to close its bakery in St-Côme-Linière, Quebec, on May 19, 2017. The facility employs about 56 people and bakes pantry bread, which will be transferred to its other bakeries in the province.

"Our industry is under mounting competitive pressure to become more efficient and this means we have to make very difficult decisions," said Jennifer Park, vice-president, operations, Canada Bread. "We have been losing volume year-over-year in this facility and have made every effort to maintain the facility. As a result, we must consolidate the volume into another bakery in Quebec where we bake the same products and have the capacity to take on this volume."

In September, Canada Bread will also move roll-line production from its bakery in Beauport to its bakery in Vincent-Massey, which is located 10km away in Quebec City. The majority of workers are expected to transfer to Vincent-Massey by March 2018, the company said.

The bread baked at St-Côme-Linière and rolls from Beauport will continue to be baked in Quebec, with the exclusion of one Panini SKU being absorbed within Wholesome Harvest Baking's existing network. Jobs and production will not be moved to other parts of Canada or other countries, the company said.

In May 2014, Canada Bread was purchased from Maple Leaf Foods by Mexican-based bakery organization, Grupo Bimbo. Less than a year later, in February 2015, Canada Bread acquired the bakery division of Saputo Inc., Vachon Bakery, for $120 million. In March 2015, Canada Bread also acquired two former Sobeys bakeries located in Winnipeg and Calgary in Western Canada.

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