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Lamb Weston Shutters Connell, Washington, Plant as Part of Restructuring Plan

Oct. 3, 2024
After highly disappointing Q1 2025 quarterly results, the french fry and potato processor is making drastic moves to right the ship.

In the wake of its most recent earnings statement and a slide in the financial results tied to them, Lamb Weston Holdings Inc. announced a restructuring plan that the company expects to generate some $55 million of pre-tax cost savings in fiscal 2025 and a $100 million reduction in capital expenditures in fiscal 2025, according to a release from the company.

The plan includes the closure of the Connell, Wash., processing plant, the temporary curtailing of production lines and schedules in North America, the reduction of approximately 4% of global workforce, and the elimination of unfilled job positions.

A local news report noted that the Connell plant shutdown, effective Oct. 1, 2024, would result in the layoff of 375 workers there. The layoffs were reported in a warning notice to the state, in which the company pointed to supply and demand imbalance as the primary cause for the move. The plant had already stopped making frozen french fries on Sept. 30 and began shutting down the facility. Layoffs are expected to take effect Nov. 30.

About the Author

Andy Hanacek | Senior Editor

Andy Hanacek has covered meat, poultry, bakery and snack foods as a B2B editor for nearly 20 years, and has toured hundreds of processing plants and food companies, sharing stories of innovation and technological advancement throughout the food supply chain. In 2018, he won a Folio:Eddie Award for his unique "From the Editor's Desk" video blogs, and he has brought home additional awards from Folio and ASBPE over the years. In addition, Hanacek led the Meat Industry Hall of Fame for several years and was vice president of communications for We R Food Safety, a food safety software and consulting company.

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