Jays to close Chicago plant

Dec. 3, 2007
Jays to close Chicago plant

Jays Foods Inc. will close its South Side manufacturing plant Wednesday, leaving 220 employees without a job.

Workers at the 825 E. 99th St. plant were notified Monday that the plant would not operate regardless of the outcome of the current sale process.

The snack manufacturer said it will continue to operate its warehouse and distribution center, which employs 420 workers, at the same address for an unspecified period of time.

The Jeffersonville, Ind. facility will not be affected, the company says.

Jays Foods Inc. is in the process of selling off all of its assets as part of a Chapter 11 bankruptcy reorganization process.

The company filed for Chapter 11 on Oct. 11 and simultaneously announced that Jay’s Acquisition Inc. had tendered an offer to buy all of Jays Foods’ assets for $24.8 million.

A hearing in federal bankruptcy court is scheduled for Tuesday to approve sale of Jays Foods’ assets. There were no other qualified bidders for the company.

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