April 21, 2008

Tyson closes third plant in 2008

Tyson Foods Inc. announced that it would shut its meat-processing operations in York, Nebraska, the third plant closing since the start of 2008.

Company officials said that 110 jobs will be cut when it closes the York plant by June 17 and shifts production to other operations. The closing is part of an ongoing effort to improve production efficiency, the company said.

The York plant produces uncooked meats, such as flat iron steak and the Shaved Steak brand, as well as other sliced beef and pork items for retail and food-service customers.

Tyson said some of the work will be moved to its operations in Emporia, Kansas, where it ended its beef slaughter operations and second-shift processing operations earlier this year.

The company now has about 700 workers in Emporia, compared with 2,400 at the beginning of 2008.

Tyson also earlier announced plans to close a North Carolina plant by April 1, eliminating 400 jobs. That decision was made after the company discontinued its oven-roasted chicken products line because of lagging consumer demand.

In January, the company said it planned to raise prices significantly on its chicken and beef products as it reported a 40 percent drop in fiscal first-quarter net income.

Tyson's shares were at US$18.99, down 3 cents, in after-hours trading.