Cargill unit buys Schweigerts owner

Published 12:00 am Tuesday, April 1, 2008

By Albert Lea Tribune

Cargill announced late Monday that it had aquired the company that owns Schweigert Foods, a cooked-meat operation in the Job Industrial Park in Albert Lea.

It said the Albert Lea plant will remain in operation but other plants will close as part of the deal.

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Agriculture conglomerate Cargill is an international company based in Wayzata and is often called the second-largest privately held corporation in the United States.

Cargill Value Added Meats is a unit of Wichita-based Cargill Meat Solutions, a subsidiary of Cargill. CVAM aquired certain assets of Willow Brook Foods, including operations in Springfield, Ill., and Schweigert Foods in Albert Lea. The transaction included Willow Brook&8217;s brand names.

Willow Brook Foods is based in Springfield, Ill.

&8220;High feed and energy-related costs have made it difficult for Willow Brook to continue operating,&8221; said Mike Briggs, president of Willow Brook, in a news release.

Within the next four to six months, CVAM will transition the turkey processing operations from Willow Brook facilities in Springfield to its plants in California, Mo., and Springdale, Ark. The Springfield plants at Main Avenue and Jefferson Avenue will then be closed. The Springfield plants employ about 780 people.

&8220;Closing the two Springfield plants is a difficult decision,&8221; said CVAM President John O&8217;Carroll. &8220;But we are encouraging Springfield employees to apply for jobs at CVAM&8217;s facilities, including the plants in California, Mo., and Springdale, Ark., and we will offer relocation packages.&8221;

For those who choose not to relocate, Cargill will provide outplacement services, and for appropriate personnel, Cargill will provide severance packages, the news release said.

The cost of the deal was not disclosed.

Willow Brook&8217;s brand names include Willow Brook, Kettle Fried, Lifestyle Premium Deli, Gourmet Recipe, Harvest Provisions, Sunday House, and Schweigert. The company&8217;s products are marketed in the retail, foodservice and industrial segments.

Cargill Value Added Meats is a producer of whole bird and further-processed turkey products, and a manufacturer of further-processed beef, pork and poultry products. The business services retail grocers, including their supermarket deli and fresh and frozen meat cases, food-service companies and restaurant chains. CVAM has about 6,200 employees. CVAM has turkey processing facilities in Dayton, Va.; Springdale, Ark.; Waco, Texas; and California, Mo. It has further-processed meat and poultry plants in Timberville, Va.; Butler, Wis.; Nebraska City, Neb.; and Booneville, Ark. It has distribution centers in Mount Crawford, Va., Springdale, Ark., and Butler, Wis.