Colabor Announces the Consolidation of Its Ontario Distribution Activities
Source Globe Newswire
Group Inc. announces the
consolidation of the Broadline distribution activities of its Summit
Foods division in Ontario into its Mississauga distribution centre,
resulting in the closing of its Ottawa and London distribution centres.
This decision is consistent with the previously announced transformation
and optimization plan of Colabor's Ontario activities that resulted in
the mutual termination of the supply contract between Colabor and Recipe
Unlimited, which will be transitioned out by March 31, 2020.
sincerely regret the impact that the closure of our Ottawa and London
distribution centres will have on our employees and their families. We
will be providing assistance and support to help all employees in this
transition period," said Mr. Louis Frenette, President and CEO of
Colabor. "Right sizing our Broadline distribution activities in Ontario
was a difficult but necessary decision to further transform our
business, improve our profitability and our competitive advantage."
Mississauga facility will become Colabor's distribution platform in
Ontario, focusing on its Broadline distribution activities with
independent restaurants and banners operating in Ontario. Sales and
marketing activities will be maintained in Ottawa and London, as well as
administrative activities in London.
In order to reduce distribution
costs while maintaining customer service levels, drivers previously
operating out of the Ottawa and London facilities will be using
satellite yards strategically located in Ontario. The closing of the
Ottawa and London distribution centres will be effective February 9,
2020, and March 1, 2020, respectively.