Incomplete list of announced United States food supply shutdowns for the month of November, 2014: Many food suppliers/distributors are consolidating operations and killing jobs due to the collapsing grocery store and restaurant industries, as well as rising costs of food production.
After announcing plans in April to expand ops in Canada, Minnesota U.S.A. based food processor Cargill actually expanded their job killing! Cargill sold off a Winnipeg feed mill and shutdown a Manitoba mill, as well as shutdown a Manitoba granary. News reports gave various reasons from saying the mills needed upgrades that were too expensive to pay for, to Cargill needing to become more efficient in the Canadian livestock feed industry. No details reported on how many jobs will be lost.
Arizona: In Tempe, after almost 60 years restaurant Monti’s La Casa Vieja shutdown. The owner blamed increasing operating costs.
California: In Lodi, food processor General Mills warned they will render 410 people jobless by January 2015! Dublin based hamburger joint Wendy’s announced it is killing an undisclosed number of HQ jobs (rumored to be in the hundreds) by December, and said that it will continue with its massive store selloffs into 2015! Wendy’s has been selling off its stores to franchise holders. Company administrators say they need to cut at least $30-million USD going into 2015! It’s not due to crashing sales (not yet anyway) but mainly because of skyrocketing beef prices (Wendy’s actually uses 100% beef, unlike McDonald’s)! The supply of cow meat is dwindling due to the decades old drought in the western half of the U.S., and not only is Wendy’s competing with people shopping for beef in grocery stores, but with other burger and steak restaurants as well. In Stockton, food processor Hormel announced they will shutdown their 65 years old chili and Dinty Moore beef stew factory in February 2015, at least 110 jobs lost! Company administrators blame the record level prices of beef for causing a 21% drop in profits! In Auburn, after 38 years Lou La Bonite’s restaurant shutdown. San Diego based Pizzeria Mozza shutdown their new Seaport District restaurant, and canceled all upcoming pizza making classes: “Sadly, the gospel of Mozza pizza did not adequately spread to the people of San Diego. We regret that we will not be able to continue to serve the community there…”-company statement
Florida: After 33 years Ruben’s Cuban Restaurant being shutdown by the landlord. The landlord claims it’s only for remodeling, but long time customers are so upset that the local news media demanded confirmation from the landlord that the restaurant will be reopening soon. Orlando based Darden Restaurants killed 85 jobs (60 filled, 25 vacant positions) at its HQ. Darden operates Olive Garden and Longhorn Steakhouse. Company administrators say the skyrocketing price of food (like beef) is forcing them to cut $20-million from their 2014-15 budget! After barely 12 years the Sea Breeze Winery announced they’re shutting down in December. The owner says she’ll continue to sell grapes to other wineries.
Hawaii: In Honolulu, the operators of a 59 years old Foodland grocery store announced they are shutting down in December. Real estate analysts say local Hawaiian business are being killed by ‘big box’ stores and property speculators from mainland U.S.A., and Foodland customers agree: “…it’s all the construction and they’re bringing in all the mainland retailers, so it’s kind of sad…”-Eulie Villegas, loyal Foodland shopper
Illinois: In Roscoe Village, after 17 years the owners of the Hungry Brain said they will shutdown in December. Reports imply it’s part of a trend of many local joints being shutdown by greedy landlords who want more rent money.
Iowa: After 83 years Dahl’s Foods now chapter 11 bankrupt busted. The bankruptcy will make it easier for the iconic food company to be sold off to a competitor (Associated Wholesale Grocers), 950 employees affected!
Kansas: In Kansas City, after 50 years Quick’s Bar-B-Q shutdown. The owner says road construction is killing off mom-n-pops: “…I want to get out on my terms and while things are good. It is hard and these little mom-and-pop folks, you see them dropping.”-Ron Quick
Kentucky: In Louisville, after 33 years Gavi’s Restaurant shutdown. In Ashland, after only two years the Lamp Post Cafe shutdown with little notice, the lease was not renewed at the last moment, the owners blame the bad economy: “We’re two years into it and it is a tough economy. While we’ve certainly been moving forward, we are a victim of the economy. We found ourselves with our backs against the wall….Our first winter, the electric bill just about killed us…”-Shane Fields
Massachusetts: Maine based Hannaford Supermarkets announced they will shutdown their Ayer grocery store in February 2015, at least 87 jobs lost. Company administrators said they will not renew the lease and admitted the bad economy cannot support all the grocery stores they have.
Michigan: In Liberty Township, more than four decades old Yukon Jack Food & Spirits restaurant shutdown. Before it was a restaurant (starting in 1970) it was a grocery store. Local news media said the owners refused to talk. In Lansing, a restaurant whose purpose was to serve locals with products bought locally has failed. The Fork in the Road restaurant shutdown, the owners admitting they didn’t realize how expensive it was to keep 100% of their business local. Despite having lots of customers, buying food and supplies locally was killing them financially: “There’s a lot of compromises that we could have made but we’re just not willing to do that. That’s not why we started. We need to have a business plan to keep staying true to those principles. To compromise those principles, that would be failing.”-Jesse Hahn, who added that he was faced with two choices; shutdown or cut employee wages, raise prices and buy from outside sources
Missouri: In Springfield, Kroger announced it will shutdown four Dillons grocery stores in January 2015, supposedly they’re being sold off to competitor Price Cutter (an employee owned op like WinCo). However, administrators with Price Cutter were actually upset at the news and said they never made Kroger an offer to buy the Dillons stores, in fact it was Kroger who came begging to Price Cutter. Price Cutter agreed to a lease, not an outright purchase: “Dillions announcement to exit all four Springfield locations in January, 2015 is disappointing news….Dillions approached us of their intent to vacate the Springfield market….Price Cutter has entered into a real estate agreement to lease all four of the Dillions locations.”-Erick Taylor, Price Cutter president
New Jersey: In Egg Harbor City, Renault Winery Resort and Golf now chapter 11 bankrupt busted. The administrators say they are fighting for the life of the iconic winery: “We have been here for 150 years, and our plan will ensure us being here long into the future. We’re not looking to sell the place. We’re looking to continue the legacy here.”-Dennis Del Vecchio
New York: In NYC, after 15 years Bonnie Slotnick Cookbooks shutdown because the greedy landlord jacked up the rent. After only a year neighborhood grocery store Delancey Market shutdown. In Geneva, after months of rumors 54 years old Madia’s Big M grocery store shutdown. The Madia family basically said it wasn’t worth it operating a grocery store anymore and will focus on their other business ops. In Brooklyn, after only a year the owner of Marco’s restaurant announced it will shutdown in December. The owner says the profits weren’t high enough to cover operating costs.
North Carolina: Salisbury based the Bottom Dollar Food chain store was sold off and all 66 stores are being shutdown, 2-thousand 2-hundred jobs lost across the country by the end of December!
Ohio: In Springboro, a 56 years old IGA grocery store shutdown. The owner blames competition from ‘big box’ stores: “We’ve got third, fourth generation shoppers. I’ve seen the kids in their baby carriers, to them bringing in their own kids. It’s hard to see what this is, when you watch your inventory dwindle down trying to make excuses to the customers is just, it’s hard to fail.”-Doug Preston
In Mansfield, after 47 years Grantie’s Grinders (sub style sandwiches) shutdown, 11 jobs lost. The owners blame competition from a ‘big box’ sandwich shop that recently moved into the neighborhood. All 14 Ohio Friendly’s Restaurants shutdown! The francisee blamed the bad economy: “These closings are regrettable, however continuing operation was no longer viable.”-Apex Eagle Hospitality
Pennsylvania: In Pittsburgh, after only two years Station Street Hot Dogs shutdown. The owners decided not to renew their lease, claiming other projects were getting in the way. Anti-2nd Amendment Pepsi shutdown yet another distribution center, this time in West Goshen. 60 employees are being forced to move, if they want to stay employed, while at least six employees were rendered unemployed. (while I hate Pepsi for expressing anti-2nd Amendment opinions I love their Pepsi “Throwback”, made like the original with none of that corn syrup and chemical crap)
South Carolina: In Conway, after six years the Eggs Up Grill shutdown, 20 jobs lost. The owners said they’re being evicted due to not being able to pay their bills. Co-owner Christine Bonar says “There’s no value to put on what we’re losing financially. It will be the value of the friendships that we’ve made and the staff that we worked with. We’re all breaking up. We’re breaking up our family!” Manager Jeanne Sudowski is worried about the employees: “Obviously losing your job right before Thanksgiving and Christmas time is very rough…..some of them I don’t know if they can collect unemployment because they’ve only been here since July.”
Tennessee: In West Knoxville Sonny’s BBQ shutdown. In Chattanooga, the owners of SturmHaus Beer Market announced it will shutdown in December, blaming the bad economy: “Craft beer share is not enough to sustain our vision for a quaint, downtown on-premise, off-premise gathering place.”
Texas: In Houston, Hollywood Vietnamese & Chinese Cuisine shutdown. El Tiempo Cantina also being shutdown. Evil city officials approved the seizing of the property so greedy property developers can build a massive apartment complex on Montrose Avenue! In College Station, after 14 years La Bodega taco bar shutdown. The owner said they had to vacate the old decrepit building, and hopes to find a new location.
Vermont: In Rutland, owners of Sal’s Downtown Restaurant announced they will shutdown in December. Apparently the landlord refused to renew the lease.
Washington: In Seattle, the owners of Seastar Restaurant & Raw Bar announced they will shutdown in January 2015. Apparently the owners and the landlord don’t get along. After 63 years A&J Meats and Seafood shutdown.
Wisconsin: In Appleton and Green Bay, after more than ten years Goodwill Industries shutdown their popular Harmony Café. Although it was popular Goodwill administrators say the two restaurants were actually losing money: “The restaurant side got away from us. We kept subsidizing them hoping we would finally create a plan that would be competitive.”-Bob Pedersen, president & CEO
U.S. Food Crisis, October 2014