A cereal manufacturing plant in Omaha will start winding down production next year, eliminating more than 500 jobs.
WK Kellogg Co. announced in a press release detailing its second quarter financial results and future plans of supply chain modernization that it will invest in new infrastructure at its Battle Creek, Michigan; Belleville, Ontario; and Lancaster, Pennsylvania plants, and plans to increase production at those locations.
The company plans to consolidate its manufacturing footprint by closing its Omaha plant, with a phased reduction in production beginning in late 2025 and full closure toward the end of 2026.
"Actions that impact our people and the communities where we operate are challenging and are made with thoughtful consideration," said WK Kellogg Co. CEO Gary Pilnick in a press release. “We recognize and appreciate the tremendous contributions of our WK teams in Omaha and Memphis, and we are committed to providing them support throughout this transition."
These plan will eliminate approximately 550 positions.
Omaha Mayor Jean Stothert issued a statement Tuesday saying she was notified of the decision that morning with an email to the Mayor’s Hotline and a copy of the company’s news release.
“Kellogg’s had not communicated anything previously about the potential to leave Omaha, so this announcement came as quite a shock,” she said. “I’m certainly disappointed that Kellogg’s would make such a significant announcement this way. After more than 75 years in Omaha, Kellogg’s will leave a big void. Our first concern will be the Kellogg’s employees, and assisting them transition to new employment as Kellogg’s prepares to reduce production next year and close in 2026."
The company's press release stated Kellogg also plans to scale back production in its Memphis, Tennessee facility commencing late 2025, resulting in a more focused, streamlined facility.