General Mills Inc. will close a Yoplait yogurt plant in Methuen and lay off the 144 workers there, the company said Thursday.
The Minneapolis-based food conglomerate said the closure would help it save money by consolidating its supply and manufacturing networks. The plant, located on Danton Drive and owned by General Mills since 1993, is scheduled to close by the end of next summer.
Laid-off workers will receive severance pay and transition benefits, General Mills said in a press release.
The announcement came on the same day General Mills said it will try to close another plant, in Lodi, Calif., where 430 workers make cereal. That closure is subject to union negotiation, the company said. It plans to close the California facility by the end of 2015.
The closures announced this week may be the first in a series. General Mills’s US sales have declined, prompting company executives to implement a broader cost-cutting and restructuring program dubbed “Project Century.” The company has told investors it expects the streamlining measures will save it $40 million this fiscal year, and $100 million by fiscal year 2017.