Old Dominion Peanut to close Norfolk facility in US

Old Dominion Peanut Company (ODP), a subsidiary of Hammond’s Brands, is planning to close its manufacturing facility in Norfolk, Virginia, US.

The decision to close the facility was part of the company’s restructuring initiative that will allow them to intensify product scope and drive the future profitability of its core businesses.

Hammond’s Brands intends to move certain ODP operations to its headquarters in Denver, Colorado, US, and transfer production of certain products to a third party under a long-term co-manufacturing agreement.

Hammond’s Brands president and chief executive officer Andrew Schuman said: “Business decisions that directly impact our employees are extremely difficult.

“Old Dominion has operated in Norfolk for over 100 years and we have employees that have been with us for nearly 40 years.

“The plant closure does not reflect the end of the Old Dominion Peanut Company, rather it marks the beginning of the next chapter of our business operations for long-term health.”

The closing of the facility is expected to take place later this year.

The Norfolk facility currently has a workforce of nearly 70 employees, who are engaged in the production of food products, including peanut brittles, nut candies, and chocolate-covered nuts.

Schuman further added: “Our response to this unfortunate solution is that we must combine a commitment to long-term investments in innovation and manufacturing.

“We believe this closure is crucial to our ability to increase efficiency and reduce the company’s cost structure.

“Today’s news will allow us to accelerate our growth strategy and drive long-term change, all to further Hammond’s success.”