ST. GEORGE, Utah — The Blue Bunny ice cream plant in St. George will be closing, according plant officials Tuesday afternoon.
About 100 employees current work at the plant, which is owned by Wells Enterprises, Inc. out of Le Mars, Iowa. Officials with the plant say an exact closing date is yet to be determined.
Officials say the transfer of production and storage of product from St. George to Le Mars will be phased in over the next several months and is estimated to be completed by the end of 2014.
According to a statement from plant officials, the decision to close the southern Utah operation will enable the company to optimize its existing capacity in Iowa to more efficiently serve customers and support Wells’ long-term strategy.
The statement from the company also stated:
The decision also allows Wells to more effectively compete in the ice cream category that has been flat to declining for several years, and has been further challenged by unstable commodity costs. Wells is mindful of the impact changes of this nature have on employees and their families and is committed to helping impacted employees through this transition.
The plant opened its facility in St. George in September 2003.
The plant produces the Blue Bunny range of ice cream and sorbet products for the supermarkets and for the sale through restaurants and theme parks.