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on February 8, 2012

Maple Leaf Foods to consolidate poultry operations

Company investing in production transfers, restructuring

Maple Leaf Foods has announced that it will consolidate its further processed poultry operations into its Brantford and Mississauga Ontario, Canada facilities, increasing efficiencies and providing opportunities for growth in the value-added chicken market.

The company will transfer production from its 42,000-square-foot facility in Ayr, Ontario and close the plant in May 2012. Investments totaling approximately $6.5 million will be made in Mississauga and Brantford to support the production transfers. In addition, Maple Leaf Foods will incur approximately $5.6 million before taxes in restructuring costs, of which approximately $4.2 million are cash costs.

The investment in the Mississauga facility will create approximately 75 new hourly and salaried positions at that facility. The closure of the Ayr plant will result in a net reduction of approximately 100 positions. The company is working with affected employees to assist them in finding employment either within Maple Leaf Foods or in the broader economy.

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