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In the Face of the bloodletting of its sales in the United States in 2018, Agropur continues its slimming cure by pledging to reduce its cost of $ 50 million this year… without doing more layoffs.
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“Our first objective is never to make layoffs,” assured the chief executive officer of Agropur, Robert Coallier, after the annual meeting of the dairy co-operative, on Wednesday, in Montreal.
Despite a 4.7% increase of its turnover, which increased from $ 6.4 billion in 2017, to $ 6.7 billion this year, the net surplus of Agropur has shrunk by more than half, from $ 175 million in 2017 to $ 68 million last year.
A situation far from rosy, which force the giant dairy quebec to review its productivity.
Reduction of costs
In the margin of his meeting, the chief executive officer of Agropur, Robert Coallier, said he was proud of the cost-savings of $ 200 million made since 2013 in their organization.
Mr. Coallier has added that he would like to reduce these costs, another $ 50 million this year, but he has not been able to tell if they rimeraient… with new job losses.
“I can’t tell you that everything is safe. But, generally speaking, our goal is always the same, it is to review our processes”, he replied du tac au tac to journalists in a press conference.
Yesterday, the bosses of Agropur have indicated that their financial losses were especially United States, where they make half of their sales.
This year again, the overproduction of milk in our neighbours to the south has caused a drop of prices out there, corresponding to a shortfall of $109 million.
“It’s been a few years that it lasts, but 2018 has been particularly difficult on this side,” admitted the president, René Moreau.
Remember, Agropur receives $ 57.4 million of financial aid from Quebec to upgrade three of its facilities at the same time that it closes its plant in Saint-Damase 110 workers, as revealed by The Journal Wednesday.