Colorado-based beverage packaging giant Ball Corporation is set to close its aluminium can manufacturing facility in Kent (Rexam Beverage Can Company), as disclosed in a filing with the state of Washington. The closure, outlined in a Worker Adjustment and Retraining Notification on Dec. 28, is expected to lead to the termination of 121 jobs in the Puget Sound area starting Feb. 29.
The decision to close the plant, initially revealed in a Nov. 1 earnings call, follows Ball Corp's failure to meet third-quarter sales targets, citing a slowdown in demand as one of the contributing factors. CEO Daniel Fisher explained during the call that the Kent closure forms part of a broader strategy to trim raw and finished goods inventory, anticipating savings of approximately $20 million for the company in 2024.
The Kent facility, operational since 1971 and acquired by Ball Corp in 1998 from Reynolds Metals Co., houses two production lines with the capacity to manufacture 1.1 billion 12-ounce cans annually. Notably, this is the second instance where Ball Corp has announced the closure of the Kent plant, the first being in April 2008.
As per reports, there was a dip in aluminium can sales for the company in 2023, attributing part of the decline to reduced Bud Light sales following a consumer boycott. Established in 1880, Ball Corporation is the foremost global provider of sustainable aluminium packaging for beverages, aerosols, aerospace and other technologies and services. Interestingly, the company divested its home canning business in the 1990s.With a global workforce exceeding 24,000 and a presence spanning over 100 locations, including its headquarters in Westminster, Colorado, Ball Corporation's multifaceted operations underscore its position as an industry leader.
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