Mayor Bob Scott heard the news about BPI's plant closings after Monday evenings city council meeting concluded and says it's a sad day for the company:
Scott says the city will continue to do what it can to support BPI:
Governor Terry Branstad says it's also a sad day for the state of Iowa. He says the fact that a false, misleading smear campaign can destroy a company's reputation overnight should disturb us all.
Branstad says his office will never stop fighting for every single job in this state, and he hopes consumers will understand what a great product lean, finely textured beef truly is. 200 workers were employed at the Waterloo BPI plant.
Beef Products Incorporated announced Monday they are shutting down their plants in Amarillo, Texas; Garden City, Kansas; and Waterloo, Iowa.
Operations at those plants had been suspended with employees on paid leave since BPI had lost much of their business over a national and social media reports questioning their lean finely textured beef.
Company spokesman Rich Jochum says while BPI hoped to resume operation at those plants, that is not going to be possible in the immediate future and the temporary suspension of operations will in fact result in the elimination of those jobs effective May 25th.
650 employees are affected at those locations. BPI will continue to operate its South Sioux City, Nebraska facility at reduced capacity.
Jochum says the company intends to continue operations there and expand production here as the market activity allows.
He says BPI will continue to stand by their lean beef as 100% wholesome, safe and nutritious, and continue to defend the company against the mischaracterizations and irresponsible misrepresentations that led to these actions.