USA – Anheuser-Busch InBev (AB InBev) has announced plans to shut down its distribution facility in Medford, Massachusetts, a move that will affect 193 employees.
The decision, which is part of a broader restructuring effort, was disclosed in a Worker Adjustment and Retraining Notification (WARN) filed with the Massachusetts government last week.
The facility, known as AB One, is expected to cease operations in early November.
The closure of the Medford facility marks another step in Anheuser-Busch’s ongoing efforts to streamline its operations.
According to the company, the decision to shut down the site and lay off workers is tied to a strategic reassessment of its operational footprint.
Simon Wuestenberg, AB InBev’s US Chief Sales Officer, stated, “Anheuser-Busch’s owned distribution operations are a strategic part of our business as they enable us to test and learn, develop our people, and ultimately serve as stronger partners to our independent distributors.”
Wuestenberg explained that the transition of these operations to a local wholesaler would better position the company and its independent distributors for long-term success.
He noted that this move is aimed at driving growth for Anheuser-Busch’s portfolio of iconic brands while ensuring world-class service to retail customers across Massachusetts.
Earlier this year, Anheuser-Busch announced the shutdown of two of its US breweries, Wynwood Brewing in Miami, Florida, and Golden Road Brewing in Sacramento, California.
These closures come in the wake of the controversy surrounding its Bud Light brand following a partnership with transgender influencer Dylan Mulvaney in April last year.
Despite these challenges, Anheuser-Busch’s performance in the US has shown signs of improvement.
In its recent first-half results for 2024, the company reported a 2.7 percent increase in revenue, with notable margin expansion across all five regions, particularly in North America.
CEO Michel Doukeris highlighted the promising trends in the US market, noting that the beer industry is showing signs of value growth over time.
Liked this article? Sign up to receive our email newsletters with the latest news updates and insights from Africa and the World HERE