UPDATE: BPI will close three plants, cut 650 workers - KTIV News 4 Sioux City IA: News, Weather and Sports

UPDATE: BPI will close three plants, cut 650 workers

Posted:
SIOUX CITY, Iowa (KTIV) -

The bad media blitz against BPI has, apparently, done lasting damage.

Late Monday afternoon, the Dakota Dunes-based company announced that-- by the end of the month-- it will close three plants and cut more than 650 jobs. They're located in Amarillo, Texas; Garden City, Kansas; and Waterloo, Iowa.

The company claims "misguided attacks," over their product, "lean, finely textured beef," forced them to suspend operations at those plants back in March.

That's when the web was buzzing with negative publicity, saying the ammonia-treated LFTB was unsafe and unappetizing. It cost the company big.

BPI hoped to overcome the comments, saying they would shutter the plants, while hoping to resume operations after 60 days.

Monday's news shows they fell short of that goal.

In a press release, BPI Corporate Administrator Rich Jochum said; "...the temporary suspension of operations will, in fact, result in the elimination of those jobs, effective May 25th."

The company plans to keep operations running at their South Sioux City, Nebraska facility, which since March, has been operating at reduced capacity.

Jochum said; 'We will continue to defend Beef Products, Inc. against the mischaracterizations.... that led us to take these actions."

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