Russell Stover announces closure of Montrose plant

MONTROSE, Colo. (KKCO)- Russell Stover Chocolates has announced the closure of its plant in Montrose in spring of 2021.

This comes amid changes to the company's production, retail and distribution networks.

In a news release, the company announced plans to expand operations at its plants in Corsicana, Texas as well as in Abilene and Iola, Kansas.

The company's CEO says it's important to keep up with the changing preferences of their customers, including how they shop for products.

The company says about 400 positions across the nation will be affected by these changes.

For employees who are impacted, the company plans to offer them opportunities within Russell Stover or severance.

Officials with the city of Montrose say that the city relies on the company to pay for property taxes, and their retail store generates over half of their percent of sales tax.

"And we also have employees that come in there from outside of the city of Montrose, from Delta, and Olathe and Gunnison and all the areas around us that travel to work at Russell Stover, so we have to worry about them as well," says Montrose City Manager Bill Bell.

In a letter that was reportedly sent home to employees at the Montrose facility, it says Russell Stover has been in the community for more than 40 years. They plan to work with the city to help manage the impacts of the closure on the community.

Officials with Russell Stover say they will help employees in Montrose relocate to some of their other locations.



 
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