4 Sep 2012

Goodman Fielder to sell or close plants

6:30 pm on 4 September 2012

Goodman Fielder intends to sell or close about a third of its 53 plants and use its remaining sites more efficiently.

It is part of a plan by the Australasian food group to find $A100 million in annualised savings by 2015 to combat falling sales and greater competition from private labels for its baking, home ingredients and dairy products.

Chief executive Chris Delaney says Goodman Fielder will spend more marketing its brands, which include Vogels, Meadowlea and Edmonds to boost sales, as well as getting rid of 18 of its plants in Australia and New Zealand.

Nine of the company's 27 bakeries are in New Zealand.

Goodman Fielder aims to reduce that number and cut its product range, though which plants will be affected has not yet been decided.

Shares in Goodman Fielder were unchanged at 64 cents on Tuesday.