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(Ashland, Ohio) /PRNewswire-FirstCall/ -- Lance, Inc. plans to reopen the Archway Cookies manufacturing plant here after winning a bid to buy nearly all of Archway’s assets out of bankruptcy for about $30 million. The transaction is expected to close no later than December 15, 2008.
"We're excited about this acquisition," said David V. Singer, president and chief executive of Lance. "Archway was founded in the 1930s, and has built solid market share in its niche of soft, home-style cookies. Archway is an excellent addition to our growing portfolio of consumer preferred niche brands.”
Earlier this year, Battle Creek, Michigan-based Archway filed for bankruptcy protection and announced plans to close all its U.S. operations. In October, Archway closed its Ashland facility and put 278 people out of work, citing unforeseen business circumstances.
Lance officials did not say how many former Archway employees they would try to hire for the plant, which will be used to support Lance’s existing business and broaden the products they offer our Private Brands customers
"We are very pleased with Lance, Inc.'s purchase of Archway Cookies, a transaction that means putting people back to work in Ohio," said Lieutenant Governor Lee Fisher, who also serves as Director of the Ohio Department of Development. "
Lance officials say they will use available liquidity under its current credit facilities to fund the acquisition.
Charlotte, North Carolina-based Lance (NASDAQ:LNCE) manufactures and markets snack foods throughout much of the United States and other parts of North America. The Company's products include sandwich crackers and cookies, potato chips, crackers, cookies, other snacks, sugar wafers, nuts, restaurant style crackers and candy.
Lance has manufacturing facilities in North Carolina, Iowa, Georgia, Massachusetts, Texas, Florida, Arkansas and Ontario, Canada. Products are sold under the Lance, Cape Cod and Tom's brand names along with a number of private label and third party brands. The Company's products are distributed through a direct-store-delivery system of approximately 1,400 sales routes, a network of independent distributors and direct shipments to customer locations. Products are distributed widely through grocery and mass merchant stores, convenience stores, food service outlets and other channels.
For more information about the company visit http://www.lancesnacks.com/.
