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Because there is no economic perspective: Theo Müller is closing further Landliebe locations

2024-02-21T16:31:38.825Z

Highlights: Because there is no economic perspective: Theo Müller is closing further Landliebe locations.. As of: February 21, 2024, 5:23 p.m By: Bona Hyun CommentsPressSplit Theo Müllers wants to close the Landlie be locations in Heilbronn and Schefflenz by 2026. All 400 employees were informed of the closure. The reasons include enormous investment requirements and cost pressure. It is said that the cost pressure would not allow competitive product calculations. In the competitive market for dairy products, a significant increase in volume and an associated positive cost development are not to be expected in the long term.



As of: February 21, 2024, 5:23 p.m

By: Bona Hyun

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Theo Müller wants to close the Landliebe locations in Heilbronn and Schefflenz by 2026.

All 400 employees were informed of the closure.

Heilbronn – Less than a year after officially taking over, Theo Müller is retiring again.

The traditional locations in Heilbronn and Schefflenz will be closed by 2026, the group announced on Wednesday (February 21).

The reasons include enormous investment requirements and cost pressure.

Out for Landliebe locations in Heilbronn and Schefflenz

It is said that the cost pressure at the Heilbronn and Schefflenz locations would not allow competitive product calculations.

In addition, there is an enormous need for investment at the Heilbronn location, which further exacerbates the situation.

In the competitive market for dairy products, a significant increase in volume and an associated positive cost development are not to be expected in the medium and long term. 

Theo Müller wants to close the Landliebe locations in Heilbronn and Schefflenz by 2026.

© Stefan Puchner/dpa

“A comprehensive economic analysis has shown that, under these conditions, the two production sites have no prospect of getting out of the deep red numbers and back into a long-term profitable business,” said Cornelia Heiser, Managing Director for the Landliebe business, in a statement.

“We are aware that this decision causes consternation among employees.

We will begin discussions with the works council as soon as possible with the aim of finding socially acceptable solutions.”

Theo Müller closes Landliebe locations – shortly after taking over

In April 2023, the Müller Group made a mega deal with competitor Friesland-Campina: Müller bought the Landliebe brand and also took over the production sites in Cologne, Heilbronn and Schefflenz.

According to the Federal Cartel Office, the Müller Group's market share in the areas of rice pudding, fresh mixed milk drinks and basic milk drinks was over 60 percent (as of February 2023).

For the other dairy products affected by the merger, such as fresh milk, long-life milk, yoghurt, pudding, semolina pudding, quark, butter and cream, the merger will also result in, in some cases significant, market share increases for the Müller Group.

However , according to

Food Newspaper

and

Kölner Stadt-Anzeiger,

Müller announced a short time later that he would be giving up the traditional Cologne location.

As the dairy explained in a press release, the sale of the Tuffi brand was the decisive factor in the decision.

The location is no longer economical.

Entrepreneur Theo Müller criticized for connections to the AfD

Most recently, dairy entrepreneur Theo Müller came into the spotlight because of his connections to the AfD.

While business bosses distanced themselves from the party, the party made no secret of its friendship with AfD co-leader Alice Weidel.

“She lives nearby and comes to visit often,” said Müller in an interview with the Neue Zürcher Zeitung.

He likes to talk to her about politics, economics and social prosperity.

He showed little understanding of the criticism of his contact with the AfD politician.

Source: merkur

All news articles on 2024-02-21

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