Constellation Brands to Eliminate 300 Jobs
Constellation Brands Inc. said it would fire about 300 people and consolidate some sales and administrative offices as the company integrates the purchase of Robert Mondavi Corp.
Fairport, N.Y.-based Constellation didn’t disclose where the job cuts would take place and didn’t expect to close any production facilities. Constellation will incur pretax restructuring costs of $52 million over the next year, it said in a Securities and Exchange Commission filing.
Constellation expanded its wine unit with the acquisition of Napa Valley winemaker Mondavi in December for $1.03 billion. It expects to complete the restructuring by February 2006.
Shares of Constellation, which makes and distributes about 200 brands of alcoholic beverages, rose 24 cents to $49.46 on the NYSE.
From Bloomberg News
* E. & J. Gallo Winery purchased closely held Grape Links Inc., maker of Barefoot Cellars wine. Terms weren’t disclosed.