The planned closure of the facility is part of Post’s continuous improvement initiative to optimize its cereal production network and manage costs in the ready-to-eat cereal category.
The facility – which was part of the settlement when Post acquired Weetabix in July 2017 – is expected to close by August 2019.
The Clinton facility employs around 180 staff.
The Honey Bunches of Oats and Malt-O-Meal cereal maker will engage in discussions with the union representing the hourly employees at the Clinton facility to determine the impact to terms and conditions of employment for the unionized workers.
Affected employees have been notified.
Potential costs associated with the closure are expected to include severance costs, accelerated depreciation on certain property, plant and equipment, good faith and other associated costs.
Laying foundations for new egg plant
Earlier this month, Post announced plans for its Michael Foods business to build a 150,000 square-foot manufacturing and distribution facility in Norwalk, Iowa.
Construction on the $85m plant – which will process eggs and pre-cooked egg products – is targeted to begin in the second half of the year and be completed in 2019.
The company expects the facility to initially create 100-150 new jobs.