Are Changes Coming To McDonald’s Beloved Fries In New York State?
The largest McDonald's fry producer announced massive cost-cutting moves.
McDonald's largest fry producer has closed a factory.
Largest McDonald's Fry Producer Closes Factory
Lamb Weston, which is McDonald's largest fry producer, announced plans to cut its workforce by 4 percent and other cost-cutting moves.
Other key actions include closing a plant in Connell, Washington, temporarily curtailing production lines and schedules in North America, and eliminating unfilled job positions.
"Restaurant traffic and frozen potato demand, relative to supply, continue to be soft, and we believe it will remain soft through the remainder of fiscal 2025," Lamb Weston CEO Tom Werner said after an earnings call.
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Lamb Weston gets about 14 percent of its sales from McDonald's, according to USA Today.
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The company blames McDonald's $5 Meal Deal, which comes with a small order of fries, or customers opting for small fries over medium or large orders of fries.
"It's important to note that many of these promotional meal deals have consumers trading down from a medium fry to a small fry," Werner said during the earnings call. "So while we benefit from improving traffic trends, consumers trading down and serving size acts as a partial headwinds for our volumes."
Will This Impact New York State
Sales at McDonald's fell by about 1 percent, marking the first decline since the fourth quarter of 2020, during the COVID pandemic.
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There are nearly 600 McDonald's spread out across the Empire State.
It's unclear if the closure of this plant will impact fries in New York State. But, Lamb Weston is confident the world will continue to love McDonald's fries.
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"Lamb Weston is confident in the world’s ongoing love of fries – the closure of one of our older facilities accounts for less than 5% of our production capacity, so this adjustment simply helps address a current supply-and-demand imbalance," company spokesperson Teresa Paulsen told USA TODAY.
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