U.S. Food Crisis, August 2014: “We’re about to run out of gas!” “We were shocked!” McDonald’s & Jell-O going down?

Incomplete list of announced United States food supply shutdowns for the month of August, 2014: Many food suppliers/distributors are consolidating operations and killing jobs due to the collapsing grocery store and restaurant industries, as well as rising costs of food production.

Alabama: In Dothan, after three years Dakota Coffee Works shutdown. The owner blamed skyrocketing costs of operations and crashing sales: “We’re about to run out of gas! Right now it’s doing about 50% of what it needs to do.”-Ron McGhee

California: The new owners of Orange County based 36 years old French restaurant chain Mimi’s Cafe announced they will kill 24 restaurants in Arizona, California, Utah and Florida! Apparently the new hand cut French Fries (which Mimi’s chiefs spent 60 days in France learning how to make!) are so labor intensive that they’re losing money.   In Chatsworth, Switzerland based food producer Nestle issued a WARN saying they were killing 353 jobs in October!  In Santa Barbara, after 40 years the iconic Circle Bar B dinner theater horse ranch shutdown.   In Sacramento, after three years doughnut shop Doughbot shutdown. The two owner-operators said “…these last few years have been…..incredibly difficult. We’re simply burned out.”  In San Diego, Stingaree nightclub warned it will shutdown in November, 111 jobs lost! Owners claim it’s only temporarily, for six months of renovations.  In Laguna Beach, The House of Big Fish and Ice Cold Beer warned it will shutdown by the end of October, 58 jobs lost.   In Cayucos, after more than 20 years highly praised Hoppe’s Garden Bistro shutdown.   In Yuba City, Valley Fine Foods laid off 30 employees. Company officials hope the layoffs will be temporary.  In San Francisco, after 22 years Woodward’s Garden restaurant shutdown. For an unknown reason the lease will not be renewed.

Colorado: In Grand Junction, Graff Dairy shutdown. Local news said employees blame the bad economy for a crash in sales.

Connecticut: In Norwalk, after 30 years Cosmo’s Pizza shutdown. The owners say city construction caused a 60% drop in business!  After 15 years Anna Donte Italian Restaurant shutdown.

Florida: In North Palm Beach, Panama Hattie’s Seafood House shutdown by the County government, 45 jobs lost. County officials say the restaurant failed to pay hundreds of thousands of dollars in fines for numerous code violations.  In Santa Rosa Beach, after only one year Bud and Alley’s restaurant shutdown.  In Miami Beach, another restaurant done in by a greedy landowner. Andreas Schreiner of Pubbelly Restaurant Group said their PB Steak restaurant shutdown because “…the rising costs of real estate would not have allowed us to continue to operate PB Steak without raising our prices, which would go against our commitment to our customers, to be a local, everyday eating establishment.”

Hawaii:  In Honolulu, after only five months Meatball Hawaii restaurant shutdown with little warning by the greedy property owner, the restaurant owner said “Our lease has been bought out. Today is our last day.” 

Illinois: Oak Brook based McDonalds now saying there is no economic recovery! The iconic fast food restaurant told investors that sales are only getting worse! Company officials say their most promising restaurants, in Russia and China, are now under attack by the respective governments, and sales in the U.S. continue to go down!   After 100 years (and surviving the Great Depression and numerous recessions) Jelly Belly Candy laying off 66 employees as the company moves its Illinois operations to California.  In Chicago, Forever Yogurt shutdown two brand new stores! Company officials blame lawsuits from property owners like General Growth Properties (GGP).  Moline based farm equipment maker Deere (formerly known as John Deere) announced they will kill more than 600 jobs in Illinois, Iowa and Kansas! Some inside reports say it’s more like 1-thousand jobs killed! Company officials blame crashing sales.  In River North, after only two years the Tavernita restaurant shutdown, without notice. The owners lost their booze license, and allegedly owe hundreds of thousands in unpaid taxes, although restaurant reps claim the taxes were paid. In Streeterville, after a year of promises ‘organic’ grocery store Mrs Green’s Natural Market canceled plans to open a new store. Company officials blamed the bad economy for “timing and logistical” problems.   In Schiller Park, despite supposedly making a comeback from bankruptcy, Hostess shutting down a bakery already, 400 jobs lost in October! One union official exclaimed to local news media “We were shocked!” The Schiller Park bakery is credited with creating the Twinkie.  In Champaign, Kraft Foods laid off an additional 56 employees.  Also, Kraft Foods revealed their inexpensive Jell-O brand is in trouble, with steadily crashing sales. Company officials think it’s because their 100+ years old cheap dessert has no nutritional value.   In Hinsdale, after nine years Cosi restaurant shutdown by the property owner, with little notice. News reports say property owner MDC Properties was shutting down all businesses on their Hinsdale properties: “They are de-emphasizing their corporate stores and focusing on their franchises. It’s panning out that way across the country.”-Tim Scott, Hinsdale economic development director

Indiana: In Franklin, Indigo Duck restaurant announced they’re shutting down in September. The family owners blame the death of the founder last year, and the fact that their lease is expiring and they can’t renew.  In Indianapolis, the Incredible Buffet and Fun Center shutdown.   In Thorntown, reports that Railer’s IGA grocery store shutdown.

Iowa: In Sioux City, after 85 years (and surviving the Great Depression and numerous recessions) the Green Gables restaurant shutdown. The family owners say they cannot survive this so called ‘recovery’.   Agricultural equipment supplier Demco Products laid off 26 employees, due to crashing sales.    In Waterloo, tractor maker Deere (formerly known as John Deere) killing 460 jobs, due to crashing sales! That’s on top of the previously announced Deere layoffs in Illinois.  In Urbandale, the Incredible Buffet and Fun Center shutdown, 75 jobs lost.

Kansas: In Hesston, maker of farming equipment AGCO laid off 24 factory workers and cut the hours for everybody else. It’s blamed on crashing sales. Company officials warned that more layoffs will be forthcoming. Union officials believe 80 more workers will become unemployed.

Maryland: In Hampden, Breathe Bookstore and Cafe shutting down by early October.

Massachusetts:  Tewksburry based Market Basket grocery stores killing jobs in New Hampshire and Massachusetts. Any striking worker that refuses to come back to work is now fired.  In Cambridge, after 39 years the Dolphin Seafood restaurant shutdown.  In Mansfield, after 31 years Sweet-N-Crafty Italian ice cream shop shutdown. Local news reports said it was the second oldest business in the area, and had donated a lot of money over the years to the community.  In Springfield, JT’s Sports Pub shutdown: “Unfortunately we have not been able to secure a new lease with our landlord so it’s brought an unfortunate end for us. With the casino coming, he has bigger aspirations and feels he could get far more rent.”-Keith Makarowski, owner

Michigan: After 46 years The Wolverine Food & Spirits shutdown. The property was sold to make way for a 24 hours gas station.  After five years cooking school Ann Arbor Cooks shutdown. Hard Luck Candy vodka company ceasing operations. Detroit Zen Center restaurant stopped serving lunch due “to lack of interest”.

Minnesota: Food producer Cargill continues to kill U.S. jobs, this time 169 IT jobs will be outsourced to a company in India!  The owners of well liked Santorini restaurant shut it down with out notice. The only official statement from the family indicated they were forced to sell out.

Missouri: 66 dairy workers suddenly unemployed after Hazelwood Prairie Farms Dairy laid them off without notice. Company officials say the bad economy is forcing them to change their business ‘model’.

Nebraska: In Grand Island, farm equipment maker CNH Industrial America announced it will kill 238 jobs by November! They blame crashing sales.   In Omaha, McKenna’s Blues Booze and BBQ shutdown.

New York: In Salamanca, a Parkview Supermarket grocery store announced it will shutdown in December, 72 jobs lost in time for Xmas.   In NYC, Food Emporium #36-719 announced it will shutdown in November, 76 jobs lost.  ARAMARK Business Dining Services announced they are shutting down in October, 28 jobs lost.

North Carolina: Peat moss distributor Sun Gro announced it will shutdown in September, 16 jobs lost.  Penguin Drive-In restaurant now chapter 11 bankrupt busted. This is the third attempt to file bankruptcy for the restaurant since last year, the first two attempts were thrown out of court. Lowes Food shutting down four grocery stores! Company officials said it’s necessary in order for them to build a fancy new store.

Ohio:  In Cincinnati, after only a few months Kiji teppanyaki restaurant shutdown without notice.   In Columbus, Pennsylvania based Giant Eagle grocery store on West Fifth and Grandview avenues being shutdown. Company officials did not give a date or explanation.  Fruit Growers Marketing Association says don’t expect any peaches in your grocery store: “There’s not much to talk about with the peach crop because, frankly, there isn’t one! There might have been a few farms down south by the Ohio River that weren’t affected, but for the most part this year was a disaster!”-Bill Dodd, Ohio Fruit Growers Marketing Association

It wasn’t just the fruit that was lost: “…as a result of last winter’s frost we lost most of our older peach orchard. We lost the trees themselves!….we lost 60% of our trees….”-Martha Mora, Johnston Fruit Farm

Oklahoma: In Tulsa, Folks Urban Market shutdown. The owner implied it was the greedy property owner saying “…some bad circumstances beyond our control….I’m very upset!”   In Oklahoma City, Homeland grocery store shutting down a second store, this time 55 jobs will be lost: “…we could not justify expending capital in this store.”

Oregon: Cooperative Pendleton Grain Growers selling off six AG Supply stores and one Pendleton Automotive Service Center. They hope the stores are sold off by September. Latest news reports say the co-op is not having luck finding buyers, which means a lot of people will become unemployed.

Pennsylvania: In Plymouth Meeting, after 20 years Kansas based Houlihan’s Restaurant and Bar shutdown. Company officials basically said their Plymouth Meeting location wasn’t worth it anymore.  In Lancaster, after three years Fork-n-Spoon Cafe shutdown.

Tennessee:  Memphis based Fred’s Super Dollar announced they will shutdown 70 stores by the end of 2014, hundreds of jobs lost! Company officials said it’s their way of raising cash to buy up pharmacies!  In Jackson, after 43 years Market Fresh grocery store shutdown. In Oak Ridge, after four years Snappy Tomato Pizza shutdown: “We have really tried to hang on; however, things appear to continue to go downhill for us…..Unfortunately, the sales have not been what we need to keep the business going while the new and upcoming retail centers continue to draw business toward the other end of town.”-franchise owners

Texas:   In Houston, Haven restaurant shutdown. The owner sold out to competitors, blaming the outrageous rent he was paying.  In San Antonio, after five years restaurant Tre Trattoria (aka Tre Downtown) shutdown.   In Austin, El Lago Mexican Foods canceled their plans to expand operations and shutdown, even though they were offered tax incentives: “…since we had to move from our old time location in central Austin, we are having big issues to go back in business. We are still trying to get the company up and running again soon. Thank you again and keep your fingers cross.”-company statement

Virginia: In Falls Church, after 38 years Sam’s Farms garden center shutdown by the greedy property owner who is building an apartment complex.   In Roanoke, First & Sixth Restaurant shutdown.

U.S. Food Crisis, July 2014