MillerCoors has announced that it will cut 350 jobs as part of a new restructuring plan, as it aims to get its “business back on track” following several years of slumping beer sales.
A statement from the company said that the cuts are necessary as its organisation and cost base are now out of line with the scale of its business and increasing costs.
MillerCoors announced earlier this year that its half-year sales volumes had fallen 4.6% as demand for its beers fell among American consumers, and the company ceased production of its Two Hats beer brand in August, just six months after it launched the new brand.
The company said that turning around the fortunes of its Coors Light brand was a “critical priority”, and the company has made several moves to address its faltering performance.
Since July, the company began to search for a new chief marketing officer who would enhance the company’s marketing operations in an effort to reach more consumers and promote its brands.
The restructuring has also seen MillerCoors appoint a new leader to oversee the conversion of its breweries to an integrated system.
MillerCoors CEO Gavin Hattersley said: “We are moving quickly and decisively to get our business back on track.
“To accomplish this, we know we need the financial flexibility to invest in our brands and solutions at the right level, quickly capitalise on new opportunities, and maintain a robust marketplace presence. Our current fixed cost base limits our ability to do all this.
“We’re committed to handling this restructuring with speed, dignity and respect for all involved and without marketplace disruption.
“While we know we still have some challenges ahead. We’re establishing a realistic, achievable plan for 2019 to put us on the path to long-term sustainable growth.”
Last week, MillerCoors announced that it would introduce a new range of low-calorie alcoholic drinks through the new Cape Line brand.
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