Schwebel Baking Company shutting down after 120 years
Schwebel's, which sells bread at grocery stores across western Pennsylvania, is closing after 120 years.
Citing years of "significant operational and financial constraints," Youngstown-based Schwebel Baking Company announced in a press release that it has no other option but to wind down operations and pursue a formal liquidation in the coming weeks.
Schwebel's said it has faced challenges like aging manufacturing facilities and equipment, costly labor contracts and pension obligations and lower demand for traditional bakery and bread products.
The company said it plans to operate through the Fourth of July weekend and then wind down operations throughout the summer at its bakeries in Youngstown and Hebron as well as its retail stores and distribution centers.
The company makes bread under brand names like Schwebel's, 'taliano, Millbrook and Sun-Maid, selling it at stores across Ohio, Pennsylvania and New York.
"The Schwebel's brand has been known for the highest quality of bread, buns and other bakery products for over 100 years, and we are devastated to reach the point where liquidation is the only remaining option," CEO Steve Cooper said in a press release. "We've worked with our advisors for several months to identify a buyer or investment source, however despite significant efforts to adapt to changing market conditions and secure additional investment, the company was unable to establish a sustainable path forward."
The company got its start in 1906 when Joseph and Dora Schwebel began baking bread in their kitchen and selling the loaves door to door in their Youngstown neighborhood.
Cooper thanked employees for their dedication, saying their hard work has helped sustain the company for over a century.
"We also extend our sincere appreciation to our customers, business partners, suppliers, retirees, and the communities we have served throughout our 120-year history," Cooper said. "Their loyalty and support have been instrumental in the success and legacy of Schwebel's."
