"The restructuring effort is not confined to Alaska alone," the Seattle company says. "Trident is also streamlining and optimizing its head office support functions, resulting in a 10 percent reduction in headcount."
More details in this news release on Trident's website.
I wonder if they are just going to shut down these plants if they can't sell them.
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DeleteGiven their management team, it might be best if they just got rid of everything except Akutan and the factory trawlers. Simplify things and focus on the least complicated and most stable fisheries. Maybe even dump Akutan and get down to the FTs. This isn't the same company that Chuck Bundrant built.
ReplyDeleteSalmon processing is a terrible business. Maybe a good year here and there but mostly not. Can't blame them.
ReplyDeleteSmartest seafood business move since the invention of the iron butcher. This is Business 101. Get rid of money losers and enhance the revenue portion of the business. This is not the company that Chuck built, but neither is the commodity market.
ReplyDeleteIf OBI got rid of their money-losing assets, they'd have nothing left.
ReplyDeleteIf it's a smart move, why get rid of Ketchikan with its high-volume canning and freezing capabilities and keep lesser capacity Wrangell which is strictly freezing? Do they really believe 100% frozen pinks is the way to go? Heck, some processors have been slacking out frozen pinks and canning them last few months?
ReplyDeleteTrident has always been committed to Alaska, and my guess is that they are using this current terrible market situation to clean up things they should have years ago ... if other processors were smart they would be doing the same.
ReplyDelete6:45, maybe they don't want to buy seine fish.
ReplyDeleteTheir Kodiak plant is the premier facility in Kodiak. Runs big tonnage of pollock, cod, rockfish and salmon. Fills in around those with crab, halibut and black cod. It's a good overflow plant for surplus humpies out of PWS. Power is cheap compared to remote plants like Sand Point, King Cove or Akutan. Some local labor cuts down on housing and transportation costs. Plant runs rings around OBI and SBS. And they can't make it there?? Then none of the others must be profitable there. What's wrong with this picture?
ReplyDeleteClear winner here is SBS. Clear loser is PPSF.
ReplyDeleteClear winner is SBS? Explain to me the product form between the Kodiak plants of SBS and Trident for salmon and pollock. Shocker it's the same!!!
ReplyDeleteThere is a clear winner. Most can't see it 'cause they like shiny things. Enjoy Cora and Troy telling you what you want to hear.
The Kodiak plant is the big shocker. They have a solid groundfish fleet and have the fairly new expansion.
ReplyDeleteMaybe their management sees the writing on the wall for GOA groundfish. There is a huge antitrawl movement and it seems to only be gaining momentum. Basically everyone but trawlers and processors want to see dragging shut down. I hope these people realize that other fisheries will be the target after trawl is taken out.
State Rep. Sarah Vance, R-Homer, chair of the House Fisheries Committee, posted this on Facebook:
ReplyDelete"I recently spoke with Joe Bundrant, the CEO of Trident Seafoods about his decision to sell four processing plants in Alaska.
"This decision could have lasting impacts in our coastal communities and for our fishermen, so I have arranged a meeting with Trident and our coastal legislators to answer questions.
"A few takeaways from my meeting with Joe: 1) Selling is not closing 2) Sellers open doors for buyers 3) Joe is an Alaskan who cares deeply for Alaskans."
Yes. Clear winner is SBS. Kodiak and product form are irrelevant. PPSF is looking to sell four salmon processing plants to SBS. Trident puts additional plants on the market devaluing the PPSF assets further. Salmon is now SBS to win or lose. NPSI costs are too high. OBI can't compete.
ReplyDeleteFamily business founders often want to pass the company on to the second and third generation. Sometimes it works, but often it fails. Better to find the best managers to run the company and let the heirs enjoy a dividend and stock appreciation. Trident is a case of letting the heirs run it. So best now to simplify operations and make it as manageable as possible. In Trident's case, that may be just to cut it down to Bering Sea pollock and cod.
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