Canadian group takes over once-doomed iconic Ontario Heinz factory

A plan to keep a century-old tomato juice factory operating will save 250 jobs in a southwestern Ontario town that prides itself as a tomato hub.

An announcement made early Thursday morning confirmed that the Heinz factory in Leamington, Ont., would remain open, after the company had marked it for closure this June.

Ontario-based Highbury Canco Corporation announced Thursday morning that it has reached an agreement with Heinz to operate the factory.

[ Related: ‘Good news’ ahead for Ontario town set to lose Heinz factory ]

Highbury Canco Corporation (HCC) is a group of investors that intends to transition the factory into a manufacturing, co-packaging and distribution facility in July. The move will employ 250 people, plus additional seasonal workers, and could expand in the future.

“We believe that our investment in Leamington will become the cornerstone to providing Ontario’s agricultural products around the world, not just in Canada,” spokesman Pradeep Sood said in a news release, suggesting the group intended to sell its products in Canada and international emerging markets.

Word spread on Wednesday that "good news" was expected for the community, which relied on the 105-year-old plant as one of its primary industries.

Sam Diab, an HCC member and a factory manager at the Leamington plant, said he was "honoured to be part of this team who is focused on saving important jobs." He said the group would reach out to local farmers, the factory union and all three levels of government as part of the transition process.

The some 500 jobs will still be lost when Heinz ends operation in June, the new deal should bring some sunshine to the community.

Not only will it maintain a century-old industry, it will keep alive the town's identity as a tomato capital. Not only that, this year's tomato crop will not go to waste.

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