Beloved food company shuts down after 72 years in business
An iconic frozen meal company that markets classic brands such as Red Baron has announced it is closing its doors after more than 70 years.
Yelloh, a meal delivery service, plans to cease operations on November 22 due to “multiple insurmountable business challenges.”
The company began in 1952 as Schwan’s Home Delivery and established its headquarters in Marshall, near southeastern Minnesota. Yelloh currently employs approximately 1,100 people nationwide.
After its founding, the company quickly became known for its tasty and convenient frozen meals, including Red Baron Pizza, Tony’s Pizza, Kahiki and Mrs. Smith’s.
Yelloh, a meal delivery service, plans to cease operations on November 22 due to ‘multiple insurmountable business challenges’
The company began in 1952 as Schwan’s Home Delivery and established its headquarters in Marshall, near southeastern Minnesota. Yelloh currently employs approximately 1,100 people nationwide.
In an official statement, the company said economic and market factors, as well as changing consumer lifestyles, contributed to the closure.
‘The current Yelloh team has worked hard to overcome external headwinds, such as staff shortages at national level and the huge disruptions to the food supply chain caused by the pandemic.
‘These challenges, combined with changing consumer lifestyles and competitive pressures that have been increasing for more than 20 years, made success very difficult.
“Digital shopping has replaced the personal customer interaction at the door that was the hallmark of the company,” said board member Michael Ziebell.
“Our concern now turns to our employees and the care they provide, as we all realize that this company – which has helped millions of families and provided a livelihood for thousands of people for decades – has unfortunately ended its life cycle.”
The meal delivery service was rebranded from Schwan’s to Yelloh in 2022, after the company was acquired by CJ Foods.
According to CBS News176 workers in Minnesota are being laid off and will be paid through November 22.
CEO Bernardo Santana said: ‘It is with a heavy heart that we have taken the difficult decision to cease Yelloh’s activities.
“We are grateful to our many loyal customers and hardworking employees for all they have done to support us. I am deeply grateful for the tireless and daring efforts of our employees and the dedication of our customers.
“It is our great pleasure and honor to serve our customers their favorite meals and frozen treats.”
Yelloh – which started as Schwan’s Home Delivery – sold ready-made frozen meals that were delivered to Americans’ homes
In an official statement, the company noted that economic and market forces, as well as changing consumer lifestyles, contributed to its closure – despite the name change to Yelloh in 2022
The last day that products can be purchased through Yelloh Trucks is November 8.
The last day that products can be purchased through Yelloh Trucks is November 8.
When Esko’s Jennifer Heille heard the news, she said with disappointment: “I really don’t know why they’re closing. I think maybe with other apps out there, the UberEatand all that kind of stuff, I think that can affect their business. It’s really sad.
“A lot of these restaurants are closing and a lot of them are family businesses in the community. I feel like there are a lot of bigger companies coming in and picking up that business.”
Becca Thompson, a Cloquet resident, recalled WDIO: ‘When we built this house, they started coming. I always felt a little bad. So I always ordered. But the man was so nice. So I was so sad when they stopped coming.
“We’re not home all the time. So delivery is probably just easier for people with busy lifestyles. We’ve always tried to buy local and because we know how it affects us. But I don’t know. Hopefully they can at least find something local.”