As the cost of daily necessities continues to rise and federal policy changes tighten eligibility for key assistance programs, many households are feeling increased pressure on their budgets and finding it harder to meet their basic needs.
According to Capital One Shopping, U.S. online grocery sales increased 104% during the pandemic and are projected to grow 12.3% annually through 2029.
In response, many food and beverage companies have begun consolidating their operations, resulting in the closure of fulfillment centers and manufacturing plants across the country. Grocery stores have also followed suit by shutting down locations, leaving many communities with even fewer options for affordable food and household goods.
Despite the current uncertain climate, a major company is defying the concerning trend by saving a shuttered facility and restoring hundreds of jobs.
AriZona Beverages rescues a shuttered facility and saves hundreds of jobs
Harry Davis & Company, an asset solutions firm, confirmed that AriZona Beverages’ subsidiary, U.S. Beverage Packers West LLC, has acquired a beverage packing facility and its equipment in Anaheim, California, from Manna Beverages for an undisclosed amount.
AriZona Beverages, founded in 1992 and best known for its popular canned iced teas, has since evolved into a major food and beverage manufacturer with a diverse portfolio that spans energy drinks, cold brew coffee, cocktails, juices, and snacks.
The acquisition follows Manna Beverages’ closure of its facilities in Anaheim, Chino, and Sacramento in October 2025, resulting in the elimination of more than 600 jobs, according to CBS. AriZona’s purchase will enable the Anaheim plant to reestablish production and restore hundreds of jobs for local workers.
“As with the Sacramento facility, our team quickly recognized that the Anaheim operation held exceptional strategic value for the beverage industry,” said HDC CEO Lenny Davis in a press release. “Manna’s exit opened a meaningful market opportunity, and the facility’s fully integrated West Coast manufacturing and distribution platform drew immediate interest.
Manna Beverages is a supply chain company with a network of facilities that manufacture ready-to-drink products.
AriZona Beverages’ subsidiary, U.S. Beverage Packers West LLC, acquires a beverage packaging facility and its equipment in Anaheim, California, from Manna Beverages.
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Food and beverage rivals face industry-wide struggles
While AriZona Beverages’ acquisition will revive operations and bring jobs back to Anaheim, many competitors continue to cut costs amid weakening demand and rising expenses due to inflation.
According to the U.S. Bureau of Labor Statistics’ Employment Situation update, 911,000 fewer jobs than expected were added in the 12 months through March 2025, signaling a clear economic slowdown.
In August, only 22,000 new non-farm payrolls were recorded, and the unemployment rate rose to 4.3%, the highest level in nearly four years.
“While the pace of layoffs has picked up somewhat, the hiring rate remains quite low. It is increasingly difficult for those laid off, and for new entrants into the job market, to find a position,” said The Mortgage Bankers Association Chief Economist Mike Fratantoni in a statement.
More Closures:
- Kroger announces unexpected closures ahead of holiday season
- 100-year-old grocery chain’s stores acquired by rival after closures
- 109-year-old grocery chain makes major cuts ahead of holiday season
Research from Harvard Business School notes that relying on layoffs to mitigate temporary economic shifts is often unsuccessful and has hidden costs that make companies less profitable, innovative, and productive over time.
“While layoffs may provide immediate financial relief, they often incur significant long-term costs that can undermine the very stability and performance they aim to protect,” said Headhunter & Talent Strategist Bryan Blair.
Other facility closures across the industry
- Kroger (KR): Closing 10 fulfillment centers by the end of 2026.
- General Mills (GIS): Shuttering three manufacturing plants in Missouri by the end of fiscal 2028.
- PepsiCo (PEP):
Closed two Frito-Lay manufacturing facilities in Orlando, affecting 500 employees.Partly closed its Detroit manufacturing plant, eliminating 83 jobs.
Shuttered two Frito-Lay facilities in New York and California, impacting nearly 767 workers.
- Del Monte Foods: Closed multiple processing plants before filing for Chapter 11 bankruptcy in July 2025.
- Post Holdings: Planning to close cereal manufacturing facilities in Nevada and Ontario by the end of 2025, affecting around 300 employees.
Related: 98-year-old beer store chain has closed nearly 100 locations so far
