Winn-Dixie Stores, Inc. (Jacksonville, Fla.) announced that it will consolidate distribution operations in Southern Florida by selling its distribution center in Pompano Beach and moving the work to a facility in Miami. Associates at the Pompano Beach facility will be offered positions in Miami. The transfer of operations is expected to begin in late April and be completed by the end of June. The move is part of Winn-Dixie’s efforts to improve its financial performance and emerge from bankruptcy protection later this year.
“We have continued to examine our operations to ensure Winn-Dixie is best positioned to emerge from Chapter 11 financially healthier and better able to compete,” said Winn-Dixie president and CEO Peter Lynch. “Using one facility rather than two in Southern Florida will allow us to leverage economies of scale and operate more efficiently. Proceeds received from the sale of the Pompano distribution center will provide us with additional capital to help fund our remodeling program and other improvements.”
The company is looking for a buyer of the Pompano Beach facility. It is approximately 787,500 square feet and handles grocery, meat, dairy and produce items. The Miami facility is approximately 961,690 square feet and handles similar items as well as frozen foods. There are currently 280 full-time and part-time associates at the Pompano facility and 440 in the Miami facility. Winn-Dixie currently operates seven distribution centers in Florida, Alabama and Louisiana.