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ARKANSAS NEWS / CONSUMER AFFAIRS

South Coast Baking Co. to open new Springdale facility

10/23/2013 at 2:41 p.m.


News Release:

SPRINGDALE – Officials of South Coast Baking Company, one of the nation's leading wholesale manufacturers of frozen bakery products, announced today the opening of a second production facility in Springdale that will employ 150 Arkansans and produce frozen cookie dough for some of the nation’s best known food retailers.

Gov. Mike Beebe joined state and local officials to welcome representatives of the Irvine, California-based company to the state. South Coast Baking Company, best known for the production and distribution of frozen cookie dough, currently distributes its products to more than 38 countries. Domestically, the company is the exclusive frozen cookie dough producer for Broomfield, Colorado-based Mrs. Fields. It is also a major supplier for Bentonville-based Sam’s Club and St. Louis-based Panera Bread. South Coast Baking Company has been honored as a Supplier of the Year by both Sam's Club and Mrs. Fields.

"South Coast Baking's decision to locate in Springdale adds to Arkansas's reputation as a hub for food manufacturers," Beebe said. "The combination of our skilled workforce and a central location for product distribution continues to draw companies here."

A nearly $8.7 million investment by South Coast Baking Company will transform an existing 104,000 square foot building at 800 S. 40th Street in Springdale, including the utilization of as many green technology elements as possible in the remodel. The central U.S. location of this manufacturing and warehouse facility will significantly mitigate the company’s existing transportation costs. With an average hourly wage of $25 an hour, the company’s employees will be paid a very competitive wage.

"After carefully considering several regions to expand our California facility, Springdale proved to be a perfect fit for South Coast Baking," said Kent Hayden, CEO of South Coast Baking. "The city provides us with an opportunity to establish our roots in an economically viable and business-friendly climate. Ultimately our increased production capacity along with geographical freight efficiencies will allow us to better serve our customers."

"Job creation is our top priority in Springdale and this decision by South Coast Baking to open a second plant here is tremendous news," said Mayor Doug Sprouse. "The emphasis on job growth in our city has and continues to pay huge dividends in our economy. South Coast Baking is adding a significant number of new jobs and will pay an outstanding wage. That's good news for our workforce and our city."

Incentives by the state of Arkansas, including funds from the Governor's Quick Action Closing Fund, were instrumental in the successful recruitment of the company. South Coast Baking officials expect to initially employ 80 workers with a year-two ramp up of 40 additional employees, reaching 150 total employees during its third year of operation in Springdale. Once remodeling efforts begin in November, the company estimates operations will begin in July of 2014.

"Without the coordinated efforts of various city and state entities, our expansion into Arkansas would not have been possible," explained Hayden. "The Mayor and city officials of Springdale provided us with all the necessary resources to enable us to confidently make our decision. In particular, the incentive program provided by the Governor's office was a major determining factor. Our experience with the people of Arkansas truly has made this a red carpet event."

"It took a team effort by the Chamber of Commerce, city of Springdale, Governor Beebe and the Arkansas Economic Development Commission to land this outstanding company in our city," said Springdale Mayor Doug Sprouse. "Our message to companies considering expansion is that Springdale is open for business. We stand ready to assist in any way that we can."

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