Lamb Weston Shuts Down Plant Amid Decline in Fast-Food Fry Demand

North America's largest french fry producer is reducing operations as inflation pressures consumers to cut back on fast-food spending.

Lamb Weston is closing its Connell, Washington plant, resulting in 375 layoffs, due to decreased demand for fast-food fries.
The company reports a 46% drop in net income and a 1% decline in net sales compared to the previous year.
Rising fast-food prices have led consumers to opt for home-cooked meals, impacting Lamb Weston's sales heavily reliant on fast-food chains.
Promotional meal deals at chains like McDonald's, which include smaller fry portions, have not boosted fry sales for Lamb Weston.
McDonald's, Lamb Weston's largest customer, has seen a decline in same-store sales, reflecting broader challenges in the fast-food industry.