Cafe Valley bakery: to rise from new facility

Phoenix / AZ. (div) Cafe Valley Bakery Inc. has announced plans for a new 40 million USD plant that will add about 125 employees to its current work force of 375 – and enable the 28-year-old business to more than triple its production and sales. The commercial bakery sells croissants, cakes, puff pastries, muffins and cinnamon rolls to membership clubs, grocery chains, fast-food restaurants and convenience stores across the country. The company´s existing facility in Phoenix now employs 375 people and churns out two million croissants and five million muffins per week in addition to other products. The new plant will boost the company´s production lines from five to ten and creates the opportunity to add products. The new 285’950-square-foot facility will replace the 106’000-square-foot production plant plus a 40’000-square-foot freezer at a separate site. Both old facilities are leased. The new plant, which will be owned by the company, is expected to come online in early 2011. Ron Ogan, Cafe Valley president and CEO, attributed the growth to the steady stream of innovative products turned out by the company´s research-and-development department. Besides boosting production, the new plant will result in a more efficient operation and higher-quality products. The project is being financed by U.S. Bank, Organ said to local newspapers.

About: Cafe Valley Bakery Inc. was founded in 1982 in Phoenix. In 1998 the bakery was sold to an investor group backed by the Texas Pacific Group. The investors brought in Ogan to run the business in 2000; and in 2004 he bought the bakery from the investor group in a leveraged buyout.