Cannabis producer Canopy Growth is shuttering more facilities across Canada amid a fresh round of layoffs in an effort to streamline operations and improve margins, the struggling company announced Wednesday. The cuts come amid a broad supply-demand imbalance in the Canadian cannabis industry. The glut has resulted in a mountain of cannabis inventory – both unpackaged and packaged – sitting in warehouses. Approximately 220 employees will lose their jobs as part of the latest closures, and the Smiths Falls, Ontario-based producer is abandoning outdoor cannabis cultivation in Canada. As a result of the latest moves, Canopy expects to record pretax charges of up to 400 million Canadian dollars ($312 million) in the third and fourth quarters of the current fiscal year. St. John’s, Newfoundland and Labrador. Fredericton, New Brunswick. Edmonton, Alberta. Bowmanville, Ontario. The production sites represent roughly 17% of Canopy’s greenhouse and indoor Canadian footprint, Canopy said. The decision to close the sites came after an end-to-end review of the company’s operations, Canopy CEO David Klein said in the announcement.
Marijuana Business Daily, 12/09/2020 13:03:00
Open article: https://mjbizdaily.com/canopy-growth-shuttering-facilities-across-canada-abandons-outdoor-cannabis-cultivation/