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Brewery manager to cut costs by $2 million.

Brewery manager to cut costs by $2 million

A Stroh Brewery Co. manager at the company's St. Paul, MN, plant says he plans to cut operating costs by at least $2 million to protect the plant from possible closing.

"We have looked at every department and operation to come up with those savings," said Joe Walia, Stroh's St. Paul plant manager. "We need, in 1990, to tighten our belt. It is a matter of survival."

Walia said he has developed a leaner budget for the new fiscal year since executives at Detroit-based Stroh Brewery Co. recently told him that if they close another plant it will be either in St. Paul or Memphis.

Walia said he planned to submit his budget, which cuts costs by $2 million to $2.5 million, to his corporate bosses in hopes that Stroh doesn't eventually close the plant, which employs 360 workers.

Walia's cost savings represent 13 percent to 15 percent of his annual $30 million budget.

Asked if he asked the unions for concessions, Walia said: "We have talked to the union people and they have to address that issue. We are very optimistic that with the help of the community, union people and our plant operation cuts that we will be in business."
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Title Annotation:Joe Walia, Stroh Brewery Co.
Publication:Modern Brewery Age
Date:Mar 5, 1990
Words:211
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