ST. ALBANS, ENGLAND — Premier Foods plans to close its plant in Staffordshire, England, which could impact 300 employees.

The plant, located in Knighton in central England, makes mainly non-branded powdered beverages. It is not aligned with the group's branded growth model strategy and is marginally unprofitable at trading profit, the company said.

Premier, which owns Mr Kipling cakes, operates 15 facilities across the United Kingdom and employs more than 4,000 people.

The company indicated it was entering into consultation with staff members on the plant’s proposed closing.

“It is recognized that this will be an unsettling time for those c.300 colleagues who are potentially affected by these proposals, and they will be fully supported and consulted with throughout the process,” the company said.

The plant closing comes despite strong third-quarter results from the company.

“We delivered a strong trading performance in our important third quarter, with sales growth of 12% compared to the same period last year,” said Alex Whitehouse, chief executive officer, Premier Foods, in a third quarter earnings call with investors. “These results illustrate the continuing appeal of our portfolio of market-leading brands in such a challenging environment and demonstrate the strength and resilience of our branded growth model.”