Blue Bell Ice Cream: Investment Could Save Struggling Company
Blue Bell ice cream received an investment that could prevent a devastating closure. Although the specific terms were not released, company officials confirmed Texas billionaire Sid Bass made a “significant” investment — which will ensure the future production of Blue Bell ice cream.
Beginning on March 13, Blue Bell Creameries, LP, was forced to recall several ice cream products due to listeria contamination. By April 20, the company expanded the recall to include all products.
In an official statement, CEO and President Paul Kruse explained the total recall was voluntary, as the contaminated products were all traced to the Brenham, Texas, facility. However, the company was not willing to take any chances with their customers’ health.
“We’re committed to doing the 100 percent right thing, and the best way to do that is to take all of our products off the market until we are confident that they are all safe… We need to know more to be completely confident that our products are safe for our customers.”
In his statement, Kruse outlined steps the company was taking to identify the source of the listeria contamination, sterilize the equipment and facilities, and prevent future contamination.
Unfortunately, as reported by Wall Street Journal, the recall caused “a financial crisis,” which threatened the future of the company.
As discussed on the company website, Brenham Creamery Company opened their first facility in Brenham, Texas, in 1907. Although they initially made and sold butter, they eventually expanded their business to include ice cream.
In 1930, the company changed their name to Blue Bell Creameries.
Prior to the April recall, Blue Bell remained one of the most popular and best-selling ice creams in the nation. Unfortunately, the massive recall threatened to end the 108-year legacy.
Thankfully, Sid Bass’ Blue Bell ice cream investment could prevent the looming closure. Although the amount was not disclosed, the “significant” investment was enough the save the company and make Bass a full partner.
Blue Bell attracts billionaire in comeback quest http://t.co/kfb368hSxG pic.twitter.com/6i15KIbCtV
— CNBC (@CNBC) July 15, 2015
In an official statement, Kruse said the investment “will ensure the successful return of [their] ice cream to the market and [their] loyal customers.”
Bass, who has a long history of making generous investments, said he is optimistic about the future of Blue Bell ice cream, and is looking forward to the new partnership.
“We are excited to be a part of the Blue Bell brand and family… Blue Bell is the quality leader in the ice cream industry. We believe quality is the principle attribute that ensures the success, growth and longevity of a business.”
The Blue Bell investment was announced via the company website on Tuesday.
[Image via Shutterstock]
