Prima Wawona sells farmland, announces massive layoffs
In a series of unfortunate events, Prima Wawona, one of the largest growers and packers of stone fruit in California, filed for Chapter 11 bankruptcy protection on Oct. 13, 2023, and most recently started a liquidation process of its assets, has announced it will lay off 5,411 workers this spring.
Based in Fresno, California, the company is preparing to sell 16,000 acres of prime farmland, The Fresno Bee reports. The farmland is valued at $370 million.
When the company filed for bankruptcy in October it announced it was more than $600 million in debt, accusing mismanagement, a lack of understanding of the tree fruit industry, and ineffective high-priced consultants as part of the reasons for its collapse.
The news impacts seasonal workers greatly, as they represent 3,743 members of its workforce, according to a company document.
John Boken, Prima’s chief executive officer, sent a letter to its workforce on Jan. 12 that their employment with the company would end by March 12, according to The Fresno Bee.
The event has been described as "unprecedented" by longtime farmers in the area, especially considering the sudden availability of that much valuable land.
“The liquidation of Prima Wawona is a sad day for the generations of men and women who worked tirelessly to build and tend to these orchards over the last half-century,” former CEO of Prima Wawona, Dan Gerawan told The Bee.