No more Sara Lee? Famed dessert brand's future in doubt after more than 50 years
PHOTO: Facebook/Sara Lee Desserts
PUBLISHED ONOctober 19, 2023 10:30 AMByVenkat Gunasellan Who remembers Sara Lee's iconic desserts? Think frozen pound cakes, cheesecakes, and sweet pies.
Well, this is a sign for you to get 'em at the supermarket while you can because the company has collapsed and gone into voluntary administration.
According to The Sydney Morning Herald, on Tuesday (Oct 17) the dessert brand appointed FTI Consulting as administrators.
This comes after "suffering higher operating costs and supply chain issues that disrupted operations over the past 12 months".
In a report, by the Australian Broadcasting Corporation News, Vaughan Strawbridge from FTI Consulting mentioned that currently the company still employs around 200 people.
"We are working with Sara Lee's management team and staff to continue operations while we secure the future of the business," he added.
It's not clear what the future holds for Sara Lee, but voluntary administration doesn't necessarily mean a company is shutting down.
Voluntary administration is a process that allows a struggling company to restructure or find a buyer to secure its future. "We are immediately commencing a process to sell or restructure the business and continue its long history of manufacturing in Australia," Strawbridge mentioned.
AsiaOne spoke to fans of the brand on the latest development.
Property manager Shae Zai, 32, mentioned that Sara Lee holds fond memories for her. "It's a nostalgic brand. When we were in school, we would buy one of the frozen cakes to celebrate our friend's birthday cos it was an affordable option."
Christopher Chan, who works in business consultancy, heard the news this morning.
"Sara Lee cheesecake was my childhood, I'll be sad to know the day that I can't enjoy one anymore," the 27-year-old mentioned.
The story behind Sara Lee
Originally founded in the 1930s by Charles Lubin, Sara Lee started as a small bakery in Chicago, Illinois. The brand was named after his daughter, Sara Lee.
In 1971, Sara Lee opened its bakehouse in Lisarow, New South Wales and has been producing its iconic desserts for the last 50 years.
The brand has undergone ownership changes, with Canadian company McCain Foods acquiring it in 2013. Subsequently, in 2021, it was bought over by a New Zealand private equity firm, South Island Office.
At the time of writing, Sara Lee's can be found at all major supermarkets. Popular flavours include the frozen chocolate pound cake and the cheesecakes which comes in flavours like strawberry and salted caramel.
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