Belgium-based multinational Greenyard says it has developed a "comprehensive Transformation Plan" in response to "continuing market pressure", which had led it to reduce its REBITDA guide for the year to €60-65 million.

It anticipates this plan will help it to "unlock large untapped potential for a healthy future".

"The Transformation Plan consists of immediate, short and longer-term actions, both at group and divisional level," the company said. "It will enable Greenyard to accelerate the shift of its organisation to a partnership model in which Greenyard positions itself as a vertically integrated partner for its customers, the retailers."

Greenyard explains it intends to adapt its organisation to reflect this transformation, saying that revitalisation of volumes and margins, a rational footprint optimisation, improved cost management and operational excellence are the cornerstone of this model-shift which would result in a "leaner organisation".

"The various initiatives will allow Greenyard to structurally benefit from its economies of scale derived from its pan-European footprint. They are expected to further strengthen its logistics, supply chain, with a focus on control over indirect spend, its core activities and an adapted organisation," it said.

Greenyard is expecting the plan to deliver a REBITDA improvement of €20 million for 2019-20 and €44 million of cumulative REBITDA improvement for  2020-21.

It said 422 jobs will potentially be impacted by the Transformation Plan, spread over different countries, but primarily in its Fresh division in the U.K. and Germany.