Organigrams lays off 220 employees, more bad news on the way.

Organigram (OGI.TO)(OGI) is warning of declining sales and writedowns as the company delays its financial results, citing COVID-19 and “changing market dynamics.”
The New Brunswick-based company is also continuing to lay off workers as the pot producer slims down to fit a smaller legal cannabis market.
“As the company right-sizes its production to market demand and reviews its asset carrying values, it expects to report negative adjustments to inventories and an asset impairment on its Moncton facility,” the company said in a release on Friday.
“The company expects to report a decline in net revenue for fiscal Q3 2020 compared to fiscal Q2 2020 impacted by insignificant wholesale revenue being recorded in the quarter.”
Organigram said it has permanently reduced its workforce by about 25 per cent, impacting about 220 employees, including a small number who were not previously laid off temporarily.
Citing the impact of the COVID-19 pandemic, the company announced a temporary reduction of about 400 workers in April. Chief executive officer Greg Engel said at the time their return would depend in part on “growth in the market.”
“These decisions are never easy to make, but we are committed to ensuring the company is appropriately sized relative to market conditions,” Engel said in a news release on Friday. “With a reduced workforce, the company believes it can continue to meet current and anticipated near term demand levels.”
Organigram said on Friday that it has a total workforce of 609 employees, including 84 employees remaining on temporary layoff who may be recalled if and when needed as the business requires.
The staffing changes come as the company shifts production at its main Moncton indoor production facility, where 433 of its staff are stationed. Organigram said on Friday that it intends to slow production there in order to introduce new high-THC strains to meet market demand.
Layoffs have become a fixture of the cannabis sector in 2020. Organigram’s larger peers Aurora Cannabis (ACB.TO)(ACB), Canopy Growth (WEED.TO)(CGC) and Tilray (TLRY) have each eliminated hundreds of positions in similar moves aimed at improving financial performance.

Takes a whole lot of business experince to set up huge companies and make them fail in two years and blame COVID or black market for it LOL.

Never mind mentioning Kosher Zyklon...

Welcome to the limbo zone!

LOL they're blaming COVID for market growth but are saying there's a high market demand for high THC strain lol So which is it?

AquaTerra said:

Takes a whole lot of business experince to set up huge companies and make them fail in two years and blame COVID or black market for it LOL.

Click to expand...

The real nonsense of that claim is that it's widely proven that cannabis sales have skyrocketed during the holidemic.

Their covid claim is an outright lie.

Burn baby burn........the sooner the better for my liking. These companies are my sworn enemies.
I've never received any apologies for past treatment at the hands of trudies dad and his predecessors.
They can all rot in hell! Everyone involved in legal weed.... I CURSE YOU AND YOUR FAMILIES.

yep. I only see good news here.

The morons are jumping ship. May they rot in hell.

willieboy said:

The morons are jumping ship. May they rot in hell.

Click to expand...

Yup, hope they all lose their asses. They have about 50 years of misery coming from where I see it.
What goes around comes around. It's just a dam shame some of these cunts made a lot of cash before leaving.
As I said....curse time...lol

Wonder how many fires they’ve had since the last 2? How many people have they infected with legionnaires disease that was covered up by the government? Wonder how their class action lawsuits are going? Hopefully bankruptcy is not far off for these crooks.

At the time of the Legionairre’s outbreak was it not pointed out that one of the federal pension funds had large holdings in Organigram? Surely nothing to do with the cover up.

Freedom seed said:

At the time of the Legionairre’s outbreak was it not pointed out that one of the federal pension funds had large holdings in Organigram? Surely nothing to do with the cover up.

Click to expand...

GB put up the post about that. The Health Canada person cited "potential impacts to a third party" as the reason for Health Canada not disclosing the location. I heard they were using old school fans through wooden mats for some cooling. No lawsuit yet, but there has to be some lawyers looking for work these days.

Yes open air cooling towers are exactly that, a bunch of slats with water running over them and a fan blowing through. I’ve seen many older ones that were made of wood. It’s quite a chore to keep things from growing in them.

Its also pretty hard to imagine that the piping system hooked to it had no leaks inside the building.

Industrial weed, industrial problems.

just when you thought ...hey were running out of ways to lose more money selling cannabis... but of course they have found a few more ways

keep up the good work fella's...
Their marks? Straight C's
Curiosity completely killed... the cannabis competitors....