Yelloh, the food home-delivery business best identified by its iconic yellow delivery vehicles, announced Tuesday it will cease all operations in November 2024, closing out a storied 72-year history.
The announcement coincides with a series of notifications on the Iowa WARN (Worker Adjustment Retraining and Notification) Act website, including the company would be laying off 53 employees statewide, including 10 employees in Marion. The layoffs are effective Nov. 22.
Founded in Marshall, Minn., where it still maintains a headquarters, Yelloh – formerly known as Schwans, and renamed in 2022 – grew to a nationwide frozen food delivery leader with the country’s largest fleet of freezer trucks.
Since its founding in 1952, Yelloh made frozen meals, foods, treats, and ice cream accessible to American homes by delivering products to neighborhood doorsteps with its fleet of iconic yellow trucks.
“It’s with heavy hearts that we made the difficult decision to cease operations of Yelloh,” Yelloh CEO Bernardo Santana said in a news release. “We are thankful to our many loyal customers and hard-working employees for everything they have done to support us. I am deeply grateful for our employees’ tireless and bold efforts, and our customers’ dedication. It has been our utmost pleasure and honor to serve our customers their favorite meals and frozen treats.”
“As it is for the people of Yelloh, closing this company is a heartbreaking decision for me personally,” said board member Michael Ziebell, a 22-year veteran of the company holding leadership roles in the 1990s and early 2000s before returning recently as a board member. “Our concern is now for our employees and caring for them as we all come to terms with the fact that this business – that served millions of families and provided a livelihood for thousands over the decades – has regrettably run its life cycle.”
Yelloh cited multiple business challenges for the decision, including economic and market forces, as well as changing consumer lifestyles.
“The current Yelloh team has worked hard against external headwinds such as the nationwide staffing challenges and crushing food supply chain disruption caused by the pandemic,” Mr. Ziebell said. “These challenges, combined with changing consumer lifestyles and competitive pressures that have been building for over 20 years, made success very difficult. Digital shopping has replaced the personal, at-the-door customer interaction that was the hallmark of the company.”
Yelloh will wind down operations over the next two months. The last day products may be purchased via Yelloh trucks will be Friday, Nov. 8.
