FAIRMONT – An announcement from Fairmont Foods of Minnesota Inc. that the plant will be closing stunned the community Thursday morning and brought an eerie sense of deja vu.

About 28 years ago, on Nov. 7, 1986, ConAgra announced that it was closing its Armour frozen foods plant in Fairmont, the site that eventually became Fairmont Foods.

“Our ownership announced today their intention to permanently close operations by mid-March,” said John Heuer, executive vice president of Fairmont Foods.

Heuer said it was a “difficult time,” and that 167 employees will be affected.

Heuer submitted a copy of the notice that was sent to shareholders, employees, customers and community members. It stated:

“It is with great regret and sadness that the ownership of Fairmont Foods announces its intention to permanently close operations mid-March of 2015. The economic climate of the last few years has taken its toll on Fairmont Foods and though great effort has been made to turn the tide, it has become apparent that it is unable to recover and continue operation. Thank you all for your loyalty, efforts and hard work in support of Fairmont Foods and its goals. Any questions my be directed to John Heuer at the company offices.”

City administrator Mike Humpal was one who received the notice Thursday morning.

“I’m as shocked as anybody,” he said, adding that he had “no advance warning” that the company was experiencing difficulties.

Ironically, Humpal spent the day interviewing candidates for the city’s economic development director position.

“We’ll be developing a plan to help the employees and the owners, if they want,” Humpal said.

When the local Armour plant closing was announced in 1986, with ConAgra claiming a need to “maximize the efficiency of its 11 remaining plants,” the company began phasing out its 576 employees in April and May 1987. ConAgra had indicated it planned to remove all the equipment in the plant, but in January 1987, city officials stopped that move. They reasoned that the building and equipment had been used as collateral when ConAgra secured $6.5 million in industrial development revenue bonds, so no equipment could be removed without the approval of the city or the bondholder.

With the equipment intact, the facility was still a viable food processing plant.

By the end of April 1987, within six months of ConAgra’s announcement to close, Fairmont Foods of Minnesota signed a letter of intent to by the plant.

In June 1988, four long-time Armour employees became the new management team at Fairmont Foods. Jerry Nasalroad served as plant engineer and manager. Larry McGuire would be in charge of operations and marketing. Pat Meschke would be project and planning engineer. John Mowery was senior vice president of purchasing.

The City Council supported the new business venture with a $1.29 million grant to help finance the purchase, and a Farmers Home Administration loan for $4.5 million was approved in July 1988.

The first production run at Fairmont Foods took place on Aug. 18, 1988.