Green Mountain Coffee Roasters (GMCR), a US-based publicly traded coffee brand, plans to consolidate all of its Canadian coffee and portion pack production to its Montreal, Quebec facility.

As part of this plan, GMCR will shut down the coffee facility in Toronto, Ontario by March 2014, a move which will result in 120 job losses.

GMCR will support affected employees through the transition process by offering outplacement services.

Following the closure of Toronto facility, the company will manufacture all of the licensed, Keurig Brewed K-Cup and Vue packs for use in its Keurig brewers.

GMCR president and CEO Brian Kelley said that as the company continues to grow, it is also assessing the effectiveness of manufacturing, distribution, and logistics network across its US and Canadian locations.

"We have expanded the footprint of our Montreal facility more than 40% this fiscal year," Kelley added.

"After careful analysis of facility-specific operational costs and the Toronto facility’s inability to expand to accommodate future growth, it was clear that consolidating our Canadian-based production to our Montreal facility is the right business decision to support our strong and growing presence in Canada."

GMCR expects a pre-tax charge related to this decision in its fourth quarter of 2013 which will be immaterial to its full-year results.

The company operates eight facilities in the US and Canada – Castroville, California; Knoxville, Tennessee; Windsor, Virginia; Essex, Waterbury and Williston, Vermont; Sumner, Washington; and Montreal, Quebec.

In addition, it has offices and conducts research and development for its beverages and its Keurig Single Cup systems in Waterbury, Vermont and Burlington, Reading and Wakefield, Massachusetts with a team operating in Asia.

As of 29 June, GMCR employed approximately 6,250 regular and temporary employees globally.