Dublin - London-based drinks group Diageo announced Friday in Dublin that it was closing two breweries in Ireland but would revamp its historic Guinness brewery in the Irish capital. The company said it expected 500 million euros (774 million dollars) from the sale of the two breweries in the towns of Dundalk and Kilkenny, from which 250 jobs would be shed.
The company also announced it would invest 650 million euros in the 24.3-hectare site at St James's Gate Brewery in Dublin. Presently containing 100 buildings, the St James's Gate site will celebrate 250 years of brewing next year.
The company also announced that a new facility would be built outside Dublin, but did not specify where. Earlier speculation had it that the new brewery would be built in Clondalkin, west of Dublin.
A Guiness workers' union representative Sean Mackell was quoted by Irish broadcaster RTE as saying the company's move would be subject to union negotiation. He added that the union would adamantly oppose any workforce redundancies.
