Hope Baking to close, cutting about 250 jobs in Hempstead County

HOPE, Ark. — Hope Baking Company will permanently cease operations on or about July 25, eliminating about 250 jobs in Hempstead County, after the company said it was unable to secure the financing needed to keep the plant open.

Employees were notified through the company’s employee portal on the evening of Saturday, July 18, with a letter informing them their employment “will permanently end by Saturday, July 25, 2026” following “a short wind down period taking place next week.”

In the letter, the company said the decision came after months of trying to stay afloat.

“Over the past several months, we have exhausted every reasonable opportunity to continue operations, including pursuing financing and exploring other business alternatives that would have allowed the facility to remain open,” the letter states. “Despite those extensive efforts, we were ultimately unable to secure the financing and resources necessary to continue operating this facility.”

Workers were instructed to return all company property, including keys, badges, uniforms, tools and electronic devices, within two business days of their separation date. The company said employees will receive final wages and payment for accrued, unused paid time off, and noted they may be eligible for unemployment benefits. Additional information on final pay and benefits will be provided separately, the letter states.

“Although this chapter is coming to an end, the work you performed, the relationships you built, and the pride you took in your jobs will always remain an important part of the legacy of Hope Baking Company,” the letter concludes.

The closure comes roughly two and a half years after the company announced a $37 million expansion of the Hope facility. In January 2024, Gov. Sarah Huckabee Sanders joined owner Dan Serra and state and local officials to announce the project, which was expected to create 266 new jobs over two years. The plant employed about 300 workers when East Baking Company, of Holyoke, Massachusetts, acquired the former Southern Bakeries facility in March 2023, meaning the workforce shrank in the years the expansion was supposed to add jobs.

The facility, which produced bread, breadsticks, English muffins and seasonal brown-and-serve rolls, added a new production line after the acquisition.

The company’s financial difficulties predate the closure announcement by more than two years, according to court records reviewed by TXKtoday. Hope Baking was sued by at least three creditors over unpaid debts beginning in 2023 and did not mount a defense in any of the cases, each of which ended in a default judgment.

The first suit was filed in October 2023, when Collier Investments LLC, a Louisiana staffing firm doing business as Manpower, brought a breach-of-contract claim in Hempstead County Circuit Court. Collier said it supplied temporary labor to the Hope plant from April through August 2023 and was not paid. A default judgment of $105,955.53 was entered Dec. 12, 2023. The two sides later agreed to a reduced lump-sum settlement of $81,000, which Hope paid in January 2024, and the judgment was released as satisfied on Jan. 11, 2024. The staffing agreement had been signed by Serra as president.

In October 2024, Riceland Foods Inc. sued Hope in Arkansas County Circuit Court over five unpaid invoices for bulk soybean and bread pan oil delivered in the fall of 2023. Hope did not respond, and a default judgment of $180,156.87, plus 6% annual interest and $3,765 in attorney’s fees, was entered Dec. 31, 2024.

Efforts to collect on the Riceland judgment stalled. Hope did not file a court-ordered schedule of its assets, and when Riceland sought to question a company representative under oath, the company’s registered agent, Billy Williams, evaded a private process server for weeks before sheriff’s deputies served him on Oct. 29, 2025, according to a sworn statement filed by Riceland’s attorney. No representative appeared for the scheduled Nov. 11, 2025, deposition, and Riceland filed a motion for contempt in February 2026.

The most recent case came from Sysco Arkansas LLC, which sued Hope in Hempstead County in February 2026 over an unpaid food-supply account dating to late 2023. A default judgment of $11,075.39 was entered June 22, 2026, less than a month before the closure letter went to employees.

The timeline shows the company was managing unpaid debts around the same period the expansion was being celebrated. Hope settled the Manpower account in January 2024, the same month Sanders traveled to Hope for the expansion announcement. Court records provided to TXKtoday do not reflect payment of the Riceland or Sysco judgments, which remained active as the plant moved toward closure.

“Our thoughts are with the employees, their families and everyone affected by this difficult news,” said Anna Powell, president of Hempstead County Economic Development. “The closure of a major employer has a significant impact on our economy and community, and we recognize the uncertainty many families are facing.”

Hempstead County Economic Development said it is coordinating with state and local partners, including workforce development agencies, elected officials and regional employers, to connect displaced workers with resources, job openings, training and career transition services.

Information on workforce assistance, a hiring event and available support services will be offered July 28 at Hempstead Hall from 8 a.m. to 5 p.m. Officials encouraged affected employees to stay in contact with local workforce agencies for updates on job placement and unemployment resources.

Powell said the agency is committed to redeveloping the site once operations end.

“We will work closely with stakeholders to transition this property into a catalyst for future economic growth,” she said. “The site holds strategic value, and we are committed to finding a partner whose vision for modern investment and infrastructure will bring jobs back to Hope.”

State Rep. Dolly Henley called the closure heartbreaking for the region.

“The closure of Hope Baking Company and the loss of nearly 250 jobs is heartbreaking for Hope and Southwest Arkansas,” Henley said. “As your state representative, I am committed to working with state and local leaders to help connect affected workers with available resources and support efforts that strengthen our local economy. Hope is a resilient community, and I am confident we will come together to support these families and work toward new opportunities for our region.”

Sen. Steve Crowell said the impact would reach well beyond the workers themselves.

“Losing over 200 jobs in a town this size isn’t just an economic hit, it is a strain on neighbors, churches and schools that depend on those paychecks,” Crowell said. “My thoughts are with every worker and family affected as they navigate what comes next. I will be working with community and state leaders to help with this unfortunate turn of events.”