Almonds. (Photo: U.S. Department of Agriculture, Public domain)
Leaving California: Three More Major Businesses Close or Move Out of State
Blue Diamond, Leprino Foods, Anheuser-Busch closing/leaving CA
By Katy Grimes, December 22, 2025 9:03 am
Despite California Governor Gavin Newsom blatantly denying that California is losing residents and businesses to many other states, and that the state’s out-migration exceeds inbound migration, U-Haul’s January report showed that more Californians rented one-way U-Haul trucks to leave the state in 2024, than residents of any other state.
Chevron, X/Twitter, Space X, Oracle, Hewlett Packard, Charles Schwab, and Toyota Motor North America, are just a few of the mega-businesses leaving California because of the state’s leftist/Marxist politics and regulatory environment.
In October the Globe reported that GAF Energy, which sells solar panels embedded in roof shingles, is leaving California for Georgetown, Texas.
They have three more names to add to that list.
Blue Diamond Growers, which is closing its Sacramento manufacturing plant, resulting in approximately 600 job losses, is moving up its 2026 departure. The company will transfer manufacturing operations from the 53-acre Sacramento site to facilities in Turlock and Salida, California.
Leprino Foods, the world’s largest mozzarella cheese maker, is closing its Central Valley dairy processing plant in Lemore, and moving to Lubbock, Texas. The company supplies cheese to Domino’s, Pizza Hut and Papa John’s. The closure will result in the loss of more than 300 jobs.
Anheuser-Busch is closing its Budweiser brewery in Fairfield, California.
Three more California businesses are leaving, all citing the high cost of doing business, and frustrations with expensive capital improvements to structures.
The Leprino plant, in Lemore since 1910, processes more than 1 billion pounds of mozzarella a year, according to Forbes.
They said the high operating costs in California were a driving force behind the decision.
They have already built and opened a “massive” new processing plant in Lubbock, TX, “in which the company has pledged to invest $1 billion over the next few years. The 850-000 square foot mozzarella plant is currently staffed with 300 full-time workers, with total employment expected to double next year.”
Blue Diamond, after 110 years in midtown Sacramento, announced that the Sacramento almond plant had fallen behind the times, and would be shut down sometime between late 2026 and mid-2027, the Sacramento Bee reported.
Anheuser-Busch announced they will sell their Newark, NJ facility and close the facilities in Fairfield, CA and Merrimack, NH in early 2026. A total of 238 employees will be impacted.
What does it say about high construction costs in California that Blue Diamond, Anheuser-Busch and Leprimo chose to close rather than renovate and/or rebuild.
Chevron announced their corporate relocation to Houston Texas from the Bay Area, where it has been based since 1879.
California’s historical businesses are closing, consolidating or moving, because they just don’t see a future in California.
As the Globe reported earlier this year, California ranks dead last once again in Chief Executive Magazine’s Best & Worst States For Business 2025 – the 14th year in a row. Tennessee ranks #1 once again, and now “The Volunteer State” is getting another of California’s oldest and one of the best known businesses in the country: After 77 Years in California, In-N-Out Is Moving to Tennessee.
In August, Bed Bath & Beyond announced that the company won’t open or operate retail stores in California, saying the decision “isn’t about politics – it’s about reality.”
A California native and Navy mom, Katy lives in Sacramento, CA.
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December 12, 2020 -
Your article is misleading re in and out burger
They clarified months ago that the new office in Tennessee was to support east coast expansion !!
Voter rolls cleaned up and verified, voting on one day only, all paper ballots, picture ID at the polling place, verified citizens only. Pretty simple. Next question?
Good job Luci. Lots of fake news by Katy. Other examples are Toyota, which announced their move out of California in 2017…which is long before Newsom became governor (looks like crazy right wingers can’t research or do simple math). Anheuser Bush just announced a huge modernization/expansion of their facility in Van Nuys…oops…again right wing propaganda instead of truth. Where are the specifics on companies moving in to and enlarging in California?
Chuck, it’s just hard for you to accept what is really occurring in what once was a beautiful and thriving state. If CA is so business friendly then y does CA keep getting voted WORST in US for 14 years in a row for business environment and growth? Fourteen years, Newsom was definitely present during those years. You didn’t, however, mention the names of any NEW, HUGE, INCOME PRODUCING businesses moving to CA. But you did manage to accuse “Right Wingers” of lying in their reporting on one of the more dismal aspects of current CA. Face it, Chuck! The only thing moving to CA is more progressivism, more homeless, illegals, women seeking more abortions for free and transgender education for kids …just to name a progressive few.
Actually more companies are leaving than moving to California and list is growing including Blue Diamond and California’s largest mozzarella factory! To many regulations and now there won’t be many if any refineries left on the west coast affecting gas prices, thanks Newsome.
Make lots of money, Chuck, because 15 million Homeless people are counting on us.
They could have opened a second administrative office in Tennessee to support the East Coast without leaving California. The fact that they decided to move says a lot about operating costs in California.
Despite your quibbles with the examples listed in this article it is undeniable that businesses and people are both fleeing California. U-Haul has to pay people to drive empty trucks back to CA because so many more people are leaving than moving to that once “Golden State”.
With the closing of another major refinery in April 2026 California will be down to 11 refineries from a high of 40 decades ago. Due to their insane environmental regulations a special blend of gas is used in CA that no other state uses – so they cannot just bring in gas from any other state. They will be paying $8.00 per gallon by Labor Day next year. That fact alone is going to doom Gavin Newsom’s dream of ever becoming President.
This is a misleading article. After stating Blue Diamond is leaving California, she states in paragraph 4 that Blue Diamond is moving operations to Turlock and Salida California!
Some investigative journalism! More propaganda from amateur journalist.
This is a misleading article. After stating Blue Diamond is leaving California, she states in paragraph 4 that Blue Diamond is moving operations to Turlock and Salida California!
Some investigative journalism! More propaganda from amateur journalist. Thanks Katy for spreading more hate
Nope. Go read the In n Out owner’s reason for leaving. She made it abundantly clear California and its policies were the reason for the move. It’s the same with every single company that is leaving. I’m just thankful they’re leaving and not going out of business. California is poison to business.
What state leads in startups, innovation, and new patents? Not Texas. Not Tennessee. What state has the largest GDP in the nation? Again, not Texas or Tennessee.
Are there problems that need to be solved. Yes! Homelessness, of course. But what is the answer? New low income homes? Round them up and send them to Mississippi where most would blend in with the population? (not a racist statement as California’s homeless is pretty much 1/3 white, 1/3 Hispanic, and 1/3 Black). More accessible health care, including mental health and drug rehabilitation? Involuntary incarceration? Or all of the above.
California has the highest gasoline prices but also the highest minimum wage. However, gasoline taxes are a regressive tax on the poorest who generally drive further with less fuel efficient vehicles. A gas tax break for the lowest 10% would be in order, as is a luxury tax on certain non-essential items.
Increasing the property tax deduction would be good for the middle class as taxes often exceed $10,000 annually on recently purchased homes.
Good riddance to companies that do not want clean air policies or alternative sources of energy. Chevron, with all its resources, could have invested heavily in alternative energy but chose to remain a fossil fuel dinosaur.
In & Out Burger can take their corporate offices Tennessee, but to say it was due to an unfriendly business atmosphere is questionable. Maybe the move to making a religious statement as part of their brand has not played well here politically, but the lines that wrap around the restaurants from 11 am to closing indicates that the reason isn’t a lack of profits.
With that said, California is still the best state in the Union and will most like produce another President in 2028.
Key Components of GDP
GDP is calculated using several components:
Consumption (C): Total spending by households on goods and services.
Investment (I): Expenditures on capital goods that will be used for future production.
Government Spending (G): Total government expenditures on goods and services.
Net Exports (NX): Exports minus imports, reflecting the trade balance.
Calculation Methods
There are three primary methods to calculate GDP:
Expenditure Approach: Adds up all expenditures made in the economy.
Production Approach: Measures the value added at each stage of production.
Income Approach: Sums all incomes earned from production, including wages and profits.
Newson always brag about CA having the 4 or 5 largest economy in the world. That is based on the GDP.
Well a large part of that is what households pay every year on products and services. But the largest part is the cost of government.
So, the CA GDP is not really something to brag about!
That was a great comment, Mr. Robinson. It’s always those that are in the most trouble that have the most to say. The state of California has alienated itself to a point that it’s toxic to the rest of the United States. You’ve obviously never served your country so you don’t know what it means to be part of the United States. I was stationed in California for several years. The attitude and the ignorance of Californians will always stay in California. The people and companies that no longer want to cater to your garbage or leaving. You are a cesspool of handouts. Governor Newsom is the best thing that ever happened to the rest of the United States. The other 49 want you to keep him?
what does it take for California citizens to get rid of this corrupt government..Newsome and his cronies allow people to destroy businesses and all of the money goes to the illegals..Listen, he doesn’t care about the citizens..WAKE UP
Voter rolls cleaned up and verified, voting on one day only, all paper ballots, picture ID at the polling place, verified citizens only. Pretty simple. Next question?
Don’t talk stupid sh
Undocumented people aren’t free loaders citizens mainly white are the ones. I have seen with my own eyes undocumented are the ones. Do the worse jobs the the whites refuse to do liked or not …
yes I wonder too when California citizens will wake up! Its is mainly LA and the Bay Area cities that are democratic and will probably never be conservative!
Get rid of Dominion electronic voting systems, vote by mail. and voting season…
Go back to paper ballots and local precincts with cleaned up voter rolls too…
i guess you think a pedo protector, dictator is a better choice? California is expensive, but its also progressive, and more Tech, than manufacturing. companies come and go. its not newsoms fault. its just progress.
Awww. Poor you. You hate Trump because your TV told you to. Hilarious. Bless your heart.
Yeah Gavin you’ll make a great president
You’re joking, right?
This is all because of this liberal idiot, Newsom who was corruptly put in office without any idea of how to govern this once beautiful and prosperous state! How he could destroy so much of California with fraudulent spending, CRIME, HOMELESSNESS FAILURE & NO ACCOUNTING WHERE BILLIONS WENT, corruption, HI-SPEED RAIL FAILURE W/O being held accountable for illegal immigration, UNLAWFUL SANCTUARY CITY, PALISADES FAILURE DUE TO NO WATER IN RESIVOURS & heavy unmanaged brush clearing for years, DEI/WOKE ASSUMING ALL CALIFORNIANS ARE LOSER LEFTS, HORRIBLE EDUCATION FAILURES, TOTAL LIAR, PLUS SO MANY OUTRAGEOUS FAILURES! WORST GOV CALIFORNIA HAS EVER HAD!
Nicole,
You’re absolutely correct about everything you said!
However, you didn’t mention that all of the Democrat political positions and judges were installed through corrupted electoral processes, which is why we’re unable to get rid of them. We couldn’t even get rid of Newsom through impeachment!
THAT’S THE EXACT ARGUMENT ABOUT THAT CROOK DJT AND HIS EPSTIEN CRONIES, LMFAO!!!!
Yes, get rid of DEI for all of the Eastern and western European scum alien truck drivers and the fraud they use to get low income housing and SNAP benefits from Medi-Cal!!! And we also can’t forget that “Newscum” still isn’t nearly as corrupt as DJT and his Epstien cronies
Detail, please. No blanket blathering. What has DJT done?
Businesses always try to outsource or register elsewhere to save money on labor and taxes. It’s always about profits for their investors, not just that they can’t afford to do business. Big tech, pharma, gas, alcohol, tobacco, etc are making millions but it’s not enough. They want people to stay addicted to their chemical products. Its called greed! They need more for their expensive lifestyle while providing workers with bare minimum. California is still one of the best places to live, have a business and work due to economy, weather, and labor laws, etc. It is a higher cost of living but the wage is also more than anywhere else. Other states cost of living is going up too and will catch up.
Red (as in COMMUNIST) Robin has spoken…
apparently you’re not a small business owner. We are being crushed with the high cost of labor, and the endless regulatory demands, business taxes, cost of energy and gas and more
Pizza Yut, Domino’s and Poopa Johns can leave too and no one would notice.
let them go. I bet they keep their homes here as vacation homes. Ha! Consider the source!? Out with old and in with the new! Trump 4 Prison!!!!
Gavin for President!!!!
We both know that neither one of your dreams are going to come true. That is the funniest part.
The comparison is flawed. Yes, businesses are leaving CA, and that’s unfortunate. But ask yourself what the future holds, is it beer and cheese? Or is it technology? Nvidia valued at 4.5 trillion dollars, Apple valued at 4 trillion dollars, Google valued at $3.7 trillion dollars, all headquartered where?
California isn’t like any other state, when you talk about it a more realistic comparison would be other large countries. CA has a $4 trillion dollars economy – TX is half that.
I understand that not everyone can or wants to work in tech. But a lot of companies leaving the state are doing so because they are in decline. As is blue collar manufacturing across the country generally.
What are the margins on beer & cheese? Because Nvidia is up 62% this year.
California is building the future while states like Texas are focused on taking away women’s rights. I’m not saying CA is perfect, and I’m not saying what lies ahead will be easy. But if your focus is on the future and what comes next it will come from The Golden State. The fourth largest economy . . . in the world.
You might not like it, but I wouldn’t advise betting against it.
Faun, no mid level careers or jobs means no customers to buy the products. there is no one simple solution to the problem of affordability but importing oil, illegals, and exporting jobs is definitely not the answer
Nvidia, Apple, and Google may be headquartered here but they manufacture all their products in China. They also keep all overseas profits in tax sheltered foreign countries. Their market capitalization isn’t what they are bringing into this State. Small companies are what drive our Federal and State economy and those are being destroyed here in CA…
A day never goes by that yet another company is leaving and no action from any of the DEMs nor Gavy to retain these companies, they’re too busy passing laws directed at the continued “gender” affirming care for kids, more males in women sports, etc. and lastly the evil/degenerate Scott Weiner is more concerned with allowing old men having sex with 14 year old’s with no accountability.
California is so powerful because for most of it’s history it has been republican led. This current downtrend is from switching to democrat. It is just a phase that is ending soon, we learned our lesson. We will make california great again. the ship will right itself