Milwaukee's Crestwood Bakery will close in October with the loss of approximately 125 jobs.

The bakery is owned by Minneapolis-based supermarket wholesaler and operator SuperValu. Production is being moved across to Grebe Bakery, also in Milwaukee. SuperValu has licensed Grebe Bakery as the exclusive manufacturer and distributor of Crestwood products in Wisconsin and parts of Michigan and Illinois for undisclosed terms.

Production at Grebe will be tripled as a result, in a move which will cut costs for SuperValu. Grebe will take on some new staff.