Sept. 24, 2024

The iconic yellow trucks bringing frozen food and desserts around town will be going away.

Yelloh, formerly called Schwan’s Home Delivery, announced that after 72 years in business, its final orders will be delivered in November.

The last day to purchase will be Nov. 8.

Founded by Marvin Schwan in 1952 in Marshall, Minnesota, the company grew to the nation’s largest fleet of freezer trucks. Schwan, who lived in Sioux Falls, died of a heart attack in 1993 at age 64.

The Schwan family sold an 80 percent stake in Schwan’s Co. to a South Korean company in 2018 but retained the home delivery service business and rebranded it in 2022. Schwan’s Company, under the new global ownership, sells branded foods to grocery stores and food-service outlets and “remains committed” to building a new Asian food production facility in Sioux Falls, according to a spokesman.

“It’s with heavy hearts that we made the difficult decision to cease operations of Yelloh,” CEO Bernardo Santana said in a statement.

“We are thankful to our many loyal customers and hardworking employees for everything they have done to support us. I am deeply grateful for our employees’ tireless and bold efforts and our customers’ dedication. It has been our utmost pleasure and honor to serve our customers their favorite meals and frozen treats.”

Board member Michael Ziebell, who spent more than two decades with the company, called it a heartbreaking decision.

“Our concern is now for our employees and caring for them as we all come to terms with the fact that this business – that served millions of families and provided a livelihood for thousands over the decades – has regrettably run its life cycle.”

There are about 1,100 employes.

The company cited multiple “insurmountable business challenges” for the decision, including economic and market forces, as well as changing consumer lifestyles.

“The current Yelloh team has worked hard against external headwinds such as the nationwide staffing challenges and crushing food supply chain disruption caused by the pandemic,” Ziebell said.

“These challenges, combined with changing consumer lifestyles and competitive pressures that have been building for over 20 years, made success very difficult. Digital shopping has replaced the personal, at-the-door customer interaction that was the hallmark of the company.”