Tyson Foods has changed its plans and has decided to keep open its beef plant in Denison.
Officials say the decision will save nearly 400 jobs in the western Iowa city of about 8,400 people.
Tyson spokesman Gary Mickelson says employees were given the good news last week.
Two years ago Tyson said the aging slaughterhouse could close after completion of a $90 million expansion and modernization project at Tyson’s beef plant in Dakota City, Nebraska.
The Dakota City project originally was expected to be completed in mid-2013, but it’s taken longer than anticipated. Completion now is expected this summer.
Tyson says reasons to keep open the Denison plant include the closing of some competitors’ beef plants and the lower feed prices for cattle.