Dairy Farmers To Buy Substantial Part Of Dean Foods
DAIRY FARMERS OF AMERICA PUTS IN A BID TO SAVE THE LARGEST MILK PROCESSOR IN THE U.S. FROM BANKRUPTCY
(CNN) – The largest U.S. milk processor could have a buyer to pull it from bankruptcy.
Dairy farmers of America bid $425 million for Dean Foods’ delivery system, 44 facilities, and other company assets.
The major farmer-owned cooperative would also assume some of Dean’s liabilities.
It will be up to the Department of Justice to approve or deny the deal after looking into anti-trust concerns.
Dean filed for bankruptcy in November.
Losing the milk processor could have a big impact on U.S. dairy farmers.
Dean attributes its financial struggles to a decline in traditional milk sales.
Americans are opting for other lower calorie drinks like plant-based milk alternatives.
But dairy products are still popular especially cheese, butter, and specialty milks.