Tuesday, 19 June 2001

Dean Foods Company Revises Earnings Outlook

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Tuesday, 19 June 2001

FRANKLIN PARK, Ill., June 19 /PRNewswire/ — Dean Foods Company (“Dean” or
the “Company”) (NYSE: DF) announced today that it expects to report earnings
for the fourth quarter ending May 27, 2001 below Wall Street consensus
estimates as a result of weaker than expected results in the Specialty Foods
and National Refrigerated Products segments.

The Company said it expects to report earnings per share in the range of
$0.40 to $0.43 in the fourth quarter of fiscal 2001 compared with the
consensus earnings estimate of $0.64 per share and $0.83 per share in the
fourth quarter of fiscal 2000. Full year fiscal 2001 earnings per share are
expected to be in the range of $2.25 to $2.28 per share. These estimates
exclude costs of approximately $22 million incurred as a result of the
previously announced merger transaction with Suiza Foods Corporation.

The Company expects to report record sales in the fourth quarter. Revenue
growth for the quarter was in the 12% range, reflecting increases in the Dairy
Group, especially in ice cream, and new product launches and base business
growth in the National Refrigerated Products Group.

Dairy Group earnings exceeded expectations for the quarter primarily due
to solid performance in fluid milk, particularly in the Midwest and North
Central regions. However, the Company said these positive results were more
than offset by the following:

  • Lower than anticipated results in its Specialty Foods Group due to
    lower sales volumes, increased trade and promotional spending, and
    higher manufacturing and crop costs for pickles products;
  • Lower than anticipated volumes and higher promotional spending in the
    National Refrigerated Products Group for dips and dressings products;
  • Increased expense for certain stock-based compensation programs due to
    the recent increase in the Company’s stock price.

“Obviously, we are disappointed in the finish to fiscal 2001”, said Howard
Dean, Chairman and Chief Executive Officer. “Fiscal 2001 was a transitional
year for Dean. In the fourth quarter we made progress in many areas, most
notably in gaining efficiencies in the processing of intermediate and extended
shelf life dairy products, but we have more to do. We will continue to focus
on cost savings initiatives and our commitment to search for all opportunities
for pricing adjustments and improvements in manufacturing efficiencies.”

The Company plans to report fourth quarter and full year fiscal 2001
earnings on June 27th.

About Dean Foods:
Dean Foods is one of the nation’s leading dairy processors and
distributors producing a full line of branded and private label products,
including fluid milk, ice cream and extended shelf life products, which are
sold under the Dean’s label and other strong regional brand names. Dean Foods
is the industry leader in other food products including pickles, powdered non-
dairy coffee creamers, aseptically packaged foodservice products, and
refrigerated dips and salad dressings.

Some of the statements in this press release are “forward-looking” and are
made pursuant to the safe harbor provision of the Securities Litigation Reform
Act of 1995. These statements involve certain risks and uncertainties that
may cause actual results to differ materially from expectations as of the date
of this press release. These risks include, but are not limited to, the
ability to integrate acquisitions, adverse weather conditions resulting in
poor harvest conditions, raw milk, resin, and fuel costs, interest rate
fluctuations, the level of promotional spending, competitive pricing
pressures, the effectiveness of marketing and cost management programs, and
shifts in market demand.

Other Legal Information:
Dean Foods and Suiza Foods expect to file with the SEC a joint proxy
statement/prospectus and other relevant documents concerning the proposed
merger transaction. Investors are urged to read the joint proxy
statement/prospectus and any amendments or supplements as well as other
documents filed with the SEC. All such materials are accessible free of
charge at the SEC’s website ( http://www.sec.gov ). In addition, all such
materials may be obtained free of charge by contacting Dean Foods, 3600 North
River Road, Franklin Park, Illinois 60131, Attn: Investor Relations
(tel 847-678-1680) or Suiza Foods, 2515 McKinney Avenue, Suite 1200, Dallas,
Texas 75201, Attn: Investor Relations (tel 214-303-3400).

Dean, Suiza and their respective directors and executive officers may be
deemed to be participants in the solicitation of proxies from the stockholders
of Dean and Suiza in favor of the transaction. The directors and executive
offices of Dean and their beneficial ownership of Dean common stock are set
forth in the proxy statement for the 2000 annual meeting of Dean. The
directors and executive officers of Suiza and their beneficial ownership of
Suiza common stock are set forth in the proxy statement for the 2001 annual
meeting of Suiza. Stockholders of Dean and Suiza may obtain additional
information regarding the interest of such participants by reading the joint
proxy statement prospectus when it becomes available.

SOURCE Dean Foods Company

Web site: http://www.deanfoods.com

Company News On-Call: http://www.prnewswire.com/comp/109161.htmlor fax, 800-758-5804, ext. 109161

CONTACT: Barbara Klein, Vice President, Finance and CFO, orWilliam Luegers, Vice President and Treasurer, both of Dean FoodsCompany, 847-678-1680

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