FRANKLIN PARK, Ill., Jan. 25 /PRNewswire/ — Dean Foods Company
(NYSE: DF) today announced that it is exploring the sale of its wholly-owned
subsidiary, DFC Transportation Company, located in Huntley, Illinois. This
business provides transportation services for some of Dean Foods’ product
lines and serves the logistics needs of other premier food processors and
DFC Transportation provides logistics services across the 48 continental
United States through a national network of five branches and 15 freight
brokerage agents. The business maintains a fleet of approximately 140
refrigerated trailers and utilizes approximately 50 independent drivers.
While DFC Transportation provides important internal services, its
divestiture will allow Dean Foods to more intensely focus on its core
competencies as a leading producer and marketer of dairy foods and other
specialty foods. In the future, Dean Foods will rely primarily on third party
distribution and transportation companies to replace the services provided by
DFC Transportation. Some DFC Transportation employees may be transferred to
positions in other Dean Foods business units.
The sale of DFC Transportation is not expected to have a material effect
on the financial results for Dean Foods. Since the Company is in the early
stages of investigating and exploring the sale of this business, any
transaction will be announced at a later date.
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 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.
Certain statements in this press release are forward-looking as defined by
the Private 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 and resin costs, interest rate fluctuations, competitive pricing
pressures, the effectiveness of marketing and cost-management programs and
shifts in the market demand.
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: Barb Klein, Vice President of Finance & CFO, or BillLuegers, Vice President and Treasurer, 847-678-1680, of DeanFoods Company