Dean Foods files for Chapter 11

Reuters
Updated
0

(Reuters) - Dean Foods Co <DF.N> said on Tuesday it filed for Chapter 11 bankruptcy protection, months after the owner of TruMoo chocolate milk and Meadow Gold ice creams ended a strategic review and decided to remain as a standalone firm.

The Texas-based firm said it was in talks over a potential sale of its assets with Dairy Farmers of America, a company owned by farmers.

Dean Foods has been struggling in recent years as health-conscious U.S. consumers shift to non-dairy and private-label alternatives.

"We continue to be impacted by a challenging operating environment marked by continuing declines in consumer milk consumption," Chief Executive Officer Eric Beringause said.

The company said it has received a $850 million debtor-in-possession commitment from certain of its existing lenders, led by Rabobank, to keep its operations running.

Dean Foods, which has a market valuation of about $74 million, had a net debt of about $968 million at the end of June.

Earlier this year, the company explored options, including a sale, but ended that review in September and decided to execute a "standalone" operating plan under a new CEO.

The company said substantially all of its subsidiaries were part of the proceeding, which has been filed in the Southern District of Texas.

(Reporting by Praveen Paramasivam in Bengaluru; Editing by Sriraj Kalluvila)

Advertisement

Recommended Stories

  • Billionaire Bill Gates Has 51% of His Portfolio Invested in 2 Brilliant Stocks

    The Bill and Melinda Gates Foundation Trust outperformed the S&P 500 by a wide margin over the past three years, in part because of these two stocks.

  • Trump ‘offered to block electric car rollout’ as he asked oil bosses for $1bn

    Donald Trump told oil industry executives he would dismantle Joe Biden’s pro-electric vehicle agenda as he asked for $1bn (£800m) to help return him to the White House, it has been claimed.

  • Can I Use My RMDs to Transfer Money Into My Roth IRA?

    If you're taking a required minimum distribution from an IRA, 401(k) or other tax-deferred account and don't need the money to cover living expenses, where should you stash that unneeded cash? Investors now need to start taking RMDs at age 73 or, if they were born after 1960, at age 75. Depending on the balances of […] The post Can I Use My RMDs to Transfer Money Into My Roth IRA? appeared first on SmartReads by SmartAsset.

  • Ask an Advisor: Can a Nursing Home Take Our IRA? We Have a $100K IRA and a Trust to Protect Our Assets

    My wife and I are elderly. I have an individual retirement account (IRA) worth about $100,000, and we have a trust set up through our children to protect our assets. If one or both of us have to go into … Continue reading → The post Ask an Advisor: Can a Nursing Home ‘Take Our IRA?' My Wife and I Are Elderly. We Have a $100K IRA and a Trust to Protect Our Assets. appeared first on SmartAsset Blog.

  • One More Day, One More Boeing Incident - Senegal Crash Adds to Troubles

    Boeing Co (NYSE: BA) continues to face challenges as a Boeing 737-300 aircraft crashed during takeoff at Senegal’s main airport on Thursday. Air Sénégal flight HC301, operated by Transair with 78 passengers, skidded off a runway before takeoff, injuring 11 people and bringing the facility to a halt. The Blaise Diagne airport said an investigation was underway to determine the cause of the accident, which occurred at around 0100 GM, reported Reuters. Boeing is already under regulatory scrutiny af

  • Dave Ramsey Shares Three Rules For Buying A House

    In today's turbulent housing market, navigating the path to homeownership requires a more strategic approach than ever. With soaring prices and high interest rates, prospective buyers face myriad challenges. But despite the complexities, financial experts like Dave Ramsey offer valuable insights to guide homebuyers through the process. Ramsey shared three rules for buying a house in a May 6 post on X: 1. Be debt-free. 2. Keep enough money in an emergency fund to cover three to six months of hous

  • ‘Seriously Underwater’ Home Mortgages Tick Up Across the US

    (Bloomberg) -- Roughly one in 37 homes are now considered seriously underwater in the US and that share is much higher across a swath of southern states, according to data out Thursday.Most Read from BloombergMicrosoft’s Xbox Is Planning More Cuts After Studio ClosingsAmericans Are Racking Up ‘Phantom Debt’ That Wall Street Can’t Track‘Seriously Underwater’ Home Mortgages Tick Up Across the USArm Slides as Tepid Outlook Fuels Concerns Over AI SlowdownNationally, 2.7% of homes carried loan balanc

  • How Much Cash Can A $300,000 Annuity Generate For Me Each Month?

    Imagine having a reliable source of income you can count on throughout your retirement. That’s the promise of an annuity. These insurance products have been designed to turn your savings into a steady stream of monthly payments. They guarantee peace of mind and financial security in your golden years. Don't Miss: Are you rich? Here’s what Americans think you need to be considered wealthy. Can you guess how many Americans successfully retire with $1,000,000 saved? The percentage may shock you. An

  • 1 Magnificent Dividend Stock Down 25% to Buy and Hold Forever

    A falling stock price has made Agree Realty an even more attractive passive-income investment.

  • B&G Foods plans asset sale, cuts sales, profit forecasts

    B&G Foods said it has been evaluating potential divestitures that “represent between 10% to 15% of the company’s consolidated net sales”.