I think DFA will overlook Deans and just do a deal with Borden they are way more profitable
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So this is in reply to poster "ithappens", it is admirable that you are willing to pay extra money for a gallon of milk if you think a certain brand tastes better. I buy based on taste, not on price too sometimes, and so do a lot of other people. But price wins, and the majority are going to reach for the cheapest gallon. Taste and quality do matter, but price still wins at the end of the day when it comes to milk.
A plant having its own water source (well) and water treatment to discharge to the land may also be a negative as there are strict DNR rules on discharge and water quality requirements for a well supply. It all rolls up into plant conversion cost which drives net profit (loss). A water treatment plant at a dairy facility can cost tens of thousands of dollars per month to operate and any plant relying on a well water supply needs a plan to provide a water supply if the well becomes contaminated $$$.
Dean as a whole likely wont be bought, but dean owns several plants and it is likely that whoever's decides to buy, will pick and choose which plants they decide they want. They will take the plants that have been proven to be profitable, plants who have already had upgrades, and something important....like a plant that has it's own water source and own water treatment plant.
Comparing milk to Coke...were you one of the countless people that were hired from Coke or Pepsi when our leaders were trying to make Dean Foods into the Coke or Pepsi of fluid milk? It didn't work. White milk tastes like white milk and if it's got off flavors it's because whoever is producing it has quality issues.
What I find sad is that there isn't a grocery store chain within 30 miles of our plant that sells Dean Foods milk any more and milk being sold in them is coming from plants 150 or more miles away. No excuse for not having that business anymore.
Didn’t mayfield close ? I didn’t know they still processed milk
Have you tasted flavorich milk? Have you tasted prairie farms milk. If you like plastic then drink on. Ive tried them all, off brand milk is better than those milks. There is a difference in mayfield, dairy pure milk. A big difference. I dont care about price, I grew up on pet milk ,mayfield has always been my choice . if you drink a generic coke and then a real coke, theres a big difference . Its all about choices , not about names or brands. it all comes down to what we like, our taste. I dont think people buy for the name I think its for the taste . To me mayfield wins my vote. But everyone has a right to like or dislike any product, iTs just an opinion. Krystals file bankcrupcy recently it happens all the time, look at the companies on this website, 100s of them all in trouble . Everyday it happens. No companies is beyond troubles, no company is beyond bankcrupcy.
Dean’s lost the PL war. Nobody wants to spend $6 for a gallon of Dairy Pure when they find out its the same exact milk as the PL they distribute for $3 less.
You put milk in a jug and claim the “5 point purity promise” that’s fraud!!!
Why can't we restructure our debt then? Neither company is profitable. Oh, and I'm sure the bankruptcy court and Borden's debt holders would like to hear about a good offer from DFA if that existed.
Bordens is looking to restructure, not sell. Big difference between what they're doing (renegotiating debt) and what Dean Foods is doing.
Nobody wants deans
Borden isn’t for sale.