Bankruptcy of America's largest dairy company
Economy News _ Baghdad
Dean Foods has filed for bankruptcy, having suffered in recent years amid a decline in regular dairy sales, according to a CNN report.
Sales of the 97-year-old company fell 7 percent in the first half of the year, while profit fell 14 percent, and shares in the company lost 80 percent of their value.
The company, which used to produce the most popular cow dairy products in the United States, attributed the deterioration to the accelerated decline in consumption of traditional dairy products.
The company was so heavily indebted that it was unable to pay its workers' pensions. So she filed for bankruptcy on Tuesday to run her business, regulate debts, and help pay salaries while trying to sell the company.
Consumption of dairy cows in the United States has declined dramatically in recent years, with consumers buying vegetable substitutes for dairy products and those with the lowest sugar content.
Cow's milk production has declined over the past four years. In the last 52 weeks (until October 26), regular dairy sales have fallen by about $ 12 billion, while sales in the same period in 2015 were about $ 15 billion.
Oatmeal sales rose 636 percent to $ 53 billion last year, but remain generally low.