DALLAS, Nov. 14, 2019 /PRNewswire/ -- Dean Foods
Company (NYSE: DF) ("Dean Foods" or the "Company") today announced
that it has received approvals from the U.S. Bankruptcy Court for
the Southern District of Texas for
the "First Day" motions related to the Company's voluntary Chapter
11 petitions filed on November 12,
2019.
The Court granted Dean Foods interim approval to access up to
$475 million of the $850 million in committed debtor-in-possession
("DIP") financing from certain of its existing lenders, which along
with cash on hand and operating cash flows is expected to be
sufficient to support the Company's continued operations during
this process. Among other things, the Court has authorized the
Company to continue paying employee wages and benefits without
interruption and making payments to suppliers and vendors in full
under normal terms for goods and services provided on or after
November 12, 2019.
Eric Beringause, President and
Chief Executive Officer of Dean Foods, said, "We appreciate the
swift action by the Court to approve these motions, which will
enable us to continue operating as normal. As we move through this
process, we remain focused on providing customers with wholesome,
great-tasting dairy products and the highest levels of quality,
service and value. I would also like to thank our employees,
customers, dairy providers, lenders and other partners for their
continued support."
Additional information is available on the restructuring page of
the Company's website, www.DeanFoodsRestructuring.com. In addition,
court filings and other information related to the proceedings are
available on a separate website administered by the Company's
claims agent, Epiq Corporate Restructuring, LLC, at
https://dm.epiq11.com/SouthernFoods, or by calling Epiq
representatives toll-free at 1-833-935‐1362 or 1-503-597-7660 for
calls originating outside of the U.S.
Additional information regarding the Chapter 11 filing is
contained in a Current Report or Form 8-K filed with the Securities
and Exchange Commission.
Davis Polk & Wardwell LLP and
Norton Rose Fulbright are serving as
legal advisors to the Company, Evercore is serving as its
investment banker and Alvarez & Marsal is serving as its
financial advisor.
About Dean Foods
Dean Foods is a leading food and
beverage company and the largest processor and direct-to-store
distributor of fresh fluid milk and other dairy and dairy case
products in the United States.
Headquartered in Dallas, Texas,
the Dean Foods portfolio includes DairyPure®, the country's first
and largest fresh, national white milk brand, and TruMoo®, the
leading national flavored milk brand, along with well-known
regional dairy brands such as Alta Dena®, Berkeley Farms®, Country
Fresh®, Dean's®, Friendly's®, Garelick Farms®, LAND O LAKES®* milk
and cultured products, Lehigh Valley Dairy Farms®, Mayfield®,
McArthur®, Meadow Gold®, Oak Farms®, PET®**, T.G. Lee®, Tuscan® and
more. Dean Foods also has a joint venture with Organic Valley®,
distributing fresh organic products to local retailers. In all,
Dean Foods has more than 50 national, regional and local dairy
brands as well as private labels. Dean Foods also makes and
distributes ice cream, cultured products, juices, teas, and bottled
water. Approximately 15,000 employees across the country work every
day to make Dean Foods the most admired and trusted provider of
wholesome, great-tasting dairy products at every occasion. For more
information about Dean Foods and its brands, visit
www.deanfoods.com.
Forward-Looking Statements
This press release includes
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. All statements, other
than statements of historical facts, included in this release that
address activities, events or developments that the Company
expects, believes, targets or anticipates will or may occur in the
future are forward-looking statements. The Company's actual results
may differ materially from those anticipated in these
forward-looking statements as a result of certain risks and other
factors, which could include the following: risks and uncertainties
relating to the Company's Chapter 11 cases (the "Chapter 11 Case"),
including but not limited to, the Company's ability to obtain
bankruptcy court approval with respect to motions in the Chapter 11
Case, the Company's ability to consummate the planned sale of the
business pursuant to the Chapter 11 Case and, if consummated, to
obtain an adequate price, the effects of the Chapter 11 Case on the
Company and on the interests of various constituents, bankruptcy
court rulings in the Chapter 11 Case and the outcome of the Chapter
11 Case in general, the length of time the Company will operate
under the Chapter 11 Case, risks associated with third-party
motions in the Chapter 11 Case, the potential adverse effects of
the Chapter 11 Case on the Company's liquidity or results of
operations and increased legal and other professional costs
necessary to execute the Company's reorganization; the conditions
to which the Company's debtor-in-possession financing is subject
and the risk that these conditions may not be satisfied for various
reasons, including for reasons outside of the Company's control;
the consequences of the acceleration of our debt obligations; as
well as other risk factors set forth in the Company's Annual Report
on Form 10-K and Quarterly Reports on Form 10-Q filed with the
Securities and Exchange Commission. Additionally, there can be no
assurances that Dean and DFA will ultimately reach agreement, that
the sale will receive regulatory approval, or that the sale will be
successfully consummated. The Company therefore cautions readers
against relying on these forward-looking statements. All
forward-looking statements attributable to the Company or persons
acting on the Company's behalf are expressly qualified in their
entirety by the foregoing cautionary statements. The Company
expressly disclaims any obligation or undertaking to release
publicly any updates or revisions to any such statements to reflect
any change in its expectations with regard thereto or any changes
in the events, conditions or circumstances on which any such
statement is based except as required by law.
Contacts
Investor Relations
+1 214-303-3438
Media
+1 214-721-7766
media@deanfoods.com
Michael Freitag / Aura Reinhard / Viveca
Tress
Joele Frank, Wilkinson Brimmer
Katcher
+1 212-355-4449
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SOURCE Dean Foods Company