The Southern District of Texas Bankruptcy Court approved the Chapter 11 bankruptcy liquidation plan for Dean Foods Co. after a virtual hearing Wednesday before Judge David Jones. Dean Foods previously was one of the largest milk-producing companies in the nation.
The Findings of Fact, Conclusions of Law, and Order confirming the plan, which was signed by the judge and filed on the day of the hearing, explained that all the steps had been completed, that the court had considered the plan and any objections at the confirmation hearing, and decided to approve the plan. The liquidation plan is attached as an exhibit to the court document, presenting more details on what should be done regarding fees, classification, implementation, and disputed claims, among other things.
Dean Foods and its other entities, including Southern Foods Group, produce dairy products for more than 25 brands, including Meadow Gold, PET, Dairy Pure, and TruMoo, according to its website. The company has been in the bankruptcy process since November 2019 and sold some of its processing plants in early 2020. The bankruptcy included $617 in asset sales.
Multiple antitrust lawsuits were filed against Dairy Farmers of America (DFA) in 2020 after Dean Foods sold many of its plants to DFA, including one suit from states and the federal government and another from Food Lion, a grocery company. The complaints alleged that Dean Foods selling its facilities to its biggest competitor would reduce competition in the milk market.