The WhiteWave Foods Company (the “Company”) WWAV today announced that
it had agreed to sell certain assets owned by the Company to Morningstar Foods
for $60 million, net of taxes, in connection with the separately announced
sale by Dean Foods Company of its Morningstar business to Saputo Inc.
The Company has agreed to terminate an option to purchase plant capacity and
property at a Morningstar facility in Frederick, Md. The Company has also
agreed to sell manufacturing equipment used to produce certain WhiteWave
products located at the Morningstar Sulphur Springs, Texas, plant to
Morningstar. WhiteWave and Morningstar will continue their long-standing
commercial relationship in which Morningstar manufactures certain products for
the Company with the equipment being sold. This sale is not expected to change
the economic terms of the Company's co-packing arrangement with Morningstar.
In addition, the Company and Morningstar have agreed to modify certain terms
of existing intercompany commercial agreements between the two companies.
These modifications are not expected to have a material effect on the Company.
WhiteWave will continue its business relationship with Saputo Inc. pursuant to
which Saputo manufactures and sells WhiteWave products in Canada.
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