Borden Dairy Files for Bankruptcy
One of America’s largest and oldest dairy companies has become the second major milk producer to file for bankruptcy in the last two months. The Borden Dairy Company reports that it cannot afford its debt load and its pension obligations. The company has also been hurt by the overall drop in U.S. milk consumption since 2015. Last year, more than 2,7000 family dairy farms went out of business last year and 94,000 have stopped producing milk since 1995.
According to Borden’s bankruptcy filing from January 2019 through December 7th, the company reported a net loss of $42.4 million. Currently, Borden Dairy employs 3,300 employees and there is no word if the company intends to stay in business long term or to liquidate. The company’s first successful commercial method of condensing milk dates back to before the U.S. Civil War in 1856.