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Borden files for bankruptcy

Another large dairy company is filing for bankruptcy.

Borden, which distributes 500 million gallons of milk annually, has announced it’s filing for Chapter 11 Bankruptcy to reduce its debt load and reposition for the long-term.

CEO Tony Sarsam says despite the company’s efforts to increase sales, the rising cost of raw milk and market challenges have made their current level of debt unsustainable.

The company plans to operate with business as usual as it reorganizes.  Borden lost $42.4 million in 2019 through the beginning of December and $14.6 million the year before.

The company operates 13 milk processing plants across the U.S. and nearly 100 distribution branches.