Thursday, December 9, 2010

Dean Settles

In an 8K SEC document filed today Dean stated:

The Company has reached an agreement with the plaintiffs in its previously disclosed purported class action antitrust lawsuit filed in the United States District Court for the District of Vermont to settle all claims against the Company in such action. The settlement agreement is subject to court approval. There can be no assurance that the court will approve the agreement as proposed by the parties. Pursuant to the agreement, the Company would be obligated to pay $30 million, and would agree to other terms and conditions with respect to its raw milk procurement activities at certain of its processing plants located in the Northeast. The Company expects to take a charge in the fourth quarter of 2010 of approximately $18.4 million, net of tax, with respect to the proposed settlement.


Well, we'll see. At this point DFA and DMS (one and the same) have not settled and the case moves ahead with "discovery" extended to April 15, 2011.

7 comments:

  1. So, is the settlement considered an admission of guilt? Maybe after key details were disclosed by the DOJ in October, Dean threw in the towel.

    I cannot wait for discovery to be made public from DFA and DMS. Something tells me that they will settle before making their "sins" public knowledge.

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  2. i don't understand who is getting the money. Is it individual farmers, DMI(the farmer's organization) or the government.

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  3. If you guys hate Dean so bad. Quit sending them milk!!! It is time for the slaves to rebell.

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  4. Can't help but be amused by the innocence of the second poster; who gets the money?? This is America where justice prevails... who gets the dough?? Why the lawyers of course!!
    Still, it's nice to think that it won't be lining Greg Engle's pocket... that notion and the Dairyline Dot Com post of yesterday from Bloomberg Business detailing Dean's woes does go some distance in restoring my image of a just and caring supreme being...
    Dean's is dead last on Standard & Poor's 500 list!! Nice lump of coal in Engle's stocking this Xmas!! Enjoy Gregie!! Nate Wilson.

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  5. Far as I'm concerned it's an admission. You don't agree to shell out 30 big ones if you are clean. Wonder what the legal costs are to farmers footing the bill for DFA and DMI?

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  6. I wonder what the legal costs are too. And when we eventually win, we will be paying ourselves the settlement from DFA.

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  7. Spoken like a true barrister.

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