August 4, 2006

Dean Foods'second quarter profits plunge 65 percent.

Dean Foods, a Dallas, Texas-based dairy producer, reported a steep drop of 65 percent in its second-quarter profit.

Net income for the quarter, at US$28.9 million, was down from US$81.6 million in the second quarter of 2005.

Revenue fell 2 percent to US$2.48 billion from US$2.52 billion a year ago.

Dean Foods said it took a $46.4 million impairment charge related to the sale of its Iberian operations.

It also recorded a US$2.4 million charge related to dairy group facility closings and restructurings and a US$600,000 charge related to reorganization and consolidation activities.

The company's 2005 second-quarter adjusted results also include a US$2.4 million charge related to reorganisation, consolidation activities, facility closings and restructurings.