Company, News, Retail, USA, World

J.M. Smucker, who make Folgers coffee and Jif peanut butter, are selling their US canned milk business to private equity firm Kelso & Co for an undisclosed sum. Smucker acquired the business, Eagle Family Foods Co, in 2007 for $248m, including debt. It sells mainly private label and some branded sweetened condensed and evaporated milk under labels such as Eagle and Magnolia. The business accounted for $200m in annual net sales. The deal does not include Smucker’s canned milk business in Canada and is expected to close by the end of 2015. Manufacturing facilities in El Paso (Texas) and Seneca (Missouri) are included.
• US sales of packaged fluid milk in August were down 1.4% and conventional milk sales were down 1.2%. Whole milk sales were up 4.3%; low fat milk +8.0%; fat-free skim milk -9.7%; flavoured fat-reduced milk +3.1%; buttermilk +5.8% and other fluid milk -10.6%. Year-to-date sales of conventional milk products are down 1.5% and organic sales are down 2.1%.