Kerry and Lee deny Dawn deal
Kerry Group and Lee Strand Co-op in Tralee have denied reports that they are in negotiations regarding the Killarney-based Dawn Dairies liquid milk business.
Reports claimed that a deal to be announced early in the New Year would see Lee Strand take over Dawn's bottling and distribution business on licence.
However, both milk processors said there was no substance to the reports or that there were any talks taking place.
"There are no discussions with Kerry Group going on at all or in any respect," said Lee Strand boss John O'Sullivan.
A spokesman for Kerry Group stated: "Reports in the media with regard to the future of the Dawn Dairies plant in Killarney are purely speculative. Kerry Group is not involved in negotiations with regard to this business."
The Kerry spokesman accepted that there were a lot of rumours regarding the Dawn plant in Killarney.
He said these were driven by the company's sale of Kerry's Dawn businesses in Limerick and Galway over the last three years.
Dawn Killarney is understood to have around 40 contracted liquid milk suppliers. However, a number of manufacturing milk producers also supply winter milk to the dairy.
One Dawn Dairies supplier, who did not wish to be named, said rumours of a deal with Lee Strand had been "all over the place" in recent weeks.
"We don't know what our fate will be," he said.
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