In the wake of one of the worst performances among major food processors, Dean Foods is getting a new CEO.
Dean named Eric Beringause on July 26 to replace Ralph Scozzafava at the company’s helm, effective immediately. Scozzafava, CEO for about two and a half years, also resigned from Dean’s board.
Dean has been plagued by a drop in per-capita milk consumption, a glut in production and increased competition. Its share price has dropped 87% over the past year and now stands at $1.21. Dean posted a loss of $260 million last year and has had losses for the last three quarters.
Selling assets is a possibility, but may prove difficult with the industry already overproducing. Bloomberg reports that Saputo said last month it was “absolutely not interested” in buying any of Dean’s facilities.
Beringause had been CEO of Gehl Foods, a producer of dairy-based foods and beverages. He also headed Sturm Foods and Advanced Refreshment.