Dairylea’s Board of Directors spent the last three years
examining how to best position its members for the future. This involved organizing the “2020 Group,” a committee
formed in 2010 to solicit member input on how to generate more value beyond the
traditional cooperative structure.
According to the DFA press release, one of those options involved
looking at creating market opportunities with investments in processing.
Dairylea has been a member cooperative of DFA since
2002. According to the press release,
the proposed merger will be beneficial to both parties. It will provide Dairylea members access to
growing national and international milk markets, ongoing patronage dividends,
tax benefits, and other opportunities.
It will also provide DFA members with long-standing customer
relationships in the Northeast marketplace, enhanced Farm Services, and
expanded access to capital to facilitate strategic growth.
Six seats will be added to DFA’s Board of Directors to
represent the expanded membership in the Northeast, and DFA’s Northeast Area
Council will continue its local governance in a structure similar to that of
Dairylea.
Before the February 2014 vote, a series of informational
sessions will be held to provide Dairylea members with more information on the
merger and the voting process as well as to allow Dairylea members to ask
questions.
The DFA press release can be found here. Please visit the DFA website and Dairylea website for more information on
the cooperatives.
Written by Alyssa Looney – Research Assistant
The Agricultural Law Resource and Reference Center
@PSUAgLawCenter
October 23, 2013
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