Hy-Point Dairy Farms is in talks to buy Lewes Dairy in a deal that would preserve the Lewes’ brand name but probably prompt some layoffs there, said Jay Meany, Hy-Point’s president.
“We’re keeping the name the same because they have some standards,” products that customers have come to count on, Meany said. “Their heavy cream is a little heavier than normal. Their half-and-half is heavier than normal. And their eggnog is really well-known. All that will remain the same, the best that we can.”
A final agreement could come later this week. As currently planned, milk from Lewes Dairy’s farm would be processed at Hy-Point’s facilities. Hy-Point has about 90 employees; Lewes Dairy has about 20.
Both firms were founded in 1919, when dairy herds were a much more common presence in the state. At the turn of the 20th century, Delaware had about 30,000 dairy cows; in 2009, the number was 6,000 at about 45 dairies, producing 17,000 pounds of milk per cow, according to the state Department of Agriculture.
The Lewes Dairy turned to Hy-Point for help partly because of the struggling economy, Meany told WBOC-TV. It processes about 30,000 gallons of milk each week, most of it obtained from independent Sussex County dairy farmers, and distributes its products throughout Delaware and the Eastern Shore of Maryland.
Source: Delaware Online, Eric Ruth