Winn-Dixie Stores said it has agreed to sell its two dairy plants, located in Hammond, La., and Plant City, to Southeast Milk.
Winn-Dixie said in a release that it is choosing to focus more on its retail operation. Once this sale is complete, its only remaining manufacturing operation will be the Chek Cola plant in Fitzgerald, Ga.
During the transition, both dairy locations are to continue production. When the sale is complete, Winn-Dixie employees in these plants will shift over to Southern Milk.
Both companies expect the sale will be finalized within 90 days, the release said.
Founded in 1925, Jacksonville-based Winn-Dixie is one of the nation’s largest food retailers, with 521 grocery locations. Southeast Milk is the largest operating co-op of dairy farmers in Florida, with more than 300 family-owned and -operated dairy farms. It supplies to most of the southeastern United States.