Hiland Dairy acquiring Farm Fresh.

Hiland Dairy Company L.L.C. has signed a definitive agreement with Farm Fresh, Inc. to purchase substantially all of the assets and business associated with the Farm Fresh Dairy Division. The Oklahoma City-based Farm Fresh announced that it expects to complete the transaction on or about May

A key element of the deal is Farm Fresh's state-of-the-art dairy processing facility in Chandler, OK. The plant is one of the newest plants in the United States and described by Farm Fresh as "a national model." It employs more than 300 people and manufactures a wide array of dairy products, including ice cream and other frozen desserts in both packaged and bulk forms. The plant also produces milk, cottage cheese, yogurts, and a variety of beverages, including juices and bottled water.

The sale of the dairy division will not directly impact Farm Fresh's bakery division. The company plans to continue ownership and operation of the bakery division as a separate business entity, licensing the Farm Fresh name from Hiland Dairy for branding and marketing purposes.

Founded in 1974, and employing over 500 people, Farm Fresh markets its products through a variety of trade channels, including supermarkets, convenience stores, schools, military bases, restaurants, and health care facilities in Arkansas, Kansas, Missouri, Oklahoma and Texas.

Hiland Dairy, headquartered in Springfield, MO, began operations in 1938. It currently employs over 1,000 people who manufacture and sell a full line of dairy products including fluid milk, ice cream, butter, yogurt, cottage cheese, dips, sour cream, juice, bottled water, and drinks. Hiland currently has five manufacturing plants located in Wichita, Kansas; Fayetteville, Arkansas; Ft. Smith, Arkansas; Norman, Oklahoma; and their headquarters in Springfield, Missouri. In addition to the manufacturing plants, Hiland has twenty-six distribution sites located over a six-state area including Arkansas, Oklahoma, Missouri, Kansas, Colorado, and Texas. Hiland has been a member of the Quality Chekd Association , the international cooperative of dairy processing companies since 1955.