DAIRYWORLD AND PARMALAT MILKING NEW COW
By Adnews Staff
Burnaby, British Columbia-based Dairyworld Foods and Toronto-based Parmalat Canada are toasting the creation of a new company with a tall glass of milk and a plate of cookies. The two dairy suppliers have announced they will each become 50:50 partners in Maxima Foods Ltd. Maxima will make and market fluid milk with sales and marketing offices in Toronto and operation offices in Vancouver. Dairyworld and Parmalat both operate additional dairy and food businesses, none of which will be affected by the deal. David Coe, president and chief executive officer of Dairyworld said the creation of Maxima is in response to changes in the fluid milk business. "It will create a dynamic new company ideally positioned to compete in a demanding domestic and increasingly global marketplace," he said. The agreement is subject to regulatory approval but both Dairyworld and Parmalat hope to have the agreement completed early in the new year. Once approval has been given, marketing communications plans will be made. Currently Dairyworld's advertising agency-of-record is Vancouver-based Cossette Communications-Marketing while Parmalat Canada's agency-of-record is Toronto-based Palmer Jarvis DDB.