Kroger puts Turkey Hill ice cream and beverages business on the sales block
Turkey Hill Dairy's American Dream Ice Cream Sandwich.
Courtesy of Turkey Hill Dairy.
Kroger said Tuesday it is mulling the sale of its Turkey Hill ice cream and beverages business unit.
The company has hired Goldman Sachs to evaluate and "explore strategic alternatives, including a potential sale," company reps said. The business unit employs almost 800 full-time, part-time and seasonal associates.
Turkey HIll produces a full line of popular iced teas, fruit drinks, milk, frozen dairy treats and a variety of ice cream in its Conestoga, Pennsylvania, manufacturing and distribution facility.
Kroger owns 38 food manufacturing plants, including 19 dairies, that produce the grocer's portfolio of house brands. The namesake Kroger, Private Selection, Simple Truth, Psst... and other brands generate more than $20 billion in sales for the company.
Kroger's offerings from house brands also fits prominently in its strategy of offering customers lower prices as supermarket competition intensifies with Amazon jumping into the industry last year with its Whole Foods takeover.
"Turkey Hill's successful and recognizable ice cream and beverage products have the potential for greater growth outside of our company," said Erin Sharp, group vice president for Kroger Manufacturing.
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