Bega Cheese
(ASX:BGA) says Coles supermarkets has informed the company of its intention to change suppliers for its “own brand” cheese manufacturing and packaging from January 2017.
Bega signed one of the first long term supply agreements with Coles in January 2012, for a period of five years.
It says it will redirect the related milk supply to other value added dairy products and markets, including infant formula.
Bega says its relationship with Coles will remain ‘positive and constructive’.
Bega Cheese reported a net profit of $12.4 million at 30 June 2015.
