Warrnambool Cheese & Butter Factory Company (ASX:WCB) has inked a five-year deal with Wesfarmers Limited (ASX:WES) owned Coles to supply its supermarkets with dairy products.
Warrnambool says it will supply cheddar cheeses and fresh milk products under a new brand called Great Ocean Road that will be sold exclusively through Coles.
While the value of the deal has not been disclosed Warrnambool estimates the new brand will require an extra 50 million litres of milk for every year of the contract.
Warrnambool and Coles have signed a heads of agreement and Great Ocean Road is due to start from May 2012.
In the 2011 financial year Warrnambool Cheese & Butter Factory Company more than doubled its annual profit to $18.5 million.
