Diageo group chooses Lakeland Dairies for major Baileys contract

Lakeland Dairies, Ireland's second largest dairy processing co-operative announced today that it has entered into a supply contact with Diageo Group to provide fresh cream for the Baileys brand, from the its processing facility at Bailieborough, Co Cavan.

The terms of the contract have not been disclosed.

The cream may be supplied into either of Diageo's Dublin or Belfast manufacturing sites, depending on the company's requirements. The cream used in Baileys is delivered daily in insulated tankers and processed on the day it arrives.

Mr. Ed Prendergast, Chief Executive of Lakeland Dairies commented: "The contract to supply cream to one of Ireland's most successful brands is an excellent endorsement of the competitiveness, quality and efficiency which we are achieving across all dairy processing operations."

Baileys Irish Cream was launched in 1974 and is now sold in 130 countries worldwide. The product accounts for over 50% of Irish spirit exports and requires 50 million gallons of milk annually from various milk processors. The top five markets for Baileys are the United States, Britain, Spain and Germany.

Ireland has the highest per-capita consumption of the product globally.

Diageo's collection of brands include Smirnoff, Johnnie Walker, Guinness, Baileys, J&B, Captain Morgan, Cuervo, Tanqueray, and Beaulieu Vineyard and Sterling Vineyards wines.

Diageo is a global company, trading in over 180 markets around the world. The company is listed on both the London Stock Exchange (DGE) and the New York Stock Exchange (DEO).

Lakeland Dairies is the second largest dairy co-operative and fourth largest dairy processor in Ireland. The co-op operates across 15 counties on a cross-border basis processing over 200 million gallons of milk annually at several major facilities.