Meeting the
diverse needs of
a dairy Qi0Pit
Dean
team
COOPERATION PAYS OFF
Jim Kenwood
For the first time, the Rabobank Dallas Office in the United States has been elevated to an elite
"Top 5"relationship bank tier as part of Dean Foods' US$ 1.94 billion special cash dividend to
shareholders. Dean Foods is the leading dairy processor in the United States, with US$ 10.5
billion in sales and an estimated one third share of the total domestic fluid milk market.
'Our long-term commitment to the dairy sector in general,and Dean Foods in particular,was
a key factor in being asked to commit on a highly confidential, pre-retail syndication basis
to this important company recapitalisation initiative/says Jim Kenwood, Executive Director
and Client Relationship Manager for Dean Foods.'This is noteworthy when you know that
the leveraged dividend recap was designed to reward Dean Food shareholders for the com-
pany's stable business model and consistent eamings track record.'
The use of Rabobank's balance sheet on the credit side meant Global Financial Markets
was well positioned to take advantage of cross-sell opportunities. At the same time that
the US$ 4.8 billion leveraged dividend recap was closing on April 2, the Rabobank New York
Securitisation Group closed on their 20% share of the US$ 600 million receivables securitisa-
tion. In May, the Rabobank Derivatives Group in New York assisted Dean Foods with interest
rate protection associated with the leveraged dividend recap by executing US$ 250 million
in notional floating-to-fixed rate interest swaps. Also in May, Rabobank Dallas and De Lage
Landen were jointly mandated to help Dean Foods fund a portion of its recurring rolling
stock replacements.This will be facilitated through an initial US$ 10 million operating lease
financing, scheduled to close in the second half of 2007.
Bob Bucklin and Gordon Arnold -
Rabobank Corporate
Banking Management.
Ned Peyser, Bob Mandula and Jacques
Bouwers- Rabobank Credit
Risk Management.
Eraj Asadi, Mark O'Keefe, Christopher
Lewand Michael Halevi - Rabobank
Securitisation Group.
Bill Mansfield, Richard Herbst -
Rabobank Derivatives Group.
Jeff Clark - De Lage Landen.
Rebecca Morrow and Brett Delfino -
Rabobank Legal Department.
'This deal didn't only generate substantial remuneration for Rabobank,' says Kenwood.
'The interaction between the Corporate Banking, Credit Risk Management, Securitisation,
Derivatives, Leasing and Legal departments was also one of the best examples of team
work I have experienced in my nearly ten years with the bank. Rabobank's "one-stop-shop"
approach and the speed with which we met the needs of this core F&A cliënt were repeat-
edly noted by the Dean Foods' management.'
The Word 7
