What Happened to Coca-Cola's Fairlife Milk?
Fairlife Milk, an ultra-filtered dairy brand, was founded in 2012 and became a joint venture with The Coca-Cola Company, which acquired full ownership in 2020. Despite facing significant animal welfare controversies and subsequent class-action lawsuits, the brand has experienced substantial growth, driven by consumer demand for high-protein, low-sugar, lactose-free options. As of mid-2026, Fairlife continues to expand its production capacity with major investments, though it recently faced a temporary halt in U.S. production due to a cyberattack.
Quick Answer
Coca-Cola's Fairlife Milk has grown into a multi-billion dollar brand since its full acquisition by Coca-Cola in 2020, driven by strong consumer demand for its ultra-filtered, high-protein, and lactose-free dairy products. Despite past animal welfare scandals and ongoing lawsuits regarding its marketing and recyclability claims, Fairlife is heavily investing in expanding its production facilities in New York and Michigan to meet demand. Most recently, on July 16, 2026, Fairlife temporarily suspended its U.S. production operations following a ransomware cyberattack, though Canadian operations remain unaffected and product quality is reportedly safe.
📊Key Facts
📅Complete Timeline15 events
Fairlife LLC Founded
Fairlife LLC was founded by Mike and Sue McCloskey, in partnership with Select Milk Producers and The Coca-Cola Company, to produce ultra-filtered milk.
Fairlife Ultra-Filtered Milk Debuts in US
Fairlife ultra-filtered milk was first introduced in Minnesota, offering a product with more protein and less sugar than regular milk.
National Launch and Distribution by Coca-Cola
The Coca-Cola Company officially launched Fairlife nationally, leveraging its extensive distribution network across the United States.
Animal Abuse Scandal at Supplier Farm
Undercover videos released by Animal Recovery Mission (ARM) exposed severe animal abuse at Fair Oaks Farms, a key Fairlife supplier, leading to widespread condemnation and lawsuits.
Coca-Cola Acquires Full Ownership of Fairlife
The Coca-Cola Company acquired the remaining 57.5% stake in Fairlife LLC from Select Milk Producers, becoming the sole owner of the brand.
Surpasses $1 Billion in Annual Retail Sales
Fairlife achieved a significant milestone, surpassing $1 billion in annual retail sales, demonstrating strong market demand despite previous controversies.
$21 Million Class-Action Settlement Approved
An Illinois federal judge granted preliminary approval for a $21 million settlement in class-action lawsuits alleging Fairlife and Coca-Cola falsely advertised humane treatment of cows.
Coca-Cola Announces $650M Investment for New York Facility
Coca-Cola announced a $650 million investment to build a new Fairlife production facility in Webster, New York, to expand capacity and meet growing demand.
Fairlife in Canada Becomes 100% Canadian Milk Sourced
Fairlife announced that its products in Canada are now made with 100% Canadian milk, following an $85 million investment in a Peterborough, Ontario facility.
New Federal Class Action Lawsuit Filed
Fairlife was hit with a new federal class-action lawsuit over renewed allegations of animal abuse at supplier farms and misleading claims about packaging recyclability.
Significant Sales Growth in Dairy Category
Fairlife's dollar sales in the overall dairy category jumped by 25% year-over-year to $980 million for the 52 weeks ending November 30, 2025.
Named Most Trusted High Protein Milk Brand
Fairlife was named the 'Most Trusted High Protein Milk' brand in the U.S. for 2026 as part of Newsweek's annual Most Trusted Awards.
Judge Allows Misleading Logo Claims to Proceed in Lawsuit
A federal judge dismissed some false advertising claims but agreed that Fairlife's logo could be misleading, implying humane treatment of cows, allowing parts of the lawsuit to continue.
Coca-Cola Announces $650M Michigan Facility Expansion
Coca-Cola announced a $650 million investment to expand its Fairlife facility in Coopersville, Michigan, adding two new production lines expected to be operational by 2028.
U.S. Production Temporarily Suspended Due to Cyberattack
Fairlife temporarily suspended its U.S. production operations after detecting unauthorized access to parts of its systems, including production-related systems, by a third party. Canadian operations were unaffected.
🔍Deep Dive Analysis
Fairlife Milk was founded in 2012 by Mike and Sue McCloskey, in partnership with Select Milk Producers and The Coca-Cola Company. The brand introduced ultra-filtered milk, which uses a patented cold-filtration process to concentrate protein and calcium while reducing sugar and removing lactose, appealing to health-conscious consumers. This innovation positioned Fairlife as a premium product in a declining traditional fluid milk market, aligning with Coca-Cola's strategy to diversify its beverage portfolio beyond sodas.
A significant turning point occurred in June 2019 when undercover videos released by Animal Recovery Mission (ARM) exposed severe animal abuse at Fair Oaks Farms, a flagship supplier dairy in Indiana. The scandal led to widespread public outcry, product delistings by some retailers, and multiple class-action lawsuits alleging deceptive marketing practices regarding animal welfare. In January 2020, despite the controversy, The Coca-Cola Company acquired the remaining 57.5% stake in Fairlife from Select Milk Producers, taking full ownership of the brand. Coca-Cola stated its commitment to strengthening animal care programs and continuing Fairlife's growth as a standalone business.
Following the acquisition, Fairlife demonstrated remarkable resilience and growth. By 2021, it surpassed $1 billion in annual retail sales, becoming a significant growth engine for Coca-Cola. In April 2022, a $21 million class-action settlement was preliminarily approved to resolve claims of false advertising related to humane animal treatment. As part of the settlement, Fairlife and its partners agreed to implement enhanced animal welfare standards and third-party audits.
However, animal welfare and environmental claims continue to be a challenge. In February 2025, new federal class-action lawsuits were filed, citing renewed allegations of animal abuse at supplier farms and questioning the recyclability of Fairlife's packaging. In February 2026, a federal judge allowed parts of these false advertising claims to proceed, specifically noting that the Fairlife logo, combined with the brand name, could misleadingly imply humane treatment of cows. Fairlife denies these recent allegations, stating that the implicated dairy (Woodcrest Dairy) was not a supplier during the alleged period of mistreatment.
Despite these legal and ethical hurdles, Fairlife's market performance remains strong. In the 52 weeks ending November 30, 2025, Fairlife's dollar sales in the overall dairy category jumped by 25% year-over-year to $980 million, making it the No. 3 seller. Its refrigerated white milk sales grew 28% year-over-year to $782 million in the 52 weeks ending December 2025. The brand was also named the 'Most Trusted High Protein Milk' in the U.S. for 2026. To address a 'capacity crunch' due to surging demand, Coca-Cola announced significant investments: a new $650 million production facility in Webster, New York, expected to be operational in late 2025, and another $650 million expansion of its Coopersville, Michigan plant, adding two production lines by 2028.
As of July 17, 2026, Fairlife's U.S. production operations have been temporarily suspended following a ransomware cyberattack detected on July 16, 2026. Coca-Cola has activated its incident response protocols and is investigating the breach, assuring that product quality and safety have not been affected. Fairlife's Canadian production facilities continue to operate without interruption.
What If...?
Explore alternate histories. What if Coca-Cola's Fairlife Milk made different choices?