Los Banos business announces it will shut down in March

LOS BANOS, Calif. (KFSN) -- A North Valley dairy will be shutting down in the coming months.

California Dairies Incorporated announced plans to close its Los Banos manufacturing facility on March 17th. The closure affects about 63 employees.

In a statement, CDI said a declining volume of milk is to blame along with high operating costs.

CDI said it will continue running its five other manufacturing facilities. The Los Banos facility has been in operation since 1925. In 1999, it merged with Danish Creamery and California Milk Producers to become California Dairies Incorporated.