The embattled new owner of Miyoko’s Creamery has acknowledged some teething problems as the brand has switched to new co-packers and recipes for its plant-based butters and cheeses, but says the issues are “temporary.” Prosperity Organic Foods—which acquired Miyoko’s late last year after it entered the Assignment for the Benefit of Creditors (ABC) process—has been transferring production of its products to new facilities and says it expects distribution to be “fully restored in the coming months.” The transition has not gone entirely smoothly, however, as multiple retailers have alerted customers to voluntary recalls of the firm’s plant-based butters since early September following complaints about mold, yeast counts that did not meet quality standards, and the “potential presence of E Coli.” Prosperity CEO Scott Fischer told AgFunderNews: “We’ve experienced a few challenges in production during the startup phase with our copackers. We voluntarily put on hold or recalled a relatively small amount of product from the market to ensure product quality and safety meets our standards. We’ve identified the root causes and expect these to be temporary issues.” ‘Minor product differences’ Asked to comment on a social media post from Miyoko’s founder Miyoko Schinner drawing attention to recipe changes under the new ownership, Fischer said: “Our goal from the beginning has been to deliver the identical product experience that consumers were buying and loving prior to our acquisition of the brand. In most cases we’ve achieved that. “There are a few minor product differences caused by the different processing capabilities of our new co-packers which we expect to be addressed in the near future. Our goal will always be to sell products that are as good or better than consumer expectations.” According to Fischer: “We’re getting great support from our distributors and retail customers to take the Miyoko’s items back on shelf. The timing varies depending on the review schedules of each account. We expect to see distribution fully restored in the coming months. “Production and shipments to retailers are underway for plant butters and plain cream cheese and other products set to launch are liquid mozzarella and cheese spreads Roadhouse Cheddar, Jalapeno, Chive and onion. The cheese slices and shreds are being re-evaluated.” Asked for an update on sales, he said: “It’s a bit early to report on those since we’ve only recently started shipping again, although early anecdotal reports have been positive. Combining the Miyoko’s products with our pre-existing Melt Organic plant butter products have delivered significant economies of scale consistent with our expectations.” Miyoko Schinner: ‘Even though it bears my name, I have nothing to do with it’ Miyoko Schinner, who was ousted from the company she founded by the board in 2022 and launched an unsuccessful bid to buy back the brand she created last year, told AgFunderNews that, “They changed the formula of the cream cheese by adding oil. The original formula didn’t have any. It the new version was not tasty and had an overly tangy and sawdusty flavor. I’m pretty sure they reformulated to save a few pennies per tub, sacrificing flavor and nutrition, as protein fell due to replacing cashews with coconut oil. It is not a product I would stand by.” In an Instagram post she stressed that while the product bears her name, she is not associated with the brand in any way: “This is not my cream cheese. You can buy it if you want, but I want you to know that even though it bears my name, I have nothing to do with it.” She added: “I went ahead and bought it anyway because I wanted to do a taste test. The first thing I notice is that it says it’s made with five simple ingredients. That sounds great, doesn’t it? Until you realize that the original product only had four, and it specified no added oil. So what’s that mysterious fifth ingredient they added? Well, it’s oil, of course… and of course natural flavors. “Now the other thing to notice is that originally the product had three grams of protein per serving. So how much does the new one have now that they’ve added oil? I’ll start by saying that dairy cream cheese only has one or two grams, and so we were really proud of our three. But look here, they’re down to one.” After tasting it on camera, she added: “Let’s just say I wouldn’t buy it again.” A turbulent few years Miyoko’s insolvency in October 2025 followed a turbulent few years at the firm, which was founded by chef, author, and animal rights activist Miyoko Schinner in 2014. The firm hit the headlines in early 2023 after it emerged Schinner had been removed as CEO by the board the previous year. Schinner claimed she’d had disagreements with the board over strategy, while board member James Joaquin told reporters he was looking for a CEO with “proven P&L experience who has scaled a larger business.” The company followed up with a lawsuit accusing Schinner of “hatching a plot” to steal its IP , while Schinner responded with a countersuit alleging she was forced out of her own company after complaining to HR about male executives who “openly denigrated women.” The parties subsequently resolved their differences after going through a court-mandated mediation process. In August 2023, ex-Coca-Cola exec Stuart Kronauge was brought in as CEO, telling this publication that she saw “significant untapped potential” in the brand. Just over two years later, the firm entered the Assignment for the Benefit of Creditors process—an alternative to bankruptcy—having determined that it was “unable to pay its debts in full.” Speaking to us after submitting the winning bid for the firm in November 2025, Fischer at Prosperity Organic said: “The issue at Miyoko’s was not declining sales. You need a commercial model that enables you to survive. When liabilities exceed assets there has to be something wrong in the P&L. The fact that they had more than $100 million in investment but were not sustainable financially is very disappointing.” Further reading: Melt Organic brand owner is the winning bidder for Miyoko’s Creamery: ‘We’re surprised and delighted’ Breaking: Miyoko Schinner fails to buy back namesake brand Exclusive: Miyoko’s founder plans bid to buy back brand from liquidator The post Miyoko’s comeback off to rocky start amid recalls, recipe changes. Problems are ‘temporary,’ says new owner appeared first on AgFunderNews.
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