North America Refranchising Plan Remains On Track for Completion in 2017
The Coca-Cola System is making steady progress toward completing its North America refranchising plan. New Definitive Agreements and transaction completions for territory and production plants across the US continued throughout the third and fourth quarters. Progress highlights on previously announced Letters of Intent and Definitive Agreements:
|Atlantic Coca-Cola Bottling Company closed on additional franchise territory in Iowa, along with areas in Minnesota, Wisconsin, Illinois and Missouri, including six distribution centers in Iowa and one in Illinois.|
|Coca-Cola Bottling Company Consolidated signed a definitive agreement to acquire 14 distribution centers in Illinois, Indiana, Ohio, Kentucky and West Virginia, and three production plants in Cincinnati, Indianapolis, and Portland, IN.
|Viking Coca-Cola Bottling Company of St. Cloud, MN, closed on facilities in Duluth, MN, and Ashland, WI, along with surrounding franchise territory in Minnesota, Wisconsin and Michigan.
|Swire Coca-Cola USA closed on seven distribution centers in Arizona and New Mexico.|
|Great Lakes Coca-Cola Distribution of Rosemont, IL, closed on one distribution center in Wisconsin and two in Minnesota, plus production plants in Eagan, MN and Milwaukee, WI.|
|Coca-Cola Bottling Company UNITED closed transactions for a production facility in Montgomery, AL, and an Equipment Refurbishment Center in metro Atlanta. UNITED began operating both sites Nov. 26, 2016. Coca-Cola United previously acquired distribution rights for the Montgomery market and surrounding territories in 2014.|
|Coca-Cola Beverages Florida, agreed to acquire franchise territory in north and south Florida, including nine distribution centers and four production facilities in Jacksonville, Tampa, Orlando and Hollywood|
|The Odom Corporation completed its transaction to assume the Hawaiian Island territories of Oahu, Hawaii, Kauai and Molokai. Coca-Cola Bottling of Hawaii, LLC, is a subsidiary of Odom and includes the acquisition of one bottling facility and five sales and distribution facilities. The new territory increases Odom’s workforce by 250 employees and its population served to a total of 13.6 million over five states. Odom is one of the Northwest’s leading beverage distributors of domestic, import and craft beers and soft drinks, including Coca-Cola of Alaska|
|Coca-Cola Bottling Company of Durango-Farmington completed its transaction to acquire territory in Gallup, NM.|
In addition, Atlantic Coca-Cola, Coca-Cola Bottling Co. High Country and Ozarks Coca-Cola Bottling Co. will join the Midwest Regional Product Supply Group, which is part of the National Product Supply Group that Coca-Cola formed to administer key product supply activities for member bottlers in order to strengthen its U.S. production system. Great Lakes Coca-Cola Distribution is already a member of the Midwest RPSG and Heartland Coca-Cola Bottling Co. (Kansas City), a new bottler led by Ulysses “Junior” Bridgeman, will become a member next year.
Note: All letters of intent are subject to The Coca-Cola Company and the companies involved – reaching definitive agreements. The parties are committed to working together to implement a smooth transition with minimal disruption for customers, consumers and system associates. Financial terms are not being disclosed.