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boodoo
04-25-2006, 04:45 PM
Who couldn't see this one comming? I have been told that Cadbury eyes are locked on to more than just DPSUBG.

CStoreCatMan
04-25-2006, 05:21 PM
We've known about the possibility of this for a few years now...

I'm interested in how this will impact the current Dr Pepper distribution agreements Coke & Pepsi have in different parts of the country.

[ 04-25-2006, 04:24 PM: Message edited by: CStoreCatMan ]

fusion
04-25-2006, 10:48 PM
Well, I would think that they would have to have just cause to terminate the current contracts. Or they could try to buy them out.

In case anyone hasn't seen the press release, here it is:

http://schweppes.imaginuity.com/Home/tabid/36/ctl/Details/mid/462/ItemID/37/Default.aspx

CSAB is buying out the remaining interest in DPSUBG from Carlyle and DPSUBG management/employee stock options. They are also acquiring All-American and merging it with DPSUBG, and renaming the combined company Cadbury Schweppes Bottling Group (CSBG)

They also plan to spend $200 million to acquire other bottlers in the next few years.

[ 04-25-2006, 09:51 PM: Message edited by: fusion ]

Mr Zabe
04-25-2006, 10:56 PM
Fusion,
Could you please boil this down to a few broad points in terms of what this means to their business in the States? Should we see a more diverse product line? Thanks Zabe

[ 04-25-2006, 09:56 PM: Message edited by: Mr Zabe ]

fusion
04-25-2006, 11:18 PM
It's all outlined in the press release. I just highlighted the main points of it.

The acquisition is for cost savings and control over the bottling system, not for innovation.

Mr Zabe
04-25-2006, 11:22 PM
Thanks Fusion, I read the press release and to be honest, most of it just flew over my head. I guess I'm just not as familiar with reading a beverage companies P.R. reports. Most of the bulit points were like reading a foreign language.

[ 04-25-2006, 10:23 PM: Message edited by: Mr Zabe ]