The Flow: Teas, new products at NACS; Jolt Cola may shut down

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P>ON TOP

  • At NACS, it was Tea Time in Vegas – Concerns that the tea category might have peaked were ground under the wheels of big business semi-trucks last week at the National Association of Convenience Stores convention, as three of the country’s largest beverage companies showed new strategies based around tea lines. Link
  • NACS Means New Products – While the rush of energy drinks seems to be receding, other functions were on the rise at last week’s National Association of Convenience Stores Show. Link
  • Wet Planet Beverages, makers of Jolt Cola, will likely close, according to an attorney for the company, after an attempt at reorganizing fell apart. Link


ON THE SHELVES


  • Cliffstar, a private-label beverage supplier, has unveiled its own brand of premium beverages. The new beverage line called The ChadwickBay line will be manufactured by Harborside, a subsidiary of Cliffstar. Link
  • Apple Rush Co. announced that it has developed a new reduced calorie version of its Organic Apple Rush beverages. Apple Rush is now scheduling an early 2010 introduction of three new Organic Light flavors: Pomegranate, Original Apple and Black Cherry. Link
  • Vemma Nutrition Company recently launched its liquid children’s supplement, Vemma NEXT. Link
  • Langlade Springs, LLC, is introducing a private label program of natural mineral spring water packaged in biodegradable and recyclable bottles. Link


DISTRIBUTION


  • Innovative Beverage Group Holdings, Inc. announced that the company has entered into an agreement with Bernick’s Beverages & Vending to expand the reach of drank throughout Minnesota. Link
  • Bond Laboratories, Inc. announced the addition of two more Anheuser-Busch distributors in Kansas to distribute Fusion Premium Beverages. Link
  • Zipfizz Corporation announced that it has signed a distribution deal with General Nutrition Centers and Ralph’s Grocery. Link
  • DNA Beverage Corporation announced it has begun distribution to 7-Eleven convenience stores in Southern California. Link


IN THE COURTS


  • PepsiCo has been slapped with a $1.26 billion judgment by a Wisconsin state court after the beverage firm failed to respond to a court date. Link
  • Royal Wessanen said it has concluded its forensic investigation at American Beverage Corp., maker of Daily’s cocktail mixers and Hug juice jugs. Their investigation resulted in no further adjustments to its 2008 restated results. Link


LAW, POLICY, AND ADVOCACY


  • New York officials are giving retailers until Nov. 8 to comply with the new requirement for nickel deposits on water bottles. Link
  • Maine’s Attorney General’s Office says Fentimans Victorian Lemonade is now off-limits to Mainers under the age of 21 because it contains up to 0.5 percent alcohol. Link
  • The National Institutes of Health will devote $30 million to study the safety of bisphenol A. Link


BRAND MARKETING & PROMOTION


  • Roaring Lion Energy Drink invites consumers to participate in the 2009 Roaring Lion Photo Safari Contest on the Roaring Lion Energy Drink Facebook Fan Page through December 18, 2009. Link
  • Nestlé Waters North America introduced three new YouTube videos to help raise awareness of the true impact of the bottled water industry on the environment. Link
  • PepsiCo has sponsored gamesthatgive.net, a web site that donates money to charity as consumers play online games. Link
  • Purity Organic released a commercial that, oddly enough, centers on the clerk of an adult toy shop. Link
  • Nestlé Juicy Juice has committed to investing $350,000 to build playgrounds in several communities in New York State. Link
  • The Coca-Cola Co., Inc. has chosen 20 people to be Torchbearers for the Vancouver 2010 Olympic Torch Relay. The U.S. Torchbearers were selected because they each use their passion for positive living to affect meaningful, enduring change in local and global communities. Link
  • A strange advertising partnership between The Coca-Cola Co., Inc. and Summit Entertainment pairs vitaminwater with the upcoming vampire movie New Moon. According to the commercial, vampires : blood :: humans : vitaminwater. Link


TRENDS AND STUDIES


  • A recent consumer behavior study by Interger Group found that more consumers feel loyalty to Coca-Cola than any other beverage brand, but that only only 39 percent of consumers believe brand name brands provide better quality products. Also, consumers become less brand-loyal as they grow older. Link
  • Low vitamin D levels in the body may be deadly, according to a new study hinting that adults with lower, versus higher, blood levels of vitamin D may be more likely to die from heart disease or stroke. Link


IN THE MEDIA


  • Bruce Horovitz at USA Today reports that 2010’s most powerful marketing mantra could be “simple is better.” Link
  • Food Product Design published an article on the considerations and challenges involved with designing protein-based sports nutrition products. Link


FINANCIALS


  • Coca-Cola Enterprises‘ board of directors declared a regular quarterly dividend of 8 cents per common share. The quarterly dividend rate is equivalent to an annual dividend of 32 cents per common share. The dividend is payable December 10, 2009 to shareowners of record on November 27, 2009. Link
  • PepsiAmericas, Inc. reported third quarter 2009 net income of $63.5 million. Link
  • PacificHealth Laboratories, Inc. reported results for the quarter and nine months ended September 30, 2009. Revenues increased approximately 9 percent to $2,376,291 compared to $2,176,196 for the same period in 2008. Net loss for the third quarter of 2009 was $174,095 compared to a net loss of $849,969 for the same period in 2008. Link
  • Jones Soda Co. announced that the Company’s conference call to review fiscal 2009 third quarter results will be broadcast live over the Internet on Thursday, November 5, 2009 at 4:30 pm Eastern Time. The broadcast will be hosted at www.jonessoda.com and www.earnings.com. Link
  • Cott Corporation announced that Cott Beverages Inc. intends to offer $200.0 million of senior notes due 2017. Link
  • Ball Corporation reported third quarter net earnings of $103.7 million on sales of $1.97 billion compared to earnings of $101.9 million on sales of $2.01 billion in the third quarter of 2008. For the first nine months of 2009, Ball’s earnings were $306.5 million. Link


DEALS


  • Apple Rush Co., Inc. announced that the Company has entered into an arrangement with the Hardy Bottling Company in Memphis, TN to produce its Apple Rush cans for sales east of the Rockies and covering both the Southwestern and Southeastern region of the US. Link


SUPPLY SIDE


  • NutriPure Beverages, Inc. and its subsidiary XND Technologies, Inc. announced that they have entered the final stage of negotiations for new proprietary water technology for its Nu2O product line. Link
  • The Coca-Cola Co., Inc. will invest $100 million to expand an Atlanta plant tied to the company’s new fountain dispenser, the Coca-Cola Freestyle. Link
  • The Coca-Cola Bottling Co. Consolidated plans to put a new facility in Horry County, S.C. Link
  • NeoAffinia PETG, a new film from Printpack, is being introduced for shrink sleeve label applications. Link


INTERNATIONAL


  • Go Fast Sports and Beverage, Co. announced the launch of the Go Fast Energy Shot in the United Kingdom.
  • According to DNAIndia, Indian authorities raided a private warehouse in a Bhiwandi village, grabbing over 30,000 cans of Red Bull suspected of containing above-the-limit levels of caffeine. Link
  • The European Commission this week cleared PepsiCo Inc. to buy Pepsi Bottling Group Inc. Link


TOOTING THEIR HORN


  • Organic B.R.A.T., an organic children’s beverage that incorporates pediatric dietary recommendations, won top honors as “Most Innovative New Product” at the Natural Products Expo East. Link
  • The National Minority Supplier Development Council honored PepsiCo with its “Corporation of the Year” Award. The company was among 73 nominees vying for the award that recognizes a corporate member’s exemplary achievements in minority business development. Link


PEOPLE


  • Coca-Cola Enterprises announced that Edward J. Lopez has been named Chief Diversity Officer, effective November 1. Mr. Lopez will oversee the company’s global diversity initiatives. Previously, he served as Vice President of Public Affairs and Communications for the company. Link


ETC.


  • Bottled water marketers can add musician Jackson Browne to their list of detractors. Browne has reportedly banned bottled water from his tours. Link