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Coca-Cola to stop distributing Arizona tea

BY Jenna Duncan

ATLANTA Coca-Cola Enterprises has announced its plans to end its distribution of Arizona tea in much of the United States starting early May. CCE said it will shift its focus to Glaceau enhanced waters, acquired by Coca-Cola last year.

CCE announced in late 2006 that it would distribute three varieties of 34-ounce size Arizona tea. This announcement created some tension at Coca-Cola because Arizona teas, made by Hornell Brewing Co. of New York, are competitors to Coca-Cola’s bottled teas, Nestea and Gold Peak.

In keeping with a three-year agreement that CCE recently signed with Coca-Cola to only carry Coca-Cola beverages, CCE announced it will stop distributing Arizona in most U.S. markets. CCE will also now distribute Glaceau.

John Sicher, editor and publisher of Beverage Digest said, “Coke was never happy about CCE carrying Arizona. But CCE was very happy to get Glaceau, and I think this was part of the deal.”

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Exclusive earth-friendly coffee now at Wal-Mart

BY DSN STAFF

BENTONVILLE, Ark. Wal-Mart has launched six coffees under its exclusive Sam’s Choice brand. The new coffees will be available in stores this April at $5.88 for 10 oz. to 12 oz. bags and are part of the company’s “Earth Month” campaign.

The Sam’s Choice coffees include products that are Fair Trade and Rainforest Alliance Certified as well as organic. In addition, the coffees are roasted by Cafe Bom Dia, a Brazil-based company that measured, reduced and offset its emissions to become the world’s first CarbonNeutral roaster.

“We recognize our customers’ desire to buy products that have a positive environmental and social impact, and we are proud to offer an affordable line of coffee that is sourced and roasted with sustainability in mind,” said DeDe Priest, senior vice president and general merchandise manager for Wal-Mart. “For instance, if each of Wal-Mart’s 200 million shoppers bought one 10 oz. bag of Sam’s Choice Rainforest USDA Certified organic coffee, it would prevent 133 million pounds of fertilizers and chemicals from being released into the environment.”

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Frito-Lay, Strauss form joint venture to operate Sabra

BY Adam Kraemer

PURCHASE, N.Y. PepsiCo announced Monday it completed the formation of its joint venture with Strauss Group to operate hummus maker Sabra.

The venture, owned 50/50 by Pepsico’s Frito-Lay and Strauss, will make and sell dips and spreads, especially hummus—a spread made with mashed chickepeas, olive or sesame oil, and various spices—in the United States and Canada.

Sabra had 2007 sales of $65 million, and total U.S. sales of hummus last year were about $192 million, according to PepsiCo.

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