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Coca Cola expands distribution territories for bottlers in North America

DBR Staff Writer Published 21 April 2016

Coca Cola Company has expanded its distribution territories for three of existing bottlers, while adding a new, independent bottler under its refranchising program in North America.

Coca-Cola territory

The new bottler for Coca Cola will be led by Ulysses "Junior" Bridgeman, founder of a company named Manna in Louisville, Ky. Bridgeman has signed a letter of intent to acquire territory from The Coca-Cola Company in Missouri, Illinois, Kansas and Nebraska, including the cities of St. Louis and Kansas City.

On the other hand, Coca Cola Northern New England (CCNNE) has signed a letter of intent (LOI) to add a new territory from the company.

New Hampshire-based CCNNE plans to acquire the territory throughout New England. This territory covers many major cities such as Boston, Providence in Rhode Island, and Hartford in Connecticut.
CCNNE will acquire the manufacturing facilities in Needham Heights in Massachusets and Hartford.

Other letters of intent state that Corinth Coca-Cola Bottling Works, which based in Mississippi, will take over additional territory in Missouri and Arkansas.

Coca-Cola of Durango-Farmington, based in Durango, Colorado, is planning to take over territory in Gallup in New Mexico. Coca-Cola Beverages Florida will acquire manufacturing facilities in the Florida cities of Hollywood, Jacksonville, Orlando and Tampa.

Great Lakes Coca-Cola Distribution, which is based in Rosemont, Illinois, is slated to acquire production facilities in Alsip and Niles in Illinois, Detroit, Grand Rapids in Michigan, Eagan in Minnesota, and Milwaukee.

These letters of intent form part of Coca-Cola North America's 21st century beverage partnership model, an initiative aimed at expanding its operational capacities.

The latest move is part of the previous announcement made by the soft drinks giant which stated that it would refranchise all of its North American territories by end-2017.

Coca-Cola has said that six bottlers have formed an information technology services company called CONA Services. The new company's service platform, called Coke One North America (CONA), aims to provide a unified set of processes, data standards, and manufacturing and customer solutions for the Coca-Cola bottling system in the US.

Coca-Cola North America president J. Alexander "Sandy" Douglas Jr. said: "We continue to make great progress in refranchising, and these agreements show that our partners are strongly interested in expanding. These bottlers are investing in the future of the Coca-Cola system. We are also pleased to welcome a new bottler to the Coca-Cola family."

Image: Coca-Cola expands distribution territories in North America. Photo: Courtesy of THE COCA-COLA COMPANY.