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Beverage Industry Insider - May 13, 2008

May 13, 2008

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Dr Pepper Snapple on its own

DPS bell ringing

Dr Pepper Snapple Group went on its own last week when it began trading as a separate company on the New York Stock Exchange.>

Dr Pepper Snapple Group Inc., Plano, Texas, officially separated from Cadbury Schweppes and began trading on the New York Stock Exchange under the DPS symbol.

The company, which had 2007 full-year revenues of $5.7 billion, includes a lineup of carbonated and non-carbonated soft drinks, juices and drink mixers, as well as a bottling division that reaches approximately two-thirds of the United States. DPS brands include Dr Pepper, 7 UP, Snapple, Mott's, A&W, Sunkist, Hawaiian Punch, Canada Dry, Schweppes, RC Cola, Diet Rite, Squirt, Penafiel, Yoo-hoo, Rose's, Clamato and Mr & Mrs T mixers.

"Our CSD portfolio continues to grow and our non-carbonated brands have regained momentum,” said Larry Young, president and chief executive officer of the newly spun-off company. “We've also made strategic bottling and distributing acquisitions that are improving our capabilities and protecting the equity of our brands. The success we're realizing with today's listing has been a lengthy process and we're looking forward to solely focusing on the beverage business.”

During a recent analyst meeting, DPS said it expects growth to come from demand for flavored soft drinks and functional products. The company recently added new Sunkist, A&W, Dr Pepper and Canada Dry flavors, as well as functional varieties to its Mott’s brand. It also plans to roll out new energy drinks as well as Snapple PET packaging this quarter. In addition, it announced it will move its R&D operations to its Plano headquarters to more closely align with marketing, and it says it will open a pilot plant adjacent to its Irving, Texas, manufacturing facility. Find out more about the new Dr Pepper Snapple Group.



Nestea re-launches with new flavors, graphics

Nestea

The Coca-Cola Co., Atlanta, announced an overhaul of its Nestea ready-to-drink tea brand, including new graphics, straight-wall bottles and the introduction of Green Tea Citrus and Diet Green Tea Citrus products with 50 percent more antioxidants than the previous formulation.

The new green teas contain 96 mg. of antioxidants per 8-ounce serving. The brand’s new packaging calls out the antioxidant content, and will be available nationwide. The company says it plans to back the introduction with national print advertising, digital media, point-of-purchase displays, public relations and consumer sampling programs.



Future Brands appoints east region VP

Future Brands LLC, Deerfield, Ill., has named Tony Truzzolino vice president of sales for the east region. Truzzolino previously served as vice president of commercial development for Beam Global Spirits & Wine. Future Brands is the sales and distribution joint-venture for Beam Global Spirits & Wine and the Absolut Spirits Co.



Monster teams with Southwest

Monster Lo-Carb will now be available on Southwest Airlines long-haul flights, the companies announced. The airline will offer 8.3-ounce cans of the 10-calorie energy drink for $3.

"We're excited to watch Monster take flight," said Dan Lamb, vice president of business development and on-premise channels for Monster-maker Hansen Beverage Co. “Monster consumers have proven to be extremely loyal, so we know they'll appreciate finding their favorite drink on board Southwest. We salute Southwest for being one of the first major airlines to offer an energy drink to U.S. travelers."



Pom’s PET rollout

Pom Tea

Pom Wonderful, Los Angeles, has added new 16-ounce plastic packaging for its Pom Tea products. The line is available in seven flavors in regular and light varieties, which are sweetened with erythritol and fructose and contain only 35 calories per serving. The suggested retail price for the new plastic size is $2.99. Find out more about the product.



Skinny Water

Skinny Water

Skinny Nutritional Corp., Bala Cynwyd, Pa., launched new Skinny Water Acai Grape Blueberry “Hi-Energy,” developed in conjunction with fitness trainer Pat Croce. In addition to Skinny Water’s key ingredients of Super CitriMax, ChromeMate and EGCG, the new variety contains guarana, ginseng, l-carnatine and vitamins B3, B6 and B12. Each 8-ounce serving contains 99 mg. of potassium and 70 mg. of calcium. Find out more about Skinny Water.



Powerade Zero

Powerade Zero

Coca-Cola introduced Powerade Zero, a calorie-free new sports beverage that replaces Powerade Option. The beverage contains B Vitamins and electrolytes, and is available in Strawberry, Grape and Mixed Berry flavors. Sizes include 20-ounce and 32-ounce bottles as well as 20-ounce eight-packs. The Strawberry flavor also is available in 12-ounce 10-packs. Find out more about Powerade.




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