ATLANTA & VEVEY, Switzerland-( Business Wire )-
The Coca-Cola Company and Nestlé S.A. today announced that they have agreed to focus the geographic scope of their ready-to-drink tea joint venture, Beverage Partners Worldwide (BPW), on Europe and Canada. In Taiwan and Hong Kong, The Coca-Cola Company will enter into a license agreement with Nestlé for the NESTEA brand. In all other territories the joint venture will be phased out in a transition to be completed by the end of 2012, subject to any regulatory approval. In addition, the current NESTEA license granted by Nestlé to The Coca-Cola Company in the United States will terminate at the end of 2012.
Over the past 10 years, BPW has delivered consistent growth to its parent companies and has expanded the NESTEA brand across Europe, Canada and other markets. Both partners believe a concentrated focus on Europe and Canada will accelerate the growth and bolster the market presence of BPW where the joint venture is most effective. Both parent companies will be free to independently explore and maximize opportunities for growth in the ready-to-drink tea category in other markets.
Beverage Partners Worldwide, a 50-50 joint venture focused on the ready-to-drink tea category held by Nestlé S.A. and The Coca-Cola Company, was created in 2001, following a period of 10 years during which Nestlé and The Coca-Cola Company cooperated in a joint venture called Coca-Cola and Nestlé Refreshments.
The Coca-Cola CompanyPetro Kacur, +01.404 676.2683orNestlé S.A.Chris Hogg, +41 121 924 3424