Soft Drinks

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Our soft drinks business
Adding value to the economies and societies in which we operate December 2007

Our business SABMiller is one of the world’s largest brewers, with brewing interests and distribution agreements in over 60 countries across six continents. Our brands include premium international beers such as Pilsner Urquell, Peroni Nastro Azzurro and Miller Genuine Draft, as well as an exceptional range of market-leading local brands such as Aguila, Miller Lite, Snow and Tyskie. Six of our brands are in the world’s top 50 beer brands. We also have considerable expertise in bottling and distributing some of the most famous soft drink brands in the world, including Coca-Cola, Fanta, Sprite, Appletiser and Minute Maid. We are one of the biggest franchise bottlers and distributors of Coca-Cola products outside the United States, operating in 10 of our markets as bottlers of Coca-Cola products. In addition to our Coca-Cola bottling operations, we also produce and bottle a range of soft drinks in a further eight of our markets. In total, non-alcoholic beverages – sparkling beverages, water, fruit juices and malt beverages – make up 18% of our total beverage volumes. Sparkling beverages alone constitute 11% of our total beverage volumes. We operate 41 bottling plants, responsible for producing 50 million hectolitres (5 billion litres) of soft drinks per annum. Contents 01 Leading bottler of soft drinks 02 Where we operate 04 A framework for sustainable development 06 Marketplace 07 Workplace 09 Environment 11 Community 12 Contact details

Leading bottler of soft drinks SABMiller’s beverage interests extend beyond brewing and into soft drinks where we have operations in 18 countries, both as selfstanding businesses and, in some countries, alongside a brewery.

While brewing is at the heart of our business, the soft drinks operations contribute demonstrably to our overall profitability and success. Through consistently delivering superior operating performance and earnings growth for our bottling operations, and through our commitment to sustainable development, we are able to bring significant value to the economies and societies in which we operate. We work closely with The Coca-Cola Company (TCCC) across 10 of our soft drinks markets. The business partnership through which soft drinks reach consumers is known as the CocaCola system. Coca-Cola licenses bottlers in each region which then manufacture and distribute the final product. Our partnership with TCCC extends beyond just selling soft drinks. Our local bottling operations take part in joint planning with their regional and local Coca-Cola partners, addressing both operational issues, such as packaging and procurement, and wider social investment activities. TCCC sets and controls very detailed standards to maintain the integrity and quality of its brands through a process known as The Coca-Cola Quality System.

Our brand portfolio As one of the biggest bottlers of Coca-Cola products in the world, we believe that brands are the key to our success. Our ability to nurture and grow brands that consumers want is one of our most important business assets. We are proud to be associated with some of the world’s best known soft drink brands through our partnership with TCCC. As part of our franchise agreements, we bottle and distribute a wide range of still and sparkling soft drink brands. Some of the best known brands include Coca-Cola and Coca-Cola Light, Fanta and Sprite. We also aim to offer a range of products and brands that meet different consumer needs for refreshment, nutrition and replenishment. The soft drinks product range that we produce includes still and sparkling mineral water, fruit juices, and sport and energy drinks.

SABMiller plc Soft Drinks Report December 2007

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Where we operate SABMiller operates franchise bottlers of Coca-Cola products in 10 markets: El Salvador and Honduras in Latin America; Angola, Botswana, Lesotho, Swaziland,...
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