Coca-Cola announces refranchising after first-quarter results
NEW YORK (AP) - Coca-Cola reported first-quarter results on Tuesday that came in above expectations and said it struck deals to start parceling out more of its distribution territories to independent bottlers.
The world's biggest beverage maker, which makes Sprite, Dasani and Powerade, had purchased its biggest North American bottler in 2010 to take greater control over new products and packaging.
Now the Atlanta-based company is starting to sell back distribution rights to smaller bottlers but is holding onto its factories as it continues to push for a national production model more akin to those in other countries.
That means further changes to the system will be in store, such building new plants and consolidating others.