By Annette Shailer
Coca-Cola Amatil Limited (CCA) has today (Nov 4) released an update on its third quarter trading and second half outlook for 2009.
In a statement on the ASX, the Australian beverage business outlined its solid volume and revenue growth in the third quarter, with transaction volume growth helped by new product and package innovation.
Glaceau vitaminwater and Mother energy drink have performed above expectations, with the strong results helped by the launch of Mother Surge in July.
The premium beer category continues to grow with Pacific Beverages delivering premium beer volume growth of around 50 per cent year to date. This result has been led by Peroni Nastro Azzurro and Peroni Leggera.
Pacific Beverages’ launch of Russian Standard in July has seen sales exceed expectations, with the vodka now available in more than 2500 licensed outlets in Australia.
CCA’s strong first half trading performance has continued during the third quarter.
The results come on the back of CCA’s new employment terms with its group managing director, Terry Davis.
CCA announced on Monday (Nov 2) that Davis will now have a 12-month rolling contract so instead of his previous three-month resignation notice period, CCA now requires 12 months notice should Davis wish to move on.
The new contract also stipulates that if CCA requests Davis to leave the company before November 30, 2011, CCA will have to pay him 12 months’ total remuneration.
From November 30, 2011 onwards, CCA will have to give Davis 12 months notice in writing.
CCA chairman, David Gonski AC, said that securing Davis for the years to come was beneficial for all involved.
"Securing an agreement which facilitates Terry’s services to continue beyond 30 November 2011 is in the best interests off CCA and its shareholders," Gonski said.
"Mr Davis continues to perform impressively and maintains the enthusiasm and commitment to deliver continued success."