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Atlantic Coca-Cola Bottling signs Letter of Intent to expand its territory

News

April 22nd, 2015 by Ric Hanson

The Atlantic Coca-Cola Bottling Company today (Wednesday), announced that it has signed a Letter of Intent (LOI) with The Coca-Cola Company for expanded territory rights. The bottler will assume territories in Iowa and southern Minnesota.  Expected transition dates are subject to the parties reaching Definitive Agreements. Financial terms were not disclosed.

Kirk Tyler, President, Atlantic Coca-Cola Bottling Company, said in a press release “We look forward to completing the transition work with The Coca-Cola Company.  Leveraging the new operating model will enable us to continue serving the needs of our consumers and customers effectively.”

Sandy Douglas, President Coca-Cola North America at the Coca Cola Company, says “We have made significant progress toward the implementation of our 21st Century Beverage Partnership Model in the U.S., which continues to strengthen our franchise system. As we continue to evolve our partnership model for growth Atlantic Coca-Cola Bottling Company brings deep local knowledge and has demonstrated both outstanding commercial capabilities and consistent, sustainable success within their communities. Together we continue to transform our U.S. business and move closer to achieving our 2020 Vision.”

Atlantic Coca-Cola Bottling Company and The Coca-Cola Company will work collaboratively to implement key elements of the 21st Century Beverage Partnership Model including:

  • More rational and contiguous operating territories
  • A grant of exclusive territory rights and the sale by Coca-Cola Refreshments (CCR) of distribution assets and cold drink equipment
  • An improved, more integrated information technology platform
  • A new beverage agreement that supports the evolving operating model.

Atlantic Coca-Cola Bottling Company has been in business for over 100 years, producing and delivering Coca-Cola brands to Central and Southwest Iowa.  Owned and operated by the Tyler family, and headquartered in Atlantic, the company has a distribution center in Waukee.  Together, the two facilities employ over 180 individuals