UK: C&C Group rating lowered
Share coverage of C&C Group has been cut, despite the introduction this week of a draft version of the Irish company's Magners cider brand in the UK.
Dresdner Kleinwort has this week reduced its rating of C&C to 'hold' from 'buy', warning that ongoing competition in the UK would lead to a further slide in market share in 2009.
The broker also warned that an increase in excise duty on cider in the UK was more likely now. A tax increase could hit EBIT at C&C to the tune of around EUR30m (US$45.7m) in 2009, DKW warned.
Full-year earnings per share in 2008 have been estimated by DKW as slipping to EUR0.30 from EUR0.54 a year earlier.
The target price for C&C shares was upped, meanwhile, to EUR4.50 per share from EUR4.20 previously.
Late last week, C&C said that it will partner with Coors Brewers in the UK as its exclusive distributor for Draught Magners Original Irish Cider in the country. The roll-out will kick in during the summer.
Sectors: Beer & cider
Fortune Brands is to stop distributing Absolut vodka in the US this autumn, after agreeing to an early termination of its contract with new owner Pernod Ricard....
A bad start to the year has continued for Ireland's C&C Group, reporting cider revenue down 11% in its first half....
The top ten most visited stories on just-drinks this week:...
Top bottled water companies Nestlé Waters, Danone and Highland Spring, have launched a new industry lobbying association to jointly promote their sector....
Chivas Brothers, the Scotch whisky division of Pernod Ricard, has sold its Glendronach distillery to the BenRiach Distillery Company....
PepsiCo and its main bottling arm have said they have completed a deal to buy 75% of leading Russian juice firm Lebedyansky....
Diageo Australia is to take over all national distribution of Ketel One vodka and Ketel One Citroen from 1 September....
Brown-Forman, the US drinks group, has blamed a lack of fit and healthy agave plants for a 7% fall in its first quarter profit....
- When BRIC markets go horribly wrong
- What's coming up in spirits in 2017? - Comment
- Remy Cointreau's YTD performance - Focus
- Remy Cointreau's bellwether Q3 - analysis
- What's coming up in beer in 2017? - Comment
- Diageo closes spirits e-commerce portal in UK
- A-B InBev acquires Spain's Cervezas La Virgen
- Home entertaining offers drinks opp's - Diageo
- AB InBev targets South Africa with redundancy plan
- Pernod Ricard gives Beefeater 24 packaging revamp
- Global vodka insights - market forecasts, product innovation and consumer trends
- The Next Seven Big Beverage Markets
- Global gin insights - market forecasts, product innovation and consumer trends
- Opportunities in Craft Spirits
- Global Cognac insights - market forecasts, product innovation and consumer trends