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....
- Coca-Cola pressure builds as bid rumours swirl
- Gin: Plymouth's from Plymouth, London's from...?
- Why Chinese beverages won't conquer the world
- Fireball Recall: Putting Out Fire with Anti-Freeze
- Interview: Distell Vineyards & Estates' CEO
- Anheuser-Busch InBev cuts jobs in US shake-up
- Diageo targets Millenial women with Baileys push
- William Grant unveils bespoke Glenfiddich website
- Diageo unveils Ciroc in Times Square push
- NPD - DeLeon Tequila's Platinum and Reposado
- Early Signals: future scenarios that will drive consumption and product innovation over the next five years
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends research
- Global Beer Opportunities: Beyond Standard Lager
- The IWSR Global Trends Report 2014
- Global Cognac insights - market forecasts, product innovation and consumer trends research