SUI: Nestlé silent on future of Coke venture

By just-drinks.com editorial team | 23 June 2006

Nestlé has refused to comment on reports that it is in talks with Coca-Cola Co. over the future of its drinks venture.

The Swiss consumer goods giant was reported to have been in discussions with Coke on its under-performing venture, Beverage Partners Worldwide, which markets Nestea iced teas and coffees worldwide.

However, a Nestlé spokesman refused to be drawn on the reports and said: "As in any joint venture, the two parties are in constant discussions to enhance the success of the venture."

US reports said that Nestea sales had slumped in the first quarter of the year, in stark contrast to a buoyant bottled teas category. The Nestlé spokesman again declined to comment. "We are not a publicly-held company, so there is no call for us to reveal anything," he told just-drinks today (23 June).

Coke officials could not be reached for comment as just-drinks went to press. The company's CEO Neville Isdell yesterday pinpointed the teas category as key in driving sales. Coke has found it tough to grow core carbonated soft drinks, as consumers shy away from the category.

Sectors: Soft drinks, Water