Coca-Cola Bottling Co. Consolidated (Nasdaq: COKE) today announced results for the second quarter and first half of 2000. Net income was $6.3 million for the second quarter and $4.4 million for the first half, up 2.5% and 159% respectively. On a per share basis, earnings per share were $.72 for the second quarter, even with prior year, and $.50 for the first half, up 150% versus the prior year.

The results for the second quarter and first half reflect lower volume and higher net selling prices. On a constant territory basis, volume is down 6.8% in the second quarter and 7.0% in the first half. The second quarter was impacted by a labor strike in portions of the Company's territory in West Virginia, Ohio and Kentucky, representing approximately 7% of total volume. Although the Company has continued to operate the territory with management personnel, sales have been negatively impacted and the Company is incurring additional expenses. Excluding the branches directly affected by the strike, volume is down 5% for the second quarter and 5.9% on a year-to-date basis. Operating expenses have also been impacted by a reduction in marketing funding from The Coca-Cola Company.

J. Frank Harrison, III, Chairman and CEO, said that he was pleased with the Company's performance through June. Mr. Harrison said, "while comparable volume was down 5% in the quarter, this decline follows several years of accelerated growth. For the second quarter of 1999 and 1998 the Company's volume grew 7% and 14%, respectively. The Company's volume, when viewed over the past few years has been significantly stronger than industry averages, despite the declines we have experienced this year. I believe we will see better volume performance in the second half as prior year hurdles become easier and consumers and customers become more accustomed to higher prices."

James L. Moore, President and COO, said that net revenue per case was up about 8.5% for the second quarter and 9% for the first half of 2000. Mr. Moore said that although these increases are larger than those reported by other publicly held bottling companies, the Company's net price increases are generally comparable, when viewed over a two-year period.

Mr. Moore also said that he expects solid free cash flow as the Company has materially reduced capital spending in an effort to improve returns and gear the Company's asset base to the lower volume in 2000. Mr. Moore said, "the fact that we have already reduced debt by $14 million through June, the period when our debt is historically highest for the year, bodes well for full year free cash flow results."

Forward-looking statements.

Included in this news release are several forward-looking management comments and other statements that reflect management's current outlook for future periods. These expectations are based on the current available competitive, financial and economic data along with the Company's operating plans, and are subject to future events and uncertainties. Among the events or uncertainties which could adversely affect future periods are: lower-than- expected net pricing resulting from increased marketplace competition, an inability to meet performance requirements for expected levels of marketing support payments from The Coca-Cola Company, material changes from expectations in the cost of raw materials and ingredients, higher than expected fuel prices, an inability to meet projections for performance in newly acquired territories and unfavorable interest rate fluctuations. The forward-looking statements in this news release should be read in conjunction with the detailed cautionary statements found on page 19 of the Company's 1999 Annual Report to shareholders.

 Coca-Cola Bottling Co. Consolidated
 CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
 In Thousands (Except Per Share Data)
 
 
                                Second Quarter              First Half
                             2000         1999          2000         1999
 
     Net sales            $ 270,933     $ 261,037    $ 499,117     $ 481,300
     Cost of sales          143,002       145,391      265,245       273,502
     Gross margin           127,931       115,646      233,872       207,798
     Selling, general and
      administrative
      expenses               83,815        74,859      158,057       143,083
     Depreciation expense    16,224        14,266       32,314        28,914
     Amortization of goodwill
      and intangibles         3,666         3,346        7,330         6,608
     Income from operations  24,226        23,175       36,171        29,193
 
     Interest expense        13,618        12,450       27,554        24,145
     Other income (expense),
      net                      (786)       (1,239)      (1,805)       (2,454)
     Income before income
      taxes                   9,822         9,486        6,812         2,594
     Federal and state income
      taxes                   3,505         3,320        2,452           908
     Net income              $6,317        $6,166       $4,360        $1,686
 
     Basic net income
      per share                $.72          $.72         $.50          $.20
 
     Diluted net income per
      share                    $.71          $.71         $.50          $.20
 
     Weighted average number of
      common shares
      outstanding             8,733         8,519        8,733         8,442
 
     Weighted average number of
      common shares
      outstanding - assuming
      dilution                8,837         8,638        8,785         8,563
 
     Income from operations $24,226       $23,175      $36,171       $29,193
     Amortization of goodwill
      and intangibles         3,666         3,346        7,330         6,608
     Depreciation expense    16,224        14,266       32,314        28,914
 
     Operating cash flow    $44,116       $40,787      $75,815       $64,715