Mexico’s second largest Coke bottler, Arca, has said that it is planning to cut its costs by some US$32m and expand sales in anticipation of a share issue on the New York Stock Exchange.
The company’s chief executive, Garza Egloff, told Reuters that the company expected to increase sales volumes by 3% in 2003 against 2002.
“We want to grow, create savings but what we have to do most is to market better, sell more products,” Egloff said. “Later we can think about raising capital, issuing on the big market, the New York Stock Exchange.”
Egloff said the company had streamlined its operations by converting five of its 22 production plants into distribution centres. He said the company, which claims around 38% of the Mexican soft drinks market, was also looking to launch more profitable lines. The company’s target is to achieve annual cost savings of US$32m by the second half of 2004.
