Coca-Cola North America began refranchising operations in 2013

Coca-Cola North America began refranchising operations in 2013

The Coca-Cola Co has completed the refranchising of company-owned bottling operations in the US market.

The soft drinks firm said today that the final three US territory deals closed over the weekend. Coca-Cola North America's refranchising plan will end with the completion of transactions in Canada and the US Virgin Islands - expected in the first half of 2018. 

The latest three deals in the US include:

  • New bottler Liberty Coca-Cola Beverages, which began operations in New York, New Jersey and the metro Philadelphia area. This is the former tri-state metro operating unit of Coca-Cola Refreshments (CCR).
  • Reyes Coca-Cola Bottling took on new bottling territories in California and Nevada, which were previously operated by CCR. Reyes added to its existing operations in parts of six Midwestern states, including Chicago, Detroit, Minneapolis and Milwaukee.
  • Swire Coca-Cola, USA closed on an additional production facility in Colorado, adding to its existing bottling operations across six Western states.

"Transforming to our new 21st Century Beverage Partnership Model makes our routes to market and our national and local partner touch points stronger than they've ever been," said Todd Beiger, SVP, system transformation, Coca-Cola North America. "The energy brought by our system partners during the refranchising process has been truly inspiring, and we're excited to carry the momentum into our new operating model."

The company said US refranchising efforts comprised 60 transitions, which include 350 distribution centres, around 50 production facilities and more than 55,000 employees.

Coca-Cola's bid to return bottler territory to franchise partners started in North America in 2013

The Coca-Cola Co's Q3 2017 performance by region - results data