Coca-Cola Amatil has restructured its beverage categories to be managed across each country of operation. The changes take place as Amatil completes a two-year transition phase and is targeting a return to mid-single digit earnings per share growth from 2020.
Following the divestment of food processor SPC in June, Amatil aims to reinforce the company’s regional beverages powerhouse strategy by “simplifying its manufacturing model and strengthening customer focus”.
All beverage categories would now be managed in line with geographic responsibilities, with the Australian based Alcohol and Coffee portfolios joining the Australian Beverages team under the leadership of Peter West; Alcohol and Coffee in New Zealand, Paradise Beverages in Fiji and Samoa, and the international alcohol sales team, will join the New Zealand and Fiji businesses under the leadership of Chris Litchfield; and the Coffee portfolio in Indonesia will be part of the Indonesian business, under the leadership of Kadir Gunduz.
Group MD Alison Watkins said with the conclusion of the two-year transition phase at the end of 2019, now was the right time to further integrate these businesses and use this new model to drive further growth for Amatil and brand partners.
“Our partnerships with Beam Suntory, Molson Coors International, Caffitaly and other brand partners, together with our Amatil owned brands such as Grinders and Feral, put us in a strong position in the alcohol and coffee categories, and we expect that to continue,” said Watkins.
“We’ve also worked closely with The Coca-Cola Company to implement the Australian Accelerated Growth Plan which sees our Australian Beverages business positioned for growth from 2020.”
Watkins said Amatil’s progress and achievements in these categories are a great credit to outgoing Alcohol and Coffee managing director Shane Richardson, who has led the business since 2014 and will now be leaving Amatil.
“I am very proud that we have taken the business from four per cent of Amatil earnings to almost ten per cent in this short time,” said Richardson.
“It is now a good time for me to look for my next challenge, knowing the team and the business is in great shape. I wish them every continued success in the future."
The organisational restructure will not affect Amatil’s portfolio range, availability or current or projected growth plans for the alcohol and coffee categories, said Watkins.