Annual Review 2013

Alejandro • Gianmarco • Julia • Keyang • Quentin • Stefan • Verena

Team C

Overview

• Headquarter: Atlanta, Georgia• Shares price 2013: 44.01 $• Market Cap: 196.40B $• Competitors:

Industry/Sector

Industry: Non-Alcoholic Beverages• Global beverage volume sales 2013: 1901B liters• Global Revenue 2013: 1053.6B $• Projected growth for 2014: 3.8%

Sector: Non-Cyclical Consumer Goods• Index 2013: 12.13%• Top Players: P&G, The Coca-Cola Co,

PepsiCo Inc.

General Strategy

• Accelerate sparkling growth, led by brand Coca-Cola• Strategically expand our profitable still portfolio• Increase media investments by maximizing

productivity• Win at the point of sale by unlocking the power of the

Coca-Cola system• Invest in our next generation of leaders

Performance

USD in million 2010 2011 2012 2013 CAGRNet Revenue 35,119 46,542 48,017 46,854 7%Gross Profit 22,426 28,327 28,964 28,433 6%Gross Margin 64% 61% 60% 61% -EBIT 14,940 11,875 12,206 11,940 -5%EBIT Margin 43% 26% 25% 25% -

Working Capital Days & Changes on Cash flow

Based on USD 2013 Coca-Cola Industry DiffAverage collection period (days) 38 d 42 d -5 dAverage inventory period (days) 65 d 50 d 14 dAverage payment period (days) 38 d 62 d -24 dWorking capital days 64 d 31 d 33 d

Fixed Asset Analysis

$ 90,055M$ 86,174M$ 86,174M

$ 90,055M

Fixed Asset Analysis 2010 2011 2012 2013Fixed asset turnover 2.4 3.2 3.3 3.2

Depreciation / Capex 31.5% 40.7% 13.4% 13.4%

Years to depreciate existing net fixed assets 10.2 years 7.6 years 7.3 years 7.6 years

ProfitabilityProfitability 2010 2011 2012 2013 Ind vs 2013 EBI margin 40.6% 24.6% 24.6% 24.5% - Turnover ratio 0.58 0.61 0.56 0.52 -ROA 27.3% 15.5% 10.5% 9.5% 9.1%Financial Leverage 15.0% 11.9% 16.7% 16.1% 17.9%ROE 42.3% 27.4% 27.2% 25.7% 27.0%

Market Ratios

Price 44.01 PER 24.41Volume 14.25M EPS 1.8Market Cap 196.40B Beta 0.47

Shares 4.38B Dividend Yield 2.77

Market Data 2014

CompetitorsUSD in millions Coca-Cola Pepsi DiffNet Revenue 46,854$ 66,415$ -29%EBIT 11,940$ 9,135$ 31%

Mark Cap 196.40B 147.50B 48.9BEPS 1.80 4.52 -2.72PER 24.41 21.60 2.81

Receivables days 38 d 36 d 2 dInventory days 65 d 41 d 24 d

ROA 9.50% 8.86% 0.64 ppFinancial Leverage 16.20% 20.13% -3.93 ppROE 25.70% 28.99% -3.29 pp

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Conclusion1. Increase net revenue by 4%.This will lead to:• Increase in EBIT by 2% • Decrease in the number of Inventory days by 2• Increase in ROE by 1%• Strong position in both commercial and financial

markets2. In order to keep the debt risk low the company should follow a “prudent” policy

3. Dividends policy is attractive to investors

Christmas is coming