Deutsche Bank Posts Follow-Up on Alleged Tampering of Coca-Cola Products in China
Deutsche Bank has published a follow-up report on Coca-Cola (NYSE: KO) regarding its November 30, 2011 report stating that Coca-Cola beverages were tampered with in China.
In the report, Deutsche Bank writes, "police are investigating after a child in the city of Changchun was killed and three other people were sickened in the incident. Dangerous substances were added to Coca-Cola's Minute Maid strawberry-flavored pulpy milk beverage branded "Guoli Naiyou", according to a statement posted on a website affiliated to the Jilin provincial government. Coca-Cola Company has said that the tests showed the death and illness were not related to the quality of its product. Coca-Cola reviewed production and warehousing processes, checked retained samples of production batches and had tests conducted by the China National Center for Food Quality Supervision and Testing."
Deutsche Bank maintains its Buy rating and $75 price target on Coca Cola, which is currently trading up $0.39 from yesterday's $66.31 closing price.
