Coca-Cola Offers Added Letter of Intent with US Bottling Partners, Terms Not Disclosed

The Coca-Cola Company today announced that it has taken additional stepstoward the implementation of a 21^st Century Beverage Partnership Model in theUnited States.As part of this model, The Coca-Cola Company has agreed in principle withthree U.S. bottlers to continue granting new, expanded territories. Thesebottlers are Coca-Cola Bottling Company High Country, Coca-Cola BottlingCompany United and Swire Coca-Cola USA.Additionally, The Coca-Cola Company has agreed in principle to the granting ofexpanded territories to four new expanding U.S. bottlers. These bottlers areAtlantic Coca-Cola Bottling Company, Chesterman Company, The Odom Corporationand Ozarks Coca-Cola Bottling Company."We have made significant progress toward the implementation of our 21^stCentury Beverage Partnership Model in the U.S., which continues to strengthenour franchise system," said Muhtar Kent, Chairman and Chief Executive Officer,The Coca-Cola Company. "We will move forward with our refranchising plans inthe U.S. as we implement a more agile, modern, customer-focused beveragepartnership model."Consistent with prior transactions, in the newly granted territories TheCoca-Cola Company and these bottlers will work collaboratively to implementkey elements of this evolving U.S. operating model, including: * More rational and contiguous operating territories * A grant of exclusive territory rights and the sale by Coca-Cola Refreshments (CCR) of distribution assets and cold drink equipment * A finished goods model under which production assets will remain with CCR * An improved, more integrated information technology platform * A new beverage agreement that supports the evolving operating model"Today marks another significant milestone in the evolution of our U.S.operations as we align for growth with partners that have demonstratedsuccess, taken a generational view and consistently invested in capabilitiesand leadership," said Sandy Douglas, President, Coca-Cola North America."These four new expanding bottling partners – Atlantic, Chesterman, Odom andOzarks – bring deep local knowledge and have demonstrated both outstandingcommercial capabilities and consistent, sustainable success within theircommunities."These new territories generally border these bottlers' existing territories,allowing each bottler to better service local customers and provide moreefficient execution. * Coca-Cola Bottling Company High Country will assume additional territory in South Dakota, North Dakota (including the Fargo and Bismarck markets), and Minnesota * Coca-Cola Bottling Company United will assume additional territory in Louisiana, including the New Orleans and Shreveport markets, and territory in the Tallahassee, Florida market * Swire Coca-Cola USA will assume additional territory in Arizona, including the Phoenix and Tucson markets * Atlantic Coca-Cola Bottling Company will assume new territory in Iowa and southern Minnesota * Chesterman Company will assume new territory in Nebraska and western Iowa, including the Omaha and Lincoln markets * The Odom Corporation will assume new territory in the Hawaiian Islands including Oahu, Hawaii, Kauai, and Molokai * The Ozarks Coca-Cola Bottling Company will assume new territory in Missouri, northern Arkansas and southeast KansasThe new transactions announced today are subject to the parties reachingDefinitive Agreements. The parties are committed to working together toimplement a smooth transition with minimal disruption for customers, consumersand System associates. Financial terms were not disclosed.