12th December, 2003
THE COCA-COLA COMPANY TO MEET WITH INVESTORS
THE COCA-COLA COMPANY TO MEET WITH INVESTORS
Atlanta,
December
12, 2003 -
In a meeting with investors and analysts to be held today, the executive leadership team of The Coca-Cola Company will discuss its key growth drivers, including its focus on profitable volume growth, aggressive cost management, and its ability to leverage the Company's efficient capital structure. The Company will review its financial fundamentals, the strategies that support the Company's long-term earnings per share growth objective of 11%-12% and the reasons why the Company is poised for a strong year in 2004. The following factors will also be discussed that are expected to impact results in 2004:
Effective Tax Rate - As previously reported by the Company, the underlying effective tax rate on operations is expected to be no more than 25.5% in 2004, as compared to approximately 22% in the current year.
Share Repurchase - The Company expects cash from operations to remain strong in 2004, thus allowing the Company to accelerate the level of its share repurchase activity to at least $2 billion.
Currencies - Based on current exchange rates, the Company anticipates that currencies will provide a positive benefit to earnings in 2004.
Stock-based Compensation Expenses - The Company currently anticipates that stock-based compensation expenses in 2004 will be similar to the current year level.
Pension and Postretirement Expenses - As is routine, the Company expects to continue maintaining a fully funded pension plan by contributing as much as $125 million to its pension plan next year. Pension and postretirement expenses are expected to increase by approximately $30 - $40 million in 2004.
Capital Expenditures - Capital expenditures for 2004 are expected to be similar to the current year. Over the next five years, the Company does not anticipate any significant increases in the annual level of capital expenditures.
Bottler Economics - As the Company continues to work effectively with its partners to drive profitable growth and create more efficiencies in the system, the Company remains confident in the improving health of the Coca-Cola bottling system.
Future Earnings Guidance
Consistent with its previously stated policy, the Company does not provide quarterly or annual earnings per share guidance.
Year-End Earnings Release
The Company's 2003 year-end earnings release is currently scheduled to be issued on February 11, 2004, before the stock market opens.
Investor Meeting
This meeting will be held at approximately 11:00 a.m. (EST). The Company invites investors to listen to the live audiocast of the meeting at the Company's website, www.coca-cola.com in the "investors" section. Further, the "investors" section of the Company's website includes a disclosure and reconciliation of non-GAAP financial measures that may be used periodically by management when discussing the Company's financial results with investors and analysts.
The Coca-Cola Company
The Coca-Cola Company is the world's largest beverage company. Along with Coca-Cola, recognized as the world's best-known brand, The Coca-Cola Company markets four of the world's top five soft drink brands, including diet Coke, Fanta and Sprite, and a wide range of other beverages, including diet and light soft drinks, waters, juices and juice drinks, teas, coffees and sports drinks. Through the world's largest distribution system, consumers in more than 200 countries enjoy the Company's beverages at a rate exceeding 1 billion servings each day. For more information about The Coca-Cola Company, please visit our website at www.coca-cola.com.
Forward-Looking Statements
This press release may contain statements, estimates or projections that constitute "forward-looking statements" as defined under U.S. federal securities laws. Generally, the words "believe," "expect," "intend," "estimate," "anticipate," "project," "will" and similar expressions identify forward-looking statements, which generally are not historical in nature. Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from The Coca-Cola Company's historical experience and our present expectations or projections. These risks include, but are not limited to, changes in economic and political conditions; changes in the nonalcoholic beverages business environment, including actions of competitors and changes in consumer preferences; product boycotts; foreign currency and interest rate fluctuations; adverse weather conditions; the effectiveness of our advertising and marketing programs; fluctuations in the cost and availability of raw materials; our ability to achieve earnings forecasts; regulatory and legal changes; our ability to penetrate developing and emerging markets; litigation uncertainties; and other risks discussed in our Company's filings with the Securities and Exchange Commission (the "SEC"), including our Annual Report on Form 10-K, which filings are available from the SEC. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Coca-Cola Company undertakes no obligation to publicly update or revise any forward-looking statements.
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