. Coca-Cola FEMSA purchases all its cans from Fábricas de Monterrey, S.A. de C.V. and Envases Universales de México, S.A.P.I. de C.V., through Promotora Mexicana de Embotelladoras, S.A. de C.V. (PROMESA), a cooperative of Coca-Cola bottlers, in which, as of April 8, 2016, the company held a 35% equity interest. Coca-Cola FEMSA primarily purchases its glass bottles from Vitro America, S. de R.L. de C.V.; FEVISA Industrial, S.A. de C.V.; and Glass & Silice, S.A. de C.V. Coca-Cola FEMSA purchases sugar from, among other suppliers, Promotora Industrial Azucarera, S.A. de C.V. and Beta San Miguel, S.A. de C.V., both sugar cane producers in which, as of April 8, 2016, it held a 36.3% and 2.7% equity interest, respectively. Coca-Cola FEMSA purchases HFCS from Ingredion México, S.A. de C.V.; Almidones Mexicanos, S.A. de C.V.; and Cargill de México, S.A. de C.V. Coca-Cola FEMSA purchases all of its cans from PROMESA. In Costa Rica, it acquires plastic non-returnable bottles from Alpla C.R. S.A., and in Nicaragua it acquires such plastic bottles from Alpla Nicaragua, S.A. South America (excluding Venezuela): Coca-Cola FEMSA purchases plastic bottles from Amcor Rigid Plastics de Colombia, S.A. and Tapón Corona de Colombia S.A. It purchases all of its cans from Crown Colombiana, S.A., which are only available through this local supplier. Coca-Cola FEMSA purchases plastic preforms, as well as returnable plastic bottles, at competitive prices from Andina Empaques S.A., a local subsidiary of Embotelladora Andina S.A., a Coca-Cola bottler with operations in Chile, Argentina, Brazil and Paraguay, and other local suppliers. Coca-Cola FEMSA also acquires plastic preforms from Alpla Avellaneda, S.A. and other suppliers, such as AMCOR Argentina. Venezuela: Coca-Cola FEMSA buys glass bottles from one local supplier, Productos de Vidrio, S.A., the only supplier authorized by The Coca-Cola Company. Coca-Cola FEMSA acquires majority of its plastic non-returnable bottles from Alpla de Venezuela, S.A. and majority of its aluminum cans from a local producer, Dominguez Continental, C.A. Business Strategy Coca-Cola FEMSA’s strategic framework for growth in the Philippines is based on three pillars, such as portfolio, route to market and supply chain. Coca-Cola FEMSA’s strategy is to foster consumption of single serve presentations while maintaining multiple serving volumes. Seasonality Sales of the company’s products are seasonal in all of the countries where it operates, as its sales volumes generally increase during the summer of each country and during the year-end holiday season. In Mexico, Central America, Colombia and Venezuela, the company typically achieves its highest sales during the summer months of April through September, as well as during the Christmas holidays in December. In Brazil and Argentina, its highest sales levels occur during the summer months of October through March and the year-end holidays in December. Competition Mexico and Central America: The company competes with Organización Cultiba, S.A.B. de C.V., a joint venture formed by Grupo Embotelladoras Unidas, S.A.B. de C.V.; and Empresas Polar, S.A. The company’s primary competition in the juice category in Mexico is Grupo Jumex. In the water category, Bonafont, a water brand owned by Grupo Danone, is the company’s primary competition. In addition, the company competes with Cadbury Schweppes in sparkling beverages and with other national and regional brands in its Mexican territories, as well as B brand producers, such as Ajemex, S.A. de C.V. and Consorcio AGA, S.A. de C.V. In the countries that comprise the company’s Central America region, its primary competitors are Pepsi and Big Cola bottlers. In Guatemala and Nicaragua, the company competes with a joint venture between AmBev and The Central American Bottler Corporation. In Costa Rica, its principal competitor is Florida Bebidas S.A., subsidiary of Florida Ice and Farm Co. In Panama, its primary competitor is Cervecería Nacional, S.A. South America (excluding Venezuela): The company’s principal competitor in Colombia is Postobón. The company also competes with low-price produc
fomento economico mexica-ubd
General Anaya No. 601 Pte.
Colonia Bella Vista
Monterrey, NL 64410
Phone: 52 818 328 6000
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