Summary
The Coca-Cola Company (KO) filed an 8-K on April 1, 2019, to disclose a change in its operating segments effective January 1, 2019. The most significant change is the establishment of a new segment called 'Global Ventures.' This new segment will house the results from the recently acquired Costa Limited, along with the innocent and Doğadan businesses. Additionally, fees related to distribution coordination agreements with Monster Beverage Corporation will be included in Global Ventures.
Key Highlights
- 1Establishment of a new operating segment: Global Ventures.
- 2The Global Ventures segment includes the newly acquired Costa Limited (acquired January 3, 2019).
- 3Innocent and Doğadan businesses have been transferred to the Global Ventures segment.
- 4Fees earned from distribution coordination agreements with Monster Beverage Corporation are now part of Global Ventures.
- 5This change impacts the reporting of results across previous operating segments (EMEA, Latin America, North America, Asia Pacific) and Corporate.
- 6Unaudited reclassified operating segment and Corporate data reflecting these changes is attached as Exhibit 99.1.
- 7Information provided in this filing is not considered 'filed' for regulatory purposes under Section 18 of the Exchange Act or incorporated into other SEC filings unless specifically referenced.
Frequently Asked Questions
The primary reason for this filing is to inform investors about the establishment of a new operating segment, 'Global Ventures,' and the reallocation of certain businesses and revenue streams into this new segment, effective January 1, 2019.
The Global Ventures segment includes the results from Costa Limited (acquired in early January 2019), the innocent and Doğadan businesses, and fees from distribution coordination agreements with Monster Beverage Corporation.
This change means that the financial results previously reported under segments like Europe, Middle East & Africa (EMEA), Latin America, North America, and Asia Pacific, as well as Corporate, will now be partially reclassified under the new Global Ventures segment. Investors should refer to the reclassified data in Exhibit 99.1 for a clear view of segment performance under the new structure.
No, the information in this Form 8-K, including the attached exhibit, is not deemed 'filed' for purposes of Section 18 of the Securities Exchange Act of 1934. It is provided for disclosure purposes, and investors should be aware that it may not be automatically incorporated by reference into future SEC filings unless specifically stated.