Coca Cola 2004 Annual Report Download - page 121

GLOSSARY
As used in this report, the following terms have the meanings indicated.
Bottling Partner or Bottler: businesses that buy concentrates (sometimes referred to as beverage bases) or syrups
from the Company, convert them into finished packaged products and sell them to customers.
Carbonated Soft Drink: nonalcoholic carbonated beverage (sometimes referred to as soft drinks) containing
flavorings and sweeteners. Excludes, among others, waters and flavored waters, juices and juice drinks, sports
drinks, and teas and coffees.
The Coca-Cola System: the Company and its bottling partners.
Coca-Cola Trademark Beverages: cola-flavored Company Trademark Beverages.
Company: The Coca-Cola Company together with its subsidiaries.
Company Trademark Beverages: beverages bearing our trademarks and certain other beverage products licensed
to our Company or owned by our bottling partners and distributors, for which our Company provides marketing
support and derives profits from the sales.
Concentrate: material manufactured from Company-defined ingredients and sold to bottlers to prepare finished
beverages through the addition of water and, depending on the product, sweeteners and/or carbonated water
marketed under trademarks of the Company.
Consumer: person who drinks Company products.
Cost of Capital: after-tax blended cost of equity and borrowed funds used to invest in operating capital required
for business.
Customer: retail outlet, restaurant or other operation that sells or serves Company products directly
to consumers.
Derivatives: contracts or agreements, the value of which may change based on changes in interest rates,
exchange rates, prices of securities, or financial or commodity indices. The Company uses derivatives to reduce
our exposure to adverse fluctuations in interest and exchange rates and other market risks.
Fountain: system used by retail outlets to dispense product into cups or glasses for immediate consumption.
Gallons: unit of measurement for concentrates, syrups, beverage bases, finished beverages and powders (in all
cases, expressed in equivalent gallons of syrup) for all beverage products which are reportable as unit case volume.
Gross Profit Margin: gross profit divided by net operating revenues.
Market: when used in reference to geographic areas, territory in which the Company and its bottling partners
do business, often defined by national boundaries.
Net Capital: shareowners’ equity added to net debt.
Net Debt: total debt less the sum of cash, cash equivalents and current marketable securities.
Noncarbonated Beverages: nonalcoholic beverages without carbonation including, but not limited to, waters and
flavored waters, juices and juice drinks, sports drinks, and teas and coffees.
Operating Margin: operating income divided by net operating revenues.
Per Capita Consumption: average number of servings consumed per person, per year in a specific market. Per
capita consumption of Company beverage products is calculated by multiplying our unit case volume by 24, and
dividing by the population.
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