Coca Cola 2013 Annual Report Download - page 133

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NOTE 19: OPERATING SEGMENTS
As of December 31, 2013, our organizational structure consisted of the following operating segments: Eurasia and Africa; Europe;
Latin America; North America; Pacific; Bottling Investments; and Corporate.
Segment Products and Services
The business of our Company is nonalcoholic beverages. With the exception of North America, our geographic operating segments
(Eurasia and Africa; Europe; Latin America; North America; and Pacific) derive a majority of their revenues from the
manufacture and sale of beverage concentrates and syrups and, in some cases, the sale of finished beverages. The North America
operating segment derives the majority of its revenues from the sale of finished beverages. Our Bottling Investments operating
segment is composed of our Company-owned or consolidated bottling operations outside of North America, regardless of the
geographic location of the bottler, and equity income from the majority of our equity method investments. Company-owned or
consolidated bottling operations derive the majority of their revenues from the sale of finished beverages. Generally, bottling and
finished product operations produce higher net revenues but lower gross profit margins compared to concentrate and syrup
operations.
The following table sets forth the percentage of total net operating revenues related to concentrate operations and finished
product operations:
Year Ended December 31, 2013 2012 2011
Concentrate operations138% 38% 39%
Finished product operations262 62 61
Net operating revenues 100% 100% 100%
1Includes concentrates sold by the Company to authorized bottling partners for the manufacture of fountain syrups. The bottlers then typically sell
the fountain syrups to wholesalers or directly to fountain retailers.
2Includes fountain syrups manufactured by the Company, including consolidated bottling operations, and sold to fountain retailers or to authorized
fountain wholesalers or bottling partners who resell the fountain syrups to fountain retailers.
Method of Determining Segment Income or Loss
Management evaluates the performance of our operating segments separately to individually monitor the different factors affecting
financial performance. Our Company manages income taxes and certain treasury-related items, such as interest income and
expense, on a global basis within the Corporate operating segment. We evaluate segment performance based on income or loss
before income taxes.
Geographic Data
The following table provides information related to our net operating revenues (in millions):
Year Ended December 31, 2013 2012 2011
United States $ 19,820 $ 19,732 $ 18,699
International 27,034 28,285 27,843
Net operating revenues $ 46,854 $ 48,017 $ 46,542
The following table provides information related to our property, plant and equipment — net (in millions):
Year Ended December 31, 2013 2012 2011
United States $ 8,841 $ 8,509 $ 8,043
International 6,126 5,967 6,896
Property, plant and equipment — net $ 14,967 $ 14,476 $ 14,939
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