Coca Cola 2013 Annual Report Download - page 50

Net Operating Revenues
Year Ended December 31, 2013, versus Year Ended December 31, 2012
The Company’s net operating revenues decreased $1,163 million, or 2 percent.
The following table illustrates, on a percentage basis, the estimated impact of key factors resulting in the increase (decrease) in
net operating revenues for each of our operating segments:
Percent Change 2013 vs. 2012
Structural Price, Product & Currency
Volume1Changes Geographic Mix Fluctuations Total
Consolidated 2% (3)% 1% (2)% (2)%
Eurasia & Africa 7% —% 2% (7)% 2%
Europe (1) — 5 — 4
Latin America 1 (1) 10 (8) 2
North America — (1) 1 — —
Pacific 5 (2) (4) (6) (7)
Bottling Investments 4 (18) 1 (1) (14)
Corporate * * * * *
* Calculation is not meaningful.
1Represents the percent change in net operating revenues attributable to the increase (decrease) in concentrate sales volume for our geographic
operating segments (expressed in equivalent unit cases) after considering the impact of structural changes. For our Bottling Investments operating
segment, this represents the percent change in net operating revenues attributable to the increase (decrease) in unit case volume after considering
the impact of structural changes. Our Bottling Investments operating segment data reflects unit case volume growth for consolidated bottlers only.
Refer to the heading ‘‘Beverage Volume’’ above.
Refer to the heading ‘‘Beverage Volume’’ above for additional information related to changes in our unit case and concentrate
sales volumes.
Refer to the heading ‘‘Structural Changes, Acquired Brands and New License Agreements’’ above for additional information
related to the structural changes.
Price, product and geographic mix had a favorable 1 percent impact on our consolidated net operating revenues. Price, product
and geographic mix was impacted by a variety of factors and events including, but not limited to, the following:
• Our consolidated results were unfavorably impacted by geographic mix as a result of growth in our emerging and
developing markets exceeding growth in our developed markets. The revenue per unit sold in our emerging markets is
generally less than in developed markets;
• Eurasia and Africa was favorably impacted as a result of price increases in a number of key markets partially offset by
unfavorable geographic mix;
• Europe was favorably impacted by the result of consolidating the juice and smoothie business of Fresh Trading Ltd.
(‘‘innocent’’) as well as price increases in certain markets;
• Latin America was favorably impacted as a result of pricing in all of our business units as well as inflationary environments
in certain markets; and
• Pacific was unfavorably impacted by geographic mix as well as shifts in product and package mix within individual markets.
The unfavorable impact of foreign currency fluctuations decreased our consolidated net operating revenues by 2 percent. The
unfavorable impact of changes in foreign currency exchange rates was primarily due to a stronger U.S. dollar compared to certain
other foreign currencies, including the South African rand, British pound, Brazilian real, Australian dollar and Japanese yen,
which impacted the Eurasia and Africa, Europe, Latin America, Pacific and Bottling Investments operating segments. The
unfavorable impact of a stronger U.S. dollar compared to the currencies listed above was partially offset by the impact of a
weaker U.S. dollar compared to certain other foreign currencies, including the euro and Mexican peso, which had a favorable
impact on our Europe, Latin America and Bottling Investments operating segments. Refer to the heading ‘‘Liquidity, Capital
Resources and Financial Position — Foreign Exchange’’ below.
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