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Coca-Cola has its worst day in a decade



Shares of Coca-Cola dropped 8% on the news, marking their worst trading day since October 2008.

Global companies like McDonald's (MCD) and others have warned that a hard Brexit will lead to "significant" disturbances in their supply chains. And businesses are on the verge when US and Chinese dealers try to find a deal before the beginning of March, when the US government is due to sharply increase tariffs on Chinese goods.
Customs duties already imposed by the two countries have caused major disruptions to businesses and the steering wheel financial markets.
CEO James Quincey on Thursday called the forecasts "cautious" on a conference call with investors discussing the fourth quarter and full-year results for 201
9. This year, "will be more volatile and insecure than in 2018," Quincey said on CNBC's "Squawk on the Street" Thursday morning.
Coca-Cola's sales fell by 6% to $ 7.1 billion for the last three quarters of 2018, and fell 10% to $ 31.9 billion for the year. Coca-Cola owed the decline in the cost of refinancing its bottling system and the strong dollar.
  Coca-Cola said that the costs of refinancing its bottling system contributed to a decrease in revenue last year. Photo by Kirill Kukhmar TASS via Getty Images

Quincey is "pleased with our strong organic revenue and earnings growth in 2018", he said in a statement and added that they "show progress in our transformation as a consumer-centric total beverage company . "

Coca-Cola ( KO ) has expanded its offerings as consumers depart from sugary soda. It has been focusing on lower calories and sugary drinks in particular.

Coca Cola Zero Sugar had its best year ever in 2018, said Quincey CNBC. The non-sugar product has been particularly successful, consistent leading growth for the company.

And last year the company agreed to buy British-based Costa Coffee (the completed sale last month). It also took a share in the energy drink BodyArmor to compete with Pepsi's Gatorade. And Coca-Cola is thinking of developing an energy drink itself.
It has also recently launched a new flavor, Orange Vanilla, designed to keep consumers from draining cola when looking for variety.

Meanwhile, sales of their more traditional drinks have been delayed. In North America, juice, dairy, plant-based beverages and tea went down in volume over the last three months of 2018.


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