Coca-Cola Amatil and its US partner The Coca-Cola Co will this week launch their first new cola product for seven
years as chief executive Alison Watkins releases the outcome of a strategic review that is likely to involve major job cutss
Analysts are expecting Ms Watkins to detail plans to slash capital expenditure and cut costs by at leaset $ 100 million
over three years by centralising production, streamlining supply chain and support costs, and culling products and brands
to free up founds to reinvest in marketing and new initiatives to drive volume growth.
She announced the strategic review after issuing a 15 per cent profit warning in April,two months after taking the helm
at Coca-Cola Amatil from long-serving chief executive th Terry Davis.
Analysts expect Coca-Cola Amtil and its US partner to unveil new products,including Coke life,its first new cola variety
since the highly successful launch of Coke Zero in 2006.
Coca-Cola Amatil registrered the Coca-Cola Life brand earlier this year and has been evaluating its performance in other
markets over the last few months.
Analysts say the company would need to launch Coke Life in October or November to take advantage of the seasonal
surge in soft-drink consumption.
Moringstar analyst Daniel Mueller believes Coke Life,which is sweetened with stevia and has 60 per cent fewer calories
than regular Coke , will appeal to Australian consumers demanding low-calorie, low-sugar soft drinks.Credit Suisse analyst
Larry Gandler is more sceptical,pointing to the launch of stevia-sweetened Pesi Next.
