Peru a governance test shy of frontier status

October 20, 2015

For an economy set to best its main Latin rivals, Peru’s stock market is so messy MSCI may soon downgrade it to Nigeria and Pakistan levels. Thanks to a sweetheart deal Coca-Cola has launched that shafts investors, Peruvian authorities have a chance to show capital is welcome.

Coke’s sparkling H2O talk is a bit too fizzy

August 27, 2015

The soft-drinks giant has done more than many corporations to nurture water resources. Now CEO Muhtar Kent reckons he can hit Coke’s goal of replenishing every liter it uses five years early. But the company’s claim that it will be water neutral doesn’t yet pass the taste test.

Coke challenge goes beyond revising pay plan

October 3, 2014

The beverage giant has backed off its controversial executive compensation scheme. That’s a win for Warren Buffett, investor David Winters and the company’s other shareholders. But the quibbles with Coke don’t end with excessive pay. Costs loom as the next activist target.

Coke investment reveals half-empty idea bottle

August 15, 2014

The beverage behemoth is paying $2.2 bln for 17 pct of the trendy energy-drink maker Monster. It goes to show that even a $176 bln global powerhouse with significant distribution and marketing advantages can struggle to stay ahead. At least Coke got the deal formula right.

Rob Cox: Coke takes fizz out of shareholder spring

April 24, 2014

Just as investors seemed to break through entrenched boards’ barricades, Coca-Cola owners - shockingly led by Warren Buffett - turned to jelly. A failure to challenge the transfer of vast wealth to 6,400 Coke soda jerks shows the agency problem still plagues Corporate America.

Buffett loses his voice – and maybe some sway

April 23, 2014

The Omaha billionaire said he didn’t vote against Coca-Cola’s controversial pay plan even though he disagreed with it, for fear of sending a wrong signal about the CEO. That’s an odd message to convey. It doesn’t mean Coke shouldn’t hear what its largest owner is saying, though.

Coca-Cola deserves protest vote one way or another

April 23, 2014

Several shareholders object to the $180 bln drinks giant’s equity pay plan. Some want the chairman and CEO jobs split. Nearly a quarter dissed top executives’ comp last year. With the stock underperforming, it’s no wonder investors are grouchy ahead of Wednesday’s annual meeting.

Monster shouldn’t be Coke’s tipple of choice

May 1, 2012

The century-old beverage giant could use a youth elixir, but it isn’t about to buy the hip and expensive energy-drink maker Monster. That sounds mature - in a good way. Better to create something than pay more than $11 bln, plus a premium, for a faddish brand that could flame out.

Coke and David Einhorn sing in perfect disharmony

February 7, 2014

To feel good spending $1.3 bln for a minority stake in Green Mountain Coffee, the soft drink giant must have answered some nagging questions posed by the hedge fund manager in 2011. Investors seem to reckon Coca-Cola did its diligence. P&G and HP have shown how much it matters.