A NEW COMPANY:
CCU AND NESTLÉ WATERS JOIN FORCES TO
STRENGTHEN BOTTLED WATER BUSINESS IN CHILE
Santiago, 5th December 2007. CCU and NESTLÉ today announce the start of a strategic partnership to develop the bottled water business in Chile via the creation of a new joint public limited company know as CCU-Nestlé Chile S.A., a subsidiary of Embotelladoras Chilenas Unidas S.A. (ECUSA).
CCU, through its subsidiary ECUSA, will contribute its current bottled water assets to the partnership. These consist mainly of the Cachantun and Porvenir brands, in addition to plants and mineral water sources. For its part NESTLÉ will provide the new partnership with a licence to produce and market water in Chile under the brand Nestlé Pure Life.
For NESTLÉ this partnership ties in with the strategy to increase its presence in the bottled water industry in Latin America. Nestlé Chile Chief Executive Officer, Fernando del Solar, pointed out that, “The partnership signifies Nestlé’s investment in an area in which it is the world leader, and at the same time, strengthens its extensive product range in the area ofNutrition, Health and Wellness, the company’s strategic focus”.
For CCU, this partnership will allow its subsidiary ECUSA to increase its product portfolio and strengthen its position in Chile’s bottled water market.
“This partnership will allow us to continue growing in an area with huge potential and in a market where consumers are more and more interested in products which help them to have a healthier lifestyle, healthier eating habits and access to natural products”, saidPatricio Jottar, Chief Executive Officer of CCU.
NESTLÉ and CCU share a similar business philosophy and vision in which relations with the community, its employees and consumers play a significant role in their approach.
Nestlé Waters, the bottled water division of Nestlé SA accounts for nearly 10% of the Group’s consolidated sales, manages a portfolio of 72 brands bottled at 105 production sites, and employs a workforce of 32,000.
CCU is a diversified beverage business operating in Chile and Argentina with operations in the areas of beer, carbonated drinks, juices and nectars, wine, pisco, mineral and purified water, functional products and confectionary. With over 150 years’ experience, CCU has plants, offices and warehouses throughout the country and serves around 94 thousand customers in Chile.