Mott's Buying Mauna La'I Brand Tropical Juice Drinks

Mott's Inc. (Stamford, CT), a division of London-based Cadbury Schweppes plc, has announced agreement to purchase the Mauna La'i brand from Mauna La'i Tropicals Ltd. The transaction is expected to be completed by mid-summer 2000 and does not include any manufacturing facilities or equipment.

Launched in 1986, Mauna La'i was originally a product of Ocean Spray Cranberries Inc. The brand was sold in 1997 to Mauna La'i Tropicals, but Ocean Spray continued to package the brand. After a short post-sale transition period, the Mauna La'i line will be produced at Mott's factories.

Mauna La'i products, with net sales in excess of $20 million last year, are marketed as authentic Hawaiian tropical juice drinks. Flavors include Island Guava, Paradise Passion and Mango Mango.

"Mauna La'i has displayed strong growth in recent years with 16% average annual volume growth since 1997," said Brad Irwin, president-Mott's. "The Mauna La'i brand is a proven winner and complements nicely our award-winning portfolio of juice products. We are excited about the potential for future growth which we believe could be significant."

The tropical juice drink segment continues to generate the highest growth rate in the beverage industry (16% over the 52-week period ending May 20, 2000) according to ACNielsen. If current growth rates are maintained, tropical juice drinks will become the third largest juice segment, behind cranberry/blend drinks and apple juice, within one to two years.

The acquisition of Mauna La'i comes approximately one year after Mott's parent, Cadbury Schweppes, purchased Hawaiian Punch from Procter & Gamble. Mott's currently produces, markets and sells the Hawaiian Punch products. Its sister company, Dr Pepper/Seven Up Inc., produces the concentrate for Hawaiian Punch bottlers.

Mott's is the nation's leading producer of branded applesauce and apple juice. Other well-known beverage products made by Mott's include Clamato, Holland House and Mr & Mrs T cocktail mixers.

For more info: Chris Curran, Mott's Inc., 203-968-7882.

Edited by Judy Rice