Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Path: utzoo!watmath!clyde!cbatt!cbosgd!ihnp4!alberta!sask!zaphod!dkatz From: dkatz@zaphod.UUCP (Dave Katz) Newsgroups: net.misc Subject: Re: Coke, classic coke and new coke Message-ID: <709@zaphod.UUCP> Date: Tue, 19-Aug-86 14:04:37 EDT Article-I.D.: zaphod.709 Posted: Tue Aug 19 14:04:37 1986 Date-Received: Fri, 22-Aug-86 04:22:49 EDT References: <332@encore.UUCP> Reply-To: dkatz@zaphod.UUCP (Dave Katz) Organization: Develcon Electronics, Saskatoon SK Canada Lines: 44 An alternate theory which I heard for why the new Coke / Coke Classic situation occurred is as follows: 1. Coca-Cola was locked into several old contracts to provide the syrup for their soft drink (for lack of a contract to read from, call it "Coke"). The contracts had two important features: i. The syrup was to be provided to the bottlers AT A FIXED PRICE (possibly applies to only some contracts with bottlers but not all) ii. Coca-Cola reserved the right to change the formula for the syrup at any time. 2. Coca-Cola was losing money (profits) honoring these contracts because of increased materials costs for producing the syrup. 3. Coca-Cola changed the formula for Coke within their rights according the contract. This formula MAY have been chosen to be less than acceptable to the public. 4. Coca-Cola releases a formula for a "new" soft drink to be known by the trade name "Coke Classic" (or some variation). The formula is altered from the original Coke to avoid legal problems but is LIKELY more acceptable to the public 5. Coca-Cola now negotiates new variable-price contracts with the bottlers who are anxious to have the product because the level of customer disatisfaction with the new Coke formula is threatening their profits. NOTE: the above is merely speculation on the events which MAY have occurred and does not represent any specific knowledge of the events or intentions of any of the involved parties. Any resemblance to persons, places or companies that may in fact exist is purely coincidental!!! But would you want your sister to drink one? D. Katz