BevNET Magazine Jan-Feb 2012

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FEBRUARY 10, 2012

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THE PEPSI PENDULUM

MAGAZINE

EXPERT INSIGHT: NUMBERS RULE

2012 SERVICE & SUPPLIER GUIDE

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JAN. – FEB. 2012 M

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Contents • Volume

E

10 • No. 1

Columns 4 FIRST DROP You Can Be Nice 6 PUBLISHERS TOAST Barry on Business Plans 18 GERRY’S INSIGHTS The Pepsi Pendulum

Departments 8 BEVSCAPE INNOVATION Tweet Adventures 22

10 BEVSCAPE BUSINESS Changes at BPW 12 NEW PRODUCTS SoBe Goes Coconut 14 CHANNEL CHECK Inside RTD Tea 16 BREWBOUND February’s Transitional Products 20 EXPERT INSIGHT For Buyers and Investors, the Numbers Rule

30

52 PROMO PARADE Bull Riding and Deron Williams

Features

2012

SUPPLIER AND SERVICES GUIDE

22 COVER STORY: Burnin’: A Legend Fires Up the Relaxation Business With brand news 30 NEW MOMENTUM FOR RECOVERY With brand news

Special Section 33 SERVICE AND SUPPLIER GUIDE Everything you need, from ingredients to consultants, is in here.

33

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By Jeffrey Klineman

YOU CAN STAY NICE Just before we sent this issue to press, I had the chance to speak with the owners of three brands that were on the ropes, financially: Adina’s Norm Snyder, New Leaf ’s Eric Skae, and RelaxZen’s Brent Sonnek-Schmelz.

It was interesting to me how humble the CEOs of these companies were, how willing they were to stay friendly and conversational even in the midst of turmoil. Sometimes the nicest folks are the ones who run into trouble. All three are hard working and intense, but they have never been anything but kind when it comes to taking questions, no matter how tough times got.

All three also spent much of the last year having to try to raise money instead of being able to focus on execution: it’s got to be a hard situation, knowing you’ve spent your time trying so hard to get the branding right but then turning your focus entirely away from what’s in the bottle because you have to worry about what’s in the bank account.

Such a tough year might turn folks brittle and angry, but instead they stayed gracious. The cynic in me was forced to wonder – in this business, is it possible to remain nice and still be successful.

While watching those businesses struggle, however, I also had a chance to speak with two food and beverage executives who had made it through various versions of the “valley of despair” and out to the other side, Mike Repole and Gary Hirshberg. Repole was one of the co-founders of Vitaminwater, and Hirshberg was the CEO of Stonyfield Farm, the organic dairy company.

Repole – who is coming back into the beverage business with an investment in Lance Collins’ Body Armor brand – told me that one of the things that drives him is that he hates to lose, and that if he does lose, he’ll run that loss over and over in his head until he figures out why he lost so that he can’t get beaten that way again.

But that competitive streak doesn’t necessarily make him a bad guy – in fact,

when discussing the outrageous success that Vitaminwater eventually realized, he spent much of his time praising the Vitaminwater team, talking about how glad he was to able to share the experience and the good fortune resulting from the brand’s $4-billion-plus windfall with them. The fact that 40 or so employees moved to work with him at new venture Pirate Brands indicates the loyalty he’s managed to engender and the careers he’s helped to launch.

Hirshberg, meanwhile, managed to spend a decade at Grupo Danone, the company that acquired Stonyfield, while turning himself through investment and leadership advice into something of a godfather for promising organic brands, including Honest Tea and Peak Organic beer. The key reason he left the CEO job at Stonyfield was that he’d finally found a new cause, getting genetically modified crops out of the food supply. It takes a lot of drive to turn a struggling organic farm into one of the largest yogurt and dairy businesses in the country, but Hirshberg, through his community and environmental involvement, as well as his interest in fostering success for others, is proof that you can be generous and driven at the same time.

So there are two incredibly successful entrepreneurs who have been able to remain friendly and giving in the midst of heavy capitalism. Does it get rough at times? Certainly – and no one would accuse any of the CEO’s I’m talking about here, from Snyder, Skae and SonnekSchmelz, all of whom have called to yell at me at some point or another, to Hirshberg and Repole themselves – of being shrinking violets. All of them are intense, dogmatic, driven. You have to be.

Hirshberg and Repole both faced hard questions when building their businesses, many of them on par with what Snyder, Skae and Sonnek-Schmelz are now facing.

Hirshberg came close to bankruptcy.

The point is that the pressures of business can turn anyone mean, whether or not

4 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

they’re a success. But they don’t have to: you can be a nice guy and still be successful – and if you are, a lot more people will not only be happy for you when you’re winning, they might want to help you out when you aren’t. It’s a competitive business, this beverage world. It doesn’t necessarily have to be cutthroat.

MAGAZINE

By Barry J. Nathanson

www.bevnet.com/magazine

THE EXIT STRATEGY

Barry J. Nathanson PUBLISHER bnathanson@bevnet.com

Jeffrey Klineman EDITOR-IN-CHIEF jklineman@bevnet.com

Ray Latif ASSISTANT EDITOR

During the normal ebb-andflow of my days in the beverage business, I spend the lion’s share of my time and energy meeting and talking with beverage marketers. It is a most enjoyable way to spend that time. At our recent conference, the pace quickened exponentially: there were literally over a hundred brands, mostly new, entrepreneurial enterprises to entertain.

I love the energy and excitement of these entrepreneurs as they wax eloquent about their hopes and dreams, their planned paths to success. Some have cogent visions of what it takes to succeed, while others are pipe dreams. The ones who will achieve their goals need great-tasting products, sublime packaging and tactical marketing initiatives, and luck. They lay out their plans and I wish them the best.

One aspect of their presentations, though, is a major turnoff. I listen as they detail their business plans, and sadly, many of these companies boldly and proudly tell me that they have “exit strategies.” It seems to be that such details do not create a reason to be.

The love of what you create and, hopefully, the rewards for building lasting brands, should be the end goal.

In my earlier years in the industry, the term “exit strategy” was never a consideration in planning. Those were exciting times: it seemed that people got into it for the love of creating and bringing a product to market. Of course, they were also in it to make money, as they

should have been, but that wasn’t their only vision. I watched dozens of brands come into being, and many of them now form the gold standard of the new beverage business. Never did I hear Don Vultaggio, Jim Koch, Darius Bikoff, Mark Hall and Rodney Sacks, Lance Collins, Seth Goldman, or too many others to list brag about building in an exit strategy. The list is not limited to the big guys, but many small players that comprise long-term, sustainable brands as well: the Talking Rains. National Beverages and Calypsos of this world are to be admired just as much as the celebrities. While the possibility of a sale may always sit at the back of one’s mind – after all, we all have a price – it was never a consideration in the quest for innovation for many of those I just named. They didn’t use the sale of the company as the ultimate yardstick for success.

While many of them ultimately did sell, it doesn’t preclude why they jumped in, and the passion they exuded.

I love the new generation of marketers for their innovativeness, their intent to serve consumers with healthy, good for you brands.

They are creative, thoughtful and have high aspirations. I just wish I could hear more soul in the reasons they are entering the marketplace.

The beverage industry is not for the faint of heart. If you’re in, do it for the right reasons. It’s nice to be rewarded for your work, but having as part of your ultimate goal an exit plan based around a big payout is not the way to go.

6 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

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BEVSCAPE INNOVATION

Product development & marketing news

Tweeter-Dum?

Alternative Sweetener Insights

Maybe 140 characters isn’t enough to explain the vagaries of the independent vs. in-house Pepsi bottler network. At least, that’s what rapper and beverage entrepreneur Curtis “50 Cent” Jackson learned last month following the following “tweet” from Jackson:

Led by greater market penetration and use of the stevia extract rebiana-A (reb-A), U.S. demand for alternative sweeteners will rise by 3.3 percent annually through 2015, according to a new report by market research firm Freedonia. The report indicates that the alternative sweetener market will reach $1.4 billion in sales within three years and that despite a sluggish diet soft drink market, high-intensity sweeteners, including aspartame and sucralose, will remain the largest selling products within the category.

The report states that consumer trends toward consumption of less-processed ingredients will drive the growth of sweeteners that can be marketed as “natural.” And though Freedonia expects new and natural alternative sweeteners to comprise a relatively small share of the market, the products will achieve the fastest growth and generate the most interest among beverage manufacturers and consumers, according to the report.

In addition to reb-A, the report notes that while the growth potential of luo han guo (monk fruit), a sweetener approved by the FDA in 2010, remains to be seen, the product’s natural profile is on trend with current consumer purchasing decisions. Along the same lines, agave nectar – despite being a higher-calorie ingredient – is gaining greater acceptance as a natural alternative to high fructose corn syrup (HFCS).

Nevertheless, the report states that aspartame, the ubiquitous artificial sweetener used in a number of diet beverages, will maintain healthy – albeit somewhat restrained – demand as consumers continue to seek out lower calorie foods and beverages. Additionally, the report forecasts greater gains for other artificial low-calorie sweeteners including acesulfame potassium (ace-K) and sucralose, as well as low-calorie polyols including erythritol and xylitol.

Chased down by the media, Pure Growth Partners’ co-founder Chris Clarke quickly lent some context” Jackson’s Twitter message.

According to Clarke, Street King had landed a key independent Pepsi distributor, the Honickman Group, which is known for its powerful execution in the New York and Mid-Atlantic regions through component companies Pepsi Bottling Co. of New York, Canada Dry of the Delaware Valley and Canada Dry of Potomac.

Street King, which is trying to offer itself as a younger, philanthropic alternative to 5-Hour Energy, is currently in 30,000 stores, including 7-Eleven and GNC. According to Clarke, it is on target to add two major drug chains by February and could be in as many as 80,000 stores in the next 90 days.

Both Jackson and Clarke are committing another $10 million to the company, with the hopes of raising another $10 million from outside investors in that same span.

As part of the brand message, the company says it will “feed a hungry child” with a donation to the United Nations World Food Program with the sale of every shot.

According to Clarke, the company has already donated 3.5 million meals.

As for Jackson, the man did make millions and millions of dollars on the Glaceau deal. We think we could cut him some slack, if he’d offer to pay for it.

Tea is Growing Growth in the distribution of tea drinks in convenience store and natural foods channels as well as rising consumer demand for Fair Trade Certified tea products, will help propel U.S. sales of tea and ready-to-drink tea products to reach $8.3 billion by 2014, according to a new MarketResearch.com report. The report estimates that the U.S. tea market will reach $6.5 billion in sales in 2011, up 5.2 percent over last year, and steadily rise over the next three years.

The report states that while supermarkets are the top retail channel for tea products, canned and bottled tea drinks are achieving double-digit growth in natural foods stores.

Additionally, green tea – a longtime favorite among health conscious consumers – is now the second-most popular variety of tea behind black tea. The report also indicated that consumer interest in specialized types of tea, including chai, rooibos, and mate are on the rise.

MarketResearch.com also notes that the U.S. tea market has benefited from rapid growth in sales of Fair Trade Certified products. The report states that sales of Fair Trade tea products are up 38 percent over the past year as a number of tea brands, including Honest Tea and Republic of Tea, have begun converting their product lines to include Fair Trade certified ingredients.

8 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

BEVSCAPE BUSINESS

The latest news on the brands you sell

Deals: Coke/Nestle U.S. Tea Relationship Effectively Over The Coca-Cola Co. and Nestle fundamentally changed Beverage Partners Worldwide — their 20-year partnership marketing Nestea in the U.S. – shifting the partnership’s focus away from North America.

At the end of 2012, Nestle Waters North America will take over U.S. distribution responsibility for the Nestea brand, which has been sold by Coke since 1991. Coke has had a license agreement with Nestle for the brand since 2007. The brand has largely filled out the value-brand slot in the portfolio of tea offerings the company has provided to its distribution network and it will be replaced by a cold-fill brand extension of FUZE, which Coke bought from founder Lance Collins in 2007.

Coke’s other tea offerings include Honest Tea, an organic, premium brand it purchased last year from founder Seth Goldman, and Gold Peak, an internallydeveloped line of sweet teas that also have premium pricing although more of a mainstream feel. Other Coke tea offerings include Peace Tea, which it distributes on behalf of Monster Beverage Corp. (until recently Hansen’s Natural Beverage Corp.) and smaller brand Sokenbicha, which like Honest Tea is under the aegis of Coke’s Venturing and Emerging Brands Group.

Interestingly, the template for a “teaplus” manufactured under the FUZE moniker is already in place at Coke: Subway franchises sell a brewed FUZE Tea version that is enhanced with b-vitamins and fruit flavors, much like the ones that the brand is apparently destined for in a variety of RTD and fountain settings. Additionally, the brand has long had some tea underpinnings — it has two existing RTD tea varieties, and also uses tea as a base for some of its other fruit juice blends.

FUZE has long been regarded as a highly innovative brand due to its varied platform, intricate packaging and functional orientation — its Slenderize variety remains its most popular — but it has been

hard-pressed to find consistent footing within the Coke family, although the NOS energy drink variety that was also acquired as part of the FUZE purchase has been that company’s best-performing Cokeowned energy drink.

Meanwhile, the Nestea brand will move into the NWNA system and its own burgeoning tea portfolio at the end of this year.

NWNA entered the tea business earlier this year with its purchase of Sweet Leaf Tea (and its Tradewinds property), itself an organic brand whose rise paralleled Honest Tea in the natural channel.

“We think Nestea will be a good fit,” said Jane Lazgin, NWNA’s director of corporate communications. “We’re putting a great deal of priority on our emerging tea business. We think it’s a great fit with our distribution system, our marketing programs and we’re looking forward to building our tea business. In the whole healthy hydration segment it will be a really nice complement.”

Nestea’s performance over the past few years indicates that the move may have been seen as a necessity by Nestle, the parent company of NWNA. The move has likely been coming for a while – Beverage Digest reported that Nestea’s own case sales had declined by 25 million from 2000 to 2011 – but in addition, the move by Nestle Waters North America into the tea business, particularly via Sweet Leaf, has put the companies in direct competition.

So why not expand Honest Tea, which Coke also acquired in 2011 via the same mechanism as its FUZE acquisition, the VEB Group, (albeit one that did not yet exist in name at the time of the FUZE purchase)? There’s the cost of Honest, a premium, all-organic, whole-leaf brand that wouldn’t easily fit into a cold-filled valuepriced environment. Also, FUZE has proven to be a highly flexible entity itself.

10 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

Comings and Goings: Hirschberg out at Stonyfield; Venia in at Activate He’s been a standard-bearer for the organic success story for years, as well as a mentor to Honest Tea co-founder Seth Goldman, but Stonyfield founder Gary Hirshberg announced that he’s handing day-to-day operations over to former Ben & Jerry’s CEO Walt Freese.

Hirshberg’s sale of Stonyfield to Danone in 2003 — and subsequent operation of the company as a unit with autonomy within that larger company — is largely seen as a model for Goldman’s sale of Honest Tea to the Coca-Cola Co. last year. Hirshberg was a shareholder and board member at Honest Tea, and maintains a role on that company’s advisory board.

Hirshberg will remain with Stonyfield as a shareholder and Chairman of the Board, while Freese assumes the twin roles of President and CEO. Hirshberg will also take on several board roles at Stonyfield’s parent company, Grupo Danone, while maintaining oversight of Stonyfield initiatives like its Stonyfield Cafes and Profitsfor-the-Planet. He said his time will also be spent on working on larger agricultural and regulatory policy issues.

The Rising Beverage Company, (Activate Drinks), announced the hiring of Jim Venia as Director of Sales-West. Venia will report directly to Reza Mirza, Chief Operation Officer. Venia has served in several sales management roles over the last 15 years, all in beverages. In addition he has held sales leadership roles with Pepsi, Diageo, Glaceau, and most recently with Vita-Coco.

In the Courts: Rudy Surrenders Last month, inspirational former Notre Dame football icon Daniel “Rudy” Ruettiger agreed to pay nearly $400,000 in fines to the Securities and Exchange Commission to settle charges that he lied to artificially inflate the value of stock for a sports drink company, Rudy Nutrition.

“Dream Big! Never Quit!” read the brand’s tagline, but SEC officials say that the drink “Rudy” didn’t just dream big, it oversold its profits. Ruettiger and a group of 12 other co-conspirators lied in press releases, SEC filings and other materials to give investors the impression that the company was doing better than it was — resulting in a windfall of approximately $11 million.

As part of the settlement, Ruettiger and nine other co-conspirators didn’t admit or deny guilt — but he did pay $3828,66 to settle the charges — including repaying $185,750 in profits.

“Participants in this scheme made false and misleading statements in company press releases, SEC filings, and promotional materials, and engaged in manipulative trading to artificially inflate the price of Rudy Nutrition stock, while selling unregistered shares to investors,”according to an SEC statement.

A former practice squad player for the legendary football team, Ruettiger’s story was turned into a movie, Rudy, in 1993; he has since worked as a motivational speaker.

He started the company in South Bend before moving it to Las Vegas in 2007, according to the SEC. As part of the accusations of fraud, the SEC outlined a scheme in which the company told potential investors that Rudy beat Gatorade and Powerade in taste tests.

Ruettiger, the CEO and Chairman of Rudy Nutrition, has been barred from acting as an officer or director of a public company.

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JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 11

NEW PRODUCTS

The newest options for cooler and shelf

SPIRITS Kingfish Spirits is introducing Peppermint CREAM – an alcohol-infused whipped cream with Peppermint flavoring. The product combines natural and artificial Peppermint flavors with a proprietary blend of whipped cream ingredients tinged with a 30 proof alcohol-infusion. Each 375 mL aerosol-dispensed can makes approximately 26 1 oz. shots of CREAM. Retailing at a suggested $9.99-$12.99 per can and currently sold at licensed liquor, convenience, and grocery stores, Peppermint CREAM is also available to wholesalers, distributors and retailers in 12-packs. For more information, contact Kingfish at (866) 801-5122.

Woodford Reserve has announced its first permanent line extension with Woodford Reserve Double Oaked. The ultra-premium product is twice barreled in White Oak with two unique barrels used to craft every bottle of Double Oaked. The whiskey is 90.4 proof and has a suggested retail price of $49.99 for a 750 mL bottle. Double Oaked will initially be sold in various U.S. markets.

For more information, contact Brown-Forman at (502) 774-6949.

Scottish Spirits Imports, Inc. has announced the introduction of a re-sealable latex cap for its Scottish Spirits in a Can. The latex lid was produced especially for Scottish Spirits, and allows the can to be resealed to preserve the freshness of the 80 proof whisky. The new lid also offers consumers a convenient option for portability.

The suggested retail price of the product is $5.00 for a 12 oz. can. For more information, contact Scottish Spirits Imports at (954) 332-1116.

DAIRY Nestle is introducing a low-fat version of its Coffee-mate Natural Bliss line, Natural Bliss Low-fat. Natural Bliss Low-fat is made with all-natural ingredients, including non-fat milk, cream and sugar. The product contains 20 calories and 1 gram of fat per serving. The creamer has a suggested retail price of $2.69 per 16 oz. PET bottle and is available nationwide. For more information, contact Nestle at (800) 637-8534.

12 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

DAHlicious Lassi has added a new Bourbon Vanilla flavor to its line of all-natural, authentic lassis drinks. DAHlicious has also introduced a new 32 oz. bottle size for its Alphonso Mango, Oregon Strawberry and Bourbon Vanilla flavors. The 32 oz. bottle has a suggested retail price of $4.69. DAHlicious Lassi drinks have fewer than five all-natural ingredients and are made on a Vermont family farm. The base for DAHlicious Lassis is authentic Indian-style yogurt, which is cultured for 12 hours and contains 15 billion probiotics per serving. For more information, contact DAHLicious at (978) 935-2304.

POWDERS Metabolic Response Modifiers (MRM) announced the release of Hydration Factor, a 100 percent all-natural powdered beverage mix designed to optimize hydration. Formulated in collaboration with AquaConneXions, the Australian developers of the Aqua Hydration Technology, Hydration Factor has been shown to improve intracellular hydration and regulate thirst, leading to increased consumption of fluid until the optimal hydration set-point has been reached. Hydration Factor has a suggested retail price of $19.99 for a box of 15 stick packs and is available nationwide. For more information, contact MRM at (800) 948-6296.

JUICE Saban Brands and Genesis Today have introduced Power Rangers Power Blasts, a line of nutrient-rich, naturally-sweetened, low-calorie, and low-sugar juice drinks.

The juice drinks contain more than 11 vitamins, minerals and nutrients, including 250 percent of the daily value of Vitamin B12 for sustained energy, Zinc and 150 percent of the daily value of Vitamin C for immune support, Vitamin D for bone health as well as Vitamin B6, Niacin/Vitamin B3, Pantothenic Acid/Vitamin B5, Calcium and Omega-3 DHA fatty acids. The products are naturally sweetened with a proprietary blend of stevia and all-natural pure cane sugar and are available in Red Ranger Berry Power Blast and Blue Ranger Blueberry Power Blast flavors. Power Rangers Power Blast Juices are sold at Walmart nationwide and HEB stores across Texas. The drinks are

sold in 6-packs and have a suggested retail price of $2.99. For more information, contact Genesis Today at (800) 916-6642.

Bossa Nova has introduced a new line of organic, superfruit beverages with 90 calories per 10 oz. bottle. The new line contains 32 percent less calories and 30 percent fewer grams of sugar than Bossa Nova’s flagship line of acai drinks. The juices come in four flavors: organic acai original, organic acai blueberry, organic acai pomegranate, and allnatural acerola red peach. The products have a suggested retail price of $2.99 and will be distributed nationally. For more information, contact Bossa Nova at (877) 267-7266.

WINE flipflop wines has launched six new varietals: Malbec, Sauvignon Blanc, Sweet Red, Bubbly Chardonnay, Bubbly Moscato, and Bubbly Pinot Grigio. The new products have a suggested retail price of $10 and will

be distributed nationally. flipflop has also introduced a new 1.5 liter size of its Moscato, Pinot Grigio, Chardonnay, Cabernet Sauvignon, and Merlot varietals and will launch the new packaging in several states across the nation, including CT, MA, MD, NH, NJ, NY, PA, RI and TN. The 1.5 liter bottle sells for between $12 -$15. For more information, contact SPR at (818) 398-0307.

ENHANCED WATER Sobe has launched SoBe Lifewater with Coconut Water. The line extension is naturally-sweetened, infused with coconut water, and comes in three tropical flavors: Pacific Coconut, Pomegranate Nectarine, and Mango Mandarin. The products contain 80 calories and 20 grams of sugar per 20 oz. PET bottle and have a suggested retail price of $1.49.The drinks are available nationwide. For more information, contact PepsiCo at (914) 253-2408.

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JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 13

CHANNEL CHECK

What’s hot – and what’s not – in stores now

SPOTLIGHT CATEGORY

RTD TEA 52 Weeks through 12/25/2011 SOURCE: Symphony/IRI Total food/drug/c-store/mass excluding Wal-Mart.

The news that Coke and Nestle were breaking up their agreement to sell Nestea in the U.S. might have seemed like a blockbuster decision, but it was also kind of small potatoes for companies with much larger brands that are growing on their own. Look at the way newcomers Gold Peak, Honest and (Monster Beverage Co.-produced, Coke distributed) Peace Tea are performing against Nestea, for example, and you see why Coke might want to try another in-house brand to make up the volume; meanwhile, Nestea gives Nestle a name brand to mainstream alongside Tradewinds and Sweet Leaf, both of which are showing steady growth as they get put into national distribution. Still, if it’s growth these companies are looking for, the brand that’s got it is AriZona. Who feels like opening the old checkbook?

Brand

Dollar Sales

Change vs. year earlier

Arizona

$614,387,600

-2.47%

Lipton Brisk

$286,212,700

7.78%

Lipton

$257,384,600

-13.94%

Snapple

$188,182,000

1.24%

Lipton Pureleaf

$148,608,400

-10.51%

Arizona Arnold Palmer

$146,022,400

45.78%

Diet Snapple

$143,018,900

11.51%

Nestea

$99,687,860

-9.49%

Gold Peak

$84,823,090

11.56%

Diet Lipton

$75,376,700

26.23%

Peace Tea

$61,674,880

59.56%

Arnold Palmer Lite

$43,847,760

56.51%

Private Label

$41,333,420

-14.52%

Arizona RX

$30,507,780

4.25%

Honest Tea

$25,441,080

27.82%

Sweet Leaf

$21,564,690

36.11%

SoBe

$17,047,000

-15.16%

Diet Nestea

$15,301,390

-5.87%

Tradewinds

$15,301,390

28.17%

Xing Tea

$13,925,640

7.20%

TOPLINE CATEGORY

VOLUME

52 Weeks through 12/25/2011

BEER $22,250,423,000

3.06%

BOTTLED JUICES

- 0.22%

$5,156,323,000

BOTTLED WATER $7,911,636,000

ENERGY DRINKS $7,654,575,000

SPORTS DRINKS $4,122,787,000

TEA/COFFEE $3,285,319,000

2.06%

16.65%

7.94%

4.19%

SOURCE: Symphony/IRI Total food/drug/c-store/mass excluding Wal-Mart.

14 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

CapPucino Brand

HOT! Illy Issimo Dollar Sales

Change vs. year earlier

PROGRESSIVE ADULT BEV’s Brand

HOT! Tilt

Dollar Sales

Change vs. year earlier

Frappuccino

$567,045,500

5.93%

Mikes Hard

$314,751,600

30.87%

Doubleshot

$265,764,600

12.09%

Smirnoff Ice

$201,801,400

-10.57%

Seattles Best

$20,439,820

330.24%

Four Loko

$142,278,400

-8.47%

Twisted Tea Hard Iced Tea

$85,630,460

37.02%

Tilt

$56,152,050

49.43%

Doubleshot Light

$8,800,155

-12.18%

Private Label

$8,116,570

7.63%

Illy Issimo

$4,870,951

423.72%

Smirnoff Premium Mixed Drinks

$38,524,770

17.23%

Emmi

$912,506

-22.74%

Sparks

$35,289,260

-46.68%

Community

$447,466

11.55%

Bacardi Silver

$33,890,960

-24.11%

Marleys One Drop

$291,501

N/A

Joose

$22,425,820

-57.20%

Jeremiah Weed

$13,677,550

N/A

Main St Cafe

$217,680

SOURCE: Symphony/IRI Total food/drug/c-store/mass excluding Wal-Mart.

52 Weeks through 12/25/11

NOT! Emmi

ENERGY DRINKS Brand

-12.46%

HOT! Monster Dollar Sales

Change vs. year earlier

SOURCE: Symphony/IRI Total food/drug/c-store/mass excluding Wal-Mart.

52 Weeks through 12/25/11

NOT! Joose

Energy Shots

HOT! Worx

Brand

Dollar Sales

Change vs. year earlier

Red Bull

$2,601,933,000

16.41%

5 Hour

$928,373,000

17.22%

Monster Energy

$1,380,759,000

23.34%

5 Hour Energy Extra Strength

$54,259,730

483.52%

$28,715,170

-6.70% 4,553.51%

Rockstar

$472,208,200

12.45%

Stacker 2 6 Hour Power

Nos

$237,003,400

11.93%

Worx

$13,029,630

Java Monster

$196,691,000

16.36%

Private Label

$12,564,250

61.38%

Red Bull

$11,392,410

-62.44%

E6

$4,870,040

1,665.14%

Stacker 2

$4,378,179

45.50%

Spike Double Shot

$3,612,481

67.63%

VPX Redline Power Rush

$3,292,405

-12.95%

Monster Mega Energy

$196,577,000

14.13%

Amp

$142,729,600

1.97%

Rockstar Recovery

$137,787,400

128.24%

Monster

$125,794,100

1,549.25%

Full Throttle

$97,304,090

-11.51%

SOURCE: Symphony/IRI Total food/drug/c-store/mass excluding Wal-Mart.

52 Weeks through 12/25/11

SPORTS DRINKS Brand

Gatorade Perform

NOT! Full Throttle

HOT! Gatorade G2 Perform Dollar Sales

Change vs. year earlier

SOURCE: Symphony/IRI Total food/drug/c-store/mass excluding Wal-Mart.

52 Weeks through 12/25/11

Domestic beer Brand

NOT! Red Bull

HOT! Michelob Ultra Light Dollar Sales

Change vs. year earlier

$2,023,517,000

24.85%

Bud Light

$5,327,145,000

1.33%

Powerade Ion4

$659,271,700

4.42%

Budweiser

$2,072,380,000

-1.91%

Gatorade

$421,313,700

-18.51%

Coors Light

$1,946,762,000

3.72%

Gatorade G2 Perform

$421,242,100

36.40%

Miller Lite

$1,672,598,000

-0.47%

Powerade Zero

$184,187,300

2.99%

Natural Light

$1,089,709,000

-2.80%

Gatorade Frost

$56,289,230

-27.07%

Busch Light

$735,397,100

0.34%

Gatorade Cool Blue

$54,647,640

-6.48%

Busch

$684,463,700

1.98%

G2

$47,520,390

-58.81%

Michelob Ultra Light

$518,075,100

10.32%

Powerade

$38,671,870

0.59%

Miller High Life

$498,743,900

-0.89%

Gatorade Recover

$30,207,780

19.67%

Keystone Light

$484,396,900

-1.24%

SOURCE: Symphony/IRI Total food/drug/c-store/mass excluding Wal-Mart.

52 Weeks through 12/25/11

NOT! G2

SOURCE: Symphony/IRI Total food/drug/c-store/mass excluding Wal-Mart.

52 Weeks through 12/25/11

NOT! Natural Light

JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 15

Brewbound

A better way to experience beer

By Christopher Furnari

Key Craft Offerings: February is an interesting time for craft beer. Some breweries look to bridge the gap between their big, boozy, cold weather offerings and others jump right into their spring seasonals. This issue, we feature a smattering of both. From the incredibly sessionable Bitter American to the barrel-aged Better Half, this month’s selections are sure to work in any climate.

Odell Brewing. In February, Odell Brewing Co. will release RegionAle, a special brew that pays tribute to each of the 10 states in which it will be distributed. The finished product features a blend of 10 five-barrel batches and one 50-barrel batch, all with unique ingredients from each state. The beer will be available on draught and in 750 ml bottles and for a suggested retail price of $13.99. RegionAle checks in at 9.5 percent ABV and will see distribution in CO, AZ, ID, KS, MN, MO, NE, NM, SD and WY. Redhook Brewery is bringing back Mudslinger, but this time under the name “Nut Brown.” The brewery kept the same recipe, but changed the name in an “effort to keep it simple.” Nut Brown checks in at 5.8 percent ABV and 30 IBU’s and will be available nationwide on draught and in 12 oz. bottles. The suggested retail price for a 6-pack is $7.99.

21st Amendment. Though it’s not a new offering from the San Francisco, Calif. based craft brewer, Bitter American did recently move year-round. This low-ABV (4.4 percent), hoppy session offering was previously only available between January and March.

21A responded to consumer requests and will now offer Bitter American in its core lineup. It is available across all 16 states in which 21st Amendment currently distributes, both on draught and in 12 oz. (can) 6-packs for a suggested retail price of $8.99.

F.X. Matt has blended two popular styles in their newest offering, Saranac White IPA. The beer is a hybrid of the classic Belgian witbier and IPA styles, and checks in at 6 percent ABV. White IPA is available in 6-packs,

16 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

12-packs, on draught and in the brewery’s “What Ales You,” variety pack. This offering is currently being distributed in all markets Saranac products are sold for a suggested retail price of 8.99 per 6-pack.

Smuttynose Brewing Big Beer Series features “big beers in big bottles,” released seasonally in limited quantities. The first release in the series for 2012 is Baltic Porter, a style that stems from the traditional British Porter.

Their version checks in at 9.24 percent and 35 IBUs. Only 150 barrels were made and packaged into 22 oz. “bombers” for distribution across 19 states. The suggested retail price for Baltic Porter is $7.99.

Founders Brewing. Curmudgeon’s Better Half is the newest release from Founders Brewing in its “Backstage Series.” A barrelaged version of the company’s Curmudgeon Old Ale, Better Half was aged for 254 days in maple syrup bourbon barrels. A limited amount of the beer will be available on draught, and only about 12,000 750 ml bottles were produced. Every market that Founders distributes to will receive Better Half. The suggested retail price is $16.99 per 6-pack.

The Bruery’s spring seasonal will be making its way to retailers’ shelves by February. Saison De Lente is light blonde in color with a fresh hopppiness and a wild, rustic brettanomyces character. It checks in at 6.5 percent ABV and 35 IBUs and will be available in all 20 states The Bruery beers are sold. The suggested retail price for Saison De Lente is $11.99.

Narragansett Beer. In the 1960s and 1970s, Narragansett produced a cream ale that found favor amongst New Englanders and at the end of 2011 fans voted to bring the beer back. The new beer is brewed to be light and refreshing with a fairly subdued hop and malt character. Cream Ale will make its debut in February both on draught and in 6-packs.

The suggested retail price is $8.99 per 6-pack. Distribution for Cream Ale includes New England, Southern New York, Eastern Pennsylvania, North Carolina and Florida.

By Gerry Khermouch

Perception swings can be a kind of pendulum that defies the laws of physics by sweeping further outward with each swing. During its difficult years, for example, New York, where I’ve mostly lived and worked, never was as dangerous as common perceptions held, nor is it as safe now as most people seem to think.

The same phenomenon may be unfolding with PepsiCo and Coca-Cola.

For the past few years, particularly once Muhtar Kent ascended to the CEO job, Coca-Cola has had the wind at its back where investor sentiment is concerned.

It’s developed a reputation for aggressiveness, for hewing to an ambitious but pragmatic plan, for resourcefulness and agility, that has helped buoy its shares to a 40 percent appreciation since Kent was named president.

By contrast, PepsiCo has been increasingly beleaguered, its shares flat, with many on Wall Street clamoring for a breakup of the company, the departure of CEO Indra Nooyi or both. When Nooyi

Indra K. Nooyi, Chairman and CEO, PepsiCo

unveiled a plan that calls for building upon the company’s undeniable presence and resources in healthy food and beverages, some on Wall Street reacted almost as though she were playing a shell game, as though she was claiming that the $20 billion in sales accounted for by the healthier beverage items represented value she claimed to have created overnight.

The leapfrogging of Pepsi-Cola by Diet Coke into the #2 sales spot in the U.S. was treated as an apocalyptic shock, when

trends had been pointing that way for a while. Some observers were aghast at sales declines in Gatorade that were an expected short-term outcome of a refocusing away from casual users to active users.

PEP was regarded as having bet the ranch with its acquisition of Russia’s WimmBill-Dann dairy conglomerate in Russia, while Coke essentially was accorded a free pass on its pricier (by sales multiple) Vitaminwater deal. (More on that in a minute.) For reasons I don’t quite understand, investors even have abruptly taken to rejecting Pepsi’s Power of One strategy, which melds the retail clout of FritoLay with the beverages unit. This is even though, until PepsiCo acquired its biggest US bottlers, it really wasn’t able to put the strategy to a full test.

The disconcerting outcome has been that Pepsi, which probably is guilty of underspending on its North American marketing and overhoping that its bottler acquisitions will have a transformative effect, has been thrown into an abject panic.

As I write this, its top brass is holed up in Purchase, NY, rethinking the strategic plan, with reports emerging that it’s considering lopping off 4,000 heads in order to generate some extra marketing cash – “burning the furniture,” as an unnamed source put it to the New York Post.

Morale, already poor, has plummeted, and mid-level executives who should be refining their 2012 plans are hamstrung.

The new plan is supposed to be unveiled in early February.

So Coke is the company that does everything right these days and Pepsi is the one that can’t do anything right. Where Coke seems always to get the benefit of the doubt from Wall Street, Pepsi never gets the benefit of the doubt. It’s a disparity that seems disproportionate to the actual fortunes and operating acumen of the two companies.

In this light, it’s interesting to look at Coke’s purchase, for $4.1 billion, of Glaceau. I’m one of those who’s been hard

18 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

on Coke for its post-acquisition management of the Vitaminwater brand, which has been relentlessly price-promoted even as its marketing inevitably has lost the spark of its independent years. It has seemed clear to me that Coke way overpaid for a brand that almost immediately flattened out and lost much of its superpremium allure.

(Though, oddly, KO seems to have done well by the sibling Smartwater brand.)

Yet I’m coming to believe that, purely from an optics standpoint, KO actually may have gotten good value for the $4.1 billion. The acquisition seems to have cemented the notion that Coke, spotting an opportunity to plug a key gap in its portfolio, will react decisively, rather than fidgeting around in the manner that caused it to lose Gatorade to Pepsi. Given the increase in Coke’s market capitalization, it may have been money well spent after all.

For any long-term beverage watchers, all this is an unsettling sight. Pepsi, long viewed as the sassy aggressor, is back on its heels, and Coke, despite its sheer mass as the No. 1 player, has usurped that identity. The contrast in image serves to disguise the fact that both probably are still too reliant on their core CSDs and unable to figure out how to play more effectively in emerging segments.

Fortunately, reports suggest that PepsiCo isn’t succumbing to the breakup hysteria sweeping Wall Street. Far from addressing the fundamental issues, that would just leave a weakened soft drink business extremely exposed to Coke’s greater clout. But clearly Pepsi needs to articulate – or re-articulate – a coherent plan that gets it a fairer hearing on Wall Street, so we can all go back to enjoying the cut-and-thrust of two respected, credible rivals. PepsiCo surely deserves more respect than it’s getting now.

Longtime beverage-watcher Gerry Khermouch is executive editor of Beverage Business Insights, a twice-weekly e-newsletter covering the nonalcoholic beverage sector.

PHOTO COURTESY 2010 PESPSICO ANNUAL REPORT

PEPSI’S “PERCEPTION PENDULUM” PROBLEM

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EXPERT INSIGHT

By Michael Burgmaier

As we wrapped up 2011, there was nearly $1 trillion worth of private equity waiting to be deployed.

Additionally, according to those who track such things, angel investors (individuals) invested nearly $9 billion across 26,000 companies during the first half of 2011 – mostly in early-stage companies.

On both accounts, that’s a lot of money.

So we know it’s out there.

But If you are a company in need of capital, or you are looking to sell your business, what makes investors and buyers say yes? Of course, team and product matter – a high-quality product led by a strong team are must-haves. But how do you distinguish your company in a nonsubjective manner? One tried and true way is to let the numbers do the talking

for you. This article explores the numbers investors and buyers (used interchangeably below) like to see when they’re considering opening the checkbook.

Why do the numbers matter? Risk.

By definition, angel and venture capital investments are high-risk investments. An estimated 1/3 of venture investments end in a complete capital loss for the investor, and that number tends be around 1/2 of every investment for the average angel investor. So as investors look to mitigate the risk they assume, they look for data as proof points and as a window to the future. Numbers help create a fact-based dialog, thereby increasing the credibility of the company’s pitch.

Evidence from which you can extrapolate. In selling a company to a buyer,

20 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

you are selling the promise of the future, and the only harbinger of the future is the past. Your need is to find the numbers (and run your business in a way that creates the right numbers) that spin your story. To simplify things, I break the numbers you need into four key questions: 1. Who are you and how did you get here?

2. What’s happening with you?

3. How big can you get?

4. How much will it cost me?

The more your answers to these questions fit what an investor wants to hear, the more likely they are not only to invest in or buy your business, but also to do so with a strong valuation as well.

So in answering who you are, remember that numbers define you. Every number matters. Revenue, run-rate and growth

rates prove traction; the higher the numbers, the better (with the “leaky bucket’ caveat – see below). And displaying capital efficiency (the ratio of invested capital to revenue – the lower, the better), provides evidence that you can spend wisely to achieve future growth. What do they want to hear, then? Something like this: “Over the past three years we built a $15 million business, growing 50 percent per year, currently on a $20 million run-rate, with just two million dollars of capital.”

Also remember that the numbers talk about how you’re really doing: These data help explain what drives the top-line numbers. Is your growth from pipeline fill or sell-through? Without the latter, the former is useless. The “leaky bucket” i referenced above happens when overall sales grow (the bucket fills up), but the sales at existing retailers begin to lessen. For example, let’s say a company is growing 100 percent -- there were $5MM of sales last year and $10MM this year. But $7MM of that $10MM came from sales to new customers; sales at last-years accounts went from $5MM to $3MM. The bucket’s leaking and the business is in trouble. The key numbers here almost always relate to “velocity” (the rate at which your product sells off the shelf). The trend must always be increasing. Same-store sales are paramount – the goal should be for this to happen everywhere, but if not in all stores, you must find somewhere where it is (you are selling a growth story, remember?).

What’s your lift during a promotion or demo and what’s the new baseline sales level afterwards? How long does it take for marketing payback? Some key sources for measuring such data include IRI/ Nielsen, SPINS, the Whole Foods Market Vendor Portal (it’s free) and Data Garden (a tool to better understand Portal data).

Also, try to curry favors from retailers and distributors to get the data. Other key numbers that matter reflect product differentiation (run a focus group or taste test – even if it’s just 50 people), endcustomer demographics (don’t say you are too small to get this data – be creative – use Facebook fans), and your current retail and distribution penetration (those show where you are in order to show where you can go).

The numbers show not just where you’re

cost much to get there, think twice about going, but how big you can be when you what your real numbers tell you. The best get there. Make sure your brand potential models rely on real-world assumptions. numbers are trending in the right direcThese assumptions come from companytions – if not, maybe change your business and market-based numbers: sales cycle, mid-course. Those key brand potential sell-through (and sales ramp), category data points include market size and related norms, average SKUs per growth rates and company/ retailer (and all of these competitive market share and trends. Don’t rely just ANGEL INVESTORS numbers will likely differ by on overall market data.

INVESTED NEARLY channel). On the cost side, don’t forget to carefully Get account-level data for $9 BILLION ACROSS think through timing of retailers in which you sell.

Are you growing? Are you 26,000 COMPANIES personnel needs and costs growing the category? Are DURING THE FIRST and your working capital assumptions (cited by one you taking share from your HALF OF 2011 large beverage giant as off in competitors? What’s your around nine of ten business relative market share in cerMOST IN EARLY tain geography or a certain STAGE COMPANIES plans reviewed by a factor of two to three). retailer? If you’ve gone deep So there you have it, your in a certain city, in how plan is complete and the numbers tell many channels (grocery, C-store, drug store, club, etc…) have you proven you can your story for you: The turns off-shelf for your product are above category aversuccessfully sell? Tell the story. ages and increasing. The market for your How much will it cost? Don’t forget key product is large and growing, with growth financial metrics such as gross margin, contribution margin, average days of inven- coming from you growing the category and from taking share. You’ve proven that tory (which show working capital requireyou are not playing a zero-sum game. ments) and marketing spend per case. For Customers love your product, as the data gross margin, try to use a margin closer clearly says yours tastes best and after to GAAP standards – where MCBs, OIs, trial, 50 percent convert. Your projections deductions and allowances are subtracted are based on today’s velocifrom gross revenue to get to ties, with a slight uptick for net revenue – how else can increased marketing spend, you know that your marTHE NUMBERS as reflected in tests in Caligin is sufficient to support overhead, SG&A and that SHOW NOT JUST fornia. The business model is sound and based on necessary marketing spend WHERE YOU’RE above-market gross margins, you say you need? If your margins are weak now due GOING, BUT HOW which are all done according to Generally Accepted to sub-scale production, get BIG YOU CAN BE Accounting Principles. data to show they improve.

As mentioned at the WHEN YOU GET Show the buckets of spend beginning of this article (ingredients, bottles, freight, THERE though, although numbers tolling fees) and show how matter greatly in the investeach individually will go ment decision, they are not down with scale (and get everything. An idea on a napkin doesn’t quotes to prove it). have much data behind it and a gut feel The last two questions – how big at about investing in someone (which is what price – will be answered together much of what happens with early-stage with forecasted pro-forma financials. Ask deals) may be devoid of much of the data them why they pass on deals, and both above, so intuition matters as well. But angel investors and VCs will say the most let’s take your genius as a given; the next critical mistake that entrepreneurs make step on your road to riches is to let the in their business plan is unrealistic projecnumbers help you loosen Mr. Corporations. So although you want to show tion’s, Mr. V.C.s or Mr. Angel’s wallet. how big you can get and that it won’t JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 21

Burnin’: A Legend Fires up Relaxation

By Jeffrey Klineman

He’s the perfect icon for a category

willing to try out the category from a less risky set of assertions.

That’s not so say that having peace-and-love-and-reggae-andwhose growth story has always seemed more smoke than fire: Bob Marley, whose dreadlocked likeness is now emblazoned on a marijuana icon Bob Marley on a can evoking a mellow mood doesn’t evoke a visceral response: Marley Beverage’s makers are leading line of relaxation drinks. happy to say the brand does extremely well near (natch!) college For just as Marley legitimized the languorous reggae beat in campuses. But even if there’s some whiff of druggy connotation the American heartland, so too is the company, behind nameto the Marley name, it’s safe to say that it’s a much more ubiqsake tea Marley’s Mellow Mood, creating a legitimate brand in uitous presence and a much milder cultural touchstone than a the midst of what had been a mad scramble by nascent relaxmusical format marked by its own founders’ fondness ation brands to sign up regional distributors for a mixture of Sprite and Jolly Ranchers topped through oddball news stories and marginal LAST YEAR MARLEY with codeine cough syrup (the “drank” and “lean” branding propositions.

BEVERAGE CO.’S from which the names are ultimately derived). MarStill, the emergence of legitimate brands in ley’s “Legend” album is the watered-down Bacardi of MARLEY’S MELLOW the relaxation category comes as a bit of a surmusical releases, while chopped-and-screwed innovaprise. After all, what began as a counterintuitive MOOD AND A NONtor D.J. Screw’s 1995 album “3 N’ Da Mornin, Part joke when a California company rolled out Blue RELAXATION FOCUSED 2” sits at the fringe of the bar, somewhere near the Cow as a contrast to Red Bull morphed within a COFFEE SUB-LINE, absinthe and the pickled eggs. few years into a minor media phenomenon with Nevertheless, the one key ingredient that both ONE DROP, SOLD the arrival of products like Drank, Lean, Purple Drank and Marley Beverage, not to mention Dream Stuff and Vacation in a Bottle (ViB).

MORE THAN 1 MILLION Water and other more culturally mainstream and But in the past two years, Marley and other 12-BOTTLE CASES financially secure brands, do have in common is that brands, including Dream Water and Neuro’s they all employ melatonin as the key sleep-inducing Sleep variety, have gained mainstream accounts ingredient in their formulas. And with that key ingredient comes and wide distribution. Between Marley and Dream Water alone, the element of risk, both from a regulatory and legal perspective, the brands have gained more than 60,000 accounts, and their as well as from the court of public opinion, which has beaten methods for doing so have involved more mainstream branding down plenty of brands in the past. than the early party-hearty vibe of brands like Drank, Lean and There are other herbal elements in all of these products’ “reSippin’ Syrup. While those brands have musical ties as well, they also rely on their association with a slowed, druggy “chopped and laxation blends,” but melatonin is the most potent from a sleep inducement standpoint, as well as the one one that has the most screwed” hip-hop format as much as they do their inherent funcpotential to draw fire from regulatory agencies due to its status tionality, and the results seem to indicate that chain accounts are

22 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

as a dietary supplement. In fact, both Drank and a food product, “Lazy Cakes” – a melatonin-laced brownie – have already been stung by letters from the Food and Drug Administration about their packaging as traditional food and drink products instead of nutritional supplements.

The risk is enough to have already caused a change in strategy at Dream Water, which had been selling its product in both a 2 oz. shot format as well as an 8 oz. bottle. The move to a shot was to align the product much more closely with sleep enhancement than the more fun-and-relaxation branding of other brands, according to Dream Water COO Vincent Porpiglia.

“Any drink, any brownie, that’s a food,” Porpiglia said. “ Dreamwater is a shot now, and one of the reasons is because... we don’t want to be lumped into the category of a food-type product.”

But letters and comparatively small fines from the FDA are nothing compared to the kind of damage that can come from the agency if two other groups start targeting relaxation drinks: the media and the lawyers.

“The FDA is much more likely to take issue if there starts to be a rash of auto accidents or something,” said Justin Prochnow, a lawyer with Greenberg Traurig who regularly handles legal and regulatory issues for food and beverage companies, including Dream Water. “All it takes is a few of those, and the FDA starts coming down on people. The letter from two years ago leads you to believe it’s not at the top of their list of priorities – but if a rash of things starts to happen, the next thing you know, everyone’s involved. Publicity can light a fire under them pretty quick.”

As an example, he cites the way the FDA was prodded into issuing more direct sanctions on another category, the group of so-called “energy malternatives” encompassed by Joose, Four Loko, Liquid Charge, and many others. Despite some concerns, those products were growing rapidly until late 2010, when student death and injury created a cacophony of negative publicity that forced the agency to take a hard look at those products, eventually forcing their makers to stop adding caffeine to the drinks. Earlier this century, the FDA also banned the stimulant ephedra from all dietary supplements in the U.S. following the high-profile deaths of Baltimore Orioles pitcher Steve Bechler and Minnesota Vikings offensive lineman Korey Stringer. In both cases, media coverage and public outcry seemed to have the FDA working overtime.

Meanwhile, says Prochnow, the push from the FDA or from, say, state Attorneys General, who have also gone after beverage makers in the past, is nothing compared to the plaintiff ’s bar.

Under new California consumer protection laws, for example, he said, “plaintiff ’s lawyers have been highly active.

My bigger concern now isn’t the FDA, it’s some of the private

consumers and their lawyers bringing action.”

Indeed, the current list of brands facing class action or civil suits over branding or advertising claims extends from beverages like coconut waters O.N.E. and Vita Coco to Vitaminwater into natural food stalwarts like Kashi. From a lawsuit perspective, times are fruitful, Prochnow said, and melatonin’s regulatory issues could launch a lot of civil suits.

The Main Ingredient For relaxation beverages, melatonin has long served as a dividing line. It’s the only ingredient that is commonly used that qualifies as a dietary supplement rather than GRAS (Generally Recognized As Safe), which falls under very little oversight when used in a food. That opens the door to regulation by the FDA. But it’s also the key ingredient when it comes to fulfilling the functional promise of many of the drinks. While other botanicals like Kava-Kava, Rose Hips, valerian root and chamomile may have noticeable effects, melatonin, when it works, can be a sledgehammer of an amino acid, capable of inducing sleep to the point at which it has been known not just to help flight attendants deal with transatlantic jet lag, but also to helping night-patrolling Marines hack their body clocks so that they can fall asleep during daylight hours.

It’s also typically the ingredient that helps indicate the style of brand that a company makes: the presence of melatonin is what allows Dream Water to market itself as a sleep aid, that creates the difference between RelaxZen’s daytime and nighttime formulas.

“If you take melatonin, will you probably get sleepy?

Yes,” said Porpiglia, whose product also includes GABA and 5-Hydroxytryptophan (5-HTP), both of which are included to enhance the sleep experience, another part of Dream Water’s emphasis.

“I can’t say that you can rule out the other ingredients, because (in the Dream Water formula) they do have some effect in conjunction with one another,” he added. “But I know a lot of companies just take a lot of things and throw them in along with the melatonin, but there’s really only one or two that work.

That’s why they’re offering melatonin, you know that they’ll feel something. That’s one of the two or three that will make it happen. At the very least, companies are doing it because they know it’s the one that will have the strongest effect.”

One exception to the rule is Purple Stuff, a relaxation drink whose name evokes the heavy buzz of Drank and Lean (its owners attribute it to a throwaway line in a Sunny Delight commercial, however), but whose makers eschew melatonin.

“We started researching our product in October of 2007, talking with ingredient and flavor houses,” says Tim Lucas, the CMO of Funktonal Beverages Inc., which makes Purple Stuff. “When we looked at melatonin we saw that it wasn’t FDA approved (for use as a beverage).

For us, that said that if a kid wrecks his car, if he gets hurt, an

JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 23

Burnin’: A Legend Fires up Relaxation

insurance claim would come back to us as gross negligence on the manufacturer. We knew we couldn’t do it.”

While such a case remains hypothetical, even the association with mayhem can bring down a product class. One of the key incidents that caused the FDA to go after Four Loko was a party at Central Washington University at which more than just that beverage was found by police, but also several other kinds of alcohol and a buffet of illicit drugs.

Still, it was the Four Loko that drew the worst of the publicity.

Beverage makers are aware that melatonin’s effectiveness as a sleep inducer requires some warning on their part. Marley Beverage Company, for example, includes language on its Marley’s Mellow Mood telling consumers to “avoid driving or operating heavy machinery after consuming this product.”

There’s good reason for Marley Beverage to want consumers to take all kinds of care when drinking Marley’s Mellow Mood: the brand’s success in the past year means that it is in a situation where it has a lot more to lose than its competitors.

Marley is Burnin’ Last year Marley Beverage Co.’s Marley’s Mellow Mood (which contains, along with melatonin, other relaxation elements like GABA, valerian root and kava-kava) and a non-relaxation focused coffee sub-line, One Drop, sold more than 1 million 12-bottle cases, said Kevin McClafferty, the president of Marley Beverage. The brand landed grocery accounts like Wegman’s and Stop and Shop, and convenience stores like Valero, AM/PM, Casey’s and Speedway on its way to getting placement in more than 40,000 stores – a number McClafferty says he expects to at least double in the next year.

“We’re blessed with a great brand,” McClafferty said. “We finished out the year strong, we exceeded a million cases in our first year, we’ve added 110 DSD partners, and we’ve got more opening soon. Things are rocking.”

It’s not the notion that melatonin will put a consumer to sleep that draws consumers to the brand, McClafferty says – but the opportunity to engage with the Marley legend and some of the associations with the stress-free, Rastafarian lifestyle so clearly associated with the international superstar. But the drink’s ability to induce a deeply relaxed state does help drive repeat purchase, he adds.

“We’re finding that they pick it up because of who is on the can,” McClafferty said. “Trial is driven by Bob and Bob’s image. People look at it and they’re happy to see it. They taste 24 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

the liquid, and the first comments we tend to get are that ‘this tastes amazing.’ And then eventually they realize there’s some functionality to it. And that’s when they come back to buy more.”

With prominent shelf sets and the incredibly popular reggae star driving sales, the brand has a lot going for it, including the backing of many members of the Marley family themselves, who have helped promote the product while on tour. McClafferty said he is aware of the issues surrounding melatonin, and the effects that a wave of bad publicity can have on any beverage category.

“If you’re developing a branded functional line, you have to be cognizant of the ramifications of anything you’re dropping into your liquid, obviously,” McClafferty said.

“Lazy Cakes, things like that bring negative attention to the functional ingredient that we’re talking about,” he added. “We keep an eye on all of that, of course. We think about everything, and we’re 100 percent focused on consumer safety and making sure that our product is in line with expectations people would have of the brand.”

Right now, Marley – as it, and other melatoninemploying relaxation drinks, are required to be – is labeled as a dietary supplement, although, also like many other brands bearing that kind of label, it is sold in the beverage aisle or cold box.

But the company, it seems, hasn’t put all of its eggs in the melatonin basket. Given the ingredient’s issues, McClafferty said the company had indeed given thought to a non-melatonin formula.

“Marley’s Mellow Mood Relaxation Drinks have been ‘non –melatonin’-based in the UK since we rolled out overseas,” last Spring, he said. “The response has been great and the product is pulling.”

McClafferty also confirmed a recent test at one of their top retailers (Wegmans), on a melatonin-free formula, which delivered favorable results. The company expects to launch Marley’s Mellow Mood (melatonin-free) with them later in February.

“This type of activity gives us some terrific data, should we ever be asked to alter the formula,” he said.

Feeling the Effects The Wegmans exception may be one concerned retailer drawing the line, or it might be indicative of more changes to come. Right now, however, one retailer’s concerns and a few sleepy consumers have not been enough to push beverage companies to steer clear of melatonin. In fact, having noticeable effects is one of the key objectives for functional beverage marketers, who watched energy drinks become a viable category at least partially because of the effectiveness of caffeine as a stimulant, and who have seen too many drinks fare poorly because they didn’t follow through on a functional promise.

Paul Nadel, the President of Neuro Beverage, spoke with BevNET in the fall about the importance of coming up with

Burnin’: A Legend Fires up Relaxation

a product whose effects consumers can feel when it comes to establishing a functional brand.

“If you get a consumer who tries one and it works, like Sleep, they say ‘what else can I try?’” he told BevNET. “If just one works, it builds credibility.”

Similarly, the effectiveness of melatonin in products like Dreamwater, Drank, Marley, and others means that they can help the drinks establish a reputation that they work – and sometimes, a brand’s aura is more potent than any actual ingredient.

The Four Loko case can be particularly instructive in that regard. For it turns out that regulatory action didn’t turn out to be the death penalty for that brand. Even after the FDA forced the brand to take out caffeine, Four Loko’s continued use of a high alcohol formula with candy-like flavors and a flashy social media presence has allowed its legend to thrive. For that brand, at least, many of the lost sales have come back.

But the ability of a brand to supersede its ingredients is observed by more sectors of the industry than the beer business.

In December, Mark Hall, the President of Monster Beverage Co., made it clear that while he believed “so long as there’s a Starbucks on every corner” energy drinks could stand up to any level of public outrage with regard to their caffeine content, if there was another problem ingredient, in most cases, he would just “take it out.”

Similarly, John Bello, the founder of SoBe, recently told BevNET that Pepsi was aware that there may have been some potentially controversial ingredients in some SoBe drinks at the time the company bought the brand from him – and that the company eventually simply removed them.

“Even when they took it out,” Bello said, “It had that ‘fourth dimension’ that went way beyond function.”

While melatonin fears may be a small element of the risk/ reward equation covering the growth of the relaxation category, that branding question is still the larger one. Marley and Dream Water, at least, have begun to surge impressively onto retail shelves, but the category itself is still emerging: it remains to be seen if there is enough of a consumer need for them – or other relaxation brands – to pick up the repeat business that allows them to maintain a shelf presence.

But it’s an interesting situation, one that other new, effective, short-lead functional products have also dealt with as they tread the edge of the new beverage frontier: the more repeat purchases there are, the more the products can run afoul of the concerns of the powers that be, whether those concerns, as Hall implied, are ultimately warranted or not.

At least they’re aware: searching for alternative formulas, tinkering with messaging and packaging, trying to find an edgy-but-not-too-edgy brand proposition, it’s got to make for extra stress when considering how tough trying the normal battle for shelf space can be.

It would be enough to keep someone up at night. But considering the business, it probably isn’t.

26 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

BRAND NEWS

Relaxation Drinks

Ex Drinks has relaunched Ex Chill un-

der a new name: Ex Chillout. Using the same natural calming ingredients, chamomile, valerian and lemon balm extracts, Ex Chillout features a new taste profile, packaging, and branding. Ex Chillout trays are made from post-consumer recycled cardboard and use eco-friendly soy based ink. Ex Chillout is sweetened with Fruit Up, a natural fruit sweetener extracted entirely from fruits without using chemicals or additives. Ex Chillout is lightly carbonated and contains no highfructose corn syrup, artificial sweeteners, artificial flavors or preservatives.

Easy2Products has launched a line of all-

natural relaxation shots that provide a consumer solution for sleep, stress, and mental focus challenges. Easy 2 Sleep and Easy 2 Relax are formulated with all-natural ingredients including fruit juices, natural flavors and a proprietary blend of herbs.

JUST CHILL recently introduced a new

12 oz. slim can and is now available throughout Southern California. Already distributed in Whole Foods, Lassen’s and Mother’s Markets in 2011, JUST CHILL has pending authorizations for Walgreens, Gelson’s, and Bristol Farms in 2012. JUST CHILL plans to capitalize on recently formed strategic alliances with In-Bev Budweiser Distributors, including ACE Beverage and Mission Beverage in Los Angeles, as well as Ben E. Keith in Texas & Oklahoma.

Stevenson Products, LLC recently reformulated Mini Chill. The relaxation shot now contains stevia as an added sweetener instead of sucralose.

AriZona Beverages’ RESCUE Water

line is fortified with Twinlab vitamins and antioxidants and each flavor features a different function. The Relax Berry Blend contains L-Theanine, green tea extract and lemon balm extract, all of which work together in harmony to help the body deal with daily stressors and relax.

Dream Products, LLC. Dream Water just celebrated its second anniversary at retail and can now be found in over 20,000 doors nationwide. The product is available at select retailers including Walgreens, Walmart, CVS, Duane Reade, Hudson News, Paradies Shops, Harmon, Tedeschi, Max Wellness, Fred’s, Albertsons LLC, Homeland, Reasor’s, Brookshire, King Cullen, Wegmans and Lewis Drug.

Big Quark LLC. BeautySleep has been selected as one of 15 Top Products for 2011 by Fab Over Fifty, a lifestyle website for aging women.

Innovative Beverage Group. Drank is introducing a new flavor called Island Time Tropical Punch. Island Time features a new design for the Drank line of relaxation beverages and will arrive on store shelves in January.

Pause Beverage Company announced

the launch of PAUSE, a 100 percent natural relaxation drink. PAUSE is packaged in 16 oz. bottles and comes in three delicious flavors: Coconut Mango, Tropical Peach, and Pomegranate Raspberry.

PAUSE is available in grocery stores and gourmet retailers throughout California.

Neuro. NeuroBliss has a redesigned champagne-base PET bottle. The drink contains a proprietary blend of ingredients including a GRAS-approved, high quality source of L-theanine included to promote relaxation without causing drowsiness, reduce stress and improve various measures of cognitive function.

prietary and patented blend of European herbs. The product contains neither melatonin nor L-theanine and has no preservatives or chemicals.

Dewmar International BMC, Inc. Lean

Slow Motion Potion was developed by a registered pharmacist who observed 14 years of consumer market demand and retail pharmacy buying trends of functional food, beverage and over-thecounter products in an attempt to relieve stress, anxiety and restlessness. Currently, Lean is distributed in 28 states as well as Mexico. Lean comes in three distinctive flavors — Yella, Purp and Easta Pink.

Phix Sleep is an herbal sleeping aid supplement that blends Lemon Balm, Chamomile, GABA, Jujube Berry and Magnesium.

Funktional Beverages, Inc. recently signed a distribution agreement with L&F Distributors of Texas to distribute Purple Stuff within the state.

Flavor Marketing Solutions Group has

introduced Slow Cow 100% Natural.

The product contains no melatonin, artificial colors or preservatives and is sweetened with Stevia. The product launched in December 2011 at Duane Reade stores in New York City. Slow Cow will be distributed in southern California, Phoenix and the Northeast later in 2012.

Mojo Beverage International. Core

NVE Pharmaceuticals ’ Stacker2 Vitamin Shot Rest and Relaxation delivers essential vitamins in a 2 oz. shot and contains no sugar or calories. The shot also contains valerian root passion flower, lemon balm, SAMe, white willow bark, l-tryptophan, and taurine.

Mark International now distributes Mojo Chill nationwide.

Marley Beverage Company. Marley’s

MindEssential Relax Water is an all-

natural relaxation beverage. The active ingredient in the MindEssential is a pro-

Mellow Mood recently added Valero as a retailer in Colorado and will be distributed

by New Age Beverages in teh Denver area.

JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 27

BY RAY LATIF FOR MOST RECOVERY DRINKS,

the sales pitch is pretty simple: “Got a hangover? Drink THIS and feel better!”

It’s a straightforward and clear-cut message that – unlike most other functional beverages – doesn’t need much in the way of explanation. The majority of single function beverages require a manufacturer to educate consumers about not only the benefits of the product, but also exactly why it will work. Recovery drinks, on the other hand, have a much looser window simply because they have such uncomplicated messaging. Heck, it’s even OK if they have don’t taste great!

Yet, while the jury’s still out of the actual efficacy of these hangover elixirs, one verdict is in: at least in terms of new products, the category is growing. One theory on the recent rise of the category is that bleary-eyed, headache-ridden individuals are more inclined to drop a couple bucks on something to alleviate their hangover, because, at the very least, they won’t feel any worse. But can that reasoning equate to staying power and longevity for recovery drinks? In a still nascent category, it remains to be seen.

However, consumer exposure and positive public perception of recovery drinks is rapidly growing as brands gain new distribution in a variety of retail channels and ramp up marketing and promotional efforts. With the category on the brink of mainstream acceptance, manufacturers are

undoubtedly pulling for consumers to have that extra beer… or three.

Leading the charge for recovery drinks is Hangover Joe’s and its The Hangover Recovery Shot.

The three-year old brand signed an exclusive licensing agreement with Warner Brothers Consumer Products in August to manufacture and distribute its shot with branding based on The Hangover movie franchise. The product, which features a bright yellow label and images of characters from the movie, has caught on like wildfire.

With instant brand awareness, The Hangover shot quickly gained distribution in the Midwest through Canada Dry Bottling and McDonald Distributing and placement in RaceTrac convenience stores throughout five states in the Southeast. However, the biggest splash for Hangover Joe’s came in the form of national retail authorizations in 7-Eleven and GNC. Shawn Adamson, a managing director for Hangover Joe’s, points to the GNC deal as one that could position the brand as having far greater mainstream appeal.

“We will reach a wide demographic in GNC stores,” said Adamson. “People who have not seen our product will be exposed to…

28 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

a product that is specific to hangover relief [as opposed to an energy shot].”

Countering Hangover Joe’s play with “The Hangover,” is GTOX which aligned itself with NBA Hall of Famer – and well-known partier - Dennis Rodman, to market the brand. GTOX, which uses Glucarate, a natural substance that purportedly turns alcohol toxins into water-soluble compounds, as its active ingredient, enlisted Rodman to promote it as his “secret ingredient” for hangover recovery and recently appeared on The Tonight Show to showcase his involvement with the brand. Over the next few months, GTOX will launch a series of new marketing promotions around Rodman, including an appearance at the Nightclub and Bar Show in Las Vegas.

GTOX is hoping to spin its partnership with Rodman into a larger presence in the marketplace. The brand is distributed in Colorado, Texas, Nevada, and Illinois and is looking to build out its network in through beer houses in Southern California and metro New York.

Not every product is looking to push hangover recovery as its chief function. Code Blue, which recently revamped its formulation and packaging, is now positioning itself as a recovery beverage, albeit one now emphasizing sports and fitness recovery.

While the company never using the word “hangover” in its branding or marketing, Steven Frumin, the co-founder of Code Blue said that the brand gained popularity among college students who consumed the beverage after a night of drinking alcohol – much as they would with other sports drinks such as Gatorade. Frumin said that a significant part of Code Blue’s consumer base now uses the product for hangover recovery, estimating that 30 percent of its business is in that space.

However, part of the reason that Frumin overhauled Code Blue was because he didn’t want the brand to be “pigeonholed” as a single function product. The company relaunched the product with a new look and branding that focuses on different aspects of the beverage, including hydration and exercise recovery.

Frumin said that the product is now attempting to make the leap from a brand known for a single function – and a category still very much in its infancy - to a much larger arena. As Frumin described it, the play is to go “from micro to macro.”

Frumin believes that hangover recovery will continue to be an important stream of revenue for Code Blue, but he described that area as stagnant. He explained that for the segment to move forward, brands would need to shy away from a “gimmicky” approach to marketing and adapt to a rapidly evolving industry where consumers seek out multifunctional benefits in new products.

“We see hangover recovery as a second tier of functionality,” Frumin said.

30 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

BRAND NEWS

Recovery Drinks

CocoKefir LLC’s owners recently reported that they signed an agreement with a national grocery distributor to distribute the company’s coconut water products in the majority of the United States beginning in early 2012. CocoKefir products are glutenfree, dairy-free, low-sugar, fat-free, and low-calorie.

Code Blue has been relaunched and reformulated as a cross-functional beverage that combines the performance benefits of a sports drink with the health benefits of an enhanced water. CodeBlue contains zero calories and all-natural ingredients. CodeBlue is available in four flavors: Strawberry Melon, Blueberry Pomegranate, Peach Mandarin and Meyer Lemon. mix1 has launched new Chocolate and Va-

nilla flavors to its line of all-natural protein shakes. mix1 products contain all-natural ingredients including whey protein isolate, carbohydrates, antioxidants, soluble fiber and healthy fat. All 11 flavors of mix1 are free of lactose, gluten, soy, and caffeine.

Market Connections Group, LLC. Amy & Brian All-Natural Coconut Juice is made from the water of young coconuts and contains no added sugar or artificial additives.

Amy & Brian products are nationally distributed and sold in a number of retailers including Whole Foods, Fresh Markets, Kroger, and Amazon.com.

Hangover Joe’s Products, JV. “The Hangover” Recovery Shot is an official licensed product for the movie “The Hangover,” and has recently gained placement in 3,000 7-Eleven stores nationwide.

Double D Beverage Company. GOO-

D4U System Reload is a recovery drink designed to address three issues: muscle and joint fatigue, muscle and joint damage, and support for the immune system.

The product contains glutamine, ginseng extract, magnesium, milk thistle extract, vitamin D3, and B vitamins.

NVE Pharmaceuticals’ Stacker2 Vitamin

Shot Hangover Helper delivers essential

vitamins in a 2 oz. shot and has no sugar or calories. The shot contains milk thistle seed extract, green tea, ginger root, niacin, and taurine.

HerbaSway Laboratories. Herbasway partnered with “The Hangover Part II,” the sequel to the 2009 blockbuster, to introduce specially marked packaging that showcases the movie’s logo and release date on bottles and display boxes of its Last Round hangover shot. Last Round contains a combination of all-natural herbal extracts including kudzu, stevia, green tea, and licorice.

Cheerz USA, whose products include the well-established Intellishots and Intellitabs, continues to grow its brand, sales and its distribution footprint worldwide, according to its owners. Cheerz’ ingredients assisting the body in metabolizing acetaldehyde, a toxic chemical produced as the body breaks down and eliminates alcohol. Additional ingredients, including well-known antioxidants and vitamins, also assist in the prevention of hangover symptoms. Cheerz products are distributed at select bars and retail and convenience stores in Nevada, Oregon, and Missouri.

Afterglow Beverage Company, Inc. will

roll out a national marketing campaign for its Hangover Gone Deterrent & Detox shot in the first quarter of 2012. The campaign will coincide with the announcement of national availability for the product and will consist of multiple 30-second video spots for TV and web, a new website for the campaign, as well as social media integration and street team promotion.

NEU Industries Inc. Mercy is a new, caf-

feine-free and naturally flavored functional beverage that helps to prevent hangovers.

Mercy contains a custom blend of amino acids, antioxidants and vitamins. Mercy recently signed a distribution agreement with Big Blue Distribution and Mondrian Hotels. The product is now distributed in New York City, South Florida, Austin, and San Francisco.

Security Beverages Company, Inc. has

continued the U.S. roll-out of Security Feel Better with distribution into 70 Discount Drug Mart stores in Ohio. Security Feel Better will also be available at Walgreens stores in South Florida beginning in the first quarter of 2012. In conjunction with new distribution, Security has introduced a new 12-pack point-of-purchase display box.

Harmless Harvest 100% Raw Coconut

Water is the country’s only ready-to-drink raw coconut water in the U.S. The product is never heated, and contains no caramelized-by-heat sugars, broken-down nutrient chains, filters, ascorbic acid, or other acidifying natural flavors.

Party Armor secured distribution with Fabiano Brothers, one of the largest beer and wine distributors in the Midwest, as well as Badger Liquor, the largest liquor distributor in Wisconsin. Party Armor is currently working on expanding its distribution footprint on a national level. Party Armor will kick off 2012 as the main sponsor of a three-week, all-inclusive Spring Break Event in Cancun, Mexico, and sponsor the kick-off party at the Nightclub & Bar Show in Las Vegas this March.

Amara Beverage Company has an-

nounced the rebranding of Lush Recovery to Amara Recovery Drink. The beverage is now packaged in new ultra-violet glowing cans. Amara contains N-Acetyl-Cysteine (NAC), B vitamins, electrolytes, and Maqui berry extract, and is sweetened with organic agave syrup. The drink is also carbonated and caffeinated.

GTOX the Hangover Blocker is set to

launch a series of promotions with NBA Hall of Famer Dennis Rodman extending through Bar and Nightclub Show in Las Vegas this March.

NOHO - The Hangover Defense is now

available in Ireland, Sweden, Germany, Spain, and Australia.

JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 31

JUNE 4 & 5

2012 SPONSORED BY

veb venturing & emerging brands

METROPOLITAN

PAVILION FOR MORE INFORMATION AND EARLY REGISTRATION PRICING VISIT WWW.BEVNET.COM/LIVE

2012

SUPPLIER AND SERVICES GUIDE SPONSORED BY

SUPPLIER & SERVICES INDEX BROKERS & AGENTS Encore Fruit Marketing Gotham Brand Managers CAPS/CLOSURES Aptar food + beverage Closure Systems International G3 Enterprises Inc. CONFERENCES & SHOWS World Tea Expo CONSULTING & MARKETING Amin Talati Brand Adoption Healthy Brand Builders Poms & Associates Insurance Brokers, Inc. Priority Consultants Inc. RSY Consultants Switch: Liberate Your Brand CONTRACT PACKAGING & BOTTLING Arcadia Farms, Inc. AZPack.com California Asceptic Beverages, LLC Century Foods International Corporate Packaging Inc. Creekside Springs, LLC Langlade Springs, LLC NVE Pharmaceuticals Tampa Bay CoPack United Packaging Group Varni Brothers Corp./7up Modesto FINANCIAL SERVICES Glover Capital, Inc. FLAVORS abelei flavors Aromatech Flavorings Inc. Beck Flavors, Inc Citromax Flavors Comax Flavors Flavor Producers Flavorman LaBoost, Inc. Natural Flavors, Inc. Sensient Flavors LLC WILD Flavors, Inc. FLOORING De x-O-Tex by Crossfield Products Corp.

GRAPHICS & DESIGN McLean Design, Inc.

IINGREDIENTS A. Holliday & Company AIDP, Inc. Axiom Foods BENEO Inc. Bioenergy Life Science, Inc. Cargill Chemi Nutra CP Kelco D.D. Williamson Daesang America Danisco USA Inc. DSM Nutritional Products Ethical Naturals, Inc. Fluxome, Inc. Glanbia Nutritionals Glanbia Nutritionals-California GLG Life Tech Corporation GNT USA, Inc. Idaho Milk Products iTi Tropicals, Inc. JIAHERB, Inc. Lonza Inc. Martin Bauer Inc. National Starch/Corn Products International Natreon Inc. NP Nutra O'Laughlin Industries P.L. Thomas Prinova Solublend Technologies Stauber Performance Ingredients, Inc. Sweet Green Fields The NutraSweet Company The Wright Group Tradin Organics USA, Inc. Vedeqsa, Inc. LOGISTICS & WAREHOUSING MoveIt Specialized Logistics MICROBIOLOGY AES Chemunex Inc. PACKAGING & LABELS Ampac Avery Dennison Label & Packaging Materials Ball Corporation Closure Systems International Fort Dearborn Company Hammer Packaging Inland Label Multi-Color Corporation Osio International, Inc.

34 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

Overnight Labels, Inc. PackagingARTS, Inc. Rexam Beverage Can Veriplas Containers POS, POP, & MERCHANDISING Bedford Industries, Inc. Kelly Point-of-Sale, Inc. PR & AD AGENCY Christie Communications, Inc. PRIVATE LABEL Hudson Tea, LLC Xyience PRODUCT DEVELOPMENT Allen Flavors Caffe Del Mar IFP, Inc. Nutrition Innovation, Inc. US Beverage Manufacturing PROMOTIONAL ITEMS Brand Makers Instant Win Innovations QA & CERTIFICATION Agr International, Inc. Mesa Laboratories, Inc. RACKS & COOLERS ATC Group - Refrigeration Solutions Crystal Cooler - Fortune Resources SOFTWARE & TECHNOLOGY Deacom, Inc. MobileDemand OnTrak Software Prism Visual Software, Inc. TradeInsight Powered by MEI Western Computer STAFFING & RECRUITING Future Perfect Worldwide, Inc. TRUCKS & LIFTS Buck's Trucks, LLC

When it comes to potent performance ingredients, we’ve got the inside track.* Boost the hydration and recovery benefits of your next beverage with pure, clinically tested Sustamine™.* Produced through a patented fermentation process, Sustamine is a dipeptide that is more easily absorbed by the body than complex protein molecules.* This makes Sustamine a highly effective ingredient for hydration, endurance and recovery.* Vegetarian, allergen-free and the only GRAS L-Alanyl-L-Glutamine, Sustamine is also tasteless, odorless, and stable in liquids.

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These fine brands contain Sustamine™ in their formulations

A. Holliday & Company Inc.

AIDP, Inc.

Aptar food + beverage

For more than 35 years, we’ve traveled the world to connect people with the finest tea and coffee products. We are bulk suppliers of a wide variety of teas (extracts & leaf), coffees (extracts), antioxidants; EGCG, polyphenols, L-Theanine, Y-Gaba, herbal and superfruit extracts; natural caffeine from tea & coffee, certified organic fairtrade and rainforest alliance ingredients, and many other products that compliment the current ''good for you" health trend.

AIDP Inc. is a leader in functional ingredients for a wide range of applications, from vitamins, minerals and amino acids, to specialty and proprietary products. AIDP has access to the newest solutions for healthy aging. AIDP is the exclusive supplier of Magtein™ for cognitive health and KoACT® for better bones.

Innovative dispensing solutions provider with global design, development and manufacturing capabilities.

Kosher, Export ready

Organic, Fair Trade, Kosher

abelei flavors

Allen Flavors, Inc.

Arcadia Farms, Inc.

abelei creates flavors that win. We specialize in turning your beverage concept into a deliciously enduring market success! From Superfruits to Berries, Citrus to Tropicals, we have practically any flavor for any beverage you desire – more than 7,000 formulas on file, in fact.

Allen Flavors has offered concept to marketplace services for over twenty years and has commercialized thousands of products world wide.

Bring us your concept.

We can assist at any level of product development.

Privately owned, independent, juice and drink beverage producer,supplying branded, licensed, and private label juices and drinks to the foodservice, retail, and wholesale trade channels. All items produced packaged in plastic bottles CoPET, HDPE, and/or PET. SQF certified.

Organic, Kosher, Private label available, Export ready, Woman owned

Organic, Kosher

Kosher, Private label available

AES Chemunex Inc.

Amin Talati, LLC

Aromatech Flavorings Inc

Established in 1980, AES CHEMUNEX is the first manufacturer to develop a full line of tools for microbiology laboratories, from sample collection to final result.

AES CHEMUNEX offers beverage companies a range of solutions that save time and money with sample preparation, ready-to-use culture media, automated media preparation, temperature monitoring, rapid microbiology and more. AES CHEMUNEX is now part of bioMerieux.

Amin Talati focuses on FDA, FTC/Advertising, Patent and Trademark Law for food and beverage companies. Expertise includes counseling on: • Labeling • Advertising and Substantiation • GRAS Affirmations • Inspections and Counseling on GMPs • FDA Detentions • Responses to 483s/Warning Letters and NAD inquiries • Patent and Trademark Searching, Filing and Freedom-to-Operate • IP/Unfair Competition Litigation

Aromatech is a 25 years old internationally reknown flavor house with 5 production facilities in the world and present in over 50 countries. Our expertise is in natural and organic flavors where we hold leading positions in Europe and the USA. Innovation, Technology, Support and Solutions driven, we provide responsive and customized support.

Agr International, Inc.

Ampac

ATC Group - Refrigeration Solutions

AGR International, Inc. offers a broad line of products and services specifically designed for the quality assurance needs of the global beverage and packaging industries. AGR offers products for automated testing and measurement of material distribution, dimensions, volume, topload strength, pressure strength, torque, coating, lubricity, and shelf-life.

Ampac drives packaging transformation and performance by creating package concepts that are more innovative, progressive and dynamic than those used by competitive brands.

Ampac is a global leader in the retail, food, pet food, security, and medical packaging markets with capabilities in 3-9 layer blown film, and up to 10-color flexographic and rotogravure award-winning print production.

ATC Group offers a wide variety of refrigerated merchandisers to the beverage industry throughout North America. Our line of Counter Top Coolers, Refrigerated Barrels, Glass Door Upright Coolers and Open Air Coolers are ideal for generating awareness for your brand, merchandising your product and driving impulse sales.

Export ready

Organic, Private label available, Export ready

Private label available

36 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

Woman owned

Avery Dennison Label and Packaging Materials

Avery Dennison (NYSE: AVY) helps make brands more inspiring and the world more intelligent.

We bring brands to life with innovative label and packaging solutions. Our material technologies attract attention, build brands and save costs. We help deliver shelf impact and influence consumers’ purchase decisions at the moment of truth.

Beck Flavors

Brand Adoption

Flavors for all beverages, sweet good. Available as Dry blended, liquid, emulsion, fruit preps, extracts.

Brand Adoption is a word of mouth marketing company connects your brand connect with consumers. Our services include field marketing, brand ambassador programs, guerrilla marketing, event marketing, college activation and social media engagement programs.

Organic, Fair Trade, Kosher, Private label available, Export ready

Private label available, Export ready Axiom Foods

Bedford Industries, Inc.

Brand Makers

The world's largest producer of rice protein is soon to launch both a water soluable rice protein powder and our new pea protein, in addition to our already popular clean label sweeteners and rice milk. Most popular is our allergen-free Oryza™ rice syrup solids which can aid in electrolyte absorption.

Your products stand out from the rest with the highimpact ElastiTag® from Bedford Industries. This innovative hang tag is great for Branding, Point-ofPurchase Coupons, Cross Merchandising, or Direct Marketing Promotions. New features include Rub ‘N Smell ® scented varnishes, tactile varnishes and scratch off promotion pieces. Made in the USA.

When it comes to branding and name recognition, there no better way than by using effective promotional product campaigns. We specialize in providing custom-branded promotional products and apparel. Anything you need branded for give-a-ways, trade shows, events, sponsors, distributors, etc. Give me a call!

Organic, Kosher, Private label available, Export ready

Organic, Private label available

AZPack.COM

BENEO Inc.

Buck's Trucks, LLC

One of the fastest growing beverage manufacturing companies.

Working with clients worldwide supporting formulation and bottling. Committed to providing the highest service while adhering to high standards of cleanliness and sanitation. Our facility was built with emphasis on copacking PET, HDPE & Glass. AZPACK’s clients include Fortune 500 beverage companies.

The BENEO product portfolio consists of functional ingredients with nutritional and technical advantages, dervived from chicory roots, beet sugar, rice and wheat.

Palatinose(tm), BENEO's next generation sugar being naturally derived from pure beet sugar, is the only fully digestible, low GI carbohydrate providing sustained and balanced energy in the form of glucose. Its sensory profile closely resembles that of sugar and is about half as sweet. Organic, Kosher

Established in 2000, Buck's Trucks, LLC is an industry leader in used beverage trucks, tractors and trailers and over the past decade have sold thousands of them all over the United States, Canada and Central America.

Ball Corporation

Bioenergy Life Science

Caffe Del Mar

Metal packaging has never been smarter than with today’s aluminum beverage cans from Ball. They are lightweight, recycle infinitely and contain more recycled content that ever.

So choose aluminum cans from the largest can maker in the world, for the quick chilling option that goes everywhere your customers do.

Bioenergy Life Science, Inc. is an integrated biotechnology company with a mission to develop products to improve our daily lives.

Its core technology is Bioenergy Ribose®, a clinically proven, patented, active energy ingredient that reduces fatigue, and replenishes and sustains energy at a cellular level. Bioenergy Ribose® is the only ribose solution to receive a GRAS affirmation, no questions letter from the Food and Drug Administration (FDA).

RTD coffee, hight protein beverage developmentretort or asceptic manufactured dairy based beverages with a guaranteed 12 month unrefrigerated shelf life in bottles, tetrapacs or cans.Turnkey projects available: Develop formulae; write production specifications; guarantee all state requirements are met; oversee production and design labels.

Kosher, Private label available, Woman owned, Diversity owned

Kosher, Private label available, Export ready

Kosher, Private label available, Export ready JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 37

CALIFORNIA ASEPTIC BEVERAGES, LLC.

Chemi Nutra

Closure Systems International

We are a co-packer for aseptic juice and non-juice products. We produce the beverages into Tetra Pak packaging from 125ml, 150ml and 200ml. We are on a rapid pace to provide many different sizes and capabilities for the near future. Give us a call or email for further questions.

Chemi Nutra’s specialty ingredient AlphaSize® A-GPC can help maintain and improve mental performance, boost exercise performance, and positively impact healthy aging without contributing flavor or cloudiness.

Closure Systems International, Inc. (CSI) is recognized as a global leader in closure design, manufacturing, and high speed application systems. In addition, CSI provides unparalleled customer and technical services globally. CSI is part of Reynolds Packaging Group, an operating division of Rank Group Limited. Visit CSI’s website at www. csiclosures.com.

Organic, Kosher, Private label available, Export ready, Woman owned, Diversity owned

Kosher

Cargill Sweeteners

Christie Communications

Closure Systems International

Cargill SweetenersMaking your products better and your sales sweeterCargill has the ability to help food and beverage manufacturers drive growth through new product innovation, increasing supply chain efficiencies, optimizing product formulation and managing commodity price risk.

Christie Communications is a full-service strategy and brand marketing agency with clients worldwide dedicated to helping ethical businesses, entrepreneurs, and organizations broaden their impact through effective communication services for over 20 years.

Closure Systems International, Inc. (CSI) is recognized as a global leader in closure design, manufacturing, and high speed application systems. CSI provides unparalleled customer and technical services globally. Major categories served include carbonated soft drinks, bottled water, juices, isotonics, teas, adult beverages, dairy, foods, and automotive fluids.

Woman owned

Cargill

Ciranda, Inc

Comax Flavors

Cargill is utilizing consumer insight, regulatory and scientific expertise to develop and market products that help customers capitalize on the growing demand for healthier, great tasting consumer packaged goods. We provide food, beverage and dietary supplement solutions relevant to some of today’s most pressing health concerns, including heart health, bone health, digestive health and weight management.

Ciranda supplies Organic and Sustainable ingredients with expertise in: Organic and non-GMO sweeteners in tapioca and agave syrups and solids. Fair Trade and Organic cocoa powders, liquors, butters and chocolates. Oils including Palmfruit trans-fat free palm oils, soy, hi oleic sunflower, canola, olive and coconut in virgin and refined versions.

Comax Flavors is a world leader in proprietary flavors technology.

We offer a full range of traditional flavors, but we are also flavor innovators, specializing in flavor improvements for health foods and customized solutions to every food and beverage flavor challenge.

Century Foods International

Citromax Flavors

Corporate Packaging, Inc.

Century Foods International is a leading contract manufacturer for the beverage, food, sports, and nutritional supplement industries.

From non-carbonated, high-acid beverages to nutritional powders; Century Foods can create custom blends to meet your highest demands.

Citromax, with global headquarters in Carlstadt, NJ and facilities in Argentina and Brazil, has been one of the world’s premier growers of lemons and producers of oils and juices for more than 40 years. Our family of companies is also behind a delicious array of many of today’s most recognized, iconic flavors in beverages, confection, dairy, and baked goods.

Corporate Packaging Inc has built a reputation based upon quality and services in the packaging field for the past 23 years. CPP specializes in a large selection of contract packaging and promotional packaging services, including multi-packing and variety packing items for the retail and club store markets.

Our goal is to give your product more awareness and increasing sales. We pride ourselves in quality, quick turn around, and competitive pricing.

Organic, Fair Trade, Kosher

Organic, Kosher, Woman owned

Organic, Kosher

Organic, Kosher, Private label available, Export ready

Woman owned 38 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

CP Kelco

Daesang America

DSM Nutritional Products

CP Kelco is a leading producer of specialty hydrocolloids with offices and facilities acrossthe globe. Featuring an extensive range ofspecialty hydrocolloid solutions, CP Kelco leverages its capabilities to bring concepts and ideas to real- world products in a broad range of applications.

Founded in 1956 Daesang has been manufacturing the highest quality food and beverage ingredients for more than 50 years. Ingredients are manufactured at our state of the plant in Korea and our line includes Aspartame, Glutamine, Arginine, L-Phenylalanine, Nucleotides, Chlorella,MSG, and many others. We are ISO 22000 certified and committed to quality and sustainability.

At DSM, we provide you with a broad portfolio of top-quality, science based Food & Beverage ingredients, addressing all of your nutritional and coloration needs.

We offer Vitamins, Minerals, Carotenoids, Omega-3’s, Nutraceuticals, Nutritional Premixes as well as Application Development, Concept Testing and Consumer Research Support.

Kosher

Organic, Private label available

Kosher

Creekside Springs, LLC

Danisco

DWS Printing Associates

Full-line supplier of bottled water for private label, co-pack and corporate brands. Bottle spring, distilled, purified and enhanced products in sizes ranging from 12oz. to 5 gallon units. PA and OH facilities certified SQF Level 3. Co-pack purified and enhanced waters for retail and specialty brands, serving as eastern production source.

Danisco is a world leader in food ingredients, enzymes and bio-based solutions. Our key focus is to become our customers’ First choice particularly in the areas of food, health, energy and chemicals.

In May 2011, DuPont acquired Danisco forming a global leader in Nutrition & Health and Industrial Biosciences.

Organic, Fair Trade, Kosher, Private label available

Kosher

Established in 1865, DWS is your complete One-Stop-Shop for all your label and packaging needs, including Cut and Stacked and P/S labels, as well as in-house graphic design. Family owned and operated for 4 generations, DWS provides personal service, outstanding quality and unique product diversity... all under one roof.

Crystal Cooler - Fortune Resources

Deacom, Inc.

Emerson Industrial Automation

Our line of refrigeration products are fully customizable. Each cooler emerging from our assembly line is analyzed in accordance with the most rigid standards applicable. The Crystal Cooler Logo represents and guarantees the utmost standards of craftsmanship and quality. We are committed to providing excellent customer service and technical support.

Deacom produces an integrated accounting andEnterprise Resource Planning (ERP) softwaresystem for mid-to-large sized beverage manufacturers. We simply manage all your business processes – from recipe management to accounting – giving you a comprehensive view of your entire operation from one system.

Woman owned

Organic, Kosher, Private label available

Featuring System Plast brand of Conveying Components, leader in solutions for Dry Running conveying applications that enable sustainable results, and Sealmaster brand of Bearings. Our comprehensive portfolio allows you to implement solutions on your conveyor lines that reduce water consumption, energy, noise and improve efficiency.

D.D. Williamson

Dex-O-Tex by Crossfield Products Corp.

Encore Fruit Marketing

D.D. Williamson's wide array of natural coloring, along with its sought after caramel color and burnt sugar, helps sell 2 billion servings every day by improving the allure through visual appeal. A trusted and recognized provider of color solutions, the company operates nine manufacturing sites on five continents.

Dex-O-Tex® manufactures Scientifically SuperiorTM Technologies for polymeric & cementitious construction materials designed to repair, rehabilitate, protect & beautify industrial, commercial & institutional floors & walls.

Encore's mission is to provide food manufacturing and distributing companies with safe and quality processed fruit and vegetable ingredients that are strategically sourced from global markets. We build sustainable business relationships through ethical practices, knowledge, reliability and service that is second to none. Our success is guided by the equal satisfaction of our customers, suppliers and employees.

Organic, Kosher, Export ready

Organic, Kosher, Private label available, Export ready, Woman owned JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 39

Ethical Naturals, Inc.

Fort Dearborn Company

Glanbia Nutritionals - California

Premium Beverage Extracts from ENI’s ProfileProven® Quality Assurance program: ORAC-15M™: Patented, GRAS Affirmed, Defined Antioxidant Power, ORAC value 15,000, 80% Polyphenols. SFB™ (Standardized Fruit Blend): GRAS Affirmed, 9 Exotic Fruits and Berries, ORAC value 7,500, 40% Polyphenols. AlphaWave® L-Theanine: GRAS Affirmed, Calming Blend available with 5 Calming Herbs plus L-Theanine.

Fort Dearborn Company is a leading North American prime label supplier with a proven track record of service, quality and innovation. Our comprehensive suite of label solutions offers: cut & stack, pressure sensitive, roll-fed and shrink sleeve labels printed across multiple technologies including digital, lithographic, flexographic and rotogravure.All of our label solutions are backed value added services including industry leading creative, technical, operational and supply chain support. In addition, we also offer a variety of innovation and sustainable options for each of our label formats and print technologies to help meet your packaging goals.

At Glanbia Nutritionals, we formulate success.

Through superior ingredients, innovative thinking and true collaboration we're equipped to provide the ingredient and formulation solutions to help you bring better products to market.Glanbia Nutritionals delivers science-based nutritional solutions for a variety of applications.

Flavor Producers

Future Perfect Worldwide, Inc.

GLG Life Tech Corporation

For more than 30 years, Flavor Producers has been committed to flavoring the world with innovative and delicious flavors. Our exceptional service makes us your flavor partner of choice.

Trust in our expertise to deliver your beverage success. We specialize in Natural, Certified Organic Fruit, Vanilla and Chocolate Flavors along with our new line of Tru Bruz™ Coffee & Tea Extracts. Contact us today to get a taste of what’s new at Flavor Producers.

Future Perfect Worldwide, Inc. is the premier food and beverage search firm representing industry giants to entrepreneurial startups. Our national and international candidates are highly regarded, industry savvy sales, marketing, and finance executives, from CEOs to middle management.FPWW is respected throughout the industry for our knowledge, ethics, efficiency and stamina in a highly competitive recruiting environment.

GLG Life Tech Corporation is a leader in the supply of high purity stevia extracts. Our vertically integrated operations cover each step in the stevia supply chain including non-GMO stevia seed breeding, natural propagation, stevia leaf growth and harvest, proprietary extraction and refining, marketing and distribution of finished product. GLG’s advanced technology, extraction technique and product offerings make it a leading producer of great tasting stevia extracts.

Kosher

Kosher, Export ready, Diversity owned

Organic, Fair Trade, Kosher, Export ready

Kosher, Private label available, Export ready

Flavorman

G3 Enterprises Inc.

Glover Capital, Inc.

We're The Beverage Architects®, leading the industry as a single-source partner in beverage product development. We can take your idea through every phase of product development and production from Start through Finish®. From energy drinks to spirits, we've taken over 500 products to market, making hundreds of companies successful.

G3 is a single source provider of high quality packaging & supply chain solutions. Our products & services include PS & cold-glue labels, capsules, screwcaps, corks, mobile bottling, bottle decorating, winery services, warehousing, grape hauling & other transportation services. G3 is the exclusive distributor of DIAM® products for North America.

Glover Capital, Inc., negotiates the purchase, sale, merger or restructuring of industry-specific assignments that are national and international in scope.The company also advises owners and senior management on a wide spectrum of corporate financial issues.

Fluxome, Inc.

Glanbia Nutritionals

GNT USA, Inc.

Fluxome is a global supplier of natural ingredients with beneficial effects on health. Our fermentation technology enables us to develop safe, natural, and pure nutraceutical ingredients from a secure and renewable source that provides a quality difference for the beverage industry and ultimately to the consumer.

At Glanbia Nutritionals, we formulate success.

A global leader in whey and milk proteins, bioactive peptides, and omega 3 flax solutions, Glanbia Nutritionals delivers science-based nutritional and functional solutions for beverages. From formulation to pilot plant to co-packer relationships, Glanbia offers collaborative solutions to boost beverage applications.

GNT is the producer of EXBERRY® natural colors which represent the gold standard in food colors made exclusively from fruits and vegetables. Processed physically and free from chemical solvents, EXBERRY® colors impart striking and vibrant hues to your beverage. Available in liquid and powder, all EXBERRY® colors are GMO-free and Kosher certified.

Organic, Kosher

Organic, Kosher

Kosher, Private label available

40 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

Gotham Brand Managers

Healthy Brand Builders

Idaho Milk Products

Gotham Brand Managers is a sales, marketing and merchandising support agency for select brands in NY-Metro.

Gotham is not your traditional broker. We will acquire distribution and authorizations needed but also follow up at store level to ensure execution and reorders with our experienced and dedicated team of sales people.

HealthyBrandBuilders is a full service consultancy that offers entrepreneur's to large food and beverage companies insights and direction into the complete building process of a brand, from ideation and brand promise,development and implementation of sales and marketing plans,securing expansion/growth capital and exit plan strategies- with a good track record over 37 years, call Jim anytime to chat about YOUR BRAND...

Looking for high quality milk proteins for your sports nutrition or weight management formula? IdaPro™ Milk Protein Concentrates/ Isolates -containing micellar casein and native whey proteins- are an ideal protein source with excellent sensory properties and enhanced bioavailable nutrient profiles. IdaPro MPC’s/MPI’s are the wise choice for cost effective protein formulations.

Hammer Packaging

Hudson Tea, LLC

IFP, inc. (Innovative Food Processors)

Hammer Packaging, established in 1912, is a privately-held packaging printer with expertise in sheet-fed offset, web offset and flexography.

Hammer uses leading-edge technology to produce high-quality printed labels and package decoration for the global beverage, food, horticulture and household products industries. Core products produced include cut & stack labels, in-mold labels, shrink sleeve labels, roll-on shrink-on labels, rollfed labels and pressure sensitive labels.

We are a catagory leader in high quality private label tea. We serve some of the largest convenience store chains in the US with fresh brewed and bag-in-box tea programs. We rock the beverage world with innovations and great taste.

IFP, Inc. develops, commercializes and manufactures powder beverages with benefits beyond basic nutrition.

We specialize in functional beverages, sports/ nutrition supplements and medical foods containing high value ingredients.

Customized processing services include leading-edge agglomeration and micro-encapsulation technologies.

We also offer versatile packaging solutions including the stick pouch technology. NSF Certified GMP for DietarySupplements and SQF 2000 Level III.

Private label available

Kosher, Export ready

Organic, Kosher, Private label available

JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 41

Inland Label

Kefiplant Inc

Lonza Inc.

Inland Label has been supplying high quality labels to the beverage industry for over 65 years. Our label printing expertise allows us to work with you to create a label that not only looks great, but also one that outperforms the competition. Better performing labels help you eliminate production issues and streamline your process, keeping your costs down.

Contact us for Cut & Stack, Pressure Sensitive, RollFed, Injection In-Mold and Blow Mold labels.

Organic fermented herbal extracts, raw or pasteurized as well as a superior Kombucha.

Applications: fermented herbal beverages, beverage formulas or shots! Raw fermented botanical ingredients maintained below 0.5% alcohol or pasteurized.

Extracts contribute antimicrobial and antioxidant effect, stable flavors, beneficial bacteria, yeasts and enzymes, organic acids and micronutrients. No fermentation facility required.

Lonza is a leading supplier of Carnipure™ Lcarnitine, the energy nutrient. Carnipure™ tartrate and Carnipure™ crystalline are self-affirmed GRAS, bright white, pH and heat stable, highly water soluble and form colorless solutions. ResistAid™ is a natural immune support ingredient that has antioxidant capacity. It is highly water soluble and stable at a wide temperature and pH range.

Private label available, Export ready

Organic, Private label available, Woman owned

Instant Win Innovations

Kelly Point-of-Sale, Inc.

Martin Bauer Inc.

Our patented interactive, on-pack, instant win promotion devices make your bottles and cans shiver, flash, talk, play videos, or literally hand cash or coupons to consumers. Each of our devices are capable of generating double digit brand volume increases by delighting consumers with simple, unique ways to win and collect prizes.

Suppliers of Quality Banners, Banner Stands, Retractable Banners, Custom printed Backwalls, Feather Flags, Pop up Displays, Custom Printed Table Throws/Runners, Lighted Signs, Mirrors, Bottle Glorifiers, Temp. and Permanent Displays, Counter Mats, Decals, Metal Signs, Rubber floor and bar mats, Inflatables, Chalkboards, All types of Promotional items to promote your product.

The Martin Bauer Group is the leading supplier of botanical ingredients for the food, beverage, dietary supplement and pharmaceutical industries. Leaf teas, herbal raw materials, extracts and flavors. Whether it be a standard ingredient from our vast portfolio or a tailor-made ingredient to satisfy your specific needs, we are here to help. What can we do for you?

Organic, Kosher

iTi tropicals, Inc.

LaBoost, Inc.

McLean Design, Inc.

WelcomeiTi Tropicals, Inc. is an importer that believes in more than simply shipping tropical & exotic fruit juice, puree & concentrates to the food manufacturing industry. For over twenty years we have been introducing the food world to new and exciting fruit such as mangosteen, lycheee, soursop acerola, acai and most recently to a ground breaking coconut water concentrate.

La Boost specializes in creation and production of masking flavors, bitterness-modifyingflavors, and sweetness enhances for use in pharmaceutical, nutraceutical, and functionalbeverage industries. We co-pack (the cold-fill process), develop concentrate, and supply 2oz. and 32oz. bottles. These are our most recent developments SOBE – AdrenalineRush, Cocaine energy drink, cocaine energy shot and Penthouse clear energy drink.

McLean Design is the premier design partner for new and established businesses that are committed to building brands that win the market.

Jiaherb Inc.

Langlade Springs LLC

Mesa Laboratories, Inc

JIAHERB Inc., the largest herbal extract manufacturer from China, has distinguished itself from other ingredient suppliers as a company with the unique ability to capacitate massive projects involving high quality extracts. Offering more than 300 ingredients, JIAHERB aims to let customers feel secure in their purchases through perpetual inventory and full documentation to support strict GMP regulations.

One-stop source for highest quality private label and specialty branded bottled water.

Our Natural Mineral Spring Water offers naturally high pH of 7.8 - 9.5. We manufacture our own bottles at the source to ensure quality, purity and recyclability.

Complete contract fill and co-packing capabilities.

Expert in-house graphic design services.

Mesa now offers the Torqo line of high quality, durable and reliable computerized cap torque analyzers. With its onboard microprocessor, the Torqo makes torque testing simple, accurate and affordable for any threaded closure, including child resistant caps.

Kosher, Export ready

Private label available

Private label available

42 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

MobileDemand

Natreon Inc

Nutrition Innovation, Inc.

MobileDemand is in the business of providing complete rugged handheld computer systems for the food and beverage industry among others. We offer much more value and flexibility than our competition by focusing on the "whole system" rather than just the rugged computer.

Natreon Inc manufactures patented and proprietary Ayurvedic ingredients backed by sophisticated clinical research to support structure/function nutraceutical claims.

Capros cascading antioxidant superfruit, Sensoril ashwagandha,PrimaVie mitochondrial energy booster and Crominex 3+ safe and economical trivalent chromium are a few of the company ingredients

Nutrition Innovation, Inc. provides creative and powerful product development, marketing, and regulatory support services that not only meet, but exceed the demands of our food, beverage and nutrition clients. We specialize in developing great tasting, efficacious functional beverages for both RTDs and powders. Please visit www.nutritioninnovation.com for additional information.

Organic, Kosher, Export ready

Organic, Fair Trade, Kosher, Private label available

MoveIt Specialized Logistics

Natreon Inc.

NVE Pharmaceuticals

Since 1979 The MoveIt Companies have provided customers with specialized logistics services, including, blanket-wrap trucking, domestic and international air freight and packaging and crating services nationwide. Services for the Beverage industry include asset management, refurbishment, graphic changes, retail audits, project roll-outs and equipment maintenance.

Natreon Inc specializes in clinically researched Ayurvedic ingredients for the Food & Beverage Industries for Cardiovascular health, Antioxidant Superfruits, High ORAC ingredients, Mitochondrial energy, Sports Nutrition, Mineral delivery,Male Sexual health, and Glucose regulation.

NVE's private label division is one of the best in the country with every step of product manufacturing. From sourcing the raw materials, research, development and formulating a product. We can also help customers with their design or packaging needs.

Our 6 blow mold bottling machines are capable of blowing 1.5 oz to 10 oz custom bottles in a variety of shapes and sizes.

Organic, Kosher

Private label available Multi-Color Corporation

Natural Flavors, Inc.

O'Laughlin Industries

MCC is a global leader and national/regional supplier to the beverage industry; providing labeling solutions in Shrink Sleeve, Glue-Applied, Pressure Sensitive, In-Mold and Heat Transfer applications.MCC’s full Graphics and Technical Application Services can take your product from concept to labeled container in Digital, Flexographic, Offset, Gravure, and Screen/ Combination printing allowing you to “right-size” the business.

In business since 1997, we are a full service flavor manufacturer, specializing in Natural and NOP Certified Organic Flavors.

Inthe fall of 2010, We introduced Certified Fair Trade Vanilla Flavors.

Our application group can assist in formulation from concept to scale up.

O'Laughlin Industries is an American company headquartered in Hong Kong. Our Polyols factory is located in Tianjin China. The facility is designed to produce several important Polyols, including Erythritol, Xylitol and Isomalt. We also offer standard as well as custom blends of co-crystallized Erythritol and Stevia for your manufacturing needs.

O’Laughlin is also known for producing a range of food ingredients, flavor & fragrance ingredients, and fine chemicals. We have seven separate wholly owned factories in China.

Organic, Fair Trade, Kosher, Export ready

Organic, Kosher

National Starch/Corn Products International

NP Nutra

OnTrak Software

If you’re looking for the world’s leading manufacturer of premium quality ingredients for dietary supplements and functional foods and drinks, you’ve found it in NP Nutra. We look forward to an opportunity to provide you with the service that you are looking for.

Contact us and discover how NP Nutra can help your company today.

OnTrak Software provides affordable tools to beverage suppliers and wholesalers to track, measure and manage their point-of-sale (POS) marketing materials including: custom printed signs, permanent signs and displays, custom beverage menus and beverage samples. Our products lower POS costs, automate graphics and print shops, and improve POS profitability and ROI.

Corn Products International and National Starch Food Innovation have a complete portfolio of texturizing solutions, nutritive and non-nutritive sweeteners and nutritional ingredients to help food and beverage manufacturers improve and differentiate products offerings and reduce costs. Strong applications, technical, culinology and sensory expertise generate viable solutions to meet consumer demands.

Organic, Kosher

Kosher, Private label available, Export ready JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 43

Osio International, Inc.

Performance Packaging of Nevada

Prinova

Osio provides quality, rotogravure printed film-based flexible packaging materials for primary packaging applications including shrink sleeve labels, roll fed glue applied OPP labels for beverage and food applications, cold seal and heat seal roll film materials for form, fill and seal, bar wraps and lidding applications,high barrier PET, OPP and Nylon packaging films for bags and pouches (stand-up, zipper, 3-side seal, spouted, handles, etc.).

Performance Packaging specializes in custom flexible packaging solutions and our modern manufacturing facilities and dedication to customer service assures you a positive buying experience.POUCHES: Pre-Inserted Straw, Stand-Up, Spouted, ZipperedFLEXIBLE: Retort, Rollstock, Bags, Shrink Sleeves, Medical DeviceLABELS: Pressure-Sensitive, Paper, Laminated, Foil, EmbossedRE-USABLE GROCERY BAG: The Best Bag®

Premium Ingredients has outgrown its name due to expanded services and product portfolios. Our name is changed, but we remain your leading global provider of vitamins and amino acids. Prinova is your connection to high-quality ingredients and flavors, expert R&D, and individualized solutions. Let Prinova be your secret ingredient.

Diversity owned

Organic, Fair Trade, Kosher

Private label available

Overnight Labels, Inc.

PHOENIX PACKAGING

Priority Consulants Inc.

Overnight Labels, Inc., is a United States based manufacturer specializing in custom printed shrink sleeves, neckbands, pressure and non-pressure sensitive labels, flexible film, rotary silkscreen, foil and more. We provide the highest quality standards in manufacturing and flexographic printing. We serve a wide range of industries, including nutraceutical, pharmaceutical, beverage, and others.We can provide low minimum quantities, completive pricing, low set up costs and quick turn-arounds.

We produce distinctive, unique and recognizable bottles in glass, plastic, aluminum and ceramics.

We design and produce to your specs not relying on a catalogue or stock to provide you with the PERFECT PACKAGE to help develop your BRAND.

PCI and its network of associates have been consulting to companies in the juice, beverage, and food industries for more than 40 years. Our focus has been on the benefits of aseptic processing and packaging for the last 21 years. We built two of the top aseptic facilities constructed in North America.

P. L. Thomas

Phytochemin International Inc.

Prism Visual Software, Inc.

P.L. Thomas offers natural ingredients for shelf-life extension, flavors, microbial control as well as scientifically supported brands for condition specific: energy, heart health, bone/joint, beauty and more.

We specialize in Sucralose and Stevia. We also stock more than 200 Chinese Standardized Botanical Extracts. Our products are used in diet and fortified beverages. Since we are the direct importer, we offer the most competitive prices for quality ingredients in the industry.

Prism's software supports companies with sales teams and truck fleets of all sizes. Whether companies organize their routes via pre-order, delivery, route sales, sales order or equipment service, Prism's operational software, MiniMate and ServQuest, increases the bottom line for all business types. MiniMate is deployed on the PocketPC and synchs wirelessly to the central office server for immediate packing of sales orders or the creation of invoices.

Organic, Fair Trade, Kosher

Kosher

Woman owned PackagingARTS, Inc

Poms & Associates Insurance Brokers, Inc.

Rexam Beverage Can

PackagingARTS is an experienced designer and supplier of roll fed and cut and stack beverage labels, pressure sensitive labels, shrink sleeves and beverage carriers as well as all forms of POP displays including full retail promotions. Contact PackagingARTS to help with your new product launch or to update your existing brand or packaging!

We specialize in product liability insurance for dietary supplements (as defined by DSHEA). We have over 300 customers throughout the USA. We have scores of customers selling energy drinks and other beverages which are categorized as dietary supplements.

We will shop your company to every viable insurance carrier to achieve the lowest premium.

Delivering exceptional customer value, Rexam offers the right features to help beverages "pop" on retail shelves. Aluminum can sizes available in Sleek™ 8, 9.1, 10.5 and 12oz; Standard 12, 16 and 24oz; CapCan™ 12oz Sleek™ and Standard 16 and 24oz CapCan™.

Special ends and tabs also available.

44 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

RSY Consultants

Stauber Performance Ingredients, Inc.

The NutraSweet Company

Beverage Manufacturer or Distributor doing business in California? Headaches with California Refund Value (CRV) audits? RSY Consultants’ unparalleled expertise and over 14 years of experience with California’s Beverage Container Recycling Program has saved our clients hundreds of thousands of dollars. We can help solve your CRV compliance and audit issues.

Since 1969 Stauber has been a bulk ingredient supplier to processors, formulators and marketers of nutritional, food, beverage, cosmetic, flavor and other products. We specialize in Minerals, Amino Acids, Flavors, Green Foods, Herbs & Extracts, Joint-Relief, Energy & Weight Loss, Sweeteners, Acidulants, Vitamins and other specialty ingredients.

The NutraSweet Company, headquartered in Chicago, provides customers with a full value portfolio including superior quality products (aspartame, neotame, twinsweet and l-phenylalanine), unrivaled technical, R & D and regulatory support, competitive pricing, an experienced management team. NutraSweet is currently the only company manufacturing high potency sweeteners in the USA.

Organic, Fair Trade, Kosher, Export ready, Diversity owned

Kosher

Scalewatcher North America Inc

Sweet Green Fields

The Wright Group

Scalewatcher manufactures and distributes ecofriendly water treatment systems. No chemicals, no salts and no plumbing required! Break your chemical dependency step up to Scalewatcher products.

Sweet Green Fields is a leading vertically integrated stevia extracts supplier. Our premium quality line of high purity extracts is the result of our science-based approach to agriculture, our sweetener research and formulations expertise.

The Wright Group supplies custom premixes, enrichments and microencapsulations/granulations to a large group of blue chip clients for a wide range of end-market applications in the beverage industry, which include: Functional Beverages, Energy Drinks, Vitamin Water, Fortified Juices, Dairy/ Non-Dairy based drinks, RTD Viscous Beverages & Functional Teas.

Organic, Kosher

Kosher, Export ready Sensient Flavors

Switch: Liberate Your Brand

TradeInsight Powered by MEI

With industry-leading expertise in the beverage market, Sensient Flavors offers flavor systems that provide comprehensive solutions. Our flavor portfolio includes berry, citrus, tropical, coffee, tea, and sweet flavors. These flavor systems are used to create exceptional solutions for carbonated, sports, energy, juice, flavored/enhanced waters, coffee, tea, and alcoholic beverages.

Switch is an independently-held, experiential marketing agency working with companies and brands who share our belief in the power of engagement to drive behavior-changing results. Switch specializes in the creation and execution of field marketing, live events, sponsor activation, digital media, exhibits and environments for: 5-hour Energy, Beck’s, Budweiser, Busch, Coca-Cola, FUZE, Muscle Milk, Natty Light, NOS, PowerAde, Select 55 and vitaminwater.

TradeInsight Powered

by MEI is a global provider of Trade Promotion Management (TPM) solutions. TradeInsight gives packaged goods companies the power to integrate TPM into existing sales and marketing accounting systems to better track trade spend and performance, planning, forecasting and reconciling. TradeInsight is a cloud-based solution and provides Trade Promotion Management that’s actually manageable.

Solublend Technologies

Tampa Bay CoPack

Tradin Organics USA, Inc.

SoluBlend Technologies providesthe global food and beverageindustry with heart healthyingredients utilizing a proprietarytechnology that converts fat solubleoils such as CLA, Chia oil, Cranberryoil, Omega 3 fatty acid, CoQ10,Resveratrol, Phytosterols, and the fatOmega 3 fatty acidssoluble vitamins into water solublefunctional ingredients at a costeffective dosage.

Contract Manufacturing of Beverage Products.

High Speed and Specialty Fill Lines. Offering a wide range of premier beverage manufacturing services, with strict adherence to FDA and Good Manufacturing practices.

Organic and Kosher certified processing. In-house laboratory. Private Label manufacturing. Working closely with our clients to determine needs and requirements for QC, supplier and distribution guidelines.

We are a leading manufacturer, importer and exporter of natural and certified organic industrial products including fruit juices, juice concentrates and purees, coffee, cocoa, and sweeteners with extensive strategic global sourcing and supply capabilities from operations around the world.

Private label available, Export ready

Organic, Kosher, Private label available

Organic, Kosher, Private label available

Organic, Fair Trade, Kosher, Export ready

JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 45

United Packaging Group

Vedeqsa, Inc.

WILD Flavors, Inc.

Contract Manufacture located in the "Hub" of Southern California, specializing in Cold Fill Beverages (Carb/ Non-Carb) and Bottled Water. Capabilities include PET Filling of CSD products, Blended/ Batched products, Spring & Artesian Water Sources, Turn Key Alkaline Water Formulas. 50 State Certified for Bottled Water. Tier One, High Speed Equipment.

Vedeqsa, Inc. produces and distributes food ingredients.

WILD Flavors GmbH, based in Zug, Switzerland, is one of the world's leading privately-owned manufacturers of natural ingredients for the food and beverage industry. WILD Flavors provides specific flavors, colors, and ingredients as well as innovative and great tasting concepts through application expertise and technological advancements.

Organic, Kosher

Kosher, Private label available, Export ready

Kosher, Private label available, Export ready

US Beverage Manufacturing

Veriplas Containers

World Tea Expo

Everything you need to launch your private label beverage from start to finish. Flavoring, formulation, manufacturing, packing, custom label & packaging, exporting, sales, marketing, design and development. We can assist you with both alcoholic and non-alcoholic beverages. US Beverage Manufacturing - Your turnkey beverage solution!

Veriplas Containers is your innovative source for cold-fill PET preforms and containers. Choose Veriplas for broad selection, competitive pricing, professional quality and service. Custom projects are welcome. Veriplas is a leader in the use of recylced PET (rPET) content.

What's the minimum TDS needed in an RTD to call itself "Tea"? Not only are we showcasing quality tea suppliers, we’re offering up-tothe-minute information relevant to manufactures and retailers alike.

For 2012, we’ve adopted a “No Repeat” policy across the event to celebrate our 10 years. Join us in Vegas.

Private label available, Export ready

Organic, Fair Trade, Kosher, Private label available, Export ready, Woman owned, Diversity owned

US Beverage Manufacturing

Water Treatment Systems, Inc.

Everything you need to launch your private label beverage from start to finish. Flavoring, formulation, manufacturing, packing, custom label & packaging, exporting, sales, marketing, design and development. We can assist you with both alcoholic and non-alcoholic beverages. US Beverage Manufacturing - Your turnkey beverage solution!

Water Treatment Systems, Inc. designs and manufactures Reverse Osmosis systems for purification of the most important ingredient in your product - water.

Private label available, Export ready

Export ready

Varni Brothers Corp. / 7up Modesto

Western Computer

Varni Brothers / 7up Modesto, California is a state of the art, beverage facility with one of the most versatile size and packaging line-ups, consisting of two bottling lines (PET and Glass), and two canning lines (187ml, 8oz, 8.4oz, 12oz, 12oz sleek, 16oz, 24oz), with many multi-pack packaging options, for producing carbonated and non-carbonated beverages.

Western Computer is a Microsoft Gold Partner, one of only 12 partners certified by AMR Research for Microsoft. Competent to provide solutions for the distribution industry. We are located in major cities in the United States and Canada. We have many clients in the beverage industry.

Fair Trade, Kosher, Private label available, Export ready 46 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

COMPANY CONTACT INFORMATION COMPANY NAME

CONTACT NAME

ADDRESS

CITY

A. Holliday & Company Inc.

Christine Renken

4141 Yonge Street, Suite 301

Toronto

STATE

ZIP CODE

PHONE NUMBER

WEBSITE

ON

M2P 2A8

416-225-2217

www.teacoff.com

abelei flavors

Troy Gooding

194 Alder Drive

AES Chemunex Inc.

Philippe Gadal

1 Corporate Drive, Suite G

North Aurora

IL

60542

630-859-1410

www.abelei.com

Cranbury

NJ

08512

609-235-9272

Agr International, Inc.

David Dineff

615 Whitestown Road

www.aeschemunex.com

Butler

PA

16001

724-482-2163

www.agrintl.com

AIDP, Inc.

Kathy Lund

Allen Flavors, Inc.

Joe Moran

19535 East Walnut Drive South

City of Industry

CA

91748

866-262-6699

www.aidp.com

23 Progress St.

Eidson

NJ

08820

908-561-5995

Amin Talati

www.allenflavors.com

Rakesh Amin

225 N. Michigan, Suite 700

Chicago

IL

60601

312-466-1033

www.amintalati.com

Ampac

Sal Pellingra

12025 Tricon Road

Cincinnati

OH

45246

513-671-1777

www.ampaconline.com

Aptar food + beverage

Todd Caron

475 w. Terra Cotta Avenue, Suite C

Crystal Lake

IL

60014

815-261-3217

www.aptar/food-beverage

Arcadia Farms, Inc.

Tom

P.O. Box 631

Arden

NC

28704

479-464-0701

ArcadiaFarms.com

Aromatech Flavorings Inc

David Pujol

5770 Hoffner Ave, Suite 103

Orlando

FL

32822

407-277-5727

www.aromatech.fr

ATC Group - Refrigeration Solutions

Taylor Samuel

3235 Industry Drive, Suite C

North Charleston

SC

29418

800-905-4768

www.atcgroup.net

Avery Dennison Label and Packaging Materials

Laura Clark

8080 Norton Parkway

Mentor

OH

44060

800-944-8511

www.enhanceyourbrand.com

Axiom Foods

Reed Powell

12100 Wilshire Blvd., 8th Floor

Los Angeles

CA

90025

424-216-7521

www.axiomfoods.com

AZPack.COM

Eric Manfull

7303 S. Kyrene Road

Tempe

AZ

85283

602-748-0237

www.AZPack.COM

Ball Corporation

Mariko Yamanouchi

9300 West 108th Circle, POC-2

Westminster

CO

80021

303-460-5374

www.ballamericas.com

Beck Flavors

Charley Beck

4710 L Interstate Dr.

Cincinnati

OH

45140

636-236-8066

www.BeckFlavors.Net

Bedford Industries, Inc.

Patsy Youngblom

1659 Rowe Avenue

Worthington

MN

56187

507-376-4136

www.elastitag.com

BENEO Inc.

Joe O'Neill

201 Littleton Road, First Floor

Morris Plains

NJ

07950

973-867-2140

Bioenergy Life Science

Gabe Herrick

13840 Johnson St NE

Minneapolis

MN

55304

763-757-0032

www.bioenergyribose.com

Brand Adoption

Donald May

2129 E Warner Road, Suite 101

Tempe

AZ

85284

480-889-3117

www.brandadoption.com

Brand Makers

Barrett Johnson

1411 W. 1250 S.

Orem

UT

84058

801-798-4630

www.brandmakers.com

Buck's Trucks, LLC

Chris Buck

291 Sheringham Rd

Columbia

SC

29212

803-407-6895

www.buckstrucks.com

Caffe Del Mar

irene adams

1221 via mil cumbres

solana beach

CA

92075

800-222-5005

www.caffedelmar.com

California Aseptic Bevs. LLC

Jeff McClelland

11020 Poplar Ave.

Fontana

CA

92337

909-356-5100

www.caasepticbev.com

Cargill

Tom Lindberg

15407 McGinty Rd W

Wayzata

MN

55391

866-356-8872

www.cargill.com/food

Century Foods International

Peter Hahn

400 Century Court

Sparta

WI

54656

800-269-1901

www.centuryfoods.com

Chemi Nutra

Chase Hagerman

4463 White Bear Pkwy.

White Bear Lake

MN

55110

651-407-0400

www.cheminutra.com

Christie Communications

Gillian Christie

800 Garden Street, Suite B

Santa Barbara

CA

93101

805-969-3744

www.christiecomm.com

Ciranda, Inc

Jenelle Ludwig Krause

221 Vine Street

Hudson

WI

54016

715-386-1737

www.ciranda.com

Citromax Flavors

Elaine Kellman-Grosinger

444 Washington Avenue

Carlstadt

NJ

07072

201-933-8405

www.citromax.com

Closure Systems International

Jane Haywood-Rollins

7702 Woodland Drive, Suite 220

Indianapolis

IN

46278

317-390-5000

www.csiclosures.com

Comax Flavors

Cathy Armstrong

130 Baylis Road

Melville

NY

11747

631-249-0505

www.comaxflavors.com

Corporate Packaging, Inc.

Craig Johnson

14113 183rd Street

Cerritos

CA

90703

714-522-2333

www.corporatepackaginginc.com

CP Kelco

Jane Schulenburg

1000 Parkwood Circle, Ste. 1000

Atlanta

GA

30339

678-247-7413

www.cpkelco.com

Creekside Springs, LLC

Dave Carlson

667 Merchant Street

Ambridge

PA

15003

724-266-9000

www.creeksidesprings.com

Crystal Cooler - Fortune Resources

Laurence Langrell

12234 Florence Avenue

Santa Fe Springs, CA

CA

90670

562-941-6368

D.D. Williamson

Campbell Barnum

1901 Payne Street

Louisville

KY

40206

502-895-2438

www.ddwilliamson.com

Daesang America

Kevin Somerville

1 University Plaza, Suite 505

Hackensack

NJ

07601

302-235-7260

www.daesangamerica.com

Danisco

Becky Bingman

Four New Century Parkway

New Century

KS

66062

800-255-6837

www.danisco.com

Deacom, Inc.

Jay Deakins

950 W Valley Rd, Suite 3000

Wayne

PA

19087

610-971-2278

www.deacom.net

Dex-O-Tex by Crossfield Products Corp.

Sales Department

3000 E. Harcourt Street

Rancho Dominguez

CA

90221

310-886-9100

www.dexotex.com

DSM Nutritional Products

Caroline Brons

45, Waterview Blvd

Parsippany

NJ

07054

973-257-8042

www.unlimitednutrition-na.dsm.com

DWS Printing Associates

Andrew Elinns

89 North Industry Ct

Deer Park

NY

11729

631-667-6666

www.dwsprinting.com

JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 47

COMPANY CONTACT INFORMATION (continued) COMPANY NAME

CONTACT NAME

ADDRESS

CITY

STATE

ZIP CODE

PHONE NUMBER

WEBSITE

Emerson Industrial Automation

Jackie Catalano

7120 New Buffington Rd

Florence

KY

41042

859-727-5271

www.emerson-ept.com

Encore Fruit Marketing

Greg Kaiser

120 W. Bonita Ave., Suite 204

San Dimas

CA

91773

909-394-5640

www.Encorefruit.com

Ethical Naturals, Inc.

Roy Fleischer

330 Sir Francis Drake Blvd., Suite F

San Anselmo

CA

94960

866-459-4454

www.ethicalnaturals.com

Flavor Producers

Janet Guzman

28355 W. Witherspoon Pkwy

Valencia

CA

91342

661-257-3400

www.flavorproducers.com

Flavorman

Kate Ratliff

809 South 8th Street

Louisville

KY

40203

502-266-7377

www.flavorman.com

Fluxome, Inc.

Herbert Woolf

400 Northampton Street, Suite 600

Easton

PA

18042

484-546-0321

www.fluxome.com

Fort Dearborn Company

Gwen Chapdelaine

1530 Morse Avenue

Elk Grove

IL

60007

847-357-9500

www.fortdearborn.com

Future Perfect Worldwide, Inc.

Michael G. Levine

3315 Berkmar Drive, Suite 2A

Charlottesville

VA

22901

434-220-1000

www.futureperfectworldwide.com

G3 Enterprises Inc.

Krittaya Boonma

502 E. Whitmore Ave

Modesto

CA

95358

800-321-8747

www.G3Enterprises.com

Glanbia Nutritionals

Shanna Smidt

5951 McKee Rd., Suite 201

Fitchburg

WI

53719

608-316-8500

www.glanbianutritionals.com

Glanbia Nutritionals - CA

Michael Cornell

2840 Loker Ave. E

Carlsbad

CA

92010

760-438-0089

www.glanbianutritionals.com

GLG Life Tech Corporation

Charles Tremewen

1050 West Pender Street, Suite 2168

Vancouver

BC

V6E 3S7

604-669-2602

www.glglifetech.com

Glover Capital, Inc.

Marion B. Glover

229 Peachtree Street, NE

Atlanta

GA

30303

404-523-2921

GNT USA, Inc.

Jeannette O'Brien

660 White Plains Road

Tarrytown

NY

10591

914-524-0600

Gotham Brand Managers

Trent Moffat

2849 Walker Dr.

Yorktown Heights

NY

10598

914-433-6641

www.gothambrands.com

Hammer Packaging

Tom Mason

200 Lucius Gordon Drive

Rochester

NY

14692

585-424-3880

www.hammerpackaging.com

www.gntusa.com

Healthy Brand Builders

James S Tonkin

7559 E. Woodshire Cove

Scottsdale

AZ

85258

480-596-6360

www.healthybrandbuilders.com

Hudson Tea, LLC

George Hartnett

PO Box 160147

Saint Louis

MO

63116

314-771-8339

www.leramo.com

Idaho Milk Products

Jessica Henry

1149 South Tiger Drive

Jerome

ID

83338

208-644-2872

www.idahomilkproducts.com

IFP, inc. (Innovative Food Processors)

Scott Sijan

2125 Airport Drive

Faribault

MN

55021

800-997-4437

www.ifpinc.biz

Inland Label

Shawna Koss

2009 West Ave. South

La Crosse

WI

54601

800-657-4413

www.inlandlabel.com

Instant Win Innovations

Chris Barr

116 Gillotti Rd

New Fairfield

CT

06812

203-648-4499

www.instantwininnovations.com

iTi tropicals, Inc.

Don Giampetro

30 Gordon Ave.

Lawrenceville

NJ

08648

609-987-0550

www.ititropicals.com

140 Littleton Road, Suite 200

Parsippany

NJ

07054

973-439-6869

www.jiaherbinc.com

Suzanne Stoeckle

2120 Joseph St-Cyr

Drummondville

QB

J2C 8V6

604-228-7771

www.kefiplant.com

Kelly Point-of-Sale, Inc.

Kyle Kelly

5831 West Luther Rd.

Floyds Knobs

IN

47119

812-923-8190

www.KellyPOS.com

LaBoost, Inc.

Muhammad

3n555 17th st. unit b

saint charles

IL

60174

630-444-1755

www.laboostinc.com

Langlade Springs LLC

Brad Wendt

W6933 State Hwy 64

Polar

WI

54418

920-915-4813

www.langladesprings.com

Lonza Inc.

Thomas Brancato

90 Boroline Road

Allendale

NJ

07401

800-365-8324

www.lonzanutrition.com

Martin Bauer Inc.

Gary G. Vorsheim

300 Harmon Meadow Blvd., Suite 510

Secaucus

NJ

07094

201-659-3100

www.martin-bauer-group.us

McLean Design, Inc.

Jessie Roberts

1401 North Broadway, Suite 220

Walnut Creek

CA

94596

925-944-9500

www.mclean-design.com

Mesa Laboratories, Inc

Greg Wilson

12100 W. 6th Avenue

Lakewood

CO

80203

3303-565-4840

www.mesalabs.com

MobileDemand

Bob Zink

1501 Boyson Sq. Dr., Suite 101

Hiawatha

IW

52233

319-363-4121

www.RuggedTabletPC.com

MoveIt Specialized Logistics

Marilyn LeBlanc

103 MoveIt Dr.

Breda

IA

51436

800-831-0030

www.moveit.com

Multi-Color Corporation

Kevin O'Brien

4053 Clough Woods Drive

Batavia

OH

45103

920-262-1166

www.mcclabel.com

National Starch/Corn Products International

Dinah Dian

10 Finderne Ave.

Bridgewater

NJ

08807

866-961-6285

www.foodinnovation.com

Natreon Inc

Jen Kim

2-D Janine Place

New Brunswick

NJ

08901

732-296-1080

www.natreoninc.com

Natreon Inc.

Rick Kaiser

2-D Janine Pl

New Brunswick

NJ

08901

732-296-1080

www.natreoninc.com

Natural Flavors, Inc.

Jeff Rakity

268 Doremus Avenue

Newark

NJ

07105

973-589-1230

www.flavor.com

NP Nutra

Bil Nichols

15171 S. Figueroa St

Gardena

CA

90248

310-694-3031

www.npnutra.com

Nutrition Innovation, Inc.

Alan Roberts

1507 7th Street, #325

Santa Monica

CA

90401

310-963-0343

www.nutritioninnovation.com

NVE Pharmaceuticals

Walter Orcutt

15 Whitehall Road

Andover

NJ

07821

973-786-7868

www.nveusa.com

Jiaherb Inc. Kefiplant Inc

48 BEVNET MAGAZINE JANUARY/FEBRUARY 2012

COMPANY NAME

CONTACT NAME

ADDRESS

CITY

STATE

ZIP CODE

PHONE NUMBER

WEBSITE

O'Laughlin Industries

Joe Schreiber

PO Box 145

Springfield

NJ

07081

973-376-4600

www.erythritol-erythritol.com

OnTrak Software

Denis Clark

2943 Riverside Drive

Cincinnati

OH

45226

513-936-4032

www.ontraksoftware.com

Osio International, Inc.

Rick Majewski

2550 East Cerritos Ave.

Anaheim

CA

92806

714-935-9700

www.osiopack.com

Overnight Labels, Inc.

Carrie Houghton

151-15 West Industry Ct.

Deer Park

NY

11729

631-242-4240

www.overnightlabels.com

P. L. Thomas

Paula Nurnberger

119 Headquarters Plaza

Morristown

NJ

07960

973-984-0900

www.plthomas.com

PackagingARTS, Inc

John Swain

700 Walnut Ave

Vallejo

CA

94592

707-562-2787

www.packagingarts.com

Performance Packaging of Nevada

Robert Reinders

6430 Medical Center Street #102

Las Vegas

NV

89148

702-240-3457

www.performance-packaging.com

Phoenix Packaging

Joel B. Miller

847 McCAFFREY

Montreal

QB

H4T1N3

514-487-6660

www.phoenixpackaging.com

Phytochemin Int'l Inc.

Tom Winn

1898 S. Carlos Ave

Ontario

CA

91761

909-231-8933

www.phytocheminc.com

Poms & Associates Insurance Brokers, Inc.

Greg M. Doherty

5700 Canoga Ave

Woodland Hills

CA

91367

818-449-9317

www.gregdoherty.net

Prinova

Nicole Aurelio

285 E. Fullerton Avenue

Carol Stream

IL

60188

630-868-0300

www.prinovagroup.com

Priority Consulants Inc.

D. Scott Eckman

64 Dunham Place

Saint Charles

IL

60174

630-404-0458

Prism Visual Software, Inc.

Lynn Keating

1 Sagamore Hill Drive

Port Washington

NY

11050

516-944-5920

www.prismvs.com

Rexam Beverage Can

John Neumeister

8770 W Bryn Mawr

Chicago

IL

60631

773-399-3939

www.rexam.com

RSY Consultants

Roy Yano

Sacramento

CA

95833

916-212-9702

www.royyano.com

Scalewatcher North America Inc

Pam McDowell

345 Lincoln Street

Oxford

PA

19363

610-932-6888

www.scalewatcher.com

Sensient Flavors

Jim Shepherd

5600 W Raymond St

Indianapolis

IN

46241

800-445-0073

www.sensientflavors.com

Solublend Technologies

Richard Staack PhD, MBA

11487 Amhearst Court

Frankfort

IL

60423

815-534-5778

www.solublend.com

Stauber Performance Ingredients, Inc.

Shirley Rozeboom

4120 North Palm Street

Fullerton

CA

92835

714-441-3900

www.stauberusa.com

Sweet Green Fields

James Kempland

11 Bellingham Way, Suite 305

Bellingham

WA

98225

360-483-4555

www.sweetgreenfields.com

Switch: Liberate Your Brand

Julie Suntrup

6600 Manchester Avenue

St Louis

MO

63122

314-206-7820

www.liberateyourbrand.com

Switch: Liberate Your Brand

Julie Suntrup

6600 Manchester Avenue

St. Louis

MO

63139

314-206-7820

www.liberateyourbrand.com

Tampa Bay CoPack

Jayne Sebastian

15052 Ronnie Drive, Suite 100

Dade City

FL

33523

352-567-2200

www.tampabaycopack.com

The NutraSweet Company

Brad Meyers

222 Merchandise Mart Plaza, Suite 936

Chicago

Il

60654

312-873-5035

www.nutrasweet.com

The Wright Group

Brandon Rudyk

6428 Airport Road

Crowley

LA

70527

337-783-3096

www.thewrightgroup.net

TradeInsight Powered by MEI

Lance Anderson

301 Grant Street, Suite 4300

Pittsburgh

PA

15220

800-463-6634

www.tradeinsight.com

Tradin Organics USA, Inc.

Hobbs Wolcott

2100 Delaware Ave.

Santa Cruz

CA

95060

831-685-6565

www.tradinorganic.com

United Packaging Group

Mike Dettmers

1601 E. Steel Rd

Colton

CA

92324

951-340-4400

www.unitedpackaginggroup. com

US Beverage Manufacturing

Peter

661-834-3569

www.usbeveragemanufacturing. com

Varni Brothers Corp. / 7up Modesto

Anthony J. Varni

400 Hosmer Ave

Modesto

CA

95351

209-521-1777

www.noahs7up.com

Vedeqsa, Inc.

Udo Reigber

11 Penn Plaza, 5th Floor Suite 5105

New York

NY

10001

212-946-4930

www.vedeqsainc.com

Veriplas Containers

Speed Stodghill

6600 Geyer Springs Rd.

Little Rock

AR

72209

501-779-1320

www.veriplas.com

Water Treatment Systems, Inc.

Jeff Dunn

PO Box 880375

Boca Raton

FL

33488

561-477-2609

www.watertreatmentsystems.us

Western Computer

Tom Bardos

351 Candelaria Rd

Oxnard

CA

93030

805-581-5020

www.westerncomputer.com

WILD Flavors, Inc.

Donna Hansee

1261 Pacific Ave

Erlanger

KY

41018

859-342-3600

www.wildflavors.com

World Tea Expo

Kim Jage

5125 W Oquendo Rd, Suite 16

Las Vegas

NV

89118

702-253-1893

www.worldteaexpo.com

CA

JANUARY/FEBRUARY 2012 BEVNET MAGAZINE 49

PROMO PARADE

Promotions, events and specials for the industry

Pepsi MAX Searches for its Most Passionate Fans Pepsi MAX is running the “Pepsi MAX for Life” video contest, a national search to find the brand’s most passionate fans. Two winners who prove that they are devoted fans of zero calories and maximum Pepsi taste will be rewarded with Pepsi MAX for life.

Through Feb. 13, consumers can visit the Facebook tab at PepsiMAX.com to submit a video 60 seconds or less detailing why they deserve a lifetime supply of Pepsi MAX. Videos can be uploaded on the Pepsi MAX Facebook page through February 13, 2012 and two winners will be chosen. One winner will be selected

by Pepsi MAX based on creativity, inspiration and entertainment value; the other chosen by the Pepsi MAX Facebook community. Public voting will take place between February 14 and February 18, 2012 on the Pepsi MAX Facebook page for consumers to decide who they think is most deserving of Pepsi MAX for their rest of their life.

Along with the online video contest, Pepsi MAX, the official soft drink of the NFL, will bring the “Pepsi MAX for Life” contest to life at its footprint at the NFL Experience during Super Bowl XLVI week in Indianapolis. NFL fans can participate in the interactive experience inside the NFL Experience being held at the Indiana Convention Center January 27-February 4. Go to SUPERBOWL.com to purchase NFL Experience tickets.

Deron Williams Joins Team Red Bull Heavy winds prevented him from taking a helicopter to the Red Bull NBA kick-off party, but New Jersey Nets point guard Deron Williams nevertheless earned his wings for his new endorsement partner. Following a Nets home game, Williams was supposed to take to the air in a Red Bull “Heli” from New Jersey to New York to host an NBA season kick-off party. But with 30 mph gusts having something to say about it, he instead flagged down a Military Extreme Vehicle (MXT) and zipped through Newark into Manhattan’s SoHo District to join the party.

With guests including rappers Jim Jones and Prodigy of Mobb Deep, Williams officially joined the Red Bull family with a night he likely won’t ever forget. A web video documenting every moment from the time he left the Prudential Center to the moment the party closed down can be viewed at www.redbullusa.com/deronwilliams. An embed code is also available on the page.

Heralded as one of basketball’s best point guards, the 27-year old is a two-time NBA All-Star and gold medal winner. The third overall pick in the 2005 NBA Draft, Williams attended the University of Illinois, where he led the team to the national championship game.

Williams joins a Red Bull roster of high performers including Blake Griffin, Rajon Rondo, Tim Lincecum, Jimmy Rollins, Reggie Bush, Lindsey Vonn, DeMarcus Ware and close to 500 others worldwide.

PBR and PBR The Professional Bull Riders and Pabst Brewing Company have announced a multi-year relationship that will make Pabst Blue Ribbon Beer the exclusive beer partner of Professional Bull Riding. Yes, PBR will be sponsoring PBR! Activation includes unique signage at all Built Ford Tough Series events, where the iconic Pabst Blue Ribbon Tall Boy will be integrated throughout the arena.

Professional Bull Riders will also introduce the first “Pabst Blue Ribbon Bull Award,” which will recognize the outstanding bull performance at each event based on athleticism, strength and speed.

Further, in eight key markets, Pabst Blue Ribbon will host the “Pabst Party Zone,” an exclusive fan experience that will give attendees the opportunity to go behind

the scenes with the Professional Bull Riders while enjoying an ice cold Pabst Blue Ribbon, including access to upgraded seating and rider autograph sessions and meet & greets. The Pabst Party Zone will launch the weekend of January 13, 2012, in Anaheim, and continue in Portland, Atlanta, Houston, Arlington, Detroit, San Antonio, and Nashville, with fans being awarded entrance at random after signing up via SMS text and at Pabst Blue Ribbon activities booths. Professional Bull Riders is the world’s premier bull

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riding organization. The nationally-televised BFTS features the best and highest-paid bull riders on the planet competing against the world’s best bulls.

New York is the first stop for the BFTS, which will make 29 stops in 23 states before the Built Ford Tough World Finals in Las Vegas on Oct. 2428, 2012. The World Finals are where the Professional Bull Riders World Champion will be crowned and awarded the coveted Championship Buckle and a $1 million bonus. The richest bull riding event in the world, the World Finals has a total purse of more than $2 million.

Learn more about the what, where and how of PUREFRUIT™ and its appeal with consumers!

Download the insight report, “The PUREFRUIT™ Revolution” and visit www.purefruit.com.

Tate & Lyle is a leading provider of high-quality sweeteners, texturants, wellness ingredients and innovative solutions for the food and beverage industry. Our passion for food shines through in everything we do, and we are dedicated to helping our customers create cost-effective, better-tasting, healthier and highly successful foods and drinks.

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