New contracts in line for C&C

Ian Guider

Allied is the international distributor of C&C Tullamore Dew whiskey and Carolan’s Irish cream, but this agreement will cease following the takeover of Allied by Pernod Ricard.

C&C chief executive Maurice Pratt said yesterday: “We are in the process of consultation and discussions with new distributors and we are very confident that we will be able to find distributors for our products of at least equivalent quality as Allied Domecq, albeit we’ll end up with probably more than one.”

The company also said it wasis likely to lose some of its contracts to distribute Allied brands in Ireland, but did not say how much this would cost the group.

C&C told its shareholders at its first annual general meeting since listing on the stock market last year that it had performed in line with expectations during the first four months of its current financial year, and that its year results would also be in line.

Chairman Tony O’Brien said: “Strategically, C&C’s focus is to invest for sustainable growth opportunities presented by Bulmers in Ireland, Magners in the UK and Tullamore Dew internationally.

“In the fiscal year to date C&C has achieved good results from each element of this strategy. A key feature of the group’s plan for 2005/6 is Magners’ roll out in the greater London area. This commenced in March 2005 and is progressing satisfactorily.

“Positive consumer sentiment in Ireland has not yet been reflected in the soft drinks and snacks markets and the group remains focused on reducing costs and enhancing efficiencies in these businesses.”

The company also defended its decision to shift production of Tayto crisps to Largo Foods. The company says it was negotiating the move with unions, but around 100 jobs will go at its factory in Dublin. The remaining 160 jobs in sales and marketing are safe, Mr Pratt said.

Shares in C&C slipped 2.6% to E3.75 on the Dublin stock market.