Coca-Cola and Procter & Gamble set up new company

Coca-Cola and the consumer products group Procter & Gamble have set up a new juice and snack company.

Each company will own 50% of the new venture, which will focus on developing and marketing juice-based drinks and snacks.

Don Short, who has worked for 24 years at Coca-Cola, will head up the new company as chief executive.

There will also be a board of directors drawn from both parent companies.

In a joint statement, Coca-Cola and Procter & Gamble say the new joint venture aims to have annual sales of $4bn from the launch.

It is expected to add to the earnings of its two parent companies in the second year of being set up.

The new company will combine Coca-Cola's worldwide distribution, merchandising and marketing expertise with P&G's research and development.

The new company will take over existing Coca-Cola brands, such as Minute Maid, Five-Alive and Fruitopia.

P&G's products include Pringles, Sunny Delight and Punica beverages.