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WINTER TRAINING

PROJECT

ON

CORPORATE SOCIAL RESPONSIBILITY

OF

THE COCA COLA COMPANY

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF THE AWARD OF

THE DEGREE

MASTERS OF BUSINESS ADMINISTRATION

(SESSION 2010-2012)

UNDER GUIDANCE: SUBMITTED BY:

Mrs. Darshneel B.Grover MONICAGUPTA

Assistant Professor 1019170014

IIET

INVERTIS INSTITUTE OF ENGINEERING & TECHNOLOGY

BAREILLY


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DECLARATION

I Monica Gupta student of MBA IVrth semester (Roll no- 1019170014) at IIET hereby declare

that the project report titled Corporate Social Responsibility of The Coca Cola Company

submitted in the fulfillment of the MBA programme (2010-2012) batch offered by Invertis

Institute of Engineering & Technology, Bareilly is based on genuine works.

This report has not been submitted to any other institution or university for the fulfillment of

any other course of study or any other purpose.

Monica Gupta

MBA IVrth Sem


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PREFACE

A Project is a scientific and systematic study of real issues on a problem with the application

of management concept and skills. The study can deal with small or big issues in any

division of an organization. It can be case study where a problem has been dealt with,

through the process of management. The essential equipment of a project is that, it should

contain scientific collection of data , analysis and interpretation of data leading to valid

conclusion.

Project is an essential part in MBA curriculum. It enables the student to share the real

experience in industry and market.

The topic of my project is CORPORATE SOCIAL RESPONSIBILY OF THE COCA COLA

COMPANY.

This project report tends to give a sharp picture of the CSR of the company.

I hope, this study can be of some help to the soft drinks company of his product and services


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Acknowledgements

It is a matter of great pleasure to thank all esteemed persons who helped me to complete my

final research project successfully otherwise, it would not been possible.

Acknowledgement is not only a ritual, but also an expression of indebtedness to all those

who have helped in the completion process of the project. One of the most pleasant aspects

in collecting the necessary and vital information and compiling it is the opportunity to thank all

those who actively contributed to it.

I like to express my deepest gratitude and thanks to my Project Guide

Mrs Darshneel B.Groverfor the valuable guidance and constant encouragement, which she

extended to me throughout my Winter project.

MONICA GUPTA


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CONTENTS

1-Introduction of the company 7

2-History of the company 15

3-Mission, Vision and values 24

4-System of Coca Cola in India and worldwide 28

5-Corporate Governance 35

6-Corporate Social Responsibility 39

7-Products Description 68

8-SWOT Analysis 80

9-Objective of the study 84

10-Research Methodology 86

11-Finding 93

12-Conclusion 95

13-Bibliography 97


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INTRODUCTION OF COCA COLA

In 1886, Dr. John Pemberton created the formula ofCoca-Cola, a pharmacist in Atlanta,

Georgia. The drink was sold ad-refreshing elixir at the fountain counter of Jacobs Pharmacy

of which Dr. John Pemberton was part owner, unaware that the pharmacist had given birth

to caramel colored syrup, which is now the chief ingredient of the world favorite drink. Today

the white-on-red flow of Coca-Cola is familiar sight in more then195 countries. The syrup

combines with the carbonate water to fuel a $16.2 billion corporation that has captured a

46% slice of the global soft drinks market. The company estimates that the drink is served

more than 773 million times every day and if all Coke ever produced were filed in standards

bottles and placed end to end it would wrap around the equator21, 161 times.

The story of Coca-Cola is a story of a drink and its charm with the consumed. The story of

ecstasy and again that the drink has caused to those dedicated to its growth Pemberton first

managed to sell and average of9 drinks per day, though a shop called Jacobs Pharmacy,

in 1891, Candler bought Coca-Cola company with the initial stock of $1,00,000. Coca-Cola

was registered at the US patent office in 1893, and began selling at soda fountains for 5

cents a glass of therapeutic refreshment 1894; I got into bottles, courtesy a candy merchant

Joseph Boedenharn of Mississippi.

Five years later; the drink was being bottled on a regular basis under a region wise

franchising system; and its first competitor Pepsi Cola, Coca-Colas first bottling plant opened

in Chattanooga, Tennessee followed by another in Atlanta in 1900.

The unique taste of cola was an outstanding success. Over the next two decade the number

of plants crossed 1000. In a bit to difference the product, the company adopted 6.5 ounce,

pale green contour bottle designed by the root glass company of Terri Haute, Indiana. Today

it is an intrinsic of the brand.


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The company broadened its horizons when Robert Woodruff the son of a banker who

acquired to Company for $25 million in 1919, assumed charge in 1923. He began by

upgrading bottling operations, brought in innovations like a six-bottle carry home carton, and

gear up advertising support. It was under Wood Ruff that the brand. Known affectionately as

coke by now associated itself with sportive events. By the early 1940s the brand was selling

as the real thing to set itself apart from me to Colas.

As a time went by the company brought out some new aerated drinks. The first one Fanta

appeared in the selves in 1960. Its birth was an accident; the companys German name is an

attempt to produce Coca-Cola without some key ingredients, turned out into an orange

flavored drink instead. Its strategists who feared the dependence on just one put a cap on

growth welcomed it. While fanta was being rolled out the company bought minute made

corps. This in 1967 was combined with Duncan foods to pave way for the Coca-Cola foods.

Several beverages followed the most notable being Sprite, a lemon drink developed in the

late 1950 and formally launched in 1961.

Coca-Cola had diversified the company into businesses and it even had a steam generator

and boiler making division. Robert. C. Goizueta, Cuban born 27 years veteran took over as

the Coca-Cola unlike Pepsi Company depended on a single brand.

The best insurance policy that he figured was to let coke evolve to the summer slacking it

with variants, even reinventing if needed.

In 1982, the company launched what is now considered among the worlds most successful

brand extensions Diet Coke under the leadership of Sergio Zyman, the head of us

marketing. The idea was to retain the loyalty for the health conscious drinker who loved the

taste but hated the calories. After this it came out with caffeine free versions of its main

drinks. Yet in the US the company kept losing ground to Pepsi. Zyman, a former Pepsi


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marketer argued that the correct strategy was to replace 98 year old with better tasting cola,

label it as New Coke and blare the news which is exactly what the company did more than

a decade ago in 1985. But when placed on the shelves it did not budge.

On wide spread protest it was recalled after79 days. The company has about 100 brands in

its portfolio but Coke, Fanta and Sprite account for most of its sales. In 1994, the real things

coke sold over52.5 billion liters. For the taste of it diet coke along with Coca-Cola light sold

8.5 billion liters, which makes it the worlds two top non-cola drinks sold over 6.5 billion

liters each. Which sprite aimed at the independent youngster two does not care what as

others drink. In 1993, Coca-Cola reentered India after 16 years long exile, four years Pepsi

made its debut India. While Coke plays on brand nostalgia, Pepsi address the young crowd,

which unlike a in America is a dominate ort if the population here.


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SOFT DRINK MARKET IN INDIA

Today India is one of the most potential markets, with population of around 900 million

people; the Indian soft drinks market was only of 200 cases per year. This was very low even

compared to Pakistan and Philippines. Population and potential market are two major

reasons for major multinational companies of entering India. They feel that a huge population

coupled with low consumption can only lead to an increase in the soft drink market. Another

increase in the sale of soft drinks in the scorching heat and the climate of India, which is

suitable for high sale of soft drinks. All these factors together have contributed to a 30%

growth in the soft drinks industry. If the demand continues growing at the same rate, within

two years the volume could touch 1 billion cases.

All these factors are the reasons for the entry two giant of the soft drink industry of the world

to enter the Indian market. These two giants Pepsi and Coca-Cola, themselves share 96% of

the soft drink market share. Cadburys Schweppes, Campa Cola and other soft drink brands

share rest. But was the scene same 20 years ago? The answer is No . 1970 was the year of

pure soft drinks Campa Cola and Parle people (Thumsup and Limca).

Soft drink consists of a flavor base, sweetener and carbonated water. In general terms non-

alcoholic drinks are considered as soft drinks this name soft drink was given by Americans

as against hard which is mainly alcoholic.

The major participants involved in the production and distribution of soft drink are

concentrate and syrup producers, bottlers and retail channel. Concentrate producers

manufacture basic soft drink flavors and retail channel refers to business location that tells or

serves the products directly to consumers.

Soft drink is not a product, which a person plans to buy before hand, but is an impulse

purchase. Lots of sale depends upon the strength of merchandizing done at the point of sale.


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It all begin in 1977, a change in government at the center led the exit of Coca-Cola which

preferred to quit rather diluting its equity to 40% in compliance with the Foreign Exchange

Regulation Act (FERA). The first national cola drink to pop up was double seven. In the

meantime, Pure Drinks, Delhi on cokes exit, switched over to Campa Cola.

The beginning of 1980s saw the birth of another cola drink, Thumsup, Parle the Gold Spot

people, launched it in 1978-79, as Refreshing Cola. By the mid-eighties McDowells

launched Thrill, and by the late eighties three was Double Cola, which entered in India

market, as a NRO run outfit with its plant in Nasik {Maharastra}, in 1978 Parle, Indian soft

drinks market (Share 33%) with its Gold Spot and Limca brands. Later Thumsup also started

Thumsup. At the same time the threat to the Indian soft drinks was that of fruit drinks. In

1988, fruit drinks market was valued at Rs. 40 crores and grew at the rate 20%.

Coca-Cola entered Indian by buying up to 69% of the 1800 crore soft drink market (i.e. 5

Parle Export brands ofThumsups,Limca, Gold Spot, Citra&Maaza). Today the scene has

changed making it a direct battle between two giant Coca-Cola and Pepsi. The picture will

become clearer by looking at the Indian market shares in the beverages Industry.

One of the strongest weapons in Coke armory is the flexibility it has empowered its people

with. In coke every employee, may he be a manager or salesmen, have an authority to take

whatever steps he or she feels will make the consumers aware of the brand and increase its

consumption. Thus coke believes in establishing and nurturing creditability of the salesmen

and making commitment to grow business in accounts. All these factors together led to a

high growth in the Indian market and constantly increasing market share.


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The Flavours of Soft Drinks are currently running in the Market

Coke teams along brands like: -

Coca-Cola

Fanta

Thumsup

Limca

Sprite

Kinley Soda

Maaza

Kinley Water

Diet coke


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THE FUTURE OF COCA-COLA

While doing business overseas offers Coke wonderful growth opportunities it also has its

own disadvantages. The economic slowdown in various overseas markets and the strong

dollar had their impact on Coca-Cola revenues and bottom line in 1998. But the company

optimistic about the future.

M. Douglas investor, the Chief Executive Officer of the Coca-Cola Company says, In the

year 1998 has been a challenging period for the Coca-Cola Company as economic

environment became more uncertain in the later part of 1998, and we strongly believe that

our fundamental opportunities for long term growth have not changed.

As long as maximization of share holder wealth remain Cokes focus for its future is assured

Goizueta had stated and proven to the world that focus on shareholder wealth does more

good to the company than focus on revenues and it is not that coke does not enjoy volumes

for it is worlds No. 1 soft drink manufacture.

It is not content with this title and is aiming at higher volumes year after year. Surely coke

will continue to grow. Point on Roberto had reduced the company basically to its trademark

and the returns are so astronomical as to be off the boards. It just absolutely added a jet

engine to their performance.


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HISTORY OF COCA COLA

The Coca-Cola Company re-entered India through its wholly owned subsidiary, Coca-Cola

India Private Limited and re-launched Coca-Cola in 1993 after the opening up of the Indian

economy to foreign investments in 1991. Since then its operations have grown rapidly

through a model that supports bottling operations, both company owned as well as locally

owned and includes over 7,000 Indian distributors and more than 1.3 million retailers. Today,

our brands are the leading brands in most beverage segments. The Coca-Cola Companys

brands in India include Coca-Cola, Fanta Orange, Fanta Apple, Limca, Sprite, Thums Up,

Burn, Kinley, Maaza, Maaza Milky Delite, Minute Maid Pulpy Orange, Minute Maid Nimbu

Fresh and Nestea Iced tea, the Georgia Gold range of teas and coffees and Vitingo (a

beverage fortified with micro-nutrients).

In India, the Coca-Cola system comprises of a wholly owned subsidiary of The Coca-Cola

Company namely Coca-Cola India Pvt Ltd which manufactures and sells concentrate and

beverage bases and powdered beverage mixes, a Company-owned bottling entity, namely,

Hindustan Coca-Cola Beverages Pvt Ltd; thirteen authorized bottling partners of The Coca-

Cola Company, who are authorized to prepare, package, sell and distribute beverages under

certain specified trademarks of The Coca-Cola Company; and an extensive distribution

system comprising of our customers, distributors and retailers. Coca-Cola India Private

Limited sells concentrate and beverage bases to authorized bottlers who are authorized to

use these to produce our portfolio of beverages.These authorized bottlers independently

develop local markets and distribute beverages to grocers, small retailers, supermarkets,

restaurants and numerous other businesses. In turn, these customers make our beverages

available to consumers across India.

The Coca-Cola Company has invested nearly USD 1.1 billion in its operations in India since

its re-entry back into India in 1992. The Coca-Cola system in India directly employs over


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25,000 people including those on contract. The system has created indirect employment for

more than 1,50,000 people in related industries through its vast procurement, supply and

distribution system. We strive to ensure that our work environment is safe and inclusive and

that there are plentiful opportunities for our people in India and across the world.

The beverage industry is a major driver of economic growth. A National Council of Applied

Economic Research (NCAER) study on the carbonated soft-drink industry indicates that this

industry has an output multiplier effect of 2.1. This means that if one unit of output of

beverage is increased, the direct and indirect effect on the economy will be twice of that. In

terms of employment, the NCAER study notes that an extra production of 1000 cases

generates an extra employment of 410 man days.

As a Company, our products are an integral part of the micro economy particularly in small

towns and villages, contributing to creation of jobs and growth in GDP. Coca-Cola in India is

amongst the largest domestic buyers of certain agricultural products.

As an industry which has strong backward and forward linkages, our operations catalysis

growth in demand for products like glass, plastic, refrigeration, transportation, and Industrial

and agricultural products. Our operations also lead to incremental growth for enterprises

engaged in post production activities like merchandising, marketing and sales. In addition,

we share best practices and technological advancements with our suppliers, vendors and

allied industries which often lead to improvement in the overall standards of quality across

industries.

The Coca-Cola Company has always placed high value on good citizenship. Our basic

proposition entails that our Companys business should refresh the market; enrich the

workplace; protect and preserve the environment; and strengthen the community. We

leverage our unique strengths to actively support and respond to local needs -- be it the need


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for education, health, water or nutrition. We have used our distribution network for disaster

relief, our marketing prowess to raise awareness on issues such as PET recycling, and our

presence in communities to improve access to education and potable water. The Coca-Cola

India Foundation is now taking forward in the community at large, projects and programs of

social relevance to carry forward the message of inclusive growth and development. For

more details on activities of the Coca-Cola India Foundation, please visit the website of the

Coca-Cola India Foundation.


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COMPANY HIGHLIGHT

Coca-Cola worldwide and in India

The Coca-Cola Company is the worlds largest beverage company. Along with Coca-Cola,

recognized as the worlds most-valuable brand, the Company markets four of the worlds top

five soft drink brands, including Diet Coke, Fanta and Sprite and a wide range of other

beverages, including water, juices and juice drinks, tea, coffee and sports drinks. Through

one of the worlds largest beverage distribution system, consumers in more than 200

countries enjoy The Coca-Cola Companys beverages at a rate exceeding 1.6 billion

servings each day.

Coca-Cola in India is the countrys leading beverage Company with an unmatched portfolio

of beverages. The Company manufactures and markets leading beverage brands like Coca-

Cola, Thums Up, Fanta, Fanta Apple, Limca, Sprite, Maaza, Minute Maid, Burn, Kinley and

Georgia range of tea coffee, Nestea and Fanta Fun Taste.

One of the early investors in India, the Coca-Cola system provides direct and indirect

employment to more than 1, 50,000 people. The Coca-Cola System in India has more than 1

million retailers and our business has a multiplier effect on employment and earning

opportunities. Coca-Cola in India is the largest domestic buyer of sugar and one of the top

buyers of mango pulp. The Coca-Cola System in India business also positively impacts

industries like Glass, Plastics, Resin Manufacturers, Sugar, Automobiles, White Goods

Manufacturers, Banking etc.

The Coca-Cola Company has always placed high value on good citizenship. At the heart of

business is a mission statement called the Coca-Cola Promise - The Coca-Cola Company

exists to benefit and refresh everyone that it touches. This basic proposition entails that the

Companys business should refresh the markets, protect, preserve and enhance the

environment and strengthen the community. Coca-Cola India provides extensive support for


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community programs across the country, with a focus on education, health and water

conservation. The Company has installed more than 500 rain water harvesting structures in

the country. The Company has also undertaken the rejuvenation and reconstruction of

several traditional water bodies including check dams. We are also working towards

providing clean drinking water to school children in Chennai and areas in West Bengal in

partnership with Rotary International and UN Habitat respectively. The Company is

committed to work with communities across India in its effort to contribute to mutual growth

and development.


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Message from the President & CEO, Coca-Cola India & South West Asia-

(ATUL SINGH)

2011 has been an eventful year for the company. We have grown our volumes, made

effective technological innovations, developed long standing partnerships with a number of

organizations and continued to build our portfolio of brands.

India is a strategic market for The Coca-Cola Company. The Company announced a $ 2

Billion investment in India, in the next 5 years beginning 2012, which is directed at realizing

the tremendous opportunity that exists in this market. The investment represents our

commitment to continued innovation, consumer marketing and brand building, expansion of

distribution and our manufacturing capacity and creates economic growth and opportunities

for the local community.

The India and South West Asia Business Unit is on track to achieve our 2020 goals, although

there is a long way to go. Our India business has been growing for the last 23 quarters and

17 of these quarters have seen double digit growth. We are working to maintain this growth

momentum and realize the potential in this market. India ranks among the top ten markets of

The Coca-Cola Company in volume terms and is the largest market in the Eurasia and Africa

Group.

Last year, was a year of good results. Two of the Companys core sparkling brands1

Thums Up and Spritewere the countrys top selling soft drink brands. Trademark Coca-

Cola was one of our fastest growing sparkling brands and Maaza2was Indias largest selling

juice drink. Coca-Cola was recognized as Indias most trusted beverage brand3 as well as

the most exciting youth brand in the country4. Coca-Cola India also ranked amongst the top

five most respected FMCG companies in India5 . The Company launched Coke Studio, a

fusion music show in partnership with MTV, which became a national phenomenon with


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712,000 Facebook fans, over 2.5 million hits on YouTube and close to 10 million downloads

on mobile platforms.

Sustainability remained a key focus area for the Company and together with our bottling

partners; we accomplished many of our goals, including achieving a net zero balance with

regard to groundwater usage in India.

We are well integrated with our local communities and are doing our bit to contribute to

economic and social growth. We launched the Coca-Cola NDTV Support My School

campaign, which is aimed at creating more than 100 model schools in India. Each of the 100

schools will receive improved access to water and gender-specific sanitation, infrastructure

for water conservation and rainwater harvesting, landscape improvement, library

construction, teacher training, and new sports facilities. We also collaborated with Jain

Irrigation to launch Project Unnati- an Ultra High Density Plantation technology for farmers in

Andhra Pradesh, which will lead to better productivity in the Mango belt, train farmers on

water conservation and sustainability. An example of innovating in India for Indian conditions

was the launch of, eKOcool, a solar powered refrigerator, which overcomes the barrier of grid

power availability and provides growth opportunities for many small business enterprises.

The refrigerator is also equipped with a solar mobile charger and a lantern which provide

additional income generation for the outlet.

We actively supported grassroots level sports programs to encourage active, healthy living

such as the Coca-Cola Under-16 Cup cricket tournament, the Coca-Cola Mir Iqbal Hussain

Trophy football tournament and Sprite Gully Cricket. Collectively these programs are

engaging more than 50,000 youth in healthy active living programs.


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As we work towards continuing our growth momentum in 2012, we remain committed to work

with communities across the country for our mutual growth and development; and I look

forward to your continued support in carrying the growth momentum forward.


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MISSION VISION AND VALUES

The world is changing all around us. To continue to thrive as a business over the next ten

years and beyond, we must look ahead, understand the trends and forces that will shape our

business in the future and move swiftly to prepare for what's to come. We must get ready for

tomorrow today. That's what our 2020 Vision is all about. It creates a long-term destination

for our business and provides us with a "Road map" for winning together with our bottling

partners.

Our Mission

Our Road map starts with our mission, which is enduring. It declares our purpose as a

Company and serves as the standard against which we weigh our actions and decisions.

To refresh the world...

To inspire moments of optimism and happiness...

To create value and make a difference

Our Vision

Our vision serves as the framework for our Road map and guides every aspect of our

business by describing what we need to accomplish in order to continue achieving

sustainable, quality growth.

People: Be a great place to work where people are inspired to be the best they can be

Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and

satisfy peoples desires and needs

Partners: Nurture a winning network of customers and suppliers, together we create

mutual, enduring value


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Planet: Be a responsible citizen that makes a difference by helping build and support

sustainable communities

Profit: Maximize long-term return to share owners while being mindful of our overall

responsibilities

Productivity: Be a highly effective, lean and fast-moving organization

Our Winning Culture

Our Winning Culture defines the attitudes and behaviors that will be required of us to make

our 2020 Vision a reality.

Live Our Values

Our values serve as a compass for our actions and describe how we behave in the world.

Leadership: The courage to shape a better future

Collaboration: Leverage collective genius

Integrity: Be real

Accountability: If it is to be, its up to me

Passion: Committed in heart and mind

Diversity: As inclusive as our brands

Quality: What we do, we do well

Focus on the Market

Focus on needs of our consumers, customers and franchise partners

Get out into the market and listen, observe and learn

Possess a world view

Focus on execution in the marketplace every day

Be insatiably curious


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Work Smart

Act with urgency

Remain responsive to change

Have the courage to change course when needed

Remain constructively discontent

Work efficiently

Act Like Owners

Be accountable for our actions and in actions

Steward system assets and focus on building value

Reward our people for taking risks and finding better ways to solve problems

Learn from our outcomes -- what worked and what didnt

Be the Brand

Inspire creativity, passion, optimism and fun


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COCACOLA SYSTEM IN INDIA AND WORLD WIDE

At the core of our business in India, as in the rest of the world is our production and

distribution network, which we call the Coca-Cola system. Globally, the Coca-Cola system

includes our Company and more than 300 bottling partners. The Coca-Cola Company

manufactures and sells concentrate and beverage bases. Our authorized bottlers combine

our concentrate or beverage bases as the case may be with sweetener (depending on the

product), water or carbonated water to produce finished beverages. These finished

beverages are packaged in authorized containers bearing our trademarks -- such as cans,

refillable glass bottles, non-refillable PET bottles and tetra packs -- and are then sold to

wholesalers or retailers. In India, additionally, the Company also sells certain powdered

beverage mixes such as Vitingo and Fanta Fun Taste.

Our beverages reach our ultimate consumers through our customers: the grocers, small

retailers, hypermarkets, restaurants, convenience stores and millions of other businesses

that are the final points of distribution in the Coca-Cola system. What truly defines the Coca-

Cola system, and indeed what makes it unique among businesses, is our ability to create

value for our customers and consumers.

In India, the Coca-Cola system comprises of a wholly owned subsidiary of The Coca-Cola

Company namely Coca-Cola India Pvt Ltd which manufactures and sells concentrate and

beverage bases and powdered beverage mixes, a Company-owned bottling entity, namely,

Hindustan Coca-Cola Beverages Pvt Ltd; thirteen authorized bottling partners of The Coca-

Cola Company, who are authorized to prepare, package, sell and distribute beverages under

certain specified trademarks of The Coca-Cola Company; and an extensive distribution

system comprising of our customers, distributors and retailers. Coca-Cola India Private

Limited sells concentrate and beverage bases to authorized bottlers who are authorized to

use these to produce our portfolio of beverages.These authorized bottlers independently


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develop local markets and distribute beverages to grocers, small retailers, supermarkets,

restaurants and numerous other businesses. In turn, these customers make our beverages

available to consumers across India.

HISTORY OF BOTTLING

1950- Coca-Cola bottling plant opens in New Delhi

1958- Concentrate plant opens in India

1973- 22 bottling plants operate in 13 states

1977- Coca-Cola and 38 other companies refuse to dilute stake, formally

withdraws from Country in 1978

1992- Re-enters India

BOTTLING PARTNER

In India, the Coca-Cola system comprises of a wholly owned subsidiary of

The Coca-Cola Company namely Coca-Cola India Pvt Ltd which manufactures and sells

concentrate and beverage bases and powdered beverage mixes, a Company-owned bottling

entity, namely, Hindustan Coca-Cola Beverages Pvt Ltd; thirteen authorized bottling partners

of The Coca-Cola Company, who are authorized to prepare, package, sell and distribute

beverages under certain specified trademarks of The Coca-Cola Company; and an extensive

distribution system comprising of our customers, distributors and retailers. Coca-Cola India

Private Limited sells concentrate and beverage bases to authorized bottlers who are

authorized to use these to produce our portfolio of beverages.These authorized bottlers

independently develop local markets and distribute beverages to grocers, small retailers,

supermarkets, restaurants and numerous other businesses. In turn, these customers make

our beverages available to consumers across India.


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WORKING AS GLOBAL TEAM

Our people are the face of our brands. They are talented and passionate, and they take

immense pride in being a part of this Company with a global scale. The Coca-Cola system in

India directly employs over 25,000 people including those on contract. The system has

created indirect employment for more than 1,50,000 people in related industries through its

vast procurement, supply and distribution system. We strive to ensure that our work

environment is safe and inclusive and that there are plentiful opportunities for our people in

India and across the world.

LEADING THE INDUSTRY AND REFRESHING THE WORLD

RESPONSIBILY

Since our first soda fountain sales in 1886, we have played a role in driving marketplace

innovation and catalyzing growth in local economies where we operate. Today we lead the

beverage industry with more than 500 beverage brands across the world including four of

the top five sparkling brands. But while our business opportunities are enormous, our

commitment to the consumers and the communities in which we operate is even greater.

Atul Singh, President & CEO, India and South West Asia leads the Companys operations in

India, Nepal, Bhutan, Bangladesh, SriLanka and Maldives. In our journey to become a

profitable, sustainable growth company, our management structure has evolved to sharpen

external focus on the marketplace with greater speed, productivity and effectiveness.


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Atul Singh

President & CEO, Coca-Cola India and South West Asia

Atul Singh is the President & CEO of Coca-Cola India and South West Asia Business Unit, a

responsibility that he took over on September 1, 2005. He is responsible for Coca-Colas

operations in India, Sri Lanka, Bangladesh, Bhutan, Nepal and the Maldives.

Under his stewardship, Coca-Colas business in India has made strides in all facets of its

operations and has reported twenty consecutive quarters of growth of which fourteen

quarters have registered double digit growth.

Atul joined The Coca-Cola Company in 1998 as Vice President, Operations of Coca-Cola,

India Division. He led the Franchise Operations and Key Accounts group of the India Division

from 1998 to 2001. Atul then moved to China and served as the President of the East,

Central and South China Division. Additionally, Atul was also responsible for the global and

strategic Key Customer Relationships for Greater China and was a member of the Customer

Leadership Council. Prior to this, Atul served as Deputy Division President and headed the

Operations group of China Division. Under his leadership, mainland China operations were

among the fastest growing Coca-Cola businesses.

Atul is an independent Director on the Board of Bata India Ltd. He is also the current

Chairman of AMCHAM India and the Vice-Chairman of the Asia Pacific Council of American

Chambers of Commerce (APCAC) for South Asia. He is the Chairman of the Sports

Committee of Confederation of Indian Industry (CII) having earlier chaired CIIs National

Committee on Rural Development and the National Committee on CSR. He is also the

Chairman of the Environment Committee of Federation of Indian Chambers of Commerce

and Industry (FICCI), having earlier led the Sports Committee of FICCI for three years. Atul is

a member ofthe Advisory Board of AIESEC, the worlds largest student organization and a


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member of the Young Presidents Organization, a global body dedicated to creating Better

Leaders through Education and Idea Exchange.

Atul is regularly invited to panel discussions and guest lectures across the globe. He has

been a panelist at the Indian Economic Summit, World Economic Forum on subjects of

Sustainability, Rural Development and Supply Chain Management over the past five years.

He has been invited to be a guest speaker at several business schools like the Kelloggs

Business School, Indian School of Business, Hyderabad and Singapore Management

University. He has also addressed several sessions for CII, FICCI, AMCHAM, Asia Society

and US India Business Council etc.

Prior to joining Coca-Cola, Atul worked with The Colgate Palmolive Company for 10 years

and held several key positions including Country General Manager, Nigeria (1995-1998),

Finance Director and then Country General Manager, Romania (1992-1995) and Finance

Manager, Body Care Division, USA (1990-1992). Before joining Colgate, Atul worked as an

Auditor with Price Waterhouse in New York.

Atul is an alumnus of the prestigious St. Xaviers College of Kolkata, India from where he

majored in Commerce (Honors). Atul holds an MBA degree from Texas Christian University,

USA.

He has lived and worked in the four continents of Asia, Africa, Europe and North America.


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ORGANISATION CHART


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CORPORATE GOVERNANCE

Coca-Cola India operations are fully integrated into the governance structure of The Coca-

Cola Company, including two important codes:

(a) The Code of Business Conduct outlines expectations for employees to comply with the

law and act ethically in all matters. The Code remains applicable to all employees of The

Coca-Cola Company and its majority-owned subsidiaries. More details on the code can be

accessed at our corporate.

Anti-Bribery Policy: The Coca-Cola Company and its subsidiaries are committed to doing

business with integrity. This means avoiding corruption of all kinds, including bribery of

government officials. We will abide by all applicable anti-bribery laws, including the U.S.

Foreign Corrupt Practices Act, and local laws in every country in which it does business. The

Company is a signatory to the United Nations Global Compact, by which it is committed to

work against corruption and bribery around the world. The Company also has incorporated a

prohibition against bribery into its Code of Business Conduct. This anti-bribery policy

provides compliance requirements to prevent improper payments and to ensure accurate

reporting of permissible payments under all applicable anti-bribery laws.

(b) The Code of Business Conduct for Suppliers seeks to extend and clarify similar ethical

expectations to our suppliers. The Supplier Code became effective in February 2008. Both

the Code of Business Conduct and the Supplier Code highlight the EthicsLine reporting

service, through which individuals can confidentially ask questions or report concerns to an

independent administering party.


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ADVISORY BOARD

Ours is a Company committed to achieving the highest standards of governance, and we

continuously engage with our stakeholders, seeking their inputs to further refine our strategy

and operations. As part of our commitment, Coca-Cola India has constituted the following

Advisory Boards:

India Advisory Board

The India Advisory Board guides our Company on various issues including future strategies,

corporate citizenship and corporate governance. Mr. Naresh Chandra, former Ambassador

of India to the United States, who also headed the Government of India committee on

Corporate Governance, is the Chairman of the Board. The Advisory Board meets three to

four times a year and reviews the performance of the Company. It also guides our

Companys management on various operational and environment-related matters to help us

formulate short- and long-term strategies.

Advisory council on Environment and Sustainability

The Advisory council on Environment and Sustainability (ACES) guides our company to

preserve, protect and enhance the environment and natural resources. The ACES also helps

to ensure that our Company uses its resources and capabilities to provide active leadership

on environment and sustainability related matters relevant to our business. The Council is

chaired by General V.P. Malik (Retd), Former Chief of Indian Army, who has also been a

member of the National Security Advisory Board and Honorary Advisor to the Center for

Policy Research, New Delhi.


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Health and Wellness Advisory Council

We believe that our industry has a role to play in helping Indian consumers lead healthier

lives. Coca-Cola is committed to developing and launching a portfolio of products that enable

the Indian consumer to lead healthier lives. The Health and Wellness Advisory Council

(H&WAC) shares this belief and guides and assists our Company to (a) identify and highlight

the evolving nutritional needs of Indian Consumers (b) suggest viable health & wellness

solutions for beverage applications and (c) support consumer education programs that

promote a healthy and active lifestyle.

Coca-Cola India Foundation Advisory Board

Coca-Cola India Foundation has constituted an Advisory Board to advise it on its overall

working, its mission objectives, functioning priorities and long term strategies best designed

to achieve maximum public benefit. The Board constituted under the Chairmanship of Justice

JS Verma, former Chief Justice of India, comprises eminent personalities who have provided

distinguished service to public, social, charitable organizations / institution, and who have

expertise in the field covered by the objects of the Foundation. This Board meets three to

four times a year.


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CORPORATE SOCIAL RESPONSIBILITY

INTRODUCTION

Corporate Social Responsibility is the continuing commitment by business to behave

ethically and contribute to economic development while improving the quality of life of the

workforce and their families as well as of the local community and society at large

The same report gave some evidence of the different perceptions of what this should mean

from a number of different societies across the world. Definitions as different as CSR is about

capacity building for sustainable livelihoods. It respects cultural differences and finds the

business opportunities in building the skills of employees, the community and the

government from Ghana, through to CSR is about business giving back to society from the

Philippines.

Traditionally in the United States, CSR has been defined much more in terms of a

philanthropic model. Companies make profits, unhindered except by fulfilling their duty to pay

taxes. Then they donate a certain share of the profits to charitable causes. It is seen as

tainting the act for the company to receive any benefit from the giving.

The European model is much more focused on operating the core business in a socially

responsible way, complemented by investment in communities for solid business case

reasons. Personally, I believe this model is more sustainable because:

1. Social responsibility becomes an integral part of the wealth creation process - which if

managed properly should enhance the competitiveness of business and maximize the

value of wealth creation to society.


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2. When times get hard, there is the incentive to practice CSR more and better - if it is a

philanphropic exercise which is peripheral to the main business, it will always be the

first thing to go when push comes to shove.

But as with any process based on the collective activities of communities of human beings

(as companies are) there is no 'one size fits all'. In different countries, there will be different

priorities, and values that will shape how business act. And even the observations above are

changing over time. The US has growing numbers of people looking towards core business

issues.

For instance, the CSR definition used by Business for Social Responsibility is:

Operating a business in a manner that meets or exceeds the ethical, legal, commercial and

public expectations that society has of business.

On the other hand, the European Commission hedges its bets with two definitions wrapped

into one:

A concept whereby companies decide voluntarily to contribute to a better society and a

cleaner environment. A concept whereby companies integrate social and environmental

concerns in their business operations and in their interaction with their stakeholders on a

voluntary basis

When you review each of these, they broadly agree that the definition now focuses on the

impact of how you manage your core business. Some go further than others in prescribing

how far companies go beyond managing their own impact into the terrain of acting

specifically outside of that focus to make a contribution to the achievement of broader

societal goals.


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CORPORATE SOCIAL RESPONSIBILITY OF THE COMPANY

LIVE POSITIVELY focuses on seven core areas key to our business sustainability: Beverage

Benefits; Active Healthy Living; Energy Management and Climate Protection; Community;

Sustainable Packaging; Water Stewardship; and Workplace.

1-WATER

Our goal is to safely return to communities and nature an amount of waterequivalent to

what we use in all of our beverages and their production. Water is the foundation of life and

of every beverage we make. But within 20 years, two-thirds of the worlds population may

face severe water stress. Improving water quality and availability is vital to our business and

the communities we serve. Its what drives our water stewardship commitment -- and our

focus on reducing, recycling and replenishing.

REDUCE

We believe that our first responsibility is to manage our own water resources in our

operations wisely. Water is the most important ingredient in our beverages. Water is also

used for beverage manufacturing processes such as rinsing, cleaning, heating and cooling.

The Coca-Cola system in India has improved its water use efficiency (water usage ratio) by

over 25 percent since 2005.


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RECYCLE

Goal: Return to the environment, at a level that supports aquatic life, the water we use in our

manufacturing operations by the end of 2010 through comprehensive wastewater treatment.

While we work to reduce our water use and improve our water efficiency for each litre of

product we produce, we also are focused on recycling the water we use in our operations.

Our global goal is to return all the water that we use for manufacturing processes to the

environment at a level that supports aquatic life. In India, all our plants are already in

compliance with this requirement.

Typically referred to as wastewater, water used in our system operations is recycled through

a treatment and cleansing process. This ensures that the quality of the wastewater meets

applicable local laws and regulations before being released back into the environment.

Treated wastewater is then used within our plants for utility purposes in boilers, evaporators,

chillers and outside for landscape irrigation and dust control, reducing our use of external

water resources.


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In our manufacturing plants, wastewater is a result of production processes, such as

container-washing systems, line lubrication and equipment cleaning. The generated

wastewater is fully treated at the on-site Effluent Treatment Plant (ETP) and this typically

includes secondary treatment (including the collection of wastes, screening/settling of solids,

biological treatment to remove nutrients and disinfection and disposal) to meet The Coca-

Cola Company (TCCC) and the Indian Pollution Control Board (PCB) norms. It is pertinent to

mention here that TCCC norms are typically more stringent than the local regulatory norms

applicable to our Industry. Additionally, all the discharged waste water is measured and also

used in many plants for developing green belt inside the plants. Thus, the treated waste

water in large number of units complies with Zero Discharge norm of the PCB where in all

the treated waste water is utilized within the plant premises for on-land discharge. The

treated wastewater is also used for secondary purposes of the plant, such as toilet cleaning,

floor wash etc which is in keeping with our policy to reduce water and use recycled water for

secondary purposes within our plants.

REPLANISH

Goal: Expand global support of healthy watersheds and sustainable community water

partnerships.

While we work to reduce our water use and improve our water efficiency for each litre of

product we produce, we also are focused on recycling the water we use in our operations.

Our global goal is to return all the water that we use for manufacturing processes to the

environment at a level that supports aquatic life. In India, all our plants are already in

compliance with this requirement.

Typically referred to as wastewater, water used in our system operations is recycled through

a treatment and cleansing process. This ensures that the quality of the wastewater meets

applicable local laws and regulations before being released back into the environment.


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Treated wastewater is then used within our plants for utility purposes in boilers, evaporators,

chillers and outside for landscape irrigation and dust control, reducing our use of external

water resources.

In our manufacturing plants, wastewater is a result of production processes, such as

container-washing systems, line lubrication and equipment cleaning. The generated

wastewater is fully treated at the on-site Effluent Treatment Plant (ETP) and this typically

includes secondary treatment (including the collection of wastes, screening/settling of solids,

biological treatment to remove nutrients and disinfection and disposal) to meet The Coca-

Cola Company (TCCC) and the Indian Pollution Control Board (PCB) norms. It is pertinent to

mention here that TCCC norms are typically more stringent than the local regulatory norms

applicable to our Industry. Additionally, all the discharged waste water is measured and also

used in many plants for developing green belt inside the plants. Thus, the treated waste

water in large number of units complies with Zero Discharge norm of the PCB where in all

the treated waste water is utilized within the plant premises for on-land discharge. The

treated wastewater is also used for secondary purposes of the plant, such as toilet cleaning,

floor wash etc which is in keeping with our policy to reduce water and use recycled water for

secondary purposes within our plants.


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2-PACKAGE

Our vision is to advance a packaging framework in which our packaging is no longer seen as

waste, but instead as a valuable resource for future use. To realize this zero waste vision,

we are guided by a commitment to continuous improvement.

COMPLETING THE CYCLE

Packaging adds value to our products by increasing shelf life, minimizing breakage, reducing

transportation and handling costs, safeguarding public health, providing product information

and creating consumer convenience. But in an era of rising energy costs and scarce

resources, we must work toward packaging that adds value not only to our products, but also

to our environment and society.

REDUCE

We aim to be amongst the most efficient users of consumer-preferred packaging in the

global beverage industry and in India. This begins in our package development stage, where

we work to use the least amount of natural resources necessary to protect product quality

and meet consumer needs.

One of the ways we conserve natural resources is by light weightingtaking weight and

material out of our packaging. Our packaging innovation teams are continually testing

packages and looking for new ways to decrease our raw material use while also reducing

costs. In India, over the last decade, we have successfully reduced the weight of our glass

bottles used for packaging sparkling beverages ranging from 10% to 33% for different pack

sizes .


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RECOVER AND RECYCLE

Another aspect of our package development process is to work with the industry associations

and all others involved in the recycling value chain to recover and recycle packages after

they are used. We work in partnership with local communities to help develop economically

and environmentally effective solutions tailored to meet their specific needs. The majority of

our packages are 100 percent recyclable and among the most recycled consumer packages

in the world. This is a result of our selection of materials that have an established economic

value, justifying their collection and reuse. In a bid to promote the recycling of PET packages,

the Company periodically sources merchandise like T-shirts made from recycled PET and

distributes it amongst its employees and business partners such that they become

ambassadors of the cause

.


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3-CLIMATE

Our goal is to grow the business, not the carbon in our manufacturing operations. Improve

the energy efficiency and reduce emission of greenhouse gases in cold drink equipment.

Protecting our climate together

At Coca-Cola India we believe that climate change is a profound challenge that will require

concerted action by government, business and civil society. We also recognize that climate

change may have long-term direct and indirect implications for our business and supply

chain. We have a role to play in working to use the best possible mix of energy sources while

improving the energy efficiency of our manufacturing and distribution processes.

Our climate protection efforts start inside the Company, with a combination of action and

education in the

three areas explained below, where we have the biggest climate protection opportunity:

EQUIPMENT , FACILITIES AND BOILING PLANTS

Cold-Drink Equipment

With climate change most closely associated with burning fossil fuels, it surprises many

people to learn that a portion of our emissions of greenhouse gases comes from the cooling

equipment that keeps our beverage products cold. With an aim to improve the energy

efficiency of our cooling equipment to reduce the emissions, The Coca-Cola Company has

developed a proprietary device called energy management system (EMS).

The EMS is a device that reduces energy consumption of a cooler up to 35% by allowing the

temperature inside the cooler to rise (between 7C to 14C) during periods when the outlet is

closed and maintains the correct cooler temperature (between 0C and 7C) during the

active hours of the outlet. The EMS manages this by detecting the people movement in-front

of the cooler through an infrared sensor eye & through the cooler door opening and closing


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counts. The unit is totally self managing and does not require any special interference of the

user. It can substantially reduce the number of service calls whilst saving on average up to

35% energy (when compared with a 24hour running cooler without EMS).

Additionally, the EMS facilitates longer life to the compressor, fans and lights in a cooler, by

protecting against High voltage (> 250V) & Low voltage (< 180V) supplies and saves

maintenance cost of the cooler owner. All the cooling equipment of more than 250 liters

capacity that we bought in 2009 were 100% fitted with EMS which is also mentioned on the

cooler body (labels). We have also made 100% transition to HFC free (Hydroflourocarbons

free) insulation foam for our cold drink equipment.

Facilities and bottling plants

Achieving energy efficiency is a continuous process and we are consistently working on

fixing the basics -- fixing leaks, insulating pipes, reducing pressure and optimizing

temperatures, as well as investing in efficient lighting, compressor optimization and heat

recovery. At some of our bottling plants, we have converted the conventional boilers into

biomass-based briquette boilers such that there are fewer emissions.

TRANSPOTATION PLANT

As a product, beverages have an extensive presence in India and are widely distributed.

Such a distribution system requires efficient management of the distribution fleet to keep our

carbon emission levels low. As a beginning and with a view to be more environment-friendly,

our product delivery vehicles owned by our bottling partners in Delhi now operate on

Compressed Natural Gas (CNG). CNG is a fossil fuel substitute for gasoline (petrol), diesel

or propane fuel. Although its combustion does produce greenhouse gases, it is a more

environmentally clean alternative to those fuels and it is much safer than other fuels in the

event of a spill (natural gas is lighter than air, and disperses quickly when released). CNG is

made by compressing natural gas (which is mainly composed of methane [CH4]), to less

than 1% of its volume at standard atmospheric pressure.


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4-WORKPLACE

We foster open environments, as diverse as the markets we serve, where workplace rights

are respected and people are inspired to be the best they can be.Our goal

A Great Place to Work

Coca-Cola India wins in the marketplace because of the pride, passion and dedication our

people bring to the business of quenching the worlds thirst. We aspire to be a great place to

work, where employees around the world are given opportunities to collaborate and build the

worlds greatest brands, to develop their skills and expand their breadth of experience, and

all while having fun in the process.

WORKPLACE RIGHTS

In Coca-Cola India Mission, Vision & Values, we commit to being a leader in corporate

responsibility and express our aspiration to be among the world's most respected companies.

Among the keys to earning that respect is maintaining world-class standards for fair and

dignified treatment of all the people who work for Coca-Cola India. We communicate this

commitment in ourWorkplace Rights Policy and Human Rights Statement.

OurWorkplace Rights Policy (the "Policy") serves to ensure that we apply a consistent

approach to workplace rights worldwide -- as an integral part of our culture, strategy and day-

to-day operations. The Policy contains our principles on freedom of association, forced labor,

child labor, discrimination, work hours and wages, safe and healthy workplaces, workplace

security and community and stakeholder engagement.

HUMAN RIGHTS STATEMENT

We are committed to earning the trust of our employees and those who do business with a

set of values that represent the highest standards of quality, integrity, excellence, compliance
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with the law and respect for the unique customs and cultures in communities where we

operate.

The reputation of The Coca-Cola Company and Coca-Cola India is built on trust and

respect. Our employees and those who do business with us around the world know we are

committed to earning their trust with a set of values that represent the highest standards of

quality, integrity, excellence, compliance with the law and respect for the unique customs and

cultures in the communities where we operate.

The Coca-Cola Company and Coca-Cola India have always endeavored to conduct

business responsibly and ethically. We respect international human rights principles aimed at

promoting and protecting human rights, including the United Nations Declaration of Human

Rights and the International Labor Organization's Declaration on Fundamental Principles and

Rights at Work, and we actively participate in the United Nations Global Compact.

Our acknowledgment of these international principles is consistent with our dedication to

enriching the workplace, preserving the environment, strengthening the communities where

we operate and engaging with our stakeholders to pursue progress toward these goals.

In our workplaces and the communities in which we operate, we believe that a serious

commitment to human rights is fundamental to the way we conduct our business. We treat

our employees with dignity, fairness and respect, and we are guided by our shared values of

integrity, collaboration and accountability.

Our commitment is formalized and manifested through various policies including our

Workplace Rights Policy, our Code of Business Conduct and our environmental governance

and management systems. While these policies apply to The Coca-Cola Company and all of

the entities that it owns or in which it holds a majority interest, Coca-Cola India is committed

to working with and encouraging the independent bottling partners to uphold the values and

practices that these policies drive.


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The Coca-Cola Company and its bottling partners jointly understand that the true measure

of a well-managed business is not just weather it is financially successful, but how it achieves

that success. As our system does business around the world touching so many different and

distinct local cultures, we know that its not enough to be profitable, we must also be

responsible. This is best achieved in Coca-Colas unique business system when The Coca-

Cola Company and bottlers work together toward our shared goals.

We have expressed these shared goals in a global framework for good corporate citizenship

and local accountability called Citizenship @ Coca-Cola India. The framework consists of a

commitment to embrace a shared set of principles across our global system and is designed

to measure and drive improvement in four areas of operation: workplace, marketplace,

community and environment. We expect the individual companies that belong to our system

to accept the accountability to live up to this commitment and apply these principles to every

facet of their local operations.

Through our Supplier Guiding Principles Program, we work with our direct suppliers to

ensure that they uphold laws and regulations in the workplace and conduct their business

ethically and responsibly.

WORKPLACE RIGHT POLICY

We value the relationship we have with our employees. We are committed to fostering open

and inclusive workplaces that are based on recognized workplace human rights, where all

employees are valued and inspired to be the best they can be.

We value the relationship we have with our employees. The success of our business

depends on every employee in our global enterprise. We are committed to fostering open

and inclusive workplaces that are based on recognized workplace human rights, where all

employees are valued and inspired to be the best they can be.


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Our Workplace Rights Policy is guided by international human rights standards, including the

Universal Declaration of Human Rights, the International Labor Organization's Declaration on

Fundamental Principles and Rights at Work and the United Nations Global Compact.

The Workplace Rights Policy applies to The Coca-Cola Company and all of the entities that it

owns or in which it holds a majority interest. The Coca-Cola India is committed to working

with and encouraging our independent bottling partners to uphold the principles in this Policy

and to adopt similar policies within their businesses.

The Policy includes the following components:

Freedom of Association and Collective Bargaining

Forced Labor

Child Labor

Discrimination

Work Hours and Wages

Safe and Healthy Workplace

Workplace Security

Community and Stakeholder Engagement


The Company respects our employees right to join, form or not to join a labor union without

fear of reprisal, intimidation or harassment. Where employees are represented by a legally

recognized union, we are committed to establishing a constructive dialogue with their freely

chosen representatives. The Company is committed to bargaining in good faith with such

representatives.


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Forced Labor

The Company prohibits the use of all forms of forced labor, including prison labor, indentured

labor, bonded labor, military labor or slave labor.

Child Labor

The Company adheres to minimum age provisions of applicable laws and regulations. The

Company prohibits the hiring of individuals that are under 18 years of age for positions in

which hazardous work is required. The Companys prohibition of child labor is consistent with

International Labor Organization standards.

Discrimination

The Company values all employees and the contributions they make and has a long-

standing commitment to equal opportunity and intolerance of discrimination. We are

dedicated to maintaining workplaces that are free from discrimination or physical or verbal

harassment on the basis of race, sex, color, national or social origin, religion, age, disability,

sexual orientation, political opinion or any other status protected by applicable law. The basis

for recruitment, hiring, placement, training, compensation and advancement at the Company

is qualifications, performance, skills and experience.

Work Hours and Wages

The Company compensates employees competitively relative to the industry and local labor

market. We operate in full compliance with applicable wage, work hours, overtime and

benefits laws. We offer employees opportunities to develop their skills and capabilities and

provide advancement opportunities where possible.


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Safe and Healthy Workplace

The Company provides a safe and healthy workplace. We are dedicated to maintaining a

productive workplace by minimizing the risk of accidents, injury and exposure to health risks.

Workplace Security

The Company is committed to maintaining a workplace that is free from violence,

harassment, intimidation and other unsafe or disruptive conditions due to internal and

external threats. Security safeguards for employees are provided as needed and will be

maintained with respect for employee privacy and dignity.

Community and Stakeholder Engagement

The Company recognizes its impact on the communities in which it operates. We are

committed to engaging with stakeholders in those communities to ensure that we are

listening to, learning from and taking into account their views as we conduct our business.

Where appropriate, we are committed to engaging in dialogue with stakeholders on

workplace rights issues related to our business and within our sphere of influence. We

believe that local issues are most appropriately addressed at the local level. We are also

committed to creating economic opportunity and fostering goodwill in the communities in

which we operate through locally relevant initiatives.

Guidance and Reporting for Employees

The company creates workplaces in which open and honest communications among all

employees are valued and respected. Coca-Cola is committed to following all applicable

labor and employment laws wherever we operate.

If you believe that a conflict arises between the language of the policy and the laws, customs

and practices of the place where you work, if you have questions about this policy or if you


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would like to report a potential violation of this policy, you should raise those questions and

concerns through existing processes, which make every effort to maintain confidentiality. You

may ask questions or report potential violations to local Management, Human Resources,

Legal Department or Strategic Security. Employees can also report suspected violations

through the EthicsLine secured internet website at www.KOethics.com or by calling the

appropriate toll-free number for your location, which can be found on the www.KOethics.com

website. No reprisal or retaliatory action will be taken against any employee for raising

concerns under this policy. The Company is committed to investigating, addressing and

responding to the concerns of employees and to taking appropriate corrective action in

response to any violation.

For Individuals in the European Union: Please note that Ethics Line phone or web services

only allow you to report financial, accounting and auditing matters. Should you wish to report

issues under the Workplace Rights Policy, such reports should be made directly to local

Management, Human Resources or Legal Department.

The Company reserves the right to amend this policy at any time. Nothing in this policy says

or implies that a contract exists between the Company and its employees or that participation

in this program is a guarantee of continued employment with The Coca-Cola Company.

TRAINING AND SKILL DEVLOPMENT

Pegasus is Coca-Cola Indias flagship program to develop functional experts each year,

enhancing their skills, to take on future roles within the Company. Spread over seven

months, under the Pegasus program, the participants are exposed to several development

opportunities; a 360 degree feedback and personalized coaching for individual personal

development; academic learning sessions to develop general management skills;

collaborative business projects for experiential 'live' learning and importing and exporting


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learning by replicating best practices. Company and bottler associates have been a part of

this program over the years.

Under the aegis of the Coca-Cola University, a special program Eagles, helps source fresh

young talent ahead of demand, for our franchise bottlers. Spread across six months, the

Eagles program includes classroom learning, e-learning, mentoring, coaching & feedback

and fieldwork. There are several other training programs conducted by the Coca-Cola

University and the Company throughout the year for skill development and capability

building.

SUPPLIERS

Our suppliers and business partners are vital to our continued success .They provide our

system with materials, including ingredients, packaging and machinery, as well as goods and

services.

Having a sound, stable and ethical supply base is important for our growth and the footprint

we leave in local communities around the world. Our suppliers provide our system with

materials, including ingredients, packaging and machinery, as well as goods and services.

As a Company, we have a responsibility to hold our direct suppliers and bottling partners to

standards commensurate with our own operations.

Our suppliers are expected, at a minimum, to conduct business in an ethical manner and

comply with all applicable laws and regulations. Our Supplier Guiding Principles (SGPs)

communicate our values and expectations for our bottling partners and business partners.

They are the foundation of our commitment to promote the respect of labor rights among our

business partners.

The SGPs are a requirement for all direct suppliers of goods and services to the Coca-Cola

India System and all suppliers of materials that are specifically authorized by The Coca-Cola

Company for use by our suppliers. The SGPs are included or where necessary, incorporated


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by reference in all supplier contracts, and many suppliers receive training to facilitate

implementation. Global policy requires that suppliers be assessed for compliance at least

once every three years by an authorized external auditing agency. If non-compliance is

found, we provide a timeframe and offer expertise for corrective action by the facility. We

also require follow-up assessments of non-compliant facilities as frequently as every six

months. Suppliers have offered positive feedback on the SGPs program, including the

observation that it supports the transition of their Human Resources teams from an

administrative function to a professional department. Following the implementation of the

new Labor Contract Law, weve also received feedback on the value of offering support and

education regarding the relevant laws and compliance. We do recognize that some suppliers

may view the audit process as time- and resource-intensive. To alleviate inefficiencies for

suppliers who sell to ours and other companies, we are willing to review and accept results of

third-party audits completed for other companies with comparable supplier codes, and we

encourage our suppliers to share our audit results with their other customers.

SUPPLIERS GUIDING PRINCIPLES

Compliance with Applicable Laws and Standards

Suppliers to The Coca-Cola Company and Coca-Cola India and suppliers authorized by The

Coca-Cola Company and Coca-Cola India are required to meet the following standards, at a

minimum, with respect to their operations as a whole.

Laws and Regulations

Supplier will comply with all applicable local and national laws, rules, regulations and

requirements in the manufacturing and distribution of our products and supplies and in the

provision of services.

Child Labor

Supplier will comply with all applicable local and national child labor laws.


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Forced Labor

Supplier will not use forced, bonded, prison, military or compulsory labor.

Abuse of Labor

Supplier will comply with all applicable local and national laws on abuse of employees and

will not physically abuse employees.


Supplier will comply with all applicable local and national laws on freedom of association and

collective bargaining.

Discrimination

Supplier will comply with all applicable local and national discrimination laws.

Wages and Benefits

Supplier will comply with all applicable local and national wages and benefits laws.

Work Hours and Overtime

Supplier will comply with all applicable local and national work hours and overtime laws.

Health and Safety

Supplier will comply with all applicable local and national health and safety laws.

Environment

Supplier will comply with all applicable local and national environmental laws.

Demonstration of Compliance

Supplier must be able to demonstrate compliance with the Supplier Guiding Principles at the

request and satisfaction of The Coca-Cola Company.

These minimum requirements are a part of all agreements between The Coca-Cola

Company and its direct and authorized suppliers. We expect our suppliers to develop and

implement appropriate internal business processes to ensure compliance with the Supplier

Guiding Principles. The Company routinely utilizes independent third parties to assess

suppliers compliance with the SGP; the assessments generally include confidential


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interviews with employees and on-site contract workers. If a supplier fails to uphold any

aspect of the SGP requirements, the supplier is expected to implement corrective actions.

The Company reserves the right to terminate an agreement with any supplier that cannot

demonstrate that they are upholding the SGP requirements.


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5-COMMUNITY

Our vision is to advance a packaging framework in which our packaging is no longer seen as

waste, but instead as a valuable resource for future use. To realize this zero waste vision,

we are guided by a commitment to continuous improvement

Improving quality of life

The Coca-Cola system in India and The Coca-Cola India Foundation (Anandana), work with

local organizations, governments and NGOs to support projects most relevant to community

needs, connecting our business with communities to help them grow and prosper.

Among the community projects that we do are our projects to provide access to clean

drinking water in schools and communities. This includes our project to provide clean

drinking water in primary schools in and around Chennai in partnership with Rotary

International.

In similar partnerships, we are working with UN-HABITAT to provide safe drinking water to

primary schools in West Bengal and with Winrock International and Naandi Foundation to

communities in Andhra Pradesh. The Winrock-Naandi partnership projects are also aimed at

improving health and income of the communities in addition to improving food security.

COMMUNITY DISASTER RELIEF AND REHABILITATION

We feel fortunate to be able to help those in dire need, from providing bottled water to using

our delivery vehicles for aid distribution and associate volunteerism.

Our system is in a unique position to provide assistance during and after natural disasters,

given our distribution strength and reach within communities. We feel fortunate to be able to

help those in dire need, from providing bottled water to using our delivery vehicles for aid

distribution and associate volunteerism. A recent example of our support to communities in

the aftermath of natural disasters is our project to reconstruct primary schools in areas of

Bihar which were severely affected by the floods of 2008. The rehabilitation projects were


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undertaken in partnership with the NGOs World Vision India, Plan India and Save The

Children and for reconstruction of classrooms.

COMMUNITY AWARENESS PROGRAM

Raising awareness on water conservation, water usage, hygiene and sanitation and

environment protection amongst all stakeholders has been one of the priority areas for the

Company.

Our Company regularly participates and organizes workshops and seminars, panel

discussions and interactive sessions in partnership with trade associations, NGOs and

government organizations to create awareness on these important subjects. Quizzes, street

plays, distribution of leaflets and brochures, screening of films, distribution of audio visual

material are some of the other tools employed to engage stakeholders.

A film titled Our Environment Lets Protect It jointly produced by Coca-Cola India and the

NGO, BAIF is being used to create awareness on the environment and has been distributed

in hundreds of schools. This effort has been recognized by the India Today Readers Digest

group by giving the Company the Pegasus Gold Award.

As an awareness building program, the Company and its bottling partners annually celebrate

World Water Day, World Environment Day, World Earth Hour and the International Coastal

Clean Up Day, thereby reaching out to thousands of stakeholders.

EDUCATION

Worldwide The Coca-Cola Company and it's leaders have supported education for more

than 100 years.

We believe that education is one of the keys to socioeconomic development. Hence we

support and encourage educational programs for students of all ages. Our programs focus

on supporting educational infrastructure, scholarships, business-education partnerships and

other local needs.


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In several communities in and around our plant operations, we are contributing towards

school infrastructure construction and repair of classrooms, internet stations, computers,

stationery etc. In Andhra Pradesh we partnered with the state government education

department to give away meritorious scholarships to first and second ranked students in four

categories (SC, ST, Backward Class and other backward caste) in all the districts of the

state.

The Company also conducts the Limca Book of Records Quiz for students. In 2010 the Quiz

was conducted in over 3000 schools across 80 cities. We believe that such initiatives

catalyze the overall development and growth of children.


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6-BEVERAGE BENEFITS

Our goal is to quench every thirst and every need. Provide and tailor beverages for every

lifestyle, life stage and occasion based on individual needs.

Offer quality products you can trust all the time.

Quenching the worlds thirst

Every day, in more than 200 countries around the world, people enjoy 1.6 billion servings of

The Coca-Cola Company's beverages. We have a great responsibility to each and every one

of these people: not only to help fulfill consumers daily hydration needs, but also to support

life-enhancing experiences.

Beverage Innovation

Coca-Cola India is one of the leading beverage companies in India offering great tasting,

quality nonalcoholic beverages to consumers. Our brands in India include Coca-Cola, Fanta

Orange, Fanta Apple, Limca, Sprite, Thums Up, Burn, Kinley, Maaza and Minute Maid Pulpy

Orange juice drink, the Georgia Gold range of teas and coffees ,Fanta Fun Taste and Vitingo

(a beverage fortified with micro-nutrients). Our aim is to offer a beverage for every lifestyle

and occasion, where it also makes sense for our long-term business growth. We focus our

resources on what consumers want today and anticipating what they will want tomorrow.

From the added benefits of vitamins and minerals to new ingredients, sweeteners, tastes and

innovations in package sizes, we are constantly challenging ourselves to identify high-quality

additions to our portfolio.

Vitingo

Iron deficiency is widely prevalent in India with an estimated 69% children below 5 years

being deficient in Iron. 72% pregnant women and nearly 70% young women are also

reported to be Iron deficient. Food fortification and supplements are a solution to this

problem. Coca-Cola India has developed a nutritional beverage option Vitingo - that can

address the issues of Iron Deficiency and Iron Deficiency Anemia. Vitingo is a low cost


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beverage powder which contains five essential micronutrients Iron, Folic Acid, Vitamin A,

Vitamin C and Zinc.

In 2009 Coca-Cola India in partnership with the NGO, Bharat Integrated Social Welfare

Agency (BISWA), launched a program to build awareness on micro-nutrient malnutrition (or

Hidden Hunger) in the bottom of the socio-economic pyramid population in India. The two

partners are working together to establish a successful income-generation model for the local

communities and distribute Vitingo to the bottom-of-the-pyramid population in the state.

(Gopaldas, 2002, Sheshadri, 1996 )


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7- ACTIVE HEALTHY LIVING

Our goal is to help people lead active, healthy lives by offering a wide variety of beverages,

our focus on information and education, and our support of physical activity.

Were all in this together

Making a positive difference includes caring about health and well-being -- both physical and

emotional. Together with our partners and stakeholders, we can play a role in helping to

identify and support practical solutions that help all people achieve active, healthy, balanced

lifestyles.

EDUCATION

We believe that we have a responsibility to inform our consumers with fact-based ingredient

and nutrition information for our products so they can make beverage choices that are in line

with a sensible, balanced diet and active lifestyle. We also have a responsibility to respect

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