Carlsberg A/S 100 Ny Carlsberg Vej Tel +45 33 27 33 00
DK-1760 Copenhagen V CVR no 61056416
COMPANY ANNOUNCEMENT 33/2008
3 OCTOBER 2008
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RUSSIAN MARKET UPDATE
As a result of the extraordinary level of investor uncertainty, intense market
speculation around the Russian environment and comments from other consumer
companies operating in the region, Carlsberg is providing an update about
expected third quarter performance from its Russian operations. It is important
to note that the third quarter results figures are not yet available and the
information set out below is based off latest available data and there may be
differences between actual figures and those described herein.
The Russian market is estimated to have been slightly down compared to the third
quarter 2007 reflecting principally exceptionally poor weather across the
region. This has been particularly prevalent in the second half of the quarter.
Volume growth, particularly in the lower priced segments of the market, has also
been held back by rising prices as well as recent volatility in the global
markets.
Carlsberg's Russian volumes were slightly down compared to third quarter 2007,
in line with the estimated market development. We have continued to focus upon
our branded, premium orientated approach to the market. As a result, the
premiumisation and pricing trends witnessed in the business in the first half of
the year have continued throughout the third quarter leading to double digit
increases in net sales in local currencies.
The
operating margin in Russia is consequently up compared to third quarter
2007.
For 2008 as a whole, we now expect the Russian beer market growth to be 1-2%.
Key fundamentals for growth in Russia remain unchanged and support a medium term
growth rate of 3-5% per year with existing premiumisation trends continuing.
Carlsberg will release its third quarter results in the normal way on 5 November
2008.
DISCLAIMER
The forward-looking statements, including forecasts on sales and earnings
performance, reflect management's current expectations based on information
available at the date of this document, and are subject to risks and
uncertainty. Such statements are made on the basis of assumptions and
expectations which the Company believes to be reasonable at this time, but which
may prove to be erroneous. Many factors, some of which will be beyond
management's control, may cause actual developments to differ materially from
the expectations expressed. Such factors include, but are not limited to,
economic and political uncertainty (including developments in interest rates and
exchange rates), financial and regulatory developments, changes in demand for
the Group's products, competition from other breweries, the availability and
pricing of raw materials and packaging materials, price reductions resulting
from market-driven price reductions, market acceptance of new products, launches
of rival products, stipulation of market
www.carlsberggroup.com
Carlsberg Group
values in the opening balance of the acquired companies and other unforeseen
factors. Should one or more of these risks or uncertainties materialise, or
should any underlying assumptions prove incorrect, actual outcomes may vary
materially from those indicated.
Carlsberg assumes no obligation to update or revise such forward-looking
statements or to update the reasons for which actual results could differ
materially from those anticipated in such forward-looking statements except when
required by law.
For further information, please contact:
Investor Relations: Mikael Bo Larsen +45 3327 1223
Media Relations: Jens Peter Skaarup +45 3327 1417
Carlsberg is one of the leading brewery groups in the world, with a large
portfolio of beer and soft drinks brands. Its flagship brand - Carlsberg - is
one of the fastest-growing and best-known beer brands in the world. More than
40,000 people work for Carlsberg, and its products are sold in more than 150
markets. In 2007 Carlsberg sold more than 115 million hectolitres of beer, which
is about 95 million bottles of beer a day. Find out more at
www.carlsberggroup.com.
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