Your paper should consist of the following sections: Cash flow Statement, Manufacturing Costs, Cost-Volume-Profit-Analysis, Horizontal and Vertical Analysis, and Ratios. Use two scholarly/peer-reviewed and/or credible sources in addition to the course text to support your analyses.

Here is a breakdown of the sections within the body of the assignment: 
Cash Flow Statement
From the data in the file complete a Cash Flow Statement. Use the column that corresponds to your course. For example, if your course stated May 22, you would use the data from the May–June column.
Manufacturing Costs
From the data in this file complete a Schedule of Cost of Goods Manufactured and a Manufacturing Company Income statement. Use the Cost of Goods Manufactured that was developed in the Schedule of Cost of Goods Statement in the income statement. (See pages 974 through 975 in the text) Use the column that corresponds to your course. For example, if your course stated May 22, you would use the data from the May–June column.
Cost-Volume-Profit Analysis
Last week you should have prepared a break-even chart for submission with this final paper. If you still need to complete it, here are the instructions.
First, watch the video tutorial, Final Paper Break-Even Chart video that walks you through the steps.
Next, download the Excel file that includes the data you will use to complete the break-even chart. Submit the break-even chart as part of your final assignment.
Horizontal and Vertical Analysis
Using the data from the Coca-Cola 2017 Annual Report (Links to an external site.) financial statements, starting on page 60, prepare a horizontal analysis for the balance sheet for a 2-year period and a vertical analysis for the income statement for a 2-year period. Submit the company financial statements with your analysis. The analysis must show all formula calculations to support your results.
Ratio Analysis
Using the data from the Coca-Cola 2017 Annual Report (Links to an external site.) financial statements, starting on page 60, calculate the following ratios:
Common Stockholders Equity Ratio
Profit Margin Ratio
Cash Ratio
Debt to Equity Ratio
Debt Ratio
Explain how the ratio is calculated and discuss and interpret the ratios that you calculated. Submit a screenshot of the company financial statements as an appendix. The analysis must show all formula calculations to support your results.
Use the column based upon this course start date
Cost of Goods Manufactured Data
Direct labor
Depreciation
Purchases of direct material
Beginning work-in-process
Ending direct materials
Indirect materials
Plant utilities, insurance and Property taxes
Ending work-in-process
Beginning direct materials
Indirect labor
Jan-Feb
170000
20200
350300
80175
65200
17750
18575
27100
70025
29500
Mar-Apr
171000
20400
350600
80350
65400
18500
19150
27200
70050
31000
May-Jun
172000
20600
350900
80525
65600
19250
19725
27300
70075
32500
Manufacturing Income Statement Data
Net sales revenue
Income taxes
Beginning finished goods
Supplies expense
Ending finished goods inventory
Cost of goods manufactured
Wage expense
Depreciation expense
Rent expense
Insurance expense
1001000
53500
250
5300
60425
660375
120125
6750
100025
10075
1002000
54000
500
5600
60850
660750
120250
7500
100050
10150
1003000
54500
750
5900
61275
661125
120375
8250
100075
10225
Jul-Aug
173000
20800
351200
80700
65800
20000
20300
27400
70100
34000
Sept-Oct
174000
21000
351500
80875
66000
20750
20875
27500
70125
35500
Nov-Dec
175000
21200
351800
81050
66200
21500
21450
27600
70150
37000
1004000
55000
1000
6200
61700
661500
120500
9000
100100
10300
1005000
55500
1250
6500
62125
661875
120625
9750
100125
10375
1006000
56000
1500
6800
62550
662250
120750
10500
100150
10450
Use the column based upon this course start date
Breakeven Chart
Sale Price
Variable costs
Fixed Costs
Jan-Feb
$12.00
$2.00
$12,000.00
Mar-Apr
$14.00
$4.00
$14,000.00
May-Jun
$16.00
$6.00
$16,000.00
Jul-Aug
$18.00
$8.00
$18,000.00
Sept-Oct
$20.00
$10.00
$20,000.00
Nov-Dec
$22.00
$12.00
$22,000.00
Use the column based upon this course start date
Use the following information and prepare a Statement of Cash Flows in good form
Jan-Feb
Net Income
57000
Depreciation
20000
Purchased fixed assets paying cash
310000
Received $90,000 cash for issuance of notes payable
90000
Received $120,000 cash for issuance of common stock
120000
Paid $20,000 for purchase of treasury stock
20000
Ending cash balance
50000
Class Start Date
Assets
Current assets:
Cash
Accounts receivable
Inventory
Long-term assets
Plant assets
Accumulated depreciation
Total Assets
Jan-Feb
2017
2016
50000
75000
100000
20000
85000
80000
430000
12000
667000
120000
9000
314000
Liabilities
Current liabilities
Accounts payable
Accrued liabilities
Long-term liabilities
Notes payable
Total liabilities
32000
86000
20000
15000
90000
208000
0
35000
Stockholders equity
Common stock
Retained earnings
Treasury stock
Total stockholders equity
Total stockholders equity and liabilities
220000
219000
20000
459000
667000
100000
179000
0
279000
314000
ws in good form
Mar-Apr
May-Jun
Jul-Aug
Sept-Oct
Nov-Dec
67000
25000
310000
90000
120000
20000
65000
77000
30000
310000
90000
120000
20000
80000
87000
35000
310000
90000
120000
20000
95000
97000
40000
310000
90000
120000
20000
110000
Mar-Apr
2017
2016
May-Jun
2017
2016
Jul-Aug
2017
2016
Sept-Oct
2017
2016
Nov-Dec
2017
65000
75000
100000
20000
85000
80000
80000
75000
100000
20000
85000
80000
95000
75000
100000
20000
85000
80000
110000
75000
100000
20000
85000
80000
125000
75000
100000
430000
12000
682000
120000
9000
314000
430000
12000
697000
120000
9000
314000
430000
12000
712000
120000
9000
314000
430000
12000
727000
120000
9000
314000
430000
12000
742000
32000
86000
20000
15000
32000
86000
20000
15000
32000
86000
20000
15000
32000
86000
20000
15000
32000
86000
90000
208000
0
35000
90000
208000
0
35000
90000
208000
0
35000
90000
208000
0
35000
90000
208000
220000
219000
20000
459000
667000
100000
179000
0
279000
314000
220000
219000
20000
459000
667000
100000
179000
0
279000
314000
220000
219000
20000
459000
667000
100000
179000
0
279000
314000
220000
219000
20000
459000
667000
100000
179000
0
279000
314000
220000
219000
20000
459000
667000
Nov-Dec
107000
45000
310000
90000
120000
20000
125000
Nov-Dec
2016
20000
85000
80000
120000
9000
314000
20000
15000
0
35000
100000
179000
0
279000
314000
2017 ANNUAL REPORT
CokeConsolidated.com
STREET ADDRESS
4100 Coca-Cola Plaza, Charlotte, NC 28211
(704) 557-4400
FAC E B O O K
MAILING ADDRESS
PO Box 31487, Charlotte, NC 28231
TWITTER
/CocaColaConsolidated
@CokeCCBCC
I N S TAG R A M
@CocaColaConsolidated
C O C A- C O L A B OT T L I N G C O. C O N S O L I DAT E D
Coca-Cola Bottling Co. Consolidated
2017 ANNUAL REPORT
BOARD OF DIRECTORS
J. Frank Harrison, III
Jennifer K. Mann
CHAIRMAN OF THE BOARD OF DIRECTORS
SENIOR VICE PRESIDENT,
AND CHIEF EXECUTIVE OFFICER,
CHIEF PEOPLE OFFICER AND
COCA-COLA BOTTLING CO. CONSOLIDATED
CHIEF OF STAFF FOR THE PRESIDENT
Sharon A. Decker
CHIEF OPERATING OFFICER,
TRYON EQUESTRIAN PARTNERS,
CAROLINA OPERATIONS
Morgan H. Everett
AND CHIEF EXECUTIVE OFFICER,
THE COCA-COLA COMPANY
James H. Morgan
CHAIRMAN,
COVENANT CAPITAL, LLC
VICE PRESIDENT,
John W. Murrey, III
COCA-COLA BOTTLING CO. CONSOLIDATED
ASSISTANT PROFESSOR (RETIRED),
Henry W. Flint
PRESIDENT AND CHIEF OPERATING OFFICER,
COCA-COLA BOTTLING CO. CONSOLIDATED
James R. Helvey, III
APPALACHIAN SCHOOL OF LAW
Dr. Sue Anne H. Wells
EDUCATOR AND FOUNDER,
CHATTANOOGA GIRLS LEADERSHIP ACADEMY
MANAGING PARTNER,
Dennis A. Wicker
CASSIA CAPITAL PARTNERS, LLC
PARTNER, NELSON, MULLINS,
Dr. William H. Jones
FORMER LIEUTENANT GOVERNOR,
CHANCELLOR,
COLUMBIA INTERNATIONAL UNIVERSITY
Umesh M. Kasbekar
RILEY & SCARBOROUGH, LLP
STATE OF NORTH CAROLINA
Richard T. Williams
VICE PRESIDENT OF CORPORATE
VICE CHAIRMAN
COMMUNITY AFFAIRS,
OF THE BOARD OF DIRECTORS,
DUKE ENERGY CORPORATION
COCA-COLA BOTTLING CO. CONSOLIDATED
PRESIDENT, THE DUKE ENERGY FOUNDATION
(RETIRED)
EXECUTIVE OFFICERS
J. Frank Harrison, III
E. Beauregarde Fisher, III
CHAIRMAN OF THE BOARD OF DIRECTORS
EXECUTIVE VICE PRESIDENT,
AND CHIEF EXECUTIVE OFFICER
GENERAL COUNSEL AND SECRETARY
Henry W. Flint
James E. Harris
PRESIDENT AND CHIEF OPERATING OFFICER
EXECUTIVE VICE PRESIDENT,
Umesh M. Kasbekar
VICE CHAIRMAN
OF THE BOARD OF DIRECTORS
William J. Billiard
SENIOR VICE PRESIDENT AND
CHIEF ACCOUNTING OFFICER
Robert G. Chambless
EXECUTIVE VICE PRESIDENT,
FRANCHISE BEVERAGE OPERATIONS
Morgan H. Everett
VICE PRESIDENT
BUSINESS TRANSFORMATION
AND BUSINESS SERVICES
David M. Katz
EXECUTIVE VICE PRESIDENT
AND CHIEF FINANCIAL OFFICER
Kimberly A. Kuo
SENIOR VICE PRESIDENT,
PUBLIC AFFAIRS, COMMUNICATIONS
AND COMMUNITIES
James L. Matte
SENIOR VICE PRESIDENT,
HUMAN RESOURCES
1
TO OUR SHAREHOLDERS
O U R P U R P O S E —to Honor God in All We Do, to Serve
Others, to Pursue Excellence and to Grow Profitably—
is the fixed compass point guiding Coca-Cola Consolidated.
In April 2017, we were honored and humbled to celebrate
115 years as a Company. And what a momentous year it was.
We completed the acquisition phase of a six-year System
Transformation, which included some of our largest and
most complicated transactions. Through it all, our people
have collaborated with passion, purpose and persistence, as
One Team Coke Consolidated.
When our Company first engaged in the System Transformation
effort in 2013, we had approximately 6,500 teammates in 11
states, serving 21 million consumers. By the end of 2017, we had
over 16,000 teammates in 14 states and the District of Columbia,
serving over 65 million consumers. We have grown our net sales
over the last few years from $1.5 billion to over $4.3 billion. It
has been a journey of hard work, commitment, and tremendous
teamwork – and there is much work still to be done. But, it is
that teamwork and passion that will help us work through all
the challenges of rapid growth, and ultimately strengthen our
business over the long-term.
As we embrace the many opportunities and challenges facing
our Company, we remain focused on pursuing excellence and driving operational improvements by making significant investments
in our business—expanding and refining our commercial and
brand marketing opportunities across our territory, introducing
new sales and operating processes, and building and improving
our facilities. We continued to implement a new IT platform
(CONA), which remains a significant undertaking. Integrating
J. FRANK HARRISON, III

new people, new technology platforms, new facilities and new
processes is a work in progress—but work we are committed
to doing well. We are also focused on continuous improvement
across our business, and are investing strategically to ensure
that our infrastructure, processes and portfolio are as robust
and efficient as possible. Our solid net sales growth of 37% on
an actual basis, and 3.1% on a comparable basis, are positive
results of our efforts.
2017 was again a year of portfolio diversification. While producing and distributing over 300 of the world’s best brands and
flavors, we added bold new and enhanced flavors like Sprite
Cherry and Coke Zero Sugar. Our Monster distribution increased
across our territory. We continue to innovate and expand our
still beverage portfolio, with Gold Peak tea and coffee, Fairlife
milk, Minute Maid Refreshment, Dunkin’ Donuts coffee and
more. In the face of challenging headwinds in our industry, we
produced strong revenue and volume growth, including our
sparkling portfolio. We also expanded our adjacency businesses
and our services to fellow bottlers.
We thank our teammates for the hard work and servant leadership they have exemplified throughout this ongoing season of
transition. We are grateful for the many opportunities we have
to serve our communities, and we do so with passion. We are
positioning our business for long-term growth, as we continue
what has been a rewarding journey.
As Coca-Cola Consolidated remains firmly dedicated to Our
Purpose, we know that by doing things the right way, we can
continue to provide meaningful value to our shareholders, teammates, customers, and communities. We appreciate your support.
HENRY W. FLINT
CHAIRMAN OF THE BOARD AND
PRESIDENT AND
CHIEF EXECUTIVE OFFICER
CHIEF OPERATING OFFICER
3
PEOPLE
O U R P E O P L E P O U R T H E I R H E A R T S I N TO T H E I R
WO R K B E C A U S E W E B E L I E V E I N W H AT W E D O
AND THOSE WE SERVE.
S O M E S AY YO U C A N ’ T B OT T L E T H I S K I N D O F PA S S I O N .
B U T W E D O I T, E V E R Y DAY. F O R YO U .
W E ’ R E TO G E T H E R , O N P U R P O S E .
HIGHLIGHTS
• This year, we welcomed
more than 3,000 new
teammates across our
franchise territory.
• In 2017, we opened our
new state-of-the-art
Learning Center in
Charlotte, NC. We plan to
open additional Learning
Centers to provide even
more opportunities for
our new teammates to
grow and develop in their
Purpose-driven careers.
W E A R E T H A N K F U L for the immense time, talent, and
treasure that our teammates have invested in becoming one
Coke Consolidated, always striving to live out our Values,
to grow our core business, and to serve others.
We’re honored to be a Company that produces and delivers
locally. For more than 115 years, we have been deeply rooted
in our communities, serving our customers, and providing
delicious choices to our consumers.
With every dawn, our people are working hard to drive
innovation and operational efficiencies. Teamwork is at the
heart of all we do. We are genuinely invested in each other,
passionate about our Company and our brands, and committed to serving others.
5
PURPOSE
Coca-Cola Consolidated partnered with
Through our Message in a Bottle campaign, we
Teammates served local families
Charlotte Rescue Mission to provide
delivered thousands of handwritten messages
by providing school supplies and
500 Thanksgiving meals to local
of support to our service members, veterans,
backpacks to students.
families in need.
and their families.
B E H I N D E V E RY B OT T L E , E V E R Y M I N I C A N ,
E V E R Y N E W F L AVO R A N D T I M E L E S S C L A S S I C ,
I S S O M E T H I N G M U C H G R E AT E R .
T H E R E ’ S A S T R O N G P U R P O S E T H AT J O I N S U S
TO G E T H E R , S T R E N G T H E N I N G O U R C O N V I C T I O N
A N D O U R C O M M I T M E N T TO S E R V E O U R C U S TO M E R S ,
OUR CONSUMERS, AND OUR COMMUNITIES.
WE’RE HERE, ON PURPOSE.
HIGHLIGHTS
• We now have chaplaincy
services available at
every location.
• Our teammates

Our teammates partnered with
Appalachia Service Project to build
several new homes for families in need.
contributed over 10,000
volunteer hours to
support veterans, develop
youth, fight homelessness
and hunger, and provide
disaster relief.
E V E RY DAY, more than 16,000 aspiring servant leaders
drive our business forward and impact communities across
our territory.
Our passion fuels us and Our Purpose connects us. We
strive to Honor God in All We Do, in meaningful ways, every
day. As we grow and welcome new teammates across new
states, we remain united as one team, working together to
inspire and serve others.
Through the expansion of our business, we’ve searched
for ways to live Our Purpose every day, caring for people
and supporting our teammates and our communities. Our
chaplaincy program now serves teammates in all of our
facilities. We have worked together to fight hunger and
homelessness and to support families in need. And we’ve
donated funds and delivered products and supplies to those
affected by the year’s tragic natural disasters.
The energy and expertise of new teammates has only
strengthened our commitment to Serve Others, Pursue
Excellence and Grow Profitably. We are inspired to see
teammates of just a few months join others who have served
the Company for decades. Our connection helps us continually grow together.
7
PORTFOLIO
WE ARE H O NO RE D TO PRO DU CE
Commemorative
bottles celebrated
NCAA Champions in
AND DE LIVE R T H E WO RLD’S FAVOR ITE
our communities.
B RANDS — MO RNING , NO O N AND NIG H T.
WE H AVE INVE ST E D IN O U R FAC ILITIES,
PRO CE SS E S , AND SYST E MS TO SUP P OR T
T H E DIVE RS IT Y O F FLAVO RS AN D SIZ ES
WE O FFE R O U R MILLIO NS O F CO NSUMER S.
W E I N N OVAT E , O N P U R P O S E .

Sprite Cherry and Sprite Cherry
Zero became the first national
flavors inspired by consumer
feedback from Coca-Cola
Freestyle Machines.
Minute Maid Refreshment
and Minute Maid Juices To Go
fueled growth in our juice
category.
1 1 5 Y E A R S A G O we began producing and delivering
a single, iconic brand in Greensboro, NC. Through hard
work, innovation, and teamwork, we now serve more than
300 of the world’s best brands and flavors across 14 states
and the District of Columbia.
As we increase our territory, we have more opportunities
to offer more choices to more people. Both our still and
sparkling categories grew in comparable volume. With a
variety of new package sizes, flavors, low- and no-calorie
options and recipes, we offer consumers refreshing options
for every occasion.
Looking forward, we’ll continue to innovate, to be responsive and nimble – inspired by those we serve every day. Each
new twist on an old favorite, such as Sprite Cherry, and every
new way to enjoy a beverage, like our 10-pack mini-cans,
creates new opportunities for our business. We are united
in our dedication to our customers, to our consumers and
to each other.
A compact 253ml bottle is
now in stores, offering
Coca-Cola, Sprite, Diet Coke,
Coke Zero Sugar and
Dr. Pepper.
9
115
N OW S E R V I N G
MORE THAN
OV E R
YEARS OF
BUSINESS
T E A M M AT E S
14 STATES
O P E R AT I O N S I N
300
16,000
O F T H E WO R L D ’ S
BEST BRANDS
A N D F L AVO R S
AND DISTRICT OF COLUMBIA
PA
OH
IL
MD
DE
IN
MO
WV
VA
KY
We built a Sales
& Distribution Center
in Greensboro, NC
and invested in
Coke
facilities across our
Consolidated
NC
TN
territory including
territory
Bishopville, SC,
*
AR
Production
SC
**
Baltimore, MD,
and Alexandria, VA.
Centers
MS
AL
GA
* Coke Consolidated
utilizes a portion of the
production capacity
LA
at SAC, a cooperative
located in Bishopville,
SC, that owns a
261,000 square foot
production facility.
12
FL
PRODUCTION
CENTERS
80
SALES AND
FO U N D E D I N
1902
DISTRIBUTION CENTERS
CO N S U M E R
BASE:
O U R T E A M M AT E S
C O N T R I B U T E D OV E R
10,000
VO L U N T E E R H O U R S
65 MILLION
13 PRODUCTION CENTERS
plus 80 distribution &
sales centers
COKE CONSOLIDATED territory
* Bishopville, SC facility is a cooperative manage
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-K
?
!
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2017
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934
For the transition period from
to
Commission file number 0-9286
COCA-COLA BOTTLING CO. CONSOLIDATED
(Exact name of registrant as specified in its charter)
Delaware
(State or other jurisdiction of
incorporation or organization)
56-0950585
(I.R.S. Employer
Identification No.)
4100 Coca-Cola Plaza, Charlotte, North Carolina 28211
(Address of principal executive offices) (Zip Code)
Registrant’s telephone number, including area code: (704) 557-4400
Securities Registered Pursuant to Section 12(b) of the Act:
Title of Each Class
Common Stock, $1.00 Par Value
Name of Each Exchange on Which Registered
The NASDAQ Global Select Market
Securities Registered Pursuant to Section 12(g) of the Act: None
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ? No !
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes !
No ?
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the
preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90
days. Yes ? No !
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be
submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and
post such files). Yes ? No !
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of
registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. ?
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging
growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of
the Exchange Act.
Large accelerated filer
Non-accelerated filer
Accelerated filer
Smaller reporting company
Emerging growth company
?
! (Do not check if a smaller reporting company)
!
!
!
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised
financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. !
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes !
No ?
State the aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity
was last sold, or the average bid and asked price of such common equity, as of the last business day of the registrant’s most recently completed second fiscal quarter.
Common Stock, $l.00 Par Value
Class B Common Stock, $l.00 Par Value
Market Value as of June 30, 2017
$1,066,187,233
*
*No market exists for the Class B Common Stock, which is neither registered under Section 12 of the Act nor subject to Section 15(d) of the Act. The Class B Common
Stock is convertible into Common Stock on a share-for-share basis at the option of the holder.
Indicate the number of shares outstanding of each of the registrant’s classes of common stock, as of the latest practicable date.
Class
Common Stock, $1.00 Par Value
Class B Common Stock, $1.00 Par Value
Outstanding as of February 16, 2018
7,141,447
2,192,722
Documents Incorporated by Reference
Portions of the registrant’s definitive Proxy Statement to be filed pursuant to Section 14 of the Act with respect to the registrant’s 2018 Annual Meeting of Stockholders
are incorporated by reference in Part III, Items 10-14.
Table of Contents
Page
Part I
Item 1.
Item 1A.
Item 1B.
Item 2.
Item 3.
Item 4.
Business ………………………………………………………………………………………………………………………………………………………….
Risk Factors …………………………………………………………………………………………………………………………………………………….
Unresolved Staff Comments………………………………………………………………………………………………………………………………
Properties ………………………………………………………………………………………………………………………………………………………..
Legal Proceedings…………………………………………………………………………………………………………………………………………….
Mine Safety Disclosures ……………………………………………………………………………………………………………………………………
Executive Officers of the Registrant……………………………………………………………………………………………………………………
3
14
21
21
23
23
24
Part II
Item 5.
Item 6.
Item 7.
Item 7A.
Item 8.
Item 9.
Item 9A.
Item 9B.
Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities ………….. 26
Selected Financial Data ……………………………………………………………………………………………………………………………………. 28
Management’s Discussion and Analysis of Financial Condition and Results of Operations………………………………………. 29
Quantitative and Qualitative Disclosures About Market Risk ……………………………………………………………………………….. 59
Financial Statements and Supplementary Data ……………………………………………………………………………………………………. 60
Changes in and Disagreements With Accountants on Accounting and Financial Disclosure …………………………………….. 118
Controls and Procedures …………………………………………………………………………………………………………………………………… 118
Other Information ……………………………………………………………………………………………………………………………………………. 118
Part III
Item 10.
Item 11.
Item 12.
Item 13.
Item 14.
Directors, Executive Officers and Corporate Governance ……………………………………………………………………………………..
Executive Compensation …………………………………………………………………………………………………………………………………..
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters ………………………
Certain Relationships and Related Transactions, and Director Independence …………………………………………………………..
Principal Accountant Fees and Services………………………………………………………………………………………………………………
119
119
119
119
119
Part IV
Item 15. Exhibits and Financial Statement Schedules ……………………………………………………………………………………………………….. 120
Item 16. Form 10-K Summary……………………………………………………………………………………………………………………………………….. 127
Signatures ………………………………………………………………………………………………………………………………………………………. 129
2
PART I
Item 1.
Business
Introduction
Coca-Cola Bottling Co. Consolidated, a Delaware corporation (together with its majority-owned subsidiaries, the “Company,”
“CCBCC,” “we,” “our” or “us”), distributes, markets and manufactures nonalcoholic beverages in territories spanning 14 states and
the District of Columbia. The Company was incorporated in 1980 and, together with its predecessors, has been in the nonalcoholic
beverage manufacturing and distribution business since 1902. We are the largest independent Coca-Cola bottler in the United States.
Approximately 93% of our total bottle/can sales volume to retail customers consists of products of The Coca-Cola Company, which
include some of the most recognized and popular beverage brands in the world. We also distribute products for several other beverage
brands including Dr Pepper, Sundrop and Monster Energy. Our purpose is to honor God, to serve others, to pursue excellence and to
grow profitably. Our stock is traded on the NASDAQ Global Select Market under the symbol “COKE.”
Ownership
As of December 31, 2017, The Coca-Cola Company owned approximately 35% of the Company’s total outstanding Common Stock,
representing approximately 5% of the total voting power of the Company’s Common Stock and Class B Common Stock voting
together. As long as The Coca-Cola Company holds the number of shares of Common Stock it currently owns, it has the right to have
a designee proposed by the Company for nomination to the Company’s Board of Directors. J. Frank Harrison, III, the Chairman of the
Board of Directors and Chief Executive Officer of the Company, and trustees of certain trusts established for the benefit of certain
relatives of J. Frank Harrison, Jr. have agreed to vote the shares of the Company’s Class B Common Stock which they control,
representing approximately 86% of the total voting power of the Company’s Common Stock and Class B Common Stock voting
together, in favor of such designee. The Coca-Cola Company does not own any shares of the Company’s Class B Common Stock.
Beverage Products
We offer a range of nonalcoholic beverage products and flavors designed to meet the demands of our consumers, including both
sparkling and still beverages. Sparkling beverages are carbonated beverages and the Company’s principal sparkling beverage is
Coca-Cola. Still beverages include energy products and noncarbonated beverages such as bottled water, tea, ready to drink coffee,
enhanced water, juices and sports drinks.
Our sales are divided into two main categories: (i) bottle/can sales and (ii) other sales. Bottle/can sales include products packaged
primarily in plastic bottles and aluminum cans. Other sales include sales to other Coca-Cola bottlers and “post-mix” products. Postmix products are dispensed through equipment that mixes fountain syrups with carbonated or still water, enabling fountain retailers to
sell finished products to consumers in cups or glasses.
Bottle/can sales represented approximately 84%, 84% and 82% of total net sales for fiscal 2017 (“2017”), fiscal 2016 (“2016”) and
fiscal 2015 (“2015”), respectively. The sparkling beverage category represented approximately 63%, 66% and 70% of total bottle/can
sales during 2017, 2016 and 2015, respectively.
The following table sets forth some of our principal products, including products of The Coca-Cola Company and products licensed to
us by other beverage companies.
The Coca-Cola Company Products
Sparkling Beverages
Still Beverages
Barqs Root Beer
Fanta Zero
Core Power(1)
Peace Tea
Cherry Coke
Fresca
Dasani
POWERade
Cherry Coke Zero
Mello Yello
Dasani Flavors
POWERade Zero
Coca-Cola
Mello Yello Zero
Dunkin’ Donuts Iced Coffee(1)
Tum-E Yummies
Coca-Cola Life
Minute Maid Sparkling
FUZE
Yup Milk(1)
Coca-Cola Vanilla
Pibb Xtra
glacéau smartwater
ZICO
Coca-Cola Zero Sugar
Seagrams Ginger Ale
glacéau vitaminwater
Dasani Sparkling
Sprite
Gold Peak Tea
Diet Barqs Root Beer
Sprite Zero
Hi-C
Diet Coke
Surge
Honest Tea
Diet Coke Splenda®
TAB
Minute Maid Adult Refreshments
Fanta Flavors
Minute Maid Juices To Go
3
Beverage Products Licensed
by Other Beverage Companies
Diet Dr Pepper
Dr Pepper
Full Throttle
Monster Energy products
NOS®
Sundrop
(1) Indicates brands for which The Coca-Cola Company has a license, joint venture or strategic partnership.
System Transformation
We recently concluded a series of transactions with The Coca-Cola Company and Coca-Cola Refreshments USA, Inc. (“CCR”), a
wholly-owned subsidiary of The Coca-Cola Company, which were initiated in April 2013 as part of The Coca-Cola Company’s multiyear refranchising of its North American bottling territories (the “System Transformation”). Through several asset purchase and asset
exchange transactions with The Coca-Cola Company, CCR and Coca-Cola Bottling Company United, Inc. (“United”), an independent
bottler that is unrelated to the Company, we significantly expanded our distribution and manufacturing operations through the
acquisition and exchange of distribution territories and regional manufacturing facilities.
Following the completion of the System Transformation, we are party to several key agreements that (i) provide us with rights to
distribute, market and manufacture beverage products and (ii) coordinate our role in the North American Coca-Cola system. The
following sections summarize certain of these key agreements.
Beverage Distribution and Manufacturing Agreements
We have rights to distribute, promote, market and sell certain nonalcoholic beverages of The Coca-Cola Company pursuant to a
comprehensive beverage agreement with The Coca-Cola Company and CCR. We also have rights to manufacture, produce and
package certain beverages bearing trademarks of The Coca-Cola Company pursuant