New Charlie’s Beverage Range

New Charlie’s Beverage Range
Manufactured At Henderson

Listed premium beverage maker Charlie’s Group Ltd is producing a new range of drinks, including Old Fashioned Quenchers, at its plant in Henderson, West Auckland, to meet growing demand from consumers.

The development signals a major thrust by the New Zealand-owned group into the wider beverage market, building on the popularity and success of the Charlie’s and Phoenix brands.

Chief executive Stefan Lepionka said today the New Zealand-owned group was fortunate to have two iconic brands and the expansion of local manufacturing reaffirmed Charlie’s wish to be closer to its loyal Kiwi market.

“The decision to produce Charlie’s product at Henderson for the first time reflects our growing domestic market share and our faith in the quality and efficiency of New Zealand manufacturing,” he said.

The new Henderson-produced product range, which will be in the market by mid-May, comprises three products, inspired, according to Mr Lepionka, by the “old fashioned lemonade made by our granny”.

They comprise a sub-juice category known as Quenchers:

• Old Fashioned Lemonade Quencher;
• Old Fashioned Blackcurrant and Raspberry Quencher;
• Old Fashioned Mango & Orange Quencher.

They will be available initially in 1.5-litre bottles at $3.99 and will be supported by a substantial below-the-line marketing campaign.

Mr Lepionka said results from consumer testing were encouraging and the products would be supported by a consumer public relations and sampling programme from June to October.

“The Charlie’s brand is driving growth in the chilled juice category in supermarkets and this product innovation will draw more consumers into the category and the Charlie’s brand,” he said.

“Local production not only reduces freight costs and supports our drive towards an environmentally sustainable business but it also enhances the Charlie’s culture which is so important to our success.”

The Charlie’s board last year approved plans to reinvest in local manufacturing, citing the opportunity for operational efficiencies and cost savings. Mr Lepionka told the annual meeting in November said the move was based on a carefully researched plan to make better use of the company-owned site at Henderson.

“To achieve the vision and true potential of Charlie’s Group we need to commit significant resources,” he told shareholders. This is part of the ongoing “investment for growth” strategy.

Mr Lepionka said today that despite the high dollar, export expansion in Australasia remained an important part of the group’s medium-term strategic plan.

“We continue to field overseas inquiries for Charlie’s and Phoenix products and need to be ready to take advantage of opportunities as they arise.”

Note to Editor: Charlie’s Trading Company Ltd was formed in 1999 and listed on the NZX in July 2005 via a reverse acquisition of the shell company Charlie’s Group Ltd (formerly Spectrum Resources Ltd). It is a leading marketeer, manufacturer and supplier of a range of premium juices and beverages. In 2005 it doubled in size with the acquisition of the Phoenix Organics Group. Charlie’s most recent financial result, for the six months ended December 31, 2006, recorded operating revenue of nearly $11.7 million resulting in a surplus before interest, tax, depreciation and amortisation of $636,000.

ENDS

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