-Creating a happy tomorrow for everyone-

2010

ANNUAL REVIEWConsolidated Financial Data

1

Corporate Data

2

Soft Drink Market in Japan3

To Our Shareholders

4

Special Feature

6

Long-Term Management Framework 2020

6

Mid-Term Management Plan

7

Overview of Sales Results

8

Reform of Sales

8

Our Brand Lineup

9

Spotlight on Our Major Brands

10

New Products

11

Overview of Sales Structure and Results

12

Reform of Supply Chain Management

14

Corporate Social Responsibility Activities

15

Quality Assurance

16

Initiative for Reduction in Carbon Dioxide Emissions

17

Recycling Activities

18

Business Activities Contributing to Local Communities

19

Together with Local Communities

20

Manufacturing and Sales of Health Food Products

22

Financial Information

23

Consolidated Balance Sheets

24

Consolidated Statements of Income

26

Consolidated Statements of Changes in Shareholders’ Equity

27

Consolidated Statements of Cash Flows28

Other Information

29

Risk Information

29

Corporate Governance

30

Board of Directors

35

Dividend Policy and Shareholder Reward Points System

36

Stock Information

37

Coca-Cola System in Japan38

Web Site (http://www.ccwest.co.jp/english/)l Notes
If a need to revise any part of this report arises, the revision will be posted on the “Investor
Relations” page on the company website. The content of the revision will be found under “Annual
Review” of “Financial Results Information.”

2006

2007

2008

2009

2010

Net Revenues (Millions of Yen)
Growth Rate in Net Revenues (%)

327,82133.3

409,52124.9

395,556(3.4)

369,698(6.5)

375,764
1.6

Operating Income (Millions of Yen)
Operating Income / Net Revenues (%)

12,321
3.8

16,056
3.9

10,521
2.7

2,242
0.6

12,003
3.2

Recurring Income (Millions of Yen)
Recurring Income / Net Revenues (%)

13,225
4.0

17,493
4.3

11,048
2.8

2,085
0.6

12,6593.4

13,10814,254

2,402(10,446)

12,982

4.0

3.5

0.6

(2.8)

3.5

Net Income (Loss) (Millions of Yen)
Return on Sales (%)

7,570
2.3

9,375
2.3

129
0.0

(7,594)
(2.1)

7,582
2.0

Net Income (Loss) per share (Yen)

82.22

88.29

1.25

(75.96)75.84

Return on Equity (%)

3.6

3.7

0.1

(3.3)

3.4

Return on Assets (%)

5.1

5.6

3.7

0.7

3.8

Total Assets (Millions of Yen)

304,907

315,672

277,696326,818

346,032

Net Assets (Millions of Yen)

250,463

254,025

234,521

222,816

226,267

82.1

80.5

84.4

68.2

65.3

2,358.05

2,391.83

2,345.03

2,227.96

2,260.03

Price Book Value Ratio (PBR) (times)*1

1.2

1.0

0.8

0.7

0.7

Price Earnings Ratio (PER) (times)*2

33.5

28.0

1,549.5(21.6)

19.4

Cash Flow from Operating Activities (Millions of Yen)

21,80633,00016,18028,74731,732

Cash Flow from Investing Activities (Millions of Yen)

(14,956)(23,306)

2,153(23,447)(49,203)

Cash Flow from Financing Activities (Millions of Yen)

(9,244)

3,586(31,486)

43,297(16,316)

Cash and Cash Equivalents at end of fiscal year (Millions of Yen)

22,28435,564

22,412

71,22137,434

Dividend Payout Ratio (Consolidated) (%)

51.1

48.7

3,440.0−

52.7

Dividend per Share (Yen)(Interim dividend amount per share) (Yen)

42.00(20.00)43.00(21.00)43.00(21.00)42.00(21.00)40.00(20.00)Interest Coverage Ratio (times)*3(Operating Cash Flow / Interest Paid)

589.3

285.4

462.7

97.2

35.4

Depreciation (Millions of Yen)

19,571

22,533

21,741

21,90022,405

Capital Expenditure (Millions of Yen)
Capital Expenditure for Vending Machines (Millions of Yen)
(Share of Capital Expenditure for Vending Machine)

22,02019,951

18,032

25,201

16,524

12,187(55%)

10,012(50%)

10,359
(57%)

8,760
(35%)

7,604
(46%)

Income (Loss) before Income Taxes, minority interests and otheradjustments (Millions of Yen)
Income (Loss) before Income Taxes, minority interests and otheradjustments / Net Revenues (%)

Equity Ratio (%)
Net Assets per share (Yen)Consolidated Financial Data

Consolidated Financial Data : Trends in Key Financial Index*1 Price Book Value Ratio (PBR) = Market Value at the end of period ÷ Equity per share*2 Price Earnings Ratio (PER) = Market Value at the end of period ÷ Net Income per share*3 Interest Coverage Ratio=Operating Cash Flow ÷ Interest Paid

Annual Review 20101

Corporate Data
(As of December 31, 2010)

Company name : Coca-Cola West Co., Ltd.
Head office : 7-9-66 Hakozaki, Higashi-ku, Fukuoka 812-8650, Japan
Establishment : December 20, 1960
Paid-in capital : 15,231 million yen
Fiscal term : December
Number of employees (consolidated) : 8,331
Primary business : Manufacturing and sales of Coca-Cola and other soft drinks

The Only Strategic Partner and Leader in Japan

Corporate Data

The company’s sales territory includes fourteen prefectures in the Western Japan. We are the largest
bottler in sales in Japan and one of the leading publicly-listed bottlers in the world. As a strategic leader and partner to the Coca-Cola Company and Coca-Cola (Japan) Company Ltd., we collaborate withthem beyond the bottler’s framework and conduct business activities such as product development andtest marketing, thus leading the transformation of the entire Coca-Cola business in Japan.

Sales territory

35,579Thousand■ Minami Kyushu Coca-Cola Bottling Co., Ltd.
(an equity-method affiliate)2

Coca-Cola West Co., Ltd.

[Population]
Nationwide

127,058
Thousand28%

SOFT DRINK MARKET IN JAPANMarket Trends
In 2010, production volume of soft drinks marked an increase for the first time in three years and hit a record high due to an extremely hot summer. By product category, production volume of carbonated beverages, tea beverages, mineral water, and sports and functional drinks all exceeded the previous year’s production. In the last 20 years, the soft drink market has experienced a 160% growth.
Change of Production Volume of Soft Drinks(unit:Thousand KL)

18,66820,000Composition ratio by Categoryfor 2010
16％ Other

15,49315,000

10％ Sports and functional drinks
11％ Mineral water

11,536
10,00029％ Tea beverages
15％ Coffee beverages

5,000

19％ Carbonated beverages0

Coca-Cola
Coca-Cola
Coca-Cola
Coca-Cola
West
West
West
West

1991

Coca-Cola
Coca-Cola
Coca-Cola
Coca-Cola
West
West
West
West

2000

22.0%
22.0%
22.0%
22.0%2010

Source: Statistical Report on Soft Drinks, Japan Soft Drink 33.6%
Association(Data for the year 2010 is preliminary.)
33.6%
33.6%
33.6%

100

Over-the-Counter Sales Market Share by Category for 2010

Soft Drink Market in Japan80

60(excluding vending machines)

Carbonated beverages

Canned coffee

Blend tea

Sports and functional drinks

40

20

0

Coca-Cola
Coca-Cola
Coca-Cola
Coca-Cola
West
West
West
West

Coca-Cola
Coca-Cola
Coca-Cola
Coca-Cola
West
West
West
West

Coca-Cola
Coca-Cola
Coca-Cola
Coca-Cola
West
West
West
West

Coca-Cola
Coca-Cola
Coca-Cola
Coca-Cola
West
West
West
West

20,000

45.8%
45.8%
45.8%
45.8%

39.3%
39.3%
39.3%
39.3%

63.2%
63.2%
63.2%
63.2%

44.5%
44.5%
44.5%
44.5%

15,00010,000

No.1

No.1

No.1

No.1

ＣＣＷ
ＣＣＷ
ＣＣＷ
ＣＣＷ45.9
45.9
45.9
45.9

ＣＣＷ
ＣＣＷ
ＣＣＷ
ＣＣＷ39.3
39.3
39.3
39.3

ＣＣＷ
ＣＣＷ
ＣＣＷ
ＣＣＷ63.2
63.2
63.2
63.2

アサヒd
アサヒd
アサヒd
アサヒd
19.2
19.2
19.2
19.2
Source: MBI conductedby Intage,
Inc.

サンサン
トリーa
サン
トリーa
サン
トリーa
ト21.8
リーa
21.8
21.8
21.8

アサヒd
アサヒd
アサヒd
アサヒd
20.9
20.9
20.9
20.9

大塚f
大塚f
大塚f
大塚f24.7
24.7
24.7
24.7

サンサン
トリーa
サン
トリーa
サン
トリーa
ト18.9
リーa
18.9
18.9
18.9

アサヒd
アサヒd
アサヒd
アサヒd9.69.6
9.69.6

サンサン
トリーa
サン
トリーa
サン
トリーa
トリーa
7.47.47.47.4

サンサン
トリーa
サン
トリーa
サン
トリーa
ト13.4
リーa
13.4
13.4
13.4

カルピスe
カルピスe
カルピスe
カルピスe
2.72.72.72.7

キリンb
キリンb
キリンb
キリンb6.36.3
6.36.3

キリンb
キリンb
キリンb
キリンb2.92.9
2.92.9

アサヒd
アサヒd
アサヒd
アサヒd2.92.9
2.92.9Over-the-Counter Sales Market
Sharefor1.32010
伊藤園c
伊藤園c
伊藤園c
伊藤園c
1.3
1.31.3

キリンb
キリンb
キリンb
キリンb2.52.5
2.52.5Coca-Cola West

Coca-Cola West

22

33.6%

No.1
Coca-Cola West1990 年

キリンb
キリンb
キリンb
キリンb0.90.9
0.90.9Outdoor Vending
Machines
MarketShare for 2010

Coca-Cola West

Source: Store Audit conducted by Intage, Inc.

0

ＣＣＷ
ＣＣＷ
ＣＣＷ
ＣＣＷ44.5
44.5
44.5
44.5

22.0%

6%

データ データデータ データ
258444258444
258444258444 253353253353
253353253

5,000

伊藤園c
伊藤園c
伊藤園c
伊藤園c
0.20.20.20.2(excluding vending machines)

Coca-Cola West10,805

No.1
Source: Survey of Vending Machines, Intage. Inc. (survey period from May 2010 to June 2010)
Coca-Cola West

Coca-Cola West

Coca-ColaWest 2010
AnnualReview

3

Coca-ColaTo Our Shareholders

Overview of Business Results for the Fiscal Year 2010

To Our Shareholders

In 2010, the soft drink industry showed strong sales in the third
quarter as a result of the record high temperatures in the summer,
the most profitable time of the year. It seems that the industry overall is heading for recovery. However, the future of the economy isstill unclear, and we had to survive a difficult business environment
due to a declining population caused by low birthrate and aging,
thrifty spending of consumers and declining product prices, and also
intensifying competition from competitors aiming to increase theirmarket share.
Because of this tough situation, the Group set forth a management policy that we carry out through implementation of three reforms: reform of sales, reform of SCM (Supply Chain Management),
and reform of consumer-origination activities. We use these reforms
to ensure that we meet our profit target. The Group also madeconcerted efforts to tackle challenging issues in order to establish
a strong and resilient corporate group that will sustain profitablebusiness even under the toughest economic condition. As for sales,
we conducted finely-tuned sales activities by developing a seasonal
product line and packaging for each sales channel through effective
marketing which targets the purchasing behaviors of the consumers. Also, we formed a capital and business alliance with APEXCORPORATION as of August 4, 2010 and promoted activities to expand sales, profit and market share by a mutual contract operationof vending machines. These cooperative efforts strengthened oursales.
Regarding SCM, we succeeded in further strengthening our management characteristics by reducing transportation costs throughunit-cost reduction of materials and inventory reduction. We also
improved productivity by increasing efficiency in operations andby reorganizing the personnel structure. Furthermore, we reduced
manufacturing costs by improving the yield of production lines andstarting in-house PET bottle production. We also implemented environmental measures, such as using lighter-weight containers.
As for CSR (Corporate Social Responsibility), we continued oureffort to contribute to local communities through continuous support for social welfare and sports activities. We vigorously promoted
vending machines to help support the welfare of the local residents.
In addition, as of October 1, 2010, we established a businessfoundation for a health food market, which is expected to be thefastest grown market, and we acquired stocks and 100% ownershipof Q’SAI CO., LTD, a consistently growing health food manufacturer.

4

Coca-Cola West Co., Ltd.

As a result, in fiscal 2010, the consolidated net revenues increased by ¥6,065 million, year-on-year, totaling ¥375,764 million,
or a 1.6% increase compared to the previous fiscal year. The operating income increased ¥9,760 million, year-on-year, totaling ¥12,003
million, and the recurring income increased ¥10,574 million, yearon-year, totaling ¥12,659 million. The net income improved by¥15,176 million, compared to the previous fiscal year, resulting in¥7,582 million.

Development of the Long-Term Management Framework
2020
We developed a new long-term management framework for the
10-year period beginning in 2011 for sustainable growth of thecompany. This framework consists of the corporate philosophy, theCoca-Cola West vision, and the corporate message. The corporate
mission is aimed at contributing to the physical and mental wellbeing of our consumers through our safe and high-quality products
and services as well as our new products and services that meettheir needs. This mission is best expressed in the words “Happy
lifestyle.” The corporate philosophy also expresses our intention tocontribute to development of a sustainable society where we coexist
with our consumers in an awareness of our need to contribute toenvironmental preservation.
We have also established a Coca-Cola West vision statement todescribe where we want to be in the year 2020 in order to reach thegoal of becoming a company that will gain special patronage fromour shareholders, our consumers, communities, and our own employees.
In order to express all of the above-mentioned philosophy andvision statements in one phrase, we now have a slogan, -Creatinga happy tomorrow for everyone-. It is our sincere desire to provide
happy to all of our stakeholders.

Fiscal 2011 Management Policies
This is our first year to implement the long-term management
framework, and we will focus on further advancement of the sales
structure reform we have already been working on, as well as thereform of SCM.
In order to reform the sales structure, we will advance the consumer-origination marketing activities that have been in progress.
With this fine-tuned consumer-oriented development, we intend tocapture the needs of the consumers to earn more sales, profit andmarket share. We will also actively and efficiently introduce vending
machines in the market to establish the base for future sales expansion.
For the reform of SCM, we will attempt consistent cost reduction
by continuing activities from the previous year. Furthermore, we haveestablished a new division dedicated to our overall business model
reform in order to re-establish the consumer-origination supply
chain model that enables a stable supply of our products, improved
asset efficiency and low-cost supply.
In this fiscal year, we will strive to achieve these business goals
by thorough implementation of the above-mentioned measures andto establish the foundation for profit and growth in the future.

Dividends
Our dividend payout policies are based on the principle of providing profit to shareholders consistently and continuously. As for thedividends for the fiscal year 2010, we took into consideration both
the results of operations for that term and also the future operational
environment. Using those data, we set the term-end dividend payoutas ¥20 per share, and the annual payout, including the interim payout, as ¥40 per share.

As we work toward attaining these goals, we would like to seek
further support and understanding from all shareholders andinvestors.
March 2011

To Our Shareholders

Corporate Philosophy
We will contribute to the happy lifestyleof all our stakeholders and contribute to
the development of a sustainable society
by providing value and refreshment
through our beverage portfolio.

West Vision
To be the most respected company by all
key shareholders, encompassing consumers,
customers, employees and the community!!

Corporate Message-Creating a happy tomorrow for everyone-

Tamio Yoshimatsu
President

Annual Review 20105

Special Feature

Long-Term Management Framework 2020/Mid-Term Management Plan

Long-Term Management FramEwork 2020

Special Feature

We forecast probable environmental changes for Phase Progression toward Long-term Management
the next 10 years and have developed “Long-Term Framework 2020
Management Framework 2020” as a guide for thecompany to tread a path for sustainable growth.
In order to take a significant leap forward in thenext 10 years and to continue to survive as a corporation that exhibits long-term growth, we will
employ exhaustive efforts to expand our sales andprofit, focusing on the strategically planned growth,
efficiency improvement and organization activities.
We will aspire to become a company that will gain
special patronage from our shareholders, our consumers, local communities and our own employees.
We divided the next 10 years into the following
three phases to transition toward the 2020 framework: Grow with breakthrough, Realize grows, Actualize dreams & progress to the next level.

Overall Structure toward the Year 2020

6

Coca-Cola West Co., Ltd.

Mid-Term Management Plan

We developed the mid-term management plan for the first three years beginning in 2011 as the firstphase toward the Long-Term Management Framework 2020. These three years are aligned to work on reformation for future growth. We will ensure implementation of the three basic strategies: Growth Strategy,
Efficiency Strategy and Structural Strategy. This is to expand sales and profit and bring “Happy” to all of
our stakeholders.
Growth Strategy
We will ensure growth of the Coca-Cola business through both vertical and horizontal sales expansion. For the vertical expansion, we will
maximize sales and profit by implementing effective marketing activities, through each sales channel and for each business category andlocation, in a way that directly responds to our consumers’ purchasing behaviors. For the horizontal expansion, we will attain more growth
opportunities by developing new business relations with retailers and sales channels that do not currently carry our products.
For the challenge to enter into new territories, we will pursue expansion of ancillary operations by utilizing the existing assets of the Coca-Colabusiness.

Efficiency Strategy

Special Feature

We will establish the consumer-origination supply chain model that enables stable supply of the products, improved asset efficiency andlow-cost supply in order to improve efficiency and productivity in SCM. For logistics, we will attempt to reform the logistics process in orderto prepare the foundation for future profit. We will also try to achieve constant cost reduction by setting up distribution centers that warehouse the inventory and remove the need to carry inventory at the sales locations.
Moreover, we will reduce the SCM-related cost by further advancing such existing measures as material volume reduction, improvementof production line running ratio, etc. At the same time, we will invest more in sophistication of the production equipment to boost mediumrange and long-term productivity.

Structural Strategy
We will actively contribute to local communities through our CSR activities and promote measures to achieve zero CO2 emissions byimproving recycling ratio. We will also work on establishing the systems that provide the employees with job satisfaction and an environment
for a vibrant work life.

Basic Strategies* Trade marketing:A brand marketing expansion method at sales sites. Its purpose is to build sales site strategy for the improvement in number and in value ofpurchased items though consumer-related knowledge management. And in order to deliver sales volume and value, trade marketing support
sales forces with well-designed fundamental enhancement plans.

Annual Review 20107

Overview of Sales Results

Reform of Sales

Thorough Trade Marketing in Practice
We operate our business activities under the “Trade Marketing*”, a marketing technique based on consumers’ purchasing behaviors. Our efforts for differentiation and diversification of our sales methods (including brands, containers, sizes and prices) according to business categories or sales sites encourage providing products suitable for our consumers’ drinking preferences. By deploying detailed marketing operations
from a consumer-centered view point, we are aiming to increase sales and profits and expand our market share.
Sales volume per vending machines has rapidly improved due to stringent selection of products depending on characteristics of locationand season and a result of thorough price strategies .We continuously ameliorate our selection of goods for vending machines to be attractive
to consumers. For chain stores, we will attend reliably to our consumers’ needs by differentiating and diversifying our assortment (sizes andprices) according to particular business conditions and sales sites.
* Trade marketing:A brand marketing expansion method at sales sites. Its purpose is to build sales site strategy for the improvement in number and in value of purchased items though consumerrelated knowledge management. And in order to deliver sales volume and value, trade marketing support sales forces with well-designed fundamental enhancement plans.

Overview of Sales Results

Scheme of Trade marketing

Point of Sales[Vending]

Summer-type

Winter-type

Assortment of products varied withthe seasons8[Supermarket]

Coca-Cola West Co., Ltd.

Sales sites expansion depending on
consumers’ drinking preferences.

Our Brand Lineup

CORE BRANDS
We positioned Coca-Cola, Coca-Cola Zero, Fanta, Georgia, Sokenbicha, and Aquarius as the “BIG 6” brands. Our Investment is concentrated in the 8 brands, namely the “BIG 6” brands, I LOHAS and Ayataka. We are also promoting various other brands, such as Qoo, Kochakaden, and Minute Maid to meet diversifying the needs of consumers.

Coca-Cola

Coca-Cola Zero

Fanta

Georgia

Sokenbicha

Aquarius

I LOHAS

Ayataka

Overview of Sales ResultsCore Brands

Other

12.3%

Vending

Food service

32.1%

10.4%

Retail7.2%
Convenience
store

27.2%

10.8%

Sales Volume by Brand(unit: Thousand cases)

2009

2010

Percentage change■ Coca-Cola

12,863

13,742+6.8%■ Coca-Cola Zero

5,404

6,135

+13.5%■ Fanta

9,055

8,560

(5.5%)■ Georgia

40,832

38,297(6.2%)■ Sokenbicha

13,37012,285(8.1%)■ Aquarius

18,022

20,774+15.3%■ I LOHAS / MINAQUA / Morinomizudayori

10,482

12,167+16.1%■ Ayataka

2,299

4,833

+110.2%■ Others

67,38563,383(5.9%)

Total

179,711

180,176+0.3%Core Brands

コンSupermarket

Composition of Brand in 2010
Coca-Cola

7.6%

Coca-Cola Zero

Others

35.2%

12.3%
10.4%
7.2%

3.4%
Fanta

4.8%
Georgia21.3%

Ayataka 10.8%

2.7%

I LOHAS /MINAQUA /Morinomizudayori

6.8%

Sokenbicha

6.8%

Aquarius

11.5%

Note: Changing quantity equivalent in some products, we adjust sales volume as far as 2009.

Annual Review 2010
Syrup, Powder

20.9%

Bottle1.2%

9シSpotlight on Our Major Brands

Coca-Cola Zero
Boosted by increasing number of health-conscious consumers, the sales volume
of Coca-Cola Zero have risen steadily since its launching in June 2007 into thegrowing zero-calorie drink market. The sales recorded a double digit increase.
This sales record is the result of promotions which appeared in various media andalso from the tie-up campaign with FIFA World Cup in South Africa in 2010. Thiswas further assisted by the launch of various limited-time products.

Coca-Cola Zero
Progression of Sales volume(unit: Thousand cases)+13.5%

TM

8,000
6,000

Free ofsugar

Free ofpreservatives

Overview of Sales Results

Soccer-ball-shape model
350ml PET bottle(Products for a limited time)

0

2009

2010

コカ・コーラ ゼロ 販売数量の推移

The promotion That Appealing characteristics of products

Aquarius
Progression of Sales volume(unit: Thousand cases)

+13.5

TM

4,000

0

+15.3%

25,00020,000(Growth rate in 2010)

18,022

20,77415,00010,000

2,000

5,000

2009

2010

コカ・コーラ ゼロ 販売数量の推移

The mineral water market expanded in response to the growing demand for thirst-quenching drinks caused by heat waves. I LOHAS isa both delicious and eco-friendly mineral water brand. Since it was
launched on market in May 2009, I LOHAS has gained popularity(mainly among environmentally conscious consumers) and has had
marked significant sales growth.
The release of new lines, including
products in 1,020-milliliter PET
bottles or with mandarin-orange
flavor in 2010 led to an increasein sales. I LOHAS boasted the top
in share in the Convenience storesmarket.

After drinking, you can easily squish empty
bottle to make it compact

Coca-Cola West Co., Ltd.

6,135

2,000

Free ofsyntheticfragrances

The sports drinks market expanded in response to the growing demand for thirstquenching drinks raised by heat waves. While Aquarius maintains the largest
share in the market, we have animated sales sites by featuring seasonal(unit: Thousand cases)
themes, such as cold prevention or rehydration,and have
conducted a tie-up campaign with FIFA World%
Cup in South Africa in 2010. As a result,(Growth rate in 2010)
the sales volume of Aquarius marked a8,000
6,135
double-digit year-on-year growth and the6,000
5,404
market share increased again.

10

5,404

4,000

Aquarius

I LOHAS(Growth rate in 2010)

0

2009

2010

アクエリアス 販売数量の推移

Market Share of Mineral Water
Sold at Convinience Stores(in 2010)

Coca-Cola West

37.6%

No.1

New Products

Georgia Platinum Bito

“Freshly-brewed Aroma” and “Well-seasoned Flavor”
We, together with Coca-Cola (Japan) Co., Ltd. are co-developing a high quality canned
coffee brand which can satisfy even regular coffee lovers.
As the first co-developed product, we released “Georgia Platinum bito (low calorie)” locally in Western Japan on December 20, 2010. The launching of this new product withfreshly-brewed aroma and well-seasoned flavor will bring us a surge in the sales volumeof Georgia.

Overview of Sales Results“A new brand, to be an ideal earth-friendly drink”
Considering the increasingly big market of chilled drinks, we created a new chilled-cup drink brand:“OLO OLO”. On June 2, 2010, through vending machines channels in Osaka and Kobe, we brought
out in total 5 items. We introduced three new coffee items: Mild Café latte with cream, Char-roasted
Café latte with slight bitter taste and Fondant Chocolate latte with Belgian chocolate. We also
launched two new juice brands: Savory Smoothie triple-berries blended and Savory Smoothie mangobanana blended.

“NomigOLO EcOLOgy”

Manifest

Delectably and LOHASOLO OLO aims to be an ideal and earth-friendly drink.
It is confected using carefully selected materials and without preservatives
or synthetic colorants; also the drink box is made of environmentally-benign
paper.
We deliver the products in cold storage to preserve its fresh and fluffy taste.
Our willingness is profusely expressed in this naming, OLO OLO.
“NomigOLO (good time to drink), EcOLOgy (ecology)”use only carefully and punc1 Wetiliously
selected materials.
do not use preservatives and2 Wesyntheticcolorants.
We use environmentally-benign

container made of lumbers
3 paperfrom thinning.
We use equivalent of non-

100% fruit juice for4 sugaredsmoothie.

Mild Café latte Char-roasted Café Fondant Chocolate Savory Smoothiewith creamlatte with slight bitter latte with Belgian
triple-berries
taste
chocolateblendedSavory Smoothie
mango-banana
blended5

We use only eco-friendly coffee
grains approved by the Rainforest Alliance.

Annual Review 201011

Overview of Sales Structure and Results

The number of customers in our sles territory is about 300,000. We organize specialized systems per selling structure (channel)
for our customers, and perform a variety of cooperative activities with them. Thus these efforts result in enhancing our consumers’ satisfaction.

Vending

Overview of Sales Results

We carry out selling activities through vending machines as automatic vending channel and we have already installed about 250
thousand machines as of December 31, 2010. We provide all related
services; for example, advice about installation of machines, complying with consumers’ and customers’ requests, replenishment of
products and maintenance of the machines after installations. We
are seeking to make our machines attractive to our consumers byselecting products suitable for sales sites and seasons, and by providing larger breadth of assortment, sizes and prices. To respond thepresent needs, we are also actively introducing Cashless Vending
Machines and Energy-Saving Vending Machines, which reduce environmental burdens.

Chain store (Supermarket/Convenience stores, etc)
The chain store sales channel includes mass-volume retailers,such as supermarkets, convenience stores, discount stores anddrugstores. In response to diversification of consumers’ needs, weanalyze consumers’ behavioral intentions and purchase motives andthen propose the most suitable product assortment and promotions
while adapting to the particular characteristics of each store. In aneffort to increase sales volume, we install specialized selling equipment principally at checkout counters or prepared meals sections,where high advertising effects are substantial.

Retail store, Food service
The retail store channel represents the over-the-counter market
including liquor stores, grocery stores, and kiosks. We support creating enjoyable shopping spaces by proposing the most appropriate
selling equipment well-suited for regular consumers’ preferences orcharacters, or by providing advertising materials depending on seasons or tie-up publicity with media.
In terms of the food service channel, we count fast food shops,
movie theaters, family restaurants, and other food service facilities.
In order to reinforce partnerships with our customers, we propose set
menus original for each food shop and support hygiene managementof selling equipment (dispensers).

12

Coca-Cola West Co., Ltd.

Other

12.3%

Vending

Food service

32.1%

10.4%

Retail7.2%
Convenience
store

Sales volume by Channel

27.2%(Unit: Thousand cases)

2009

2010

Percentage change■ Vending60,32457,825(4.1%)■ Supermarket

47,622

49,040+3.0%■ Convenience store

18,83919,451+3.2%■ Retail Store

13,464

12,988(3.5%)■ Food service

17,89018,675+4.4%■ Other

21,572

22,196

+2.9%

Total

179,711

180,176+0.3%

Composition of Channel in 2010

Other

Coca-Cola

12.3%

7.6%

Coca-Cola Zero
Vending

Food service
Others

10.4%
35.2%
Retail

7.2%

12.3%
10.4%

7.2%
Convenience
store
10.8%
Ayataka
10.8%

Note: Changing quantity equivalent in some products, we adjust sales volume as far as 2009.

2.7%

4.8%
Georgia

27.2%

Sokenbicha

11.5%

Percentage change

2,107

+4.1%

Coca-Cola
Composition of Package in 2010
7.6%

■ Small-sized PET bottle

39,01441,519

+6.4%

35.2%

■ Large-sized PET bottle

33,70335,123+4.2%

72,716

76,642

+5.4%

■ Can

58,78354,934(6.5%)■ Other

7,770

8,785

+13.1%■ Syrup, Powder

38,41837,708(1.8%)

Total

179,711

180,176+0.3%

Coca-Cola Zero

Others

Syrup, Powder

20.9%

12.3%
10.4%
7.2%

Ayataka 10.8%

2.7%

Other
I LOHAS
4.9% /MINAQUA /Morinomizudayori
6.8%
Can

30.5%

3.4%

Overview of Sales Results

2010

2,024

Subtotal

コン

21.3%

Supermarket(Unit: Thousand cases)

2009

PET

Fanta

Aquarius

6.8%

Sales volume by Package

3.4%
32.1%

6.8%

I LOHAS /MINAQUA /Morinomizudayori■ Bottle

コン

Supermarket

10.8%

Fanta
4.8%
Bottle1.2%

Georgia
21.3%
Small-sized
PET bottle

23.0%

Sokenbicha

6.8%

Aquarius

11.5%
Large-sized
PET bottle

シ

19.5%

Note: Changing quantity equivalent in some products, we adjust sales volume as far as 2009.

Major examples of containers
Syrup, Powder

20.9%

BottleSmall-sized
PET bottle

Bottleシ

1.2%
Small-sized
PET bottle

Large-sized
PET bottle

23.0%
Other

4.9%
Can

30.5%

Large-sized
PET bottle

19.5%

Can

Annual Review 201013

Reform of Supply Chain Management

Since 2009, we have built SCM system in western Japan, where we are in a central location, and optimized performance of a subset of procurement, manufacturing and logistics in this region.
In 2010, in term of procurement, we accomplished reduction of materials cost by procuring some materials including cardboard and liquidsugar on our own accord, and by making bottles lighter and labels thinner. For manufacturing, we improved productivity and self-sufficiency
due to introduction of an acid aseptic line and in-line blow, and thus were able to cut down costs. Concerning logistics, we reduced distribution
costs due to thoroughgoing supply-demand balance control in the area. These efforts resulted in the dramatic reduction in the SCM rerated
cost over the previous year, and contributed a surge in profit.
In 2011, we will continue as in previous years, to try to reduce cost price, and strive to decrease manufacturing expenses by ameliorating
the extraction rate of production lines and by forwarding self-manufacture of PET bottles. We will also positively invest in production lines,
including renewal of production lines and introduction of new technology aiming at productivity improvement. Moreover, in the logistics field, a
stock-intensive distribution center will be put into place to restructure the logistics process over the medium term.

Package
PET bottle

Reform of Supply Chain Management

Plant
Manufactured items
Daisen Mineral water

Plant
Hongo

Manufactured items

Package

Carbonated drink, Coffee, Tea, Sports drinks, Fruit juice

PET bottle

Carbonated drink, Coffee, Tea, Sports drinks, Fruit juice

Can

Plant
Plant
KiyamaManufactured items

Package

Carbonated drink, Coffee, Tea, Sports drinks, Fruit juice

PET bottle

Carbonated drink, Sports drinks, Fruit juice

Can

Carbonated drink

Tank*

Carbonated drink, Fruit juice

bottleCarbonated drink, Sports drinks

PET bottle

Tosu Coffee, Tea

Can

CoffeeRoasting** Articles for cup vending machines and for dispensers.

14

Coca-Cola West Co., Ltd.

Manufactured items
Carbonated drink, Sports drinks

Kyoto

Package
PET bottle

Carbonated drink, Coffee, Tea, Sports drinks, Fruit juice

Can

Carbonated drink, Sports drinks, Fruit juice, Lactic drink

Tank*,BIB*

CoffeeAkashi Carbonated drink, Coffee, Tea, Sports drinks, Fruit juice* Articles for cup vending machines and for dispensers.

Roasting*
PET bottle

Corporate Social Responsibility Activities

Steps Toward a Reliable Corporation
We present to you our CSR activities undertaken through daily operations

Annual Review 201015

Corporate Social Responsibility Activities

Quality Assurance

In order to provide safe, secure and fresh products, we strive to maintain thoroughgoing quality management in every aspect ofour business until our products in our consumers’ hands.

Commitment to Quality Assurance

Corporate Social Responsibility Activities

We established a stringent quality control structure under the “KORE” management system, a system uniquely formulated by Coca-Cola asa global standard. Starting with implementation of the International Standard at our manufacturing plants, we carry out quality control in warehouses, in logistics facilities, at outlet stores and other sales channels in order that consumers can enjoy fresh and tasty beverages.

PlantsDistribution

StoresWe produce reliable beverages for consumers to enjoy
drinking.

We punctually and promptly
deliver safe, secure and highquality products.

We are operating from day to
day to offer fresh and tasty
beverages.

Plants16

Distribution

Offices

Stores and Vending
machines

Consumers

Vending machines

MaintenanceHygiene Control

We operate daily activities
giving the highest priority tooffer fresh beverages to ourconsumers.

We treat breakdowns ofsales equipment as a highest priority.

We practice foolproof quality control to “Secure foodsafety”.

Coca-Cola West Co., Ltd.

Initiative for Reduction in Carbon Dioxide Emissions

In response to the problem of global heating, the highest priority environmental issue of the world, we formulated a plan to reduce carbon dioxide emissions by 26% from 2004 levels by the year 2013, and employees of the Group as one are promoting thisaction. The total CO2 emissions by the Group in 2010 presents a decrease by 22% from 2004 levels as a result of the efforts of theVending Machines Department and the Transport Department.

Vending machines are a major sales channel to deliver products
to our consumers. Since 1997, we have introduced “the Peak Cut
Function” to hold down electricity consumption which is at its highest
in summer and also enterprisingly installed Energy-saving vending
machines with high cooling efficiency. Additionally from 2007, we use
a natural refrigerant instead of freon gas for cooling. Then we also
introduced non-freon gas vending machines with heat pump systems
by using waste heat for warming. This resulted to reduce electricity consumption used for vending machines. The vending machines
outfitted with LED array illumination or with solar panels were also
partially installed to reduce CO2 emissions.

Number of Non- Freon Gas Vending Machineswith Heat Pump System Installed(unit: number)
30,00027,56520,00016,703

10,000

3,114
0

2008

2009

2010

Vending machine outfittedwith solar panel
Corporate Social Responsibility Activities

Efforts by Vending Machines Department

State of Modal Shift

Efforts by Transport Department
Truck transport is indispensable to maintain the quality of our products
manufactured at plants, and to deliver them rapidly to our customers. The
Group as a whole promotes eco-driving, such as idling stop and economical speed driving during transport. Electric cars were used by 3 businessestablishments to reduce CO2 emissions.
Moreover, Cola-Cola West Logistic Co., Ltd. which assumes distributionof goods in the Group, has implemented Modal Shift* since 2009, andchanged over to the transportation modes that cause lower environmental
impact.

（単位：台）

28,85917,5833,820
平成20年 平成21年

平成22年

600

*Modal Shift: To change from track transportation to railroad transportationor shipping, which are energy-saving, low-pollution, and more
adapted for mass transport.

500

Diminution of CO2 Emissions and Target Rate

*Target for 2013 is the Target as of December 31, 2010.

Annual Review 2010

17

■

■

■

■

Recycling Activities

We are making positive progress in recycling empty containers and waste materials, and promoting effective utilization of resources.

Recycling of empty containers
For the effective use of our limited natural resources, we pursue collecting empty containers from vending machines disposal bins for recycling. At the Kita Kyushu Sawayaka Recycling Center in the Kyushu region (in operation since 2003) we endeavor to recycle resources efficiently
by separating steel cans, aluminum cans, PET bottles, and glass bottles. We recycled about 5,000 tons of empty containers in 2010.

Corporate Social Responsibility Activities

Empty Containers Recycling Flow

Recycling of Retired Vending Machines
Retired vending machines have been recycled. In 2008 at Sawayaka Recycling Center, located in Retired Vending Machine Recycling Centerin Kita kyushu region, vending machines collected from Chugoku and Kyushu regions were disassembled and sorted by materials to reuse as
iron, steel and all that. We also properly collect freon gas, which can cause ozone layer depletion and global warming.
Retired Vending Machine Recycling Flow

Waste Recycling at Production Plants Volume and Recycling Rate of Volume and Recycling Rate of Waste from Production Plants
Waste from Production Plants

At all of our plants, we promote sorting andrecycling of industrial waste in order to again
achieve zero emissions (with a recycling rate ofover 99% of total waste). Coffee grounds andtea leaves, which account for the most importantvolume among other wastes, have been 100%
recycled by transforming them into organic fertilizer or sub-combustible materials.

●■

Recycling rate (unit: %)Volume of waste (unit: toms)

99.96550,431

2008

18

Coca-Cola West Co., Ltd.

99.90545,231

2009

99.99542,202

2010

Waste type
Coffee grounds
Tea leaves
Grime
MetalsGlass
Waste plastic
Paper
Waste oil
Other
Total

Volumegenerated

Recycling rate

25,055t
9,615t
4,772t
361t
285t
920t
976t
12t
206t
42,202t

100.00%100.00%100.00%99.79%
99.97%
99.88%
100.00%99.76%
99.97%
99.995%

Recycling Usage
Organic fertilizer, Sub-combustible
material Sludge
Recycled iron and steel, Aluminum
Recycled cullet
Recycled plastic fuelCardboard, Recycled paper
Recycled oil
Base course material

Business Activities Contributions to Local Communities

To support local residents and communities, we have installed “Community-Support-Type Vending Machines”. These include“Community Contribution Vending Machines” and “Disaster-Response Vending Machines”, by which we are assisting local communities’ development and safe and secure living conditions for residents.

“Community Contribution Vending Machines” to support local communities
We include donation boxes at our “Community Contribution Vending Machines”, and a portion of the sales revenues is returned to the local
community to fund social contribution activities, civic events and sports organizations. Since we started this program in 2001, more than 3,000
vending machines have been installed.
Scheme to support local activities through Community Contribution Vending Machines

Portion of sales revenues

Consumers Purchase at Community
Contribution Vending Machines

Crime victim supporting vending machine(Major Instances)l Support using orange ribbons to raise awarenessabout child abuse and support its preventionl S upport for relay for life

Support for Town Development

Support for Tourism

Support for Environment

Shiraishi-cho town development
supporting vending machine

Awaji-island fiesta supporting vending
machineGreening of Fukuoka-shi supporting
vending machine(Major Instances )l Support for Unnan-shi town developmentl Support for Taku-shi town developmentl Support for Saikai-shi town development(Major Instances)l Support for tourism Chikujyo-machi
l Support for tourism Shimonoseki(Major Instances)l Support for environment of Settu-shil S upport for environmental conservation andresearch for nihonawa coral

Corporate Social Responsibility Activities

Support for welfere

Donations to Activity Funds

Support for Professional Sports

Gamba Osaka supporting vending machine(Major Instances)l Support for Serezo Osakal Support for Sanfrecce Hiroshimal Support for Avispa Fukuoka“Disaster-Responsive Vending Machines” to provide relief during emergencies
In the event that supply lines are severely disrupted by earthquakes or other disasters, “Disaster-Responsive Vending Machines” provide free
soft drinks to residents by remote control via personal computers from local administrative offices. These machines are also outfitted with digital
displays that can provide real-time information on emergency evacuation sites and maps.
Disaster-Responsive Vending
MachineScheme of Disaster-Responsive Vending Machines

Disaster Strike

Municipalities

Free Drink Supply

Delivery of Disaster
Information Messages(Principal Municipalities in implementing)l K yotol D aisen-cho, Tottoril Y asugi-shi, Shimanel O kawa-shi, Fukuoka

Annual Review 201019

Together with Local Communities

The Group conducts various social activities as a corporate
citizen together with local communities in our sales territory in
the 14 prefectures.
We carry out continuous actions on approval of shareholders.

株主総会

Shareholders’ general meeting

Appropriation ofretained earnings

Appropriation
for funding● Dividend● Reserve fund (Reserve fund on shareholders’ approval)

Local Communities Contribution
Activities
Local Environment Propulsion
Activities● Retained earnings at beginning

Local communities’ contribution activities

Corporate Social Responsibility Activities

Under our basic stance, “With local communities”, we encourage the healthy development of youth and also encourage closer
communication with communities. Our four major supporting activities are community welfare, sport activities, cultural and educational programs, and major regional eventsn Ichimura Nature School in Kyushu

n Sawayaka Classical Music Concerts

n Sawayaka Family Musicals

The school supports healthy development of children under the basic ideal of “Energy to live from theearth”. Through farming activities and communal life,
the program offers children some opportunities tolearn moral principles and to promote independence
and creativity.

To create an affluent society (cultivation of spiritualhuman resources), we sponsor concerts for local
residents to enjoy live performances of the finest
classical music. In 2010, we held concerts offering
masterful performances at three locations, in Osaka,
in Hiroshima, and in Fukuoka where “Wiener Ring
Ensemble New Year Concert” was performed.

During the summer holidays, we invite children
and their parents to musical performances in orderto strengthen the bond between parents and children. In 2010, the timeless masterpiece “Hansel andGretel” was staged at two locations, in Fukuoka andin Osaka. The powerful performances transformed
theaters into a wonderland.

n Donation of Unicycles to Elementary SchoolsnD onation of Educational Materials to
Special-Needs Schooln S upport for Fiesta for the 1,300th
Anniversary of the Establishmentof Japan’s Old CapitalWith our wish for children as leaders of the next
generation to grow healthily and to acquire cooperativeness and patience through sport activities, wedonate educational materials and opportunities. Unicycles are appreciated as effective sporting equipment to develop the nervous system and to improvereflex nerves. Unicycle-riding is part of the Ministryof Education, Culture, Sports, Science and Technology curriculum guidelines, and is considered one of
the tools children can use voluntarily and for fun. We
donated 1,000 unicycles to 100 schools in our sales
territory in 2010.

20

Coca-Cola West Co., Ltd.

We donated information equipment (computersand peripherals) to special-needs schools to help
their students gain self-reliance. We donated equipment to 14 schools in 2010.

We, as local businesses, support National cultural
festivals, Interscholastic athletic meets, National
sports festivals and major local events hosted bypublic administrations and organizations. We sponsored “Fiesta for the 1,300th Anniversary of theEstablishment of Japan’s Old Capital” held in Narain 2010.

Local environment propulsion activitiesn Conservation Activities at Sawayaka Shizen-no-Morin Support for Tree Planting Activities

With the aim to recharge clean water resource produced from forests, we
conduct forest conservation activities at Sawayaka Shizen-no-Mori, under comanagement agreements with the communities in the suburbs of our all plants.
About 300 participants, our employees and their families, together with local citizens, gathered to thin trees, to install birdhouses and to build trails at 5 locations
in Kyoto, in Hyogo, in Tottori, in Hiroshima and in Saga.

We perform tree planting activities as a part of environmental and educational
support programs for local communities. These programs are of help to children
and local residents to understand the importance of nature and environment
conservation. Moreover, they contribute to prevent global warming by restoring
waste land to forest and by increasing absorption of greenhouse gas by trees.
We planted 600 broadleaf trees, such as quercus serrate and oak trees, according to the local vegetation in 2010.

n Summer School of Ecological Experiencesn School of Biotope* Creationn Local Community Cleanups Activities

For children as leaders of the next generation,
we hold leaning programs on natural environment
so that children can understand splendor and richness of forests with experiences. 30 elementary
school children from Fukuoka participated in a
two-day, one-night program in 2010, in Ichimura
Nature School in Kyushu and Coca-Cola West Tosushi municipal forest. Children experienced natureobservation and ecological leaning on the theme ofwater. Through leaning about the importance of thewater-retaining function of forests and the scarcity
of drinkable water on the globe, they find out aboutproblems and the worthiness of conserving water
resources and forests.

Children create small ecological habitats by designing them with their teachers, parents and local
residents. Since 2002, we have carried on biotope
creating activities and subsequent applications toteach the importance of the natural environment andto cultivate sensitivity. We conducted this program atNajima Elementary School in Fukuoka-shi in 2010.

Our employees of each business establishment
proactively participate in Local Community Cleanups
Activities, considering them as occasions to practiceenvironmental education and to communicate directly with local residents. In 2010 about 900 employees
and their families took part in at 9 locations in oursales territory. We continue to participate in these
activities to raise environmental awareness.

*Biotope:a small environmental conditions providing
a living place for plants and animals

Annual Review 2010

Corporate Social Responsibility Activities

We consider global environmental protection an extremely important issue, and therefore we promote various activities withthe slogan of “Sawayaka for people and the environment (Fine people and Pleasant environment)”.

21

Manufacturing and Sales of Health Food Products

ABOUT Q’SAI CO., LTD.
On October 1, 2010, we acquired equity stakes of “Q’SAI CO., LTD.”, a health foods manufacturer, and make it 100%-owned subsidiary.

Q’SAI CO., LTD. business philosophy is “to offer health and happiness in the society through quality and safe products and services”. In the growing health foodmarket, Q’SAI CO., LTD. is developing its business ground as a pioneer by the helpof prominent notoriety and overwhelming brand force.

Corporate profile
Manufacturing and Sales of Health Food ProductsCompany name : Q’SAI CO., LTD.
Headquarters address : 1-7-16, Kusagae, Cyuo-ku, Fukuoka 810-0045, Japan
Primary business : Manufacturing and sales of health foodPrincipal consolidated subsidiary : NIPPON SUPPLEMENT, INC.

Health foodCosmetics

Specified Health food

Main products
Collagen
peptideHigh purity + Chondroitin
Hyaluronan,

Sales composition
ratio(FY October 2010)22

Coca-Cola West Co., Ltd.

HyaluronancollagenKale powder

Basic skin care

36%

19%

14%

Touchi extract
tablet type

Peptide ace

21%

Financial Information

Annual Review 201023

Financial Information

Consolidated Balance Sheets(As of December 31, 2008, 2009 and 2010)(Millions of Yen)

(Thousands of US Dollars)*

2008

2009

2010

2010

Cash and Deposits¥18,592¥20,634¥24,208$298,388

Trade Notes and Accounts Receivable

21,527

21,63023,507289,754

Marketable Securities

4,559

51,335

15,737

193,974

Inventories

12,638−−−−22,861

22,355275,553

AssetsCurrent Assets:

Merchandise and Finished Goods
Work in Process

−

0

231

2,857

Raw Materials and Supplies

−

2,055

1,396

17,210

Deferred Tax Assets (Current Portion)

2,664

3,288

2,722

33,562Other

22,20814,49013,823

170,381

(116)

(131)

(186)

(2,299)82,074

136,164

103,796

1,279,383

Allowance for Doubtful Accounts

Total Current Assets
Fixed Assets:

Financial Information

Property, Plant and Equipment
Buildings and Structures, net

33,271

34,90734,992

431,313

Machinery, Equipment, Vehicles, net

17,55319,01020,155

248,440

Sales Equipment, net

26,09923,905

21,209261,429Land

56,08253,00653,982

665,388

−

4,605

2,066

25,468

Leased Assets, net
Construction in Progress

1,097

385

7

88

Other, net

1,900

1,801

1,528

18,841

136,005

137,622

133,943

1,650,970

−

2,112

50,172

618,418

4,449

4,344

4,282

52,783

4,449

6,457

54,454

671,201

Total Property, Plant and Equipment
Intangible Assets:
Goodwill
Software, etc

Total Intangible Assets
Investments and Other Assets:
Investment Securities

32,13627,65826,690328,989

Deferred Tax Assets

3,465

728

9,571

117,983

Advanced Payments for Retirement Expenses

13,307

11,606

10,934

134,776

Other

6,779

7,025

7,201

88,765

Allowance for Doubtful Accounts

(522)

(445)

(560)

(6,907)

Total Investments and Other Assets
1

55,166

46,57353,838663,607

Total Fixed Assets

195,622

190,653242,236

2,985,779

Total Assets¥277,696¥326,818¥346,032$4,265,163*US dollar amounts are translated from yen, for convenience only, at the rate of ¥81.13=US$1.00 (figures less than one unit are rounded)1

Total Assets
Total assets as of December 31, 2010 increased by ¥19,213 Million (5.9% increase) to ¥346,032 Million from the previous fiscal year. This increase was mainly result of incurred goodwill(¥49,400 Million) due to the acquisition of Q’SAI CO., LTD. on October 1, 2010. This company was included in the consolidated financial statements.

24

Coca-Cola West Co., Ltd.

(Millions of Yen)

(Thousands of US Dollars)*

2008

2009

2010

2010

¥3,765¥17,309¥14,615$180,154

Liabilities
Current Liabilities:
Trade Notes and Accounts Payable
Current Portion of Long-Term Loans Payable

−

−

2,567

31,652

Lease Obligations

−

2,645

1,031

12,720Accrued Income Taxes

2,769

783

1,616

19,927

Other Accounts Payable

13,977

13,925

15,558

191,772

Provision for Sales Promotion Expenses

−

−

169

2,092

Notes Payable to Equipment Related

88

−

−

−

Other

5,164

6,440

7,854

96,812

Total Current

25,767

41,10543,415535,131

Bonds Payable−

50,00050,000616,294

Long-Term Loans Payable−−

12,816

157,977

Lease Obligations

2

−

2,050

1,231

15,177

Deferred Tax Liabilities

7,446

1,536

3,620

44,630Allowance for Employees’ Retirement Benefits

5,394

5,512

5,622

69,306

Liabilities for Directors’ and Corporate Auditors’
Retirement Benefits

7

16

102

1,257

Negative Goodwill

1,037

622

207

2,557

Other

3,522

3,158

2,748

33,878

Total Long-Term Liabilities

17,40762,89776,349941,080

Total Liabilities

43,174

104,002

119,765

1,476,211

Financial Information

Long-Term Liabilities:

Net Assets
Shareholders’ Equity:
Common Stock

15,231

15,231

15,231

187,748

Capital Surplus		

109,073

109,072

109,072

1,344,411

Retained Earnings

136,067

124,174

127,657

1,573,488

Treasury Stock(25,756)(25,759)(25,761)(317,539)

234,616

222,718

226,199

2,788,109

(165)

23

(255)

(3,153)

(165)

23

(255)

(3,153)

71

74

324

3,995

Total Shareholders’ Equity
Valuation and Translation Adjustments:
Net unrealized gain(loss) on Other Marketable Securities

Total Valuation and Translation Adjustments
Minority Interests
Total Net Assets

234,521

222,816

226,267

2,788,951

Total Liabilities and Net Assets¥277,696¥326,818¥346,032$4,265,163*US dollar amounts are translated from yen, for convenience only, at the rate of ¥81.13=US$1.00 (figures less than one unit are rounded)2

Total Liabilities
Total liabilities at December 31, 2010 increased by ¥15,762 Million (15.2% increase) to ¥119,765 Million from the previous year. This increase was mainly a result of assumed borrowing of
Q’SAI CO., LTD. This company became a 100% subsidiary and was included into the consolidated financial statements.

Annual Review 201025

Consolidated Statements of Income(From January 1 to December 31)

Net Revenues
Cost of Goods Sold
Gross Profit
Selling, General and Administrative Expenses
Operating Income
Non-Operating Income

34Interest Income
Dividends
Amortization of Negative Goodwill
Equity in Earnings of Affiliates
Property Rental Income
Other Non-Operating Income

Non-Operating Expenses
Interest Expenses
Equity in Loss of Affiliates
Expense for Bond Issuance
Loss on Disposal of Property, Plant and Equipment
Property Rental Costs
Other Non-Operating Expenses

Recurring Income
Extraordinary Income

Financial Information

Gain on Sales of Property, Plant and Equipment
Gain on Sales of Investment Securities
Gain on Sales of Shares of Subsidiaries
Gain on Sales of Shares of Affiliates
Subsidiary Income
Gain on Transfer of Business

Extraordinary Losses
Loss on Sales of Property, Plant and Equipment
Impairment Loss
Loss from Disaster
Loss on Disposal of Property, Plant and Equipment
Compensation for Removal of Fixed Assets
Loss on Sales of Investment Securities
Loss on Sales of Shares of Subsidiaries
Write-down of Investment Securities
Write-down of Golf Club Memberships
Group Restructuring Expenses
Expense for Provision for Sales Equipment Installation
Head Office Relocation Expense
Early Retirement Bonuses
Employee Transfer Fees
Effect of Applying Lease Accounting Standards

Income (Loss) Before Income Taxes, Minority Interests
and Other Adjustments
Income Taxes
Income Tax Deferred
Minority Interests
Net Income (Loss)

5(Millions of Yen)

2009

¥395,556
231,624
163,931
153,409
10,521
1,531¥369,698
206,240
163,457
161,214
2,242
1,074

¥375,764
203,307
172,456
160,452
12,003
2,009$4,631,629
2,505,952
2,125,677
1,977,727
147,950
24,765

207
282
414

97
251
360

−

−
−

122
263
414
806

1,508
3,249
5,115
9,941

122
504
1,004
34
215
−
408

364
1,231
316
74
260
298

2010

(Thousands of US Dollars)*

2008

2010

−

−

401
1,352
708

4,951
16,669
8,729

−

−

−

−
4,573

44
301

−

371
−

282

273

−
3,366

11,0482,085

12,659156,045

732
241
262
196
1
31

197

371
218

4,575
2,687

−
−

−
−
−

−
−
−

−

165
19

118
34

1,457
430

9,379

12,729

48

600

237

−

−
−

6,092
19
740

−
−
−
−
−
−
−

−
−
−
−
−
−
−

48

600
−
−
−
−
−
−
−

703
140
97
335
4,509

−

12

−
−
−

1,385

51
21
904

1,968

2,716

−
−
−
−

362
617
1,150
52

−
−
−
−
−
−
−

2,402

(10,446)

12,982160,0213,887(1,627)
12
¥129

1,018
(3,878)
8(¥7,594)

1,881
3,488
30
¥7,582

23,19042,995378$93,456−*US dollar amounts are translated from yen, for convenience only, at the rate of ¥81.13=US$1.00 (figures less than one unit are rounded)

3

Net Revenues
Thorough execution of marketing strategies of “Reform of Sales”, and also the historical hot summer on record made the company’s sales volume for the year ended December 31, 2010
exceeded the previous year sales. Sales of Q’ SAI, CO., LTD. which became a 100% subsidiary on October 1, 2010, contributed to the consolidated net revenues after being acquired. Consequently, the revenue increased by ¥6,000 million to ¥375,764 million (1.6% up from the previous year) from the previous year.

4

Operating Income
Operating Income increased by ¥9,760 million to ¥12,003 million (435.2% up) from the previous year for the following reasons: (1) thorough implementation of activities to accomplish “Reformof SCM”, (2) increase of productivity through improving operational efficiency and effective staffing, and (3) reduction of indirect costs Group-wide.

5

Net Income (Loss)Net Income for the fiscal year 2010 increased by ¥15,176 Million to ¥7,582 Million for the following reasons: (1) operating income increased and (2) extraordinary loss of impairment incurredin the previous year.

26

Coca-Cola West Co., Ltd.

Consolidated Statements of Changes in Shareholders' Equity(From January 1 to December 31)(Millions of Yen)

Valuation and Translation
Adjustments

Shareholders' Equity

Minority
Interests

Total
Net Assets

Treasury Stock

Total
Shareholders'EquityNet Unrealized
Gain (Loss) on
Other Marketable
Securities

Total Valuation
and Translation
Adjustments¥124,174¥(25,759)¥222,718

¥23

¥23

¥74

¥222,816−(4,098)−(4,098)−−−(4,098)

−

−

7,582

−

7,582

−

−

−

7,582

Acquisition of Treasury Stock

−

−

−

(3)

(3)

−

−

−

(3)

Cancellation of Treasury Stock

−

(0)

(0)

0

0

−

−

−

0

Net Changes in items other thanshareholders' equity during
the fiscal year.

−

−

−

−

−

(278)

(278)

249

(29)

Total Changes during the Fiscal Year

−

(0)

3,483

(2)

3,480

(278)

(278)

249

3,450

Balance as of December 31, 2010

¥15,231¥109,072¥127,657¥(25,761)¥226,199¥(255)¥(255)¥324¥226,267

Common Stock

Capital Surplus¥15,231¥109,072

Distribution of Dividends−

Net Income

Balance as of December 31, 2009

Retained
Earnings

Financial Information

Changes during the Consolidated
Fiscal Year

(Thousands of US Dollars)*

Valuation and Translation
Adjustments

Shareholders' Equity

Minority
Interests

Total
Net Assets

Net Unrealized
Gain (Loss) on
Other Marketable
Securities

Total Valuation
and Translation
Adjustments$2,745,210

$284

$284

$921

$2,746,415−(50,523)−−−(50,523)

93,456−93,456−−−93,456

−

−

(40)

(40)

−

−

−

(40)

−

(2)

(0)

10

7

−

−

−

7

Net Changes in items other thanshareholders' equity during
the fiscal year.

−

−

−

−

−

(3,438)(3,438)

3,074

(363)

Total Changes during the Fiscal Year−(2)

42,932(30)

42,899(3,438)(3,438)3,074

42,535

Balance as of December 31, 2010

$187,748$1,344,411$1,573,488$(317,539)$2,788,109$(3,153)$(3,153)$3,995$2,788,951

Retained
Earnings

Common Stock

Capital Surplus$187,748$1,344,414$1,530,556$(317,508)

Distribution of Dividends−−(50,523)Net Income−−

Acquisition of Treasury Stock−

Cancellation of Treasury Stock

Balance as of December 31, 2009

Treasury Stock

Total
Shareholders'EquityChanges during the Consolidated
Fiscal Year*US dollar amounts are translated from yen, for convenience only, at the rate of ¥81.13=US$1.00 (figures less than one unit are rounded ).

Annual Review 201027

Consolidated Statements of Cash Flows

Financial Information(Years Ended December 31, 2008, 2009 and 2010)

Cash Flows from Operating Activities:
Income (Loss) Before Income Taxes, Minority Interests and Other Adjustments
Depreciation and Amortization
Impairment Gains
Amortization of Goodwill
Amortization of Negative Goodwill
Increase (Decrease) in liabilities for directors’ and corporate auditors’ retirement benefits
Increase (Decrease) in Liabilities for retirement benefits
Decrease (Increase) in Advance Payments for Retirement Expenses
Interest and Dividend Income
Interest Expense
Equity in Earnings (Loss) of Affiliates
Loss (Gain) on Sales of Marketable and Investment Securities
Loss on Sales of Shares of Subsidiaries
Loss on Sales of Shares of Affiliates
Write-down of Marketable and Investment Securities
Loss (Gain) on Sales of Fixed Assets
Loss on Disposal of Fixed Assets
Decrease (Increase) in Accounts Receivable
Decrease (Increase) in Inventories
Decrease (Increase) in Other Assets
Increase (Decrees) in Accounts Payable
Increase (Decrease) in Other Liabilities
Other
Sub-totalInterest and Dividends Received
Interest Paid
Income Taxes Paid
Income Taxes Refunds
Net Cash provided by Operating Activities
Cash Flows from Investing Activities:
Acquisition of Marketable and Investment Securities
Proceeds from Sales of Marketable Securitas and Investment Securities
Acquisition of Fixed Assets
Proceeds from Sales of Fixed Assets
Acquisition of Shares of subsidiaries
Proceeds from Recovery of Investments
Acquisition of Share of Subsidiaries with Change in Scope of Consolidation
Expense for Acquisition of Subsidiaries with Change in Scope of Consolidation
Acquisition of Shares of Affiliates
Proceeds from Sales of Shares of Affiliates
Proceeds from Transfer of BusinessLong-Term Loans
Proceeds from Collection of Long-Term Loans
Increase in Time Deposits
Proceeds from Refund of Time Deposits
Other
Net Cash provided by (used in) Investing Activities
Cash Flows from Financing Activities:
Increase (Decrease) in Short-Term Borrowings
Proceeds from Long-Term Loans Payable
Proceeds from Long-Term Repayment of Long-term Debt
Proceeds from Issuance of Bonds
Expense for Repayment of Lease Obligations
Payments for Acquisition of Treasury Stock
Proceeds from Sales of Treasury Stock
Dividends Paid
Dividends Paid to Minority Interests
Net Cash provided by (used in) Financing Activities
Net Increase (Decrease) in Cash and Cash Equivalents
Cash and Cash Equivalents, at beginning of year
Increase in Cash and Cash Equivalents due to change in Scope of Consolidation
Cash and Cash Equivalents at end of year

6

7

8

(Millions of Yen)

(Thousands of US Dollars)*

2008

2009

2010

2010

¥2,402
21,741
−
−
(414)
(54)
271
(575)
(489)
34
215
(175)
139
(1)
4,509
2
820
494
(1,543)(4,549)
(932)
390
286
22,572543(34)(6,900)−16,180¥(10,446)
24,069
6,092
−
(360)
9
107
1,701
(348)
316
74
(12)
−
−
51
(4)
1,188
42
(12,159)
5,361
13,291(432)
216
28,759342(295)(3,287)3,228
28,747¥12,982
22,405
−
844
(414)
(3)
(94)
671
(385)
708
(806)
−
−
−
48
(234)
327
100
2,446
1,083
(3,138)(2,544)
153
34,149394(897)(2,094)181
31,732$160,021
276,169−
10,404(5,115)(40)(1,165)
8,282(4,757)
8,729(9,941)−−−600(2,894)4,042
1,241
30,154
13,352(38,686)(31,364)
1,887
420,918
4,860(11,058)(25,822)2,232
391,130(1,390)22,661(19,920)
1,435
(808)
−
−
872
−
2
−
(704)
12
(20)
40
(27)
2,153

(33)
1,895
(24,613)
579
−
2,042
(2,509)−−−−(1,086)
372
(191)
97
−
(23,447)(2,230)2,105(15,250)
1,176−−(35,366)
−
(153)
−
628
(243)
295
(484)
320
−
(49,203)(27,495)
25,956(187,971)
14,503−−(435,926)−(1,889)−7,741(3,007)
3,636(5,968)3,944−(606,476)(10,500)−(2,000)−−(14,510)24(4,494)(5)(31,486)(13,152)
35,564−¥22,412−−(194)
50,000(2,200)(5)
2(4,299)(4)
43,297
48,596
22,412
212¥71,221−
15,000(25,613)−(1,568)(3)
0(4,098)(33)(16,316)(33,787)
71,221−¥37,434−
184,888(315,703)−(19,330)(40)
7(50,523)(410)(201,113)(416,459)
877,872−$461,413*US dollar amounts are translated from yen, for convenience only, at the rate of ¥81.13=US$1.00 (figures less than one unit are rounded)
6

Net Cash provided by Operating Activities
Net cash provided by operating activities for a year ended December 31, 2010, increased by ¥2,985 million to ¥31,732 million (10.4% increase from the previous year).
The increase of income before income taxes and the reduction of inventory level from the previous year are mainly attributable to the increase of cash flow from operation.
In previous year, inventories and accounts payable increased as the result of change of the management structure to cope with effective supply and demand.

7

Net Cash provided by (used in) Investing Activities
Net cash provided by (used in) activities for a year ended December 31, 2010, decreased by ¥25,755 million to negative ¥49,203 million. (negative ¥23,447 million in the previous year.)
The acquisition of Q’SAI CO., LTD. impacted on the cash flow from investment activities.

8

Net Cash provided by (used in) Financing Activities
Net cash provided by (used in) financing activities for year ended December 31, 2010, decreased by ¥59,613 million from ¥43,297 million to negative ¥16,316 million.
The issuance of ¥50,000 million corporate bonds with no pledge collateral in the previous year was a major reason for change of the cash flow from financing activities for the current year.

28

Coca-Cola West Co., Ltd.

Other Information

Risk Information(1) Business Agreements with the Coca-Cola Company of
the United States and Coca-Cola (Japan) Co., Ltd.
Coca-Cola West conducts business activities based on a bottler
agreement with The Coca-Cola Company and Coca-Cola (Japan)
Co., Ltd.

(2) Quality Assurance
Beverages are the core product of the Coca-Cola West Group.
The Group makes every effort to raise employee awareness regarding quality and implements programs aimed at preventing incidents
concerning quality in order to offer its consumers high-quality andreliable beverages. Nevertheless, in the event of an incident related
to product quality, the Company’s brand image could be tarnished,irrespective of whether or not it was actually at fault. As such, anincident of this nature could adversely affect the operating results of
the Group.

(3) The Soft Drink Industry
1) Impact of market fluctuations
Sales of soft drinks, the Group’s core products, are readily influenced by changes in consumers’ preference. In a beverage marketof this kind, the Group strives to continuously offer appealing products and services. Nevertheless, failure to amply forecast market
changes could potentially affect its operating results.
2) Impact of weather-related factors
Weather conditions tend to have an effect on the sales of softdrinks. Cool summers or warm winters, for example, often havea significant impact on consumers demand. Although the Groupmakes every effort to minimize the influence of weather-related factors on sales, it offers no guarantee that it can completely eliminate
the effect of such factors.

(4) Health Food Related Industry
The market of health food, which our group is supplying for, is expected to grow due to our country’s growing aging population. However, the competition, in this market has been keen because many
companies, including medium and small companies, are entering
into the market. If our company’s competitiveness were lessened
relatively along with increasing market competition, there is the pos-sibility that goodwill, associated with this health food industry, could
be impaired and could impact financial performance.

(5) Impact of Economic Conditions
1) Trends in personal consumption
Sales of soft drinks are closely linked to trends in personal consumption. Accordingly, a sudden decline in personal consumption
due to worsened economic conditions or price reductions of theCompany’s products resulting from prolonged deflation could adversely affect the operating results of the Group.
2) Fluctuations in asset value
Fluctuations in the value of land, marketable securities, and otherassets owned by the Coca-Cola West Group, as well as in pension
assets held in its defined-benefit company pension fund, could potentially impact its operating results and financial position. Marketable securities with a fair value, for example, are subject to changes
in fair market value in capital markets, since that is how they arevalued.

(6) Public Regulations
The Group’s Manufacturing and Marketing of Beverages & Foodsegment is subject to a number of regulations in Japan, including
the Act Against Unjustifiable Premiums and Misleading Representations, and the Food Sanitation Law. The Group fully complies withthese and all other regulations in its commitment to providing safeand reliable products. Accordingly, tougher regulations, for example,
might incur new compliance costs, which could potentially affect theoperating results of the Coca-Cola West Group.

Other Information

Business results and other aspects of the Company’s operations
and financial situation, discussed in this annual review, are subject to a variety of risks. Those risks, deemed most likely to have asignificant impact on potential investment decisions, are presented
below. The Coca-Cola West Group is fully aware of the possibilityof these risks and thus works to avoid them or effectively deal withthem should they arise.
Statements herein regarding future events or assumptions reflect
the judgment of management as of March 25, 2011.

(7) Management of Personal Information
The Coca-Cola West Group holds large volumes of personal information. In handling this information, it works on a unified basis
to formulate and adhere to related guidelines and implement ongoing training and educational activities. However, an external leakof personal information could lead to a deterioration of trust in the
Coca-Cola West Group and potentially impact its operating results.

(8) Impact of Disasters
The Coca-Cola West Group has a system in place to minimize theeffects of power outages, as well as other problems that could affectits business operations. Typhoons, earthquakes and other natural
disasters, however, could create conditions that overwhelm thissystem. Conditions of this magnitude could potentially impact theoperating results and financial position of the Group.

Annual Review 201029

Corporate Governance(1) Fundamental Stance on Corporate GovernanceCoca-Cola West’s fundamental stance on corporate governance is to maximize “shareholders’ value” by improving management efficiency and transparency.
Coca-Cola West adopted the corporate auditor system in accordance with its separation of the decision making and supervisory function from theexecution of operations of the corporation. In March 1999, we restructured the Board of Directors and adopted the corporate executive officer system.
In April 2007, this system was extended to the Coca-Cola West Group executive officer system in order to increase the efficiency of management andto accelerate its decision-making process to cope with the swift changes to the external and internal business environment. In addition, in March 2006,
the terms of corporate directors were reduced from two years to one year. This effectively highlights the management responsibilities of directors foreach fiscal year and establishes an agile management structure capable of responding to a rapidly changing business environment.
In July 2006, we established the Management Advisory Committee, which advises the Board of Directors. This committee solicits advice from prominent industrial and academic experts to achieve the objectives of improvement of management in both efficiency and transparency, which consequently
enhance shareholders’ value. The committee is responsible for advising on the following important issues: (1) Important corporate group strategies,(2) selection of appropriate candidates as members of the Board of Directors as well as corporate auditors, and (3) executive compensation and rewards.

(2) Contents of the Articles of Incorporation

Other Informationa. Number of Directors
Coca-Cola West’s articles of incorporation stipulate that there shall be a maximum of 15 directors.
b. Requirements for Electing Directors
The company’s articles of incorporation stipulate that the election of directors shall be by a majority vote, in which at least one-third of the shareholders with voting rights are present. Resolution for the election of directors shall not be made by cumulative voting.
c. Acquisition of Treasury Stocks
The company’s articles of incorporation stipulate that the company may repurchase its own shares on the market by a resolution of the Board of
Directors in which shareholders’ approval is not necessary, pursuant to the provisions of Article 165, Paragraph 2 of the Company Law. The Board of
Directors has been authorized to repurchase the company shares, allowing it to increase capital efficiency and to establish a flexible policy of capital
structure to cope with the changing business environment.
d. Determination of Interim Dividends
The company’s articles of incorporation stipulate that the company may, by a resolution of the Board of Directors in which shareholders’ approval is
not necessary, determine interim dividends, as prescribed by Article 454, Paragraph 5 of the Company Law. The Board of Directors has been authorized
to determine interim dividends so that profits can be returned to shareholders when deemed appropriate.
e. Special Resolutions of the General Meeting of Shareholders
The Company’s articles of incorporation stipulate that special resolutions of a general meeting of shareholders, pursuant to Article 309, Paragraph 2of the Company Law, shall be adopted by an affirmative vote of at least two-thirds, in which a minimum of one-third of voting shareholders is present.
This is to ease the general meetings of shareholders by enabling a quorum to pass special resolutions.
f. Business Execution and Management Supervision
We established the monitoring system with the members of the Board of Directors and the Board of Corporate Auditors to fully supervise the performance of executive officers’ business operations. The members of the Board of Directors and the Board of Corporate Auditors also participate in an
important management meeting, consisting of executive officers. When questions arise during the course of business execution, we consult with attorneys, CPAs and other specialists, and this advice would be used to determine the best way to proceed.

(3) Current Situation of the Internal Control System

At a meeting held on July 1, 2006, the Board of Directors resolved to strengthen internal control systems for the purpose of ensuring that Coca-Cola
West and its Group companies conduct business appropriately. At the Board of Directors meeting held on February 7, 2008, certain aspects of thesesystems were reviewed as follows:a. Systems for ensuring that the duties of the members of Board of Directors and employees comply with laws and by laws.
Internal rules concerning compliance systems and a code of conduct have been established to encourage officers and all employees of Coca-Cola
West and its group companies to observe laws and ordinances as well as company rules, and to act in line with accepted social norms. They were especially intended to establish a systematically firm policy against any involvement whatsoever with organized crime and other anti-social forces. Further,a department responsible for CSR will be established at Coca-Cola West to unify compliance efforts across the group and conduct educational activities
for officers and employees to implement thorough compliance systems. The department in charge of internal audit shall examine the level of cooperation with the department in charge of CSR and the status of compliance across the group, and then report these activities regularly to the Board of Directors and the Board of Corporate Auditors. In addition, an internal whistleblower hotline will be set up as a means for officers or employees to directly
provide information on any conduct that may violate laws and ordinances.
b. Preservation of information material related to performance of directors’ duties and responsibilities
In accordance with established rules for preservation and document management, documents and electronic files containing information of the performance of directors’ duties are to be recorded and stored, thereby allowing members of the Board of Directors and the Board of Corporate Auditors toaccess such documents and files at any given time.

30

Coca-Cola West Co., Ltd.

Other Informationc. Rules and other systems related to managing the risk of loss
The department in charge of CSR will examine risks across organizations and companies within the group, working with individual divisions that
handle unique risks associated with compliance, disasters, product quality, information security, the environment, etc., to create rules and guidelines,
conduct training, and produce and distribute manuals. The department will also promptly appoint employees to take charge of measures in order todeal with new risks that arise.
d. System for ensuring that directors perform their duties effectively
The Board of Directors determines the objectives of the group to be shared by corporate officers and employees. Representative directors determine
effective methods, such as the delegation of authorization, to set specific targets to reach the goals of the group companies and departments. This division of task ultimately leads to the achievement of the group’s objectives.
e. System for ensuring proper business conduct as a corporate group consisting of the company and its subsidiaries
A department responsible for internal controls of the entire group was established at Coca-Cola West. The effective system of the group, which
conducts deliberations related to the internal controls at Coca-Cola West and every group company, facilitates information sharing and communicates
instructions and requests, has also been established.
f. Arrangements for employees whose assistance is requested by the Board of Corporate Auditors, and independence of the employees
from directors
In matters necessary for auditing duties, corporate auditors may direct the members of divisions in charge of internal audits. The employees may
receive the directives required for auditing purposes from corporate auditors. However, members of the Board of Directors and other executives are
barred from issuing directives to the employees who are involved in auditing duties.
If corporate auditors request for designation of employees to assist their duties, proper arrangements must be made.
g. System for corporate officers and employees to report to the Board of Corporate Auditors
The members of the Board of Directors arranged a system for corporate officers and employees at Coca-Cola West and its group companies topromptly report to the Board of Corporate Auditors on legal matters, as well as on matters that have a significant impact on the group, such as the performance of internal auditing, and the status and details of reports from the internal whistleblower hotline. The reporting method, including the employment of the task of submitting and receiving reports and the time frame for reporting, will be determined through deliberations between members ofBoard of Directors and the Board of Corporate Auditors.
h. System for ensuring that other auditing by the Board of Corporate Auditors is conducted effectively
Regular meetings are organized for corporate auditors and a representative director to exchange views and opinions.

(4) Risk Management System

Coca-Cola West has established the Coca-Cola West Group Risk Management Committee. The objective of this body is to minimize damage in theevent of a crisis by preventing confusion within the group and ensuring a swift and appropriate response. The group ensures that its management principles comply with all laws and ordinances and follow the norms of society, thereby gaining the trust of all of its stakeholders. This is enshrined in its
Code of Conduct, which is designed to encourage a compliance mindset among all group corporate officers and employees.

(5) Internal Audits, Corporate Auditors’ Audit, and Financial Audit Systema. Organization of Internal Audits and Corporate Auditor, Personnel and Procedures, Coordination among Internal Audit, Corporate Auditors’
Audit and Financial/accounting Audit.
Coca-Cola West aims to comply with corporate rules and regulations, conduct appropriate corporate activities, implement operational management,
protect the company’s assets and maintain soundness of its financial situation. In order to achieve these goals, we established the Audit Office (9 members) as the Internal Audit Department, which directly reports to the president.
The corporate auditors attend meetings of the Board of Directors, management, and other important meetings, consisting of executive officers. They
also meet representative directors on a regular basis and examine the results of audits performed by the Audit Office. Through foregoing activities, corporate auditors monitor the executive actions of members of the Board of Directors and executive officers in accordance with relevant laws, regulations,and the company’s bylaws and internal auditing standards.
The Audit Office conducts preliminary discussions with corporate auditors concerning its auditing policy and plans for each fiscal year.
Corporate auditors also receive reports about the results of audits as needed. In addition, at the beginning of the fiscal year, the company’s independent auditor provides the corporate auditors with an explanation of its audit plans, and as needed, supplies information and reports to the auditors during interim audit or the year-end audit.
b .Profile of Independent Auditors and Related Personnel
Coca-Cola West has appointed KPMG AZSA & Co. as its independent auditor. The names of the firm’s certified public accountants (engagement andmanagement partners) that audit the Company’s financial statements are listed as follows.
Name of CPA Who Carried Out Duties

Auditing Experience

Designated Liability

Partner

Tetsuzo Hamashima

6 years

Designated Liability

Partner

Takaki Okano

2 years

Designated Liability

Partner

Junichi Adachi

3 years

The auditing team has twenty-nine additional members including nine CPAs and one associate auditor.
Annual Review 201031

(6) Outside Directors and External Corporate Auditors

Presently, two of Coca-Cola West’s ten directors and three of its five corporate auditors are from outside of the group.
One of the Outside directors is a representative of an equity method affiliated company and also a customer of Coca-Cola West. Three External
corporate auditors do not have any special interest with the company.

a. Profile, Name and Qualification to be elected as an Outside director and External corporate auditor.
Division

Name

Relations with us

The election situation

Vikas Tiku

Mr. Vikas Tiku is Representative Director, Executive
Vice President and CFO of Coca-Cola (Japan), Co.,
Ltd.(hereinafter referred to as a “CCJC.”)Our company and CCJC entered into an agreement withrespect to production and sales of Coca-Cola and otherproducts and usage of the trademarks of Coca-Cola.
We purchase the original syrup of Coca-Cola and otherbeverages from CCJC and also receive rebates for sales
promotion. Therefore, CCJC is regarded as our special
interest company.

In order for us to enhance the strategic partnership with Coca-Cola (Japan), Co., Ltd.
(hereinafter referred to as a “CCJC.”) we elected Mr. Vikas Tiku as outside director.
Although CCJC, is our major business partner with the special interests described above,
Mr. Tiku is the only director who duly serves as member of the Board of Directors of CCJC
and he does not represent a majority of Board of Directors. His decisions regarding thecompany’s activities, management directions, and execution of operations are liable forthe company’s responsibilities. Consequently, we concluded that (1) the company’s certain
independency from CCJC is maintained, (2) Mr. Tiku is not a person who influences ourmanagement and (3) there is little possibility of conflict of interest among other shareholders.

Norio Hyouda

Mr. Norio Hyouda is Representative Director and thePresident and CEO of Minami Kyushu Coca-Cola Bottling Co., Ltd.
Minami Kyushu Coca-Cola Bottling Co., Ltd. purchases Coca-Cola and other beverages from us and sells
them. Also, Minami Kyushu Coca-Cola is an equity
method affiliated company.
Therefore, it is classified as a special interest company.

Our company entered into business and capital alliance with Minami Kyushu Coca-Cola
Bottling Co., Ltd. In order for us to promote mutual understanding and enhance our relationship, we therefore elected Norio Hyouda as Outside director.
Because Minami Kyushu Coca-Cola has a business relationship with us and is an equity
method affiliated company, both companies are closely related in terms of personnel andcapital. However, the number of Outside directors from Minami Kyushu Coca-Cola is only
two including Mr. Hyouda and cannot be a majority of the Board of Directors. His decision making regarding the company’s activities, management directions, and execution ofoperations is liable for the company’s responsibilities. Consequently, we concluded that(1) the company’s certain independency from Minami Kyushu Coca-Cola is maintained,(2) Mr. Hyouda is not a person who influences our management and (3) there is little possibility of conflict of interest among other shareholders.

Zenji Miura

Mr. Zenji Miura is the Representative Director andExecutive Vice President of Ricoh Co., Ltd.
Ricoh Co., Ltd. is classified with other related companies.

Mr. Zenji Miura has a long professional career in the area of finance and accounting
at Ricoh Co., Ltd. We elected him as External Corporate auditor since we believe that hewould utilize his experience for our audit.
Ricoh Co., Ltd. is our major shareholder but our group is engaged in a different industry
from the Ricoh group. Our group sells beverages to the Ricoh group and, in turn, they
provide our system maintenance. However, the amount of business transactions is verysmall and we believe that the Ricoh group cannot interrupt our free business activities.
One of our directors is serving as Ricoh’s director; the number of directors who serves as
directors of Ricoh is one and cannot be a majority within the Board of Directors. This appointment was made by our request. Although both companies are closely related in termsof personnel and capital, his decision making regarding the company’s activities, management directions, and execution of operations are liable for the company’s responsibilities.
Consequently, we concluded that (1) the company’s certain independency from Ricoh Co.,
Ltd. is maintained, (2) Mr. Miura is not a person who influences our management and(3) there is little possibility of conflict of interest among other shareholders.

External
Corporate
Auditor

Katsumi Sasaki

Mr. Katsumi Sasaki is Representative Director,
Fukuoka FM Broadcasting Co., Ltd.
Our company has a business relationship with
Fukuoka FM Broadcasting.
We paid an advertising fee to Fukuoka FM Broadcasting through an advertising agency.

Mr. Katsumi Sasaki has a long career in financial institutions and we elected him since
we believed that he could utilize his career and experience as an External corporate auditor.
However, Fukuoka FM Broadcasting is not our major customer and he is not a person
who influences our management. In addition, we believed there would be no conflict ofinterest among him and other shareholders.

External
Corporate
Auditor

Yukiko Kyokane

Ms. Yukiko Kyokane is Attomey, Representative of
Kyokane Law Office.
There is no relationship between our company and
Kyokane Law Office.

We elected her as our External corporate auditor since we believe that she could utilize
her long career as an attorney for our auditing.

OutsideDirector

Other Information

OutsideDirector

External
Corporate
Auditor32

Coca-Cola West Co., Ltd.

b. Role and Responsibilities of Outside Director or External Corporate Auditor for Corporate Governance
External corporate auditors make up the majority of the Board of Corporate Auditors and strengthen the monitoring system for the directors’ execution of operation. Also, experienced External corporate auditors provide appropriate advice from the third party’s point of view.
c. Supervision, Audit and Internal Audit Conducted by Outside Director or External Corporate Auditor, Coordination between Corporate Auditors’ Audit and Financial/Accounting Audit, and the relationship with Internal Control Division.
Outside directors and External corporate auditors received reports regarding audits, internal audit, financial/accounting audit and internal control, andmade comments at the Board of Directors’ meeting and the Board of Corporate Auditors’ meeting.
d. Summary of Limitation of Liability Contract
Our company sets up a clause of limitation of liability of Outside directors and External Corporate auditors in our by laws in order for them to performtheir expected roles sufficiently and to enable us to appoint high quality independent persons.
One Outside director and three External Corporate auditors entered into agreement with our company with regard to limited liabilities due to negligence of duties, based on Article 427, Paragraph 1 of Corporate Law. The limit of liabilities is the minimum amount determined by law.
e. Supporting Staff for Outside Directors and External Corporate Auditors
The staff of the General Affairs Department and the staff of the Audit Office support Outside directors and External Corporate auditors, respectively.

(7) Corporate Governance System and Reasons to Adopt the System Described

Our company adopted the following Corporate Governance System because we believe that efficiency and transparency of the management improves the system.

GENERAL MEETING OF SHAREHOLDERS
Election/Dismissal
ReportingManagement
Advisory Committee

Election/Dismissal

Other Information

Election/Dismissal

ReportingBoard of Directors
AdviceAppointment / Monitoring

Exchange Opinions

Representative Directors
ReportingGroup Company
Presidents’ Meeting

Audit Office

Management Meeting

Coordination

Auditing

Group Corporate Officer
Financial/
Accounting
Auditor

Auditing

Auditing

Department
for CSR

Complianceand Corporate
Risk Management

Group
Companies

Board ofCorporate
Auditors

DivisionsGroup Risk Management Committee

Reporting
Auditing
Coordination

Annual Review 201033

(8) Directors and Corporate Auditors Remunerationa. Aggregate amounts of remuneration according to roles of directors and corporate auditors, aggregate amounts according to type of remuneration, and number of directors and corporate auditors to be compensatedDirectors
Number ofmembers(Number)

Auditors

Total ofBase
Other
Remuneration Remuneration(Millions of Yen) (Millions of Yen) (Millions of Yen)

Number ofmembers(Number)

Total

Total ofBase
Other
Remuneration Remuneration(Millions of Yen) (Millions of Yen) (Millions of Yen)

Number ofmembers(Number)

Total ofBase
Other
Remuneration Remuneration(Millions of Yen) (Millions of Yen) (Millions of Yen)

Remuneration and others
based on resolution of generalshareholders’ meeting

12

354

354

-

5

43

43

-

17

398

398

-

Internal

8

340

340

-

2

32

32

-

10

373

373

-

External

4

14

14

-

3

10

10

-

7

25

25

-

The remuneration figures shown above include the remuneration paid to two Outside directors who were dismissed at the adjournment of the 52nd General Shareholders’ Meeting held on March
25, 2010.

Other Informationb. Significant items in the salaries of our company’s internal officers.
None
c. Contents of (1) the determination of the amount of remuneration of directors and corporate auditors (2) the calculation methods to determine the amount, and the decision making method of determination for the foregoing items.
The aggregate amounts of remuneration for directors and corporate auditors were resolved at the 51st General Shareholders’ Meeting held on
March 24, 2009 to be a maximum of ¥500 million annually (for Outside directors, a maximum of ¥50 million annually), and a maximum ¥100 million
annually, respectively. The amount of remuneration for individual directors and individual corporate auditors is determined within the aggregate determined ranges as follows:(Directors)
The amount of remuneration for each director is determined by the representative directors who are authorized by the Board of Directors after theconsideration of the results from the Management Advisory Committee consisting of Outside directors and outside experienced experts.
The remuneration consists of (1) a fixed amount portion which reflects the responsibilities as directors and contribution to the company’s performance and (2) a variable portion which reflects the company’s business performance.
(Auditors)
The amount of remuneration for each auditor is determined by the executive corporate auditor, after the consideration of the standard resolved by the
Board of Corporate Auditors.

(9) Securities Investmentsa.Excluding the Trade Purpose Securities, Number of Companies Invested and Amounts of Invested Common Stocks on the Balance Sheet
The number of companies invested: 136, the amounts of invested common stocks: ¥8,209 millionb.Excluding the Trade Purpose Securities and Referring to the Companies Listed in the Stock Market Number of Companies Invested,
Amounts of Invested Common Stocks on the Balance Sheet and Purpose of the Stockholding
Name of Companies Invested

Number of shares

Amounts shown on the
Balance Sheet

Purpose of Stockholding(Millions of Yen)RICOH LEASING COMPANY, LTD.

502,000

1,119

Maintain favorable relationship with the companies invested.

ROYAL HOLDINGS Co., Ltd.

962,440814

Maintain favorable relationship with the companies invested.

THE NISHI-NIPPON CITY BANK, LTD.

3,024,811

747

Maintain favorable relationship with the companies invested.

Nishi-Nippon Railroad, Co., Ltd.

2,000,000

680

Maintain favorable relationship with the companies invested.

SAN-AI OIL CO., LTD.

1,308,125

523

Maintain favorable relationship with the companies invested.

KYUSYU LEASING SERVICE CO., LTD.

2,000,000

344

Maintain favorable relationship with the companies invested.

FUJI CO., LTD.

195,366

332

Maintain favorable relationship with the companies invested.

IZUMI CO., LTD.

231,000

276

Maintain favorable relationship with the companies invested.

Mitsubishi Heavy Industries, Ltd.

900,000

274

Maintain favorable relationship with the companies invested.

Mitsubishi UFJ Financial Group, Inc.

522,420

229

Maintain favorable relationship with the companies invested.

ZENRIN CO., LTD.

183,414166

Maintain favorable relationship with the companies invested.

F&A AQUA HOLDINGS, INC.

203,400

163

Maintain favorable relationship with the companies invested.

AEON KYUSHU CO., LTD.

114,400

158

Maintain favorable relationship with the companies invested.

c. Common stock for trade purpose as of December 31, 2009 and 2010 and also dividend received, capital gain/loss and evaluation gain/
loss of common stocks for the trade purpose as of December 31, 2010.
None

34

Coca-Cola West Co., Ltd.

Board of Directors(As of April 1, 2011)

Directors

Representative Director& President

Representative Director& Executive Vice President

Director & Executive
Vice President

Director & Executive
Corporate Officer

Norio Sueyoshi

Tamio Yoshimatsu

Hijiri Morita

Nobuo Shibata

Shigeki Ota

Business Model Innovation

Planning, IR and Sales Support

General Affairs and Career Development

Finance and Business System

Director & Executive
Corporate Officer

Director & Executive
Corporate Officer

Director

Outside Director

Outside Director

Hiroyoshi Miyaki

Jiro Wakasa

Masamitsu Sakurai

Vikas Tiku

Norio Hyouda

CSR and Quality Assurance

SCM, Tokyo Office Mgr

Ricoh Company, Ltd
Chairman of the Board

Coca-Cola (Japan) Co., Ltd.
Represetnative Director,
Executive Vice President and CFO

Minami Kyushu Coca-Cola Bottling Co., Ltd.
Representative Director and President

Auditors

Other Information

Representative Director& Chairman

Management Advisory Committee

Executive
Corporate Auditor

Tadatsugu HaradaStanding

Chairman

Masamitsu Sakurai

Ricoh Company, Ltd.
Representative Director & Chairman

Corporate Auditor

Tadamasa Amitsuka

Standing

MemberMasahiko Uotani

Coca-Cola (Japan) Co., Ltd.
Director & Chairman

External
Corporate Auditor

Zenji Miura*

Ricoh Company, Ltd.
Representative Director andExecutive Vice President

MemberShingo Matsuo

Kyushu Electric Power Co., Inc.
Representative Director & Chairman

External
Corporate Auditor

Katsumi Sasaki

FUKUOKA FM BROADCASTING Co., Ltd.
Representative Director

MemberIsao Kubota

THE NISHI-NIPPON CITY BANK, LTD.
Representative Director & President

External
Corporate Auditor

Yukiko Kyokane*

Attorney
Representative of Kyokane Low OfficeMemberKazuhiko Enomoto

FUKUOKA JISHO CO.,LTD.
Representative Director & Chairman

MemberSusumu Ishihara

Kyushu Railway Company
Representative Director & Chairman

MemberTakashi Matsuzaki

Attomey
Tokunaga, Matsuzaki & Saito Law OfficeMember

Eiji Muto

Organization for Promoting
Urban Development

MemberKunio Ito

Professor
Hitotsubashi University* As for Corporate Auditor Zenji Miura and Yukiko Kyokane, our company submitted
notices to Tokyo Stock Exchange Group Inc., Osaka Securities Exchange Co., Ltd. andFukuoka Stock Exchange, which our company is listed in, as “External Corporate Auditor”. The qualification for “External Corporate Auditor” is determined by criteria andrules set by each security exchange company.

Annual Review 201035

Dividend Policy and Shareholder Reward Points System

Dividend
Coca-Cola West places the ultimate priority on paying secure dividends to shareholders and pays dividends semiannually, interim and year-end, after fully deliberating on the company’s business performance and retained earnings and the future businessenvironment.

Other Information

Dividend per share

Shareholder Reward Points System
We provide “Shareholder Reward Points” in September and April of the following year to shareholders with 100 or more shares
as of June 30 and December 31, respectively. The number of Reward Points is determined according to the number of shares
owned.
Shareholders can choose to exchange their Reward Points (one point=¥60), with assorted Coca-Cola products or to use themas donation to our social contribution activities.
Awarding Criteria
Effective Date

June 30

December 31

Number of Shares Owned

Details

100 to 499 shares

30 Reward Points

Time of Award

500 to 999 shares

40 Reward Points

1,000 to 4,999 shares

60 Reward Points

5,000 or above shares

120 Reward Points

100 to 499 shares

30 Reward Points

500 to 999 shares

40 Reward Points

1,000 to 4,999 shares

60 Reward Points

Above 5,000 shares

120 Reward Points

September of the same year

April of the following year

Options for Reward Points (examples)

Coca-Cola Products

36

Coca-Cola West Co., Ltd.

Bath Towel with
Coca-Cola West logo

Insulated Bag with
Coca-Cola West logo

Donation to Ichimura
Nature School in Kyushu

Stock Information(As of December 31, 2010)

Stock Code : 2579

Major Shareholders

Authorized Shares : 270,000,000

Number of Share
Owned(Thousands)

Shareholding
Ratio
(%)

Outstanding Shares : 111,125, 714

Shareholder

Number of Shareholders : 31,025

RICOH COMPANY, LTD. ................................................................................. 16,792

16.8

The New Technology Development Foundation .........................................

5,294

5.3

Japan Trustee Service Bank, Ltd. (Trust Account) ....................................

5,108

5.1

Coca-Cola Holdings West Japan, Inc. ...........................................................

4,074

4.1

Mitsubishi Heavy Industries Food & Packaging Machinery Co., Ltd. .......

3,912

3.9

THE NISHI-NIPPON CITY BANK, LTD. ..........................................................

3,703

3.7

The Master Trust Bank of Japan, Ltd. (Trust Account) ..............................

2,650

2.7

NORTHERN TRUST CO. (AVFC) SUB A/C AMERICAN CLIENTS.................

2,413

2.4

MCA Holding CO., LTD. ..................................................................................

2,191

2.2

STATE STREET BANK AND TRUST COMPANY .........................................

1,743

1.7

Number of Shares per Trading Unit : 100
Stock Exchange Listings:
Tokyo Stock Exchange (First Section)
Osaka Securities Exchange (First Section)
Fukuoka Stock Exchange

Number of Shares Held and thePercentage of Shares Held by the
Shareholder Category

Stock Price and Trends in Stock Trading Volume

Number of
Shares Owned(Thousands)● Government and Local Authorities.........

10● Financial Institutes................................

67

20,431● Securities Companies...........................

35

988

● Other Domestic Corporations................

504

39,939● Foreign Corporations............................

305

25,820● Individuals and Others.......................... 30,112

12,792● Treasury Stock.....................................

1

11,152

Total.......................................................... 31,025

111,125

Other Information

Number of
Shareholders(Number)

Note:The Company owns 11,152 thousand shares of treasury stock. This shareholding is not shown in the table
above and does not include the calculation of the shareholding ratios.

Composition of Shareholders

Treasury Stock
10.0%

Government andLocal Authorities
0.0%
Financial Institutes
18.4%

Individuals
and Others
11.5%

Securities
Companies
0.9%

Foreign
Corporations
23.2%

Other Domestic
Corporations
36.0%

Stock Price at year end
(Yen)

2006

2007

2008

2009

2010

2,755

2,475

1,945

1,639

1,471

Credit Rating Information
Japan Credit Rating Agency, Ltd. (JCR)
株価(円)Long-term senior debt

株式売買高(千株)Rating and Investment Information, Inc. (R&I) Long-term senior debt

2006

2007

2008

2009

2010

AA-

AA-

AA-

AA-

AA-

A+

A+

A+

A+

A+

3,000

2,500
15,0002,000

12,000

Annual Review 2010
1,500

1,000

9,000

37

Coca-Coca System in Japan(As of December 31, 2010)

The Coca-Cola System in Japan consists of Coca-Cola (Japan) Co., Ltd. the regional bottling companies, and their affiliates.
While Coca-Cola (Japan) Co., Ltd. is planning/developing new products, producing syrup concentrate and advertising, the regionalbottling companies and their affiliates are producing and selling the beverage in their region.
Role of Coca-Cola (Japan) Co., Ltd. and Bottlers

Coca-Cola (Japan) Co., Ltd.
Planning

Research andDevelopment

Productionof Syrup
Concentrates

Bottlers
Product
Manufacturing

Product
Distribution

Sales

Collectionof containers

Recyclingof containers

Bottlers (12 bottling companies)

n Coca-Cola West Co., Ltd.
Other Information

Fukuoka/Osaka/Shiga/Nara/Wakayama/Kyoto/Hyogo/Okayama/
Tottori/Hiroshima/Shimane/Yamaguchi/Saga/Nagasakin Minami Kyushu Coca-Cola Bottling Co., Ltd.
n Shikoku Coca-Cola Bottling Co., Ltd.
n Okinawa Coca-Cola Bottling Co., Ltd.
n Coca-Cola Central Japan Co., Ltd.
n Tokyo Coca-Cola Bottling Co., Ltd.
n Mikuni Coca-Cola Bottling Co., Ltd.
n Tone Coca-Cola Bottling Co., Ltd.
n Hokuriku Coca-Cola Bottling Co., Ltd.
n Sendai Coca-Cola Bottling Co., Ltd.
n Michinoku Coca-Cola Bottling Co., Ltd.
n Hokkaido Coca-Cola Bottling Co., Ltd.

38

Coca-Cola West Co., Ltd.

Investment① Coca-Cola West Co., Ltd. (CCW)⑤ Coca-Cola Bottling Companies (CCBC)In July 2006, Coca-Cola West Japan Co., Ltd. (CCWJ) and Kinki
Coca-Cola Bottling Co., Ltd. merged their management to establish
a joint holding company, Coca-Cola West Holding Co., Ltd. (CCWH),
the largest bottling company in Japan. In March 2007, CCWH entered into a financial alliance with Minami Kyushu Coca-Cola Bottling Co., Ltd. On January 1, 2009, CCWH, CCWJ, Kinki Coca-Cola
Bottling Co., Ltd. and Mikasa Coca-Cola Bottling Co., Ltd. merged toestablish Coca-Cola West Co., Ltd.

There are 12 bottling companies in Japan. They are producing
and distributing Coca-Cola products in their respective territories.

② The Coca-Cola Company (TCCC)

Established in Atlanta Georgia in 1919. The Coca-Cola Company
holds the rights to grant licenses to bottling companies to produce
and sell Coca-Cola products. The Coca-Cola Company and its subsidiaries enter into licensing agreements with bottling companies.
③ Coca-Cola (Japan) Co., Ltd. (CCJC)

Established in 1957 in Tokyo as a wholly owned subsidiary of the
Coca-Cola Company under the name of Nippon Inryo Kogyou K.K.
The company name was changed to Coca-Cola (Japan) Co., Ltd. in
1958. It is responsible for marketing, planning, manufacturing anddistributing the syrup concentrate in Japan.
④C oca-Cola Tokyo Research & Development Co., Ltd.

(CCTR&D)
Established in January 1993 as a 100% subsidiary of the Coca-Cola
Company. It has been carrying out product development and technicalsupport since January 1995 in response to the needs of the Asian region.

Other Information

Note: Figures in brackets show the percentage of shares owned, corresponding to voting rights⑥ Coca-Cola Business Service Co., Ltd. (CCBSC)

Established in June 1999 as a joint venture among the Coca-Cola
Company and all of its bottling companies. Its responsibilities are(1) procurement of raw materials and supplies for the Coca-Cola System in Japan, (2) business consulting to the Coca-Cola organization in
Japan, (3) development of an information system and maintenance andoperation of the information system.
⑦ Coca-Cola Customer Marketing Co., Ltd. (CCCMC)

Established in January 2007 as a joint venture with Coca-Cola(Japan) Co., Ltd. and all of its bottling companies. Its responsibilities
are (1) business negotiation with nationwide retail stores such as
convenience stores and supermarkets and (2) creating proposals forsales promotion and storefront activities.
⑧ FV Corporation Co., Ltd. (FVC)

Established in May 2001 as a joint venture with Coca-Cola (Japan)
Co., Ltd. and all of its bottling companies. Its responsibilities are tocarry the marketing of the vending machine business to corporations operating in a wide range of territories. It also handles products
other than Coca-Cola products.

Annual Review 201039

-Creating a happy tomorrow for everyone-

7-9-66 Hakozaki, Higashi-ku, Fukuoka 812-8650, Japan
Investor Relations Tel: +81-92-641-8590
http://www.ccwest.co.jp/english/

2,813

162
Printed in Japan