RNS Number : 1983T
11 December 2012
11 December 2012
Diageo announces end to discussions on the future of Cuervo
Diageo has today announced that discussions between Diageo and JB y Compania S.A. de C.V. and Lanceros S.A. de C.V., relating to the future of the Cuervo brand have ended. Both parties will now work to ensure the orderly termination of the current distribution agreement, including transitional arrangements, at the end of June 2013.
Paul S Walsh, Chief Executive, Diageo said:
'Diageo has had a long and successful relationship with the Cuervo brand and we are proud of what we have achieved for the brand as its distributor over many years. We believe that the future of the brand would be best delivered by aligning ownership of the brand with its route to market and I have no doubt that Diageo has the best route to market for this brand. However it has not been possible to agree a transaction which delivers value for Diageo's shareholders and therefore, by mutual agreement, we have terminated our discussions.'
For further information:
Rowan Pearman +44 (0)20 8978 4751
Kirsty King +44 (0)20 8978 6855
Catherine James +44 (0)20 8978 2272
Agnes Bota +36 1 580 1022
Sarah Paul +44 (0)20 8978 4326
Diageo is the world's leading premium drinks business with an outstanding collection of beverage alcohol brands across spirits, beer and wine categories. These brands include Johnnie Walker, Crown Royal, JεB, Buchanan's, Windsor and Bushmills whiskies, Smirnoff, Cîroc and Ketel One vodkas, Captain Morgan, Baileys, Jose Cuervo, Tanqueray and Guinness.
Diageo is a global company, with its products sold in more than 180 countries around the world. The company is listed on both the New York Stock Exchange (DEO) and the London Stock Exchange (DGE). For more information about Diageo, its people and its brands, visit www.diageo.com. For Diageo's global resource that promotes responsible drinking through the sharing of best practice tools, information and initiatives, visit www.DRINKiQ.com.
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