Companynews // 09/11/2006

Gerolsteiner grow further in comparison with last year. Turnover growth is even above the general market development.

Gerolstein, 29th August 2006. In the first seven months the Gerolsteiner GmbH & CO achieved a turnover by 123,3 million and reached so, in comparison with last year, a plus of 6.6 per cent. Sales volume rose by 3.7 per cent to 4.2 million hectolitre. For this reason it will probably reach, as lastly in the year 2004, the "7-milliom-hectoliter-mark".

With an 8.4 per cent market share (source: AC Nielson) is Gerolsteiner still the leading German brand for mineral water and "mineral water-plus-products". One of the most important reasons were product innovations, which began in 2003.

In the first seven months this year nearly 10 per cent from the turnover were achieved with new products over the past 3 years.

Especially both Gerolsteiner Fit (+210 per cent), since april 2005 on the market, and Gerolsteiner Apfelschorle in 12 x 0.75 liter-returnable-case (+18 per cent), which has in the segment of brand "Apfelschorlen" the highest growth rate came along well.

Also the newest creations "Gerolsteiner Naturell plus Frucht" and "Gerolsteiner Moment" (since Mai 2006 on the market) as well as "Gerolsteiner Sport" (since June 2006) took part in the growth.

Even the introduction of the new plastic packages for the Gerolsteiner Basic range, as well as for the new products, stimulated the sales. Particularly abroad the new 0.5-liter-, 1.0-liter- and 1.5 liter-PET-bottles, which are sold in foiled six packs, have stimulated the sales from Gerolsteiner.

"This approves our strategy for the brand Gerolsteiner which has been adopted together with the advisory board: To enlarge our product range to "natural non-alcoholic refreshing drinks", to introduce new packages and to enforce our core business mineral water", illustrated Jörg Croseck, Managing Director of Sales, Marketing and Human Resources.

"The key person is the consumer. On his demands we adjust our new products and packages and create furthermore an added-value for our business partners"

Croseck confirms: "The Team Gerolsteiner - beside the classic communication our second main pillar - had with 32 victories and the fact that they are free from all doping reproaches strongly contributed to the positive image of the brand."

The Gerolsteiner export increased by 3 per cent in comparison to last year. Particularly with regard on the coverage from new countries as: Austria, Switzerland, Turkey, Egypt, Japan and China. The introduction from the Gerolsteiner one-way gourmet range in the middle of last year had also a positive impact on the export business.

The market shows a slight recovery: With an increase of sales volume by 6.2 per cent mineral water is still the most important non-alcoholic drink in Germany.

With an inversely-proportional turnover growth by 3.0 per cent mineral water products are still strongly price driven. The decrease in value is reflected by the tremendous gain of the discounters as they achieved a market share of 43 per cent (source:Gfk).

Essential growth on the water market is caused by flavoured waters and waters without carbonic acid.

The Gerolsteiner Brunnen GmbH & Co. KG is the leading company in the German mineral water segment. The company based in the Volcanic Eifel achieve a net turnover of 193.6 million euro in 2005. This result has been realised with 783 employees.

Main shareholders from Gerolsteiner Brunnen GmbH & Co. KG are Bitburger drinks group with 51 per cent and Buse-group, Bad Hönningen with 33 per cent. Other 16 per cent corporate shares are privately owned.