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Dunkin' Donuts Pacts With Coca-Cola To Launch RTD Coffee

Posted On: 10/5/2016

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TAGS: Dunkin' Donuts, Dunkin' Donuts RTD coffee, ready-to-drink coffee beverages, Coca-Cola Co.

CANTON, MA -- Dunkin' Donuts will roll out a line of ready-to-drink coffee beverages in the U.S. in early 2017. They will be manufactured, distributed and sold by Coca-Cola Co. Financial terms of the agreement were not disclosed.

Coca-Cola Co. will produce the beverages to Dunkin' Donuts' specifications, which includes the use of arabica coffee blends, and real milk and sugar. Coca-Cola's bottling partners will sell and distribute the RTD coffee in a variety of flavors.

In addition to inside Dunkin' Donuts shops, the line will initially be sold from refrigerator cases at grocery, mass merchant and convenience stores.

"This new product introduction will increase consumption of Dunkin' Donuts coffee and increase our brand relevance with existing and new consumers, including many younger customers, which we believe will in turn, drive incremental visits to our restaurants," said Dunkin' Brands chairman and chief executive Nigel Travis.

Dunkin' Donuts said it will equally share with qualified U.S. franchisees its net profits from the sales of ready-to-drink coffee through outlets outside of its restaurants.

Dunkin' Donuts and Coca-Cola Co. have been allies since 2012. Coke products are sold at Dunkin' Donuts restaurants in the U.S. and some markets overseas.