Cadbury Schweppes Drink Sales Hit By Poor Weather

LONDON (AFP) - Cadbury Schweppes said trading at its beverage business had been weaker than expected during the US and European summer with sales of fizzy drinks hit by poor weather.
In a brief statement the British company said: "Our European beverage business has had a more difficult summer than anticipated.
"This is in line with the industry as a whole where cold and wet weather in 2004 compares with record summer temperatures in 2003."
Cadbury, maker of such brands as Cadbury chocolate, Bassett's Liquorice Allsorts sweets and the carbonated drink Dr Pepper, said US sales of soft drinks had also been weaker than expected, though it claimed to have outperformed competitors.
But the group added that its confectionery businesses had "continued to perform well."
The group reiterated that it expects to deliver full-year profit towards the lower end of its targets.
Cadbury is aiming to grow sales by three-five percent and profit margins by 50-75 basis points, over a four year period to 2008.
The price of shares in the group fell by 1.32 percent to 429.25 pence in early trading here.
Last week US soft-drink giant Coca-Cola issued a profit warning because of bad weather in Europe and weak sales in North America.