The Coca-Cola Company Reports Full-Year and Fourth Quarter 2012 Results

Tue Feb 12, 2013 7:30am EST

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Strong 4% global volume growth for the full year

Worldwide brand Coca-Cola growth of 3% for the full year

Volume and value share gains continue in nonalcoholic ready-to-drink beverages

Full-Year and Fourth Quarter 2012 Highlights

* Strong full-year global volume growth of 4%, in line with our long-term growth
target and led by brand Coca-Cola, up 3%. Global volume grew 3% in the quarter,
driven by international volume growth of 4% and North America volume growth of
1%.
* Full-year reported net revenues grew 3% and comparable currency neutral net
revenues grew 6%, in line with our long-term growth target. Fourth quarter
reported net revenues grew 4% and comparable currency neutral net revenues grew
5%.
* Full-year reported and comparable currency neutral operating income both grew
6%, in line with our long-term growth target. Fourth quarter reported operating
income grew 12% and comparable currency neutral operating income grew 14%.
* Currency was a 3% headwind on comparable net revenues and a 5% headwind on
comparable operating income for the full year.
* Full-year reported EPS was $1.97, up 6%, and comparable EPS was $2.01, up 5%.
Fourth quarter reported EPS was $0.41, up 14%, and comparable EPS was $0.45, up
15%.
* Full-year cash from operations was up 12%.
* Evolution of global bottling system continues, with bottler-led consolidation
announced in Japan and Brazil, and a majority interest in our Philippine
bottling operations sold to Coca-Cola FEMSA (transaction completed in January
2013).

ATLANTA--(Business Wire)--
The Coca-Cola Company today reported full-year and fourth quarter 2012 results.
Muhtar Kent, Chairman and Chief Executive Officer of The Coca-Cola Company said,
"We are pleased with our results we announced today. In a year marked by
continued uncertainty in the global economy, we delivered solid volume, revenue
and profit growth, and we realized further volume and value share gains in
nonalcoholic ready-to-drink beverages. The Coca-Cola Company has consistently
delivered quality results and met or exceeded its long-term volume, revenue and
profit growth targets every year since the announcement of our 2020 Vision at
the end of 2009. This reflects the commitment of our entire system to invest
together for a better tomorrow and to sustainably create shared value while
making a positive difference in the communities we serve. Together we are
delivering on our priorities and achieving success. 

"As we enter 2013 in what is still an uncertain global economy, we know that it
is critical to seize the opportunity to keep leading and succeeding in any
environment. We must continue investing in our business so that we get even
better -- better at collaborating, at innovating, at listening to consumers,
customers and our bottling partners and most importantly, at executing with
precision. All of us at Coca-Cola remain diligent about our results as we manage
our business for continued sustainable long-term success," continued Mr. Kent. 

PERFORMANCE HIGHLIGHTS

The Coca-Cola Company reported worldwide volume growth of 4% for the full year
and 3% in the quarter. The Company reported solid growth for the full year in
key developed markets, including North America (+2%) and Japan (+2%). Europe
volume declined 1% for the full year, reflecting ongoing uncertain macroeconomic
conditions. In addition, the Company delivered strong volume growth in key
emerging markets such as Thailand (+22%), India (+16%) and Russia (+8%) for the
full year. Our China business delivered 4% volume growth for the full year,
cycling double-digit growth in the prior year, and was impacted by the further
effects of a slowing economy, poor weather and a later Chinese New Year. Solid
growth continued in countries with per capita consumption of Company brands less
than 150 eight-ounce servings per year, with volume up 7% for the full year. 

For both the full year and the quarter, we grew global volume and value share in
nonalcoholic ready-to-drink (NARTD) beverages, with volume and value share gains
across nearly every beverage category. Further, our immediate consumption volume
grew a solid 5% globally in 2012, leading to transaction growth of 5%, driven by
focused in-store activation efforts and cold-drink equipment expansion. In
addition to increasing the total placement of our branded cold-drink equipment
to more than 14 million units as of the end of 2012, our global system remains
focused on innovations in cooler design, cost efficiency and effectiveness, and
sustainability. We have achieved a 40% to 50% improvement in energy efficiency
in new equipment placed today compared to equipment placed in 2000, and we
maintain our commitment to placing HFC-free units around the world. 

Worldwide sparkling beverage volume grew 3% for the full year and 1% in the
quarter. This represents approximately 550 million incremental unit cases in
2012, or the equivalent of adding 13.2 billion new servings to our global
business. We grew volume and value share in global core sparkling beverages for
the full year and in the quarter, led by brand Coca-Cola and reflecting a
balanced portfolio approach to growth in the core sparkling beverage category.
Worldwide brand Coca-Cola volume grew 3% for the full year, with growth across
diverse markets, including India (+33%), Thailand (+31%), Russia (+20%), the
Philippines (+8%), Brazil (+3%) and Mexico (+3%). In addition, Fanta volume grew
5% and Sprite volume grew 4% for the full year, as we activated global marketing
campaigns in locally relevant ways such as the Fanta Play campaign, now in
nearly 200 markets, and the Sprite Uncontainable Game NBA partnership. 

Worldwide still beverage volume grew 10% for the full year and 9% in the
quarter, with growth across beverage categories, including packaged water,
ready-to-drink tea and coffee, juices and juice drinks, sports drinks and energy
drinks. Excluding the impact of acquisitions, still beverage volume grew 8% for
the full year and 7% in the quarter. We grew global volume and value share in
still beverages and delivered volume and value share gains across nearly every
still beverage category. 

Ready-to-drink tea volume grew 14% for the full year and 16% in the quarter,
with continued strong performance of key brands such as Gold Peak and Honest Tea
in North America, Ayataka green tea in Japan and Fuze Tea, which we continued to
expand across many markets worldwide during the year. Packaged water volume grew
12% for both the full year and the quarter, driven by our focus on innovative
and sustainable packaging and immediate consumption occasions. Our PlantBottleTM
PET packaging is now present in 10 countries that represent more than 50% of our
global packaged water business. Energy drink volume grew 20% for the full year
and 12% in the quarter, driven by growth across our global portfolio of energy
brands, with burn now available in 75 countries. 

In 2012, I LOHAS water and Ayataka green tea in Japan became our fourth and
fifth new billion-dollar brands since the announcement of our 2020 Vision,
building on our strong portfolio of brands across beverage categories, occasions
and geographies.

                                                                                                     
                                                                                                     
 OPERATING REVIEW                                                                                    
                                                                                                     
                         Three Months Ended December 31, 2012                                        
                         % Favorable / (Unfavorable)                                                 
                         Unit Case              Net                  Operating          Comparable   
                         
Volume                
Revenues            
Income            
Currency    
                                                                                        
Neutral     
                                                                                        
Operating   
                                                                                        
Income      
                                                                                                     
 Total Company           3                      4                    12                 14           
                                                                                                     
 Eurasia & Africa        10                     5                    18                 23           
 Europe                  (5      )              (6     )             13                 12           
 Latin America           5                      8                    10                 16           
 North America           1                      6                    12                 11           
 Pacific                 2                      (1     )             11                 10           
 Bottling Investments    5                      6                    -                  27           


                                                                                                      
                                                                                                      
                         Year Ended December 31, 2012                                                 
                         % Favorable / (Unfavorable)                                                  
                         Unit Case            Net                Operating            Comparable      
                         
Volume              
Revenues          
Income              
Currency       
                                                                                      
Neutral        
                                                                                      
Operating      
                                                                                      
Income         
                                                                                                      
 Total Company           4                    3                  6                    6               
                                                                                                      
 Eurasia & Africa        11                   5                  7                    16              
 Europe                  (1      )            (6     )           (4      )            (1      )       
 Latin America           5                    3                  2                    12              
 North America           2                    5                  12                   2               
 Pacific                 5                    3                  13                   6               
 Bottling Investments    10                   4                  (37     )            10              
                                                                                                      
                                                                                                      


Eurasia & Africa

* Our Eurasia and Africa Group`s volume grew 10% in the quarter and 11% for the
full year (up 7% and 9%, respectively, excluding the benefit of acquired
volume), cycling 4% growth in the prior year quarter and 6% growth in the prior
year. Growth in the quarter was led by the Middle East and North Africa, up 26%
(up 13% excluding the benefit of acquired volume), Turkey, up 13%, and Russia,
up 12%. Reported net revenues for the quarter increased 5%, reflecting a 10%
increase in concentrate sales, partially offset by unfavorable price/mix of 1%,
primarily geographic mix due to strong growth in the Middle East and North
Africa, and a 4% currency impact. After adjusting for unit case sales without
concentrate sales equivalents and the effect of two additional selling days,
concentrate sales in the quarter were in line with unit case sales. Comparable
currency neutral net revenues increased 9% in the quarter. Reported operating
income increased 18% in the quarter. Comparable currency neutral operating
income increased 23% in the quarter, driven by pricing and product mix, as well
as operating leverage as a result of two additional selling days in the quarter,
partially offset by increased investments in the business. For the full year,
reported net revenues increased 5%, reflecting a 10% increase in concentrate
sales and positive 4% price/mix, partially offset by a 9% currency impact. After
adjusting for unit case sales without concentrate sales equivalents, concentrate
sales for the full year were slightly ahead of unit case volume, primarily due
to timing. Comparable currency neutral net revenues increased 13% for the full
year. Reported operating income increased 7% for the full year. Comparable
currency neutral operating income increased 16% for the full year, driven by
volume and revenue growth across all business units. 
* During the quarter, Eurasia and Africa grew volume and value share in NARTD
beverages as well as in core sparkling beverages, juices and juice drinks,
sports drinks and energy drinks. Sparkling beverage volume grew 7% in the
quarter, led by brand Coca-Cola, which also grew 7%. Sprite and Fanta volume
both grew 6% in the quarter. Still beverage volume grew 23% in the quarter,
including the benefit of acquired volume which added 12 points of growth. In
India, we gained strong volume and value share in NARTD beverages as well as in
sparkling and still beverages in the quarter. India sparkling beverage growth in
the quarter was led by brand Coca-Cola, up 32% and driven by customized
integrated marketing campaigns centered on the mealtime occasion. India has now
delivered six consecutive years of double-digit volume growth. Russia volume
growth in the quarter continued to be led by our sparkling beverage brands,
including brand Coca-Cola, up 19%, Fanta, up 25% and Sprite, up 16%. We gained
volume and value share in NARTD beverages as well as in core sparkling and still
beverages in Russia, with a strong marketing campaign tied to the Christmas
holidays as well as a continued focus on packaging segmentation to drive
household penetration. As a result, our business in Russia has now achieved an
all-time high market share. The momentum behind our juice business in Russia
continued in the quarter, with flagship brand Dobriy up 18% and premium brand
Rich up 32%.

Europe

* Our Europe Group`s volume declined 5% in the quarter and 1% for the full year,
cycling 1% growth in the prior year quarter and 2% growth in the prior year,
reflecting the ongoing macroeconomic uncertainty and weak consumer confidence
across the region. Reported net revenues declined 6% in the quarter, reflecting
a 3% decline in concentrate sales, unfavorable price/mix of 1% and a 2% currency
impact. After adjusting for unit case sales without concentrate sales
equivalents and the effect of two additional selling days, concentrate sales
were in line with unit case sales in the quarter. Comparable currency neutral
net revenues declined 4% in the quarter. Reported operating income increased 13%
in the quarter. Comparable currency neutral operating income increased 12% in
the quarter, reflecting operating leverage as a result of two additional selling
days in the quarter as well as the tight management and timing of operating
expenses. For the full year, reported net revenues declined 6%, reflecting a 2%
decline in concentrate sales, even price/mix and a 4% currency impact. Full-year
concentrate sales were in line with unit case sales. Comparable currency neutral
net revenues declined 2% for the full year. Reported operating income declined
4% for the full year. Comparable currency neutral operating income declined 1%
for the full year, reflecting the impact of volume performance and mix shifts,
partially offset by efficient expense management. 
* During the quarter, the Europe Group maintained volume share and gained value
share in still beverages. In a quarter marked by declines in the overall
beverage industry in Europe, our sparkling beverage volume in Europe declined 5%
in the quarter and our still beverage volume declined 3% as a result of
continued weak consumer confidence, adverse weather and aggressive competitive
pricing. For the year, we leveraged integrated marketing campaigns centered on
holiday activation, our 2012 Olympic Games partnership and Coke with Meals
programming. Germany volume declined 5% in the quarter, cycling 9% growth in the
prior year quarter, and grew 1% for the full year, cycling 6% growth in the
prior year. Performance for Germany during the year was driven by strong
commercial campaigns such as our 2012 Olympic Games partnership and the
Coca-Cola Christmas Truck Tour, music-themed integrated marketing campaigns, a
continued focus on low-calorie and no-calorie sparkling beverages and packaging
segmentation to drive recruitment and household penetration. Volume in the
Central and Southern Europe region declined 3% in the quarter and 1% for the
full year, with share gains in sparkling beverages supported by strong brand
health scores and growth in Coca-Cola Zero, up 15% in the quarter. Volume in the
Northwest Europe & Nordics region declined 5% in the quarter and 3% for the full
year, and the Iberia region declined 8% in the quarter and 1% for the full
year.

Latin America

* Our Latin America Group`s volume grew 5% in the quarter and for the full year,
cycling 4% growth in the prior year quarter and 6% growth in the prior year. All
business units in Latin America grew volume in the quarter and for the full
year, with 9% growth in Latin Center, 5% growth in both Mexico and Brazil and 4%
growth in South Latin during the quarter. Reported net revenues for the quarter
increased 8%, reflecting concentrate sales growth of 6% and positive price/mix
of 8%, offset by a currency impact of 4% and a 2% impact related to structural
changes. After adjusting for unit case sales without concentrate sales
equivalents and the effect of two additional selling days, concentrate sales in
the quarter lagged unit case volume due to timing. Comparable currency neutral
net revenues increased 12% in the quarter. Reported operating income increased
10% in the quarter, with comparable currency neutral operating income up 16%,
primarily reflecting operating leverage as a result of two additional selling
days in the quarter as well as solid volume growth and favorable pricing across
all business units in the group. For the full year, reported net revenues
increased 3%, reflecting concentrate sales growth of 5% and positive price/mix
of 7%, offset by a currency impact of 8% and a 1% impact related to structural
changes. Full-year concentrate sales slightly lagged unit case volume.
Comparable currency neutral net revenues increased 11% for the full year.
Reported operating income increased 2% for the full year. Comparable currency
neutral operating income increased 12% for the full year, primarily reflecting
solid volume growth and favorable pricing across the group, partially offset by
continued investments in the business, including some initial investments
related to the 2014 World Cup. 
* During the quarter, the Latin America Group gained volume and value share in
NARTD beverages, resulting in the eighth consecutive year of share gains. This
consistently strong performance is driven by continued investments behind our
brands, strong activation of holiday programming and a competitively advantaged
package/price portfolio. Sparkling beverage volume was up 3% in the quarter,
with a strong focus on growing our portfolio of flavored sparkling brands. Brand
Coca-Cola volume grew 3% in the quarter while Fanta was up 7% and Sprite was up
5%. Still beverage volume grew 16% in the quarter, driven by ready-to-drink tea,
up double digits as a result of the newly launched Fuze Tea, as well as 22%
growth in sports drinks, 16% growth in packaged water and 8% growth in juices
and juice drinks. Both Mexico and Brazil grew volume and value share in the
quarter in NARTD beverages, with a continued focus on both single-serve and
returnable packaging.

North America

* Our North America Group`s volume grew 1% in the quarter and 2% for the full
year, cycling 1% growth in the prior year quarter and 1% organic growth in the
prior year. Reported net revenues for the quarter increased 6%, reflecting "as
reported" volume growth of 5%, including the benefit of two additional selling
days in the quarter, and a 1% benefit from structural changes, primarily related
to the acquisition of Great Plains Coca-Cola Bottling Company. North America
price/mix in the quarter was even. Fourth quarter reported operating income grew
12%. Comparable currency neutral operating income grew 11% in the quarter,
reflecting positive volume growth and operating leverage as a result of two
additional selling days in the quarter, partially offset by higher commodity
costs and ongoing investments in marketplace executional capabilities. This
operating income growth represents continued sequential improvement quarterly
throughout 2012. For the full year, reported net revenues increased 5%,
reflecting volume growth of 2%, positive price/mix of 2% and a 1% benefit from
structural changes, primarily related to the acquisition of Great Plains
Coca-Cola Bottling Company. Full-year reported operating income increased 12%,
which includes the effect of items impacting comparability, principally costs
related to the integration of the former North America business of Coca-Cola
Enterprises (CCE), as well as net gains/losses related to our economic hedges,
primarily commodities. Comparable currency neutral operating income grew 2% for
the full year, primarily due to positive volume growth and favorable pricing,
partially offset by higher commodity costs and ongoing investments in
marketplace executional capabilities. 
* During the quarter and for the full year, North America gained volume and
value share in NARTD beverages as we continue to build strong value-creating
brands, improve customer service and develop system capabilities. In addition,
we gained volume and value share in sparkling beverages as well as in all still
beverage categories, except the packaged water category, where Dasani maintains
a significant price premium over private label competition, supported by our
PlantBottle PET packaging. Sparkling beverage volume declined 2% in the quarter
with sparkling beverage price/mix growth of 1%. Sparkling beverage volume
declined 1% for the full year. Coca-Cola Zero volume grew mid single digits in
the quarter and high single digits for the full year. Fanta volume was up 10% in
the quarter, led by strong Halloween programming, and Seagram`s grew 9% in the
quarter driven by the continued expansion of Seagram`s Sparkling Seltzer Water
and Diet Seagram`s. Still beverage volume grew 8% in the quarter, led by
Powerade growth of 11% as well as continued strong growth in our ready-to-drink
tea portfolio of Gold Peak, Honest Tea and Fuze. Importantly, Powerade led the
broader North America sports drink category in both absolute volume and value
growth in full year 2012, building on its strong 2012 Olympic Games activation
and the Power Through campaign. Our portfolio of juice and juice drink brands
grew 1% in the quarter and 2% for the full year, with the Simply trademark up
12% in the quarter, driven by the continued expansion of Simply Cranberry
Cocktail and Simply Lemonade with Mango. 
* As part of our previously announced global Productivity and Reinvestment
Program, we are reorganizing our Coca-Cola Refreshments business in the United
States to align its sales and operating functions around three geographies -
East, Central and West. We are taking this action as part of our ongoing effort
to further improve our processes and systems, and to ensure greater operating
effectiveness and productivity across our North America operations. This new
alignment is in keeping with the ongoing evolution of our North America business
model, as we work to further enhance our capabilities to deliver our 2020
Vision.

Pacific

* Our Pacific Group`s volume grew 2% in the quarter and 5% for the full year,
cycling 5% growth in both the prior year quarter and full year. All business
units in the Pacific Group delivered volume growth for full-year 2012, with 11%
growth in the ASEAN region, 5% growth in the Greater China and Korea region, 2%
growth in Japan and 1% growth in the South Pacific region. Reported net revenues
for the quarter declined 1%, reflecting a 1% decline in concentrate sales and
even price/mix. After adjusting for unit case sales without concentrate sales
equivalents and the effect of two additional selling days, concentrate sales in
the quarter lagged unit case sales, primarily due to timing, including a later
Chinese New Year in 2013. Comparable currency neutral net revenues were even in
the quarter. Reported operating income increased 11% in the quarter, reflecting
operating leverage as a result of two additional selling days in the quarter and
ongoing productivity initiatives, as well as positive geographic mix, partially
offset by shifts in product and channel mix. In addition, fourth quarter
reported operating income reflects a 2% currency benefit. Comparable currency
neutral operating income increased 10% in the quarter. For the full year,
reported net revenues increased 3%, reflecting 3% concentrate sales growth and a
1% currency benefit, partially offset by a 1% impact due to structural changes
and the cycling of prior year one-time items related to the natural disasters in
Japan. Price/mix for the full year was even. After adjusting for unit case sales
without concentrate sales equivalents, full-year concentrate sales lagged unit
case sales, primarily due to timing, including a later Chinese New Year in 2013.
Comparable currency neutral net revenues grew 2% for the full year. Reported
operating income increased 13% for the full year, reflecting operating leverage
as a result of productivity initiatives, as well as positive geographic mix,
partially offset by shifts in product and channel mix. Full-year reported
operating income also includes a 2% currency benefit. Comparable currency
neutral operating income increased 6% for the full year. 
* During the quarter, South Korea and Thailand volume and share growth momentum
continued. The Philippines volume grew 6% in the quarter, reflecting the benefit
of consistent investment in executional capabilities there by our Bottling
Investments Group over time. Japan volume declined 4% in the quarter, cycling 5%
growth in the prior year quarter, and China volume declined 4%, cycling 10%
growth in the prior year quarter. In Japan, our continued focus on investing in
new and growing categories has led to two new billion-dollar brands in our
global portfolio, Ayataka premium green tea and I LOHAS single-serve packaged
water. Our fourth quarter China volume was impacted by the ongoing economic
slowdown as well as poor weather, the cycling of double-digit growth from the
prior year and a later Chinese New Year in 2013. During the year, our strong
sparkling beverage portfolio in China continued to expand our nearly 2 to 1
share advantage over our primary competitor. As we look ahead to 2013, we
continue to expect China`s recent economic slowdown to have a short-term effect
on our industry and on our business, although we do expect to see some
improvement in consumer disposable income as the year progresses. As such, we
expect our China business to deliver sequential improvement as we move through
the rest of 2013. We have every confidence in the long-term resilience of our
China business and we remain very excited about our opportunities in this
region.

Bottling Investments

* Our Bottling Investments Group`s volume grew 5% in the quarter on an average
daily sales basis, and grew 10% for the full year. Reported net revenues for the
quarter grew 6%. This reflects 3% growth in "as reported" volume, positive
price/mix of 1% and a 5% benefit due to structural changes, primarily the
acquisition of the Vietnam, Cambodia and Guatemala bottling operations,
partially offset by a currency impact of 3%. The favorable price/mix was driven
by positive pricing across a number of our bottling operations, partially offset
by geographic mix. The growth in "as reported" volume in the quarter was
primarily driven by the Philippines, India and Brazil. Comparable currency
neutral net revenues increased 9% in the quarter. Reported operating income in
the quarter declined $64 million primarily due to the impact of currency as well
as restructuring initiatives. Comparable currency neutral operating income
increased 27% in the quarter, reflecting the increase in revenues resulting from
volume growth and positive pricing in select markets as well as operating
leverage as a result of two additional selling days in the quarter, partially
offset by shifts in package and channel mix and continued investments in our
in-market capabilities. For the full year, reported net revenues grew 4%. This
reflects 6% "as reported" volume growth, positive price/mix of 1% and a 3%
benefit due to structural changes, partially offset by a currency impact of 6%.
Reported operating income for the full year declined 37% primarily due to the
impact of currency as well as restructuring initiatives. Comparable currency
neutral operating income increased 10% for the full year, reflecting the
increase in revenues resulting from volume growth and positive pricing in select
markets, partially offset by shifts in package and channel mix and continued
investments in our in-market capabilities.

FINANCIAL REVIEW

Fourth quarter reported net revenues grew 4%, with comparable net revenues also
up 4%. This reflects a 4% increase in concentrate sales and a 1% benefit due to
structural changes, principally the acquisition of bottling operations. Currency
had a 1% unfavorable effect on net revenues in the quarter and price/mix was
even. Comparable currency neutral net revenues grew 5% in the quarter. After
adjusting for unit case sales without concentrate sales equivalents and the
effect of two additional selling days in the quarter, concentrate sales lagged
unit case sales in the quarter, primarily due to the timing of shipments in
certain markets. For the full year, concentrate sales were in line with unit
case sales. Our price/mix results in the quarter were in line with our
expectations, as the quarter is cycling higher price/mix comparisons from the
prior year. Despite the tougher comparisons, we continued to grow global NARTD
value share for the 22nd consecutive quarter. For the full year, both reported
and comparable net revenues grew 3%. This reflects a 4% increase in concentrate
sales, positive price/mix of 1% and a 1% benefit due to structural changes.
Currency had a 3% unfavorable effect on net revenues for the full year.
Comparable currency neutral net revenues grew 6% for the full year. 

Reported cost of goods sold increased 5% in the quarter, with comparable cost of
goods sold up 4%, driven by a 4% increase in concentrate sales and reflecting
moderately higher commodity costs compared to the prior year quarter, primarily
in North America and the Bottling Investments Group. Currency had minimal impact
on comparable cost of goods sold in the quarter. For the full year, reported and
comparable cost of goods sold both increased 5%, driven by a 4% increase in
concentrate sales and incremental commodity costs of approximately $225 million
for sweeteners, juices, metals and PET, primarily impacting North America and
the Bottling Investments Group. Currency decreased comparable cost of goods sold
by 2% for the full year. Items impacting comparability in the quarter and for
the full year primarily included net gains/losses on commodities hedging. We
currently estimate full-year 2013 incremental commodity costs of approximately
$100 million for sweeteners, juices, metals and PET compared to 2012. 

Reported SG&A expenses grew 1% in the quarter, and comparable SG&A expenses were
even in the quarter. Currency decreased comparable SG&A expenses by 1% in the
quarter. We captured nine points of operating expense leverage in the quarter,
reflecting the benefit of two additional selling days in the quarter. In
addition, operating expense leverage benefited from the timing of certain
operating expenses and the reversal of expenses related to our long-term
incentive plans for certain performance periods due to the unfavorable impact
that currencies had, or are projected to have, on those plans. It is important
to remember that a portion of our stock-based compensation is based on
multi-year performance periods and includes the impact of currency. For the full
year, both reported and comparable SG&A expenses increased 2%. Comparable
currency neutral SG&A expenses increased 5%, which reflects our continued
investments around the world in the health and strength of our brands, as well
as the cost of adding incremental "feet on the street," primarily in North
America and the Bottling Investments Group, in support of our growing business.
SG&A also included a benefit from the reversal of expenses related to our
long-term incentive plans for certain performance periods due to the unfavorable
impact that currencies had, or are projected to have, on those plans. We
captured one point of operating expense leverage in 2012, consistent with our
prior expectations of slightly positive operating expense leverage for the full
year. For 2013, we estimate operating expense leverage to be even to slightly
positive for the full year. 

Fourth quarter reported operating income increased 12%, with comparable currency
neutral operating income up 14%. Full-year reported and comparable currency
neutral operating income both increased 6%. Items impacting comparability
reduced fourth quarter 2012 operating income by $300 million and reduced
full-year 2012 operating income by $471 million. Items impacting comparability
reduced fourth quarter 2011 operating income by $283 million and reduced
full-year 2011 operating income by $896 million. Currency reduced comparable
operating income by 4% in the quarter and 5% for the full year. For 2013,
including our hedge positions, current spot rates and the cycling of our prior
year rates, as well as the recent devaluation announcement in Venezuela, we
estimate currency will have a4% unfavorable impact on operating income for the
first quarter of 2013 and a 1% unfavorable impact for the full year. 

On a full-year basis, our net share repurchases totaled $3.1 billion, slightly
above the high end of our previous outlook of $2.5 to $3.0 billion. In 2013, we
are targeting net share repurchases of $3.0 to $3.5 billion for the full year. 

Fourth quarter reported EPS was $0.41 and comparable EPS was $0.45. Items
impacting comparability reduced fourth quarter 2012 reported EPS by a net $0.04
and reduced fourth quarter 2011 reported EPS by a net $0.03. In both periods,
these items included restructuring charges, costs related to global productivity
initiatives, gains/charges related to equity investees, net gains/losses on
transactions, net gains/losses related to our economic hedges, primarily
commodities, and certain tax matters. Items impacting comparability in fourth
quarter 2012 also included charges related to changes in the structure of
Beverage Partners Worldwide (BPW). Items impacting comparability in fourth
quarter 2011 also included CCE integration costs. 

Full-year cash from operations was $10,645 million, up 12%, primarily due to an
improvement in working capital of approximately $800 million, which partially
benefited from the timing of certain working capital items. 

Effective Tax Rate

The reported effective tax rates for the quarter and full year were 20.5% and
23.1%, respectively. The underlying effective annual tax rate on operations in
2012 was 24.0%, and we expect it to be approximately the same for 2013. The
variance between the reported rate and the underlying rate was due to the tax
effect of various items impacting comparability, separately disclosed in this
document in the Reconciliation of GAAP and Non-GAAP Financial Measures schedule.


The underlying effective tax rate does not reflect the impact of significant or
unusual items and discrete events, which, if and when they occur, are separately
recognized in the appropriate period. 

Items Impacting Prior Year Results

First quarter 2011 results included a net charge of $0.02 per share due to
restructuring charges, costs related to global productivity initiatives and the
CCE integration, and charges related to the natural disasters in Japan,
partially offset by a gain on the sale of the Company`s stake in Chilean bottler
Coca-Cola Embonor S.A. 

Second quarter 2011 results included a net gain of $0.02 per share due to a
noncash gain on the adjustment to fair value of our investment in Mexican
bottler Grupo Continental S.A.B., partially offset by restructuring charges,
costs related to global productivity initiatives and the CCE integration, and
charges related to the natural disasters in Japan. 

Third quarter 2011 results included a net charge of $0.04 per share due to
restructuring charges and costs related to global productivity initiatives and
the CCE integration. 

Fourth quarter 2011 results included a net charge of $0.03 per share due to
restructuring charges and costs related to global productivity initiatives and
the CCE integration, partially offset by transaction gains. 

NOTES

* All references to growth rate percentages, share and cycling of growth rates
compare the results of the period to those of the prior year comparable period. 
* "Concentrate sales" represents the amount of concentrates, syrups, beverage
bases and powders sold by, or used in finished beverages sold by, the Company to
its bottling partners or other customers. 
* "Sparkling beverages" means NARTD beverages with carbonation, including energy
drinks and carbonated waters and flavored waters. 
* "Still beverages" means nonalcoholic beverages without carbonation, including
noncarbonated waters, flavored waters and enhanced waters, juices and juice
drinks, teas, coffees, sports drinks and noncarbonated energy drinks. 
* All references to volume and volume percentage changes indicate unit case
volume, except for the reference to volume included in the explanation of net
revenue growth for North America. All volume percentage changes are computed
based on average daily sales for the fourth quarter, unless otherwise noted, and
are computed on a reported basis for the full year. "Unit case" means a unit of
measurement equal to 24 eight-ounce servings of finished beverage. "Unit case
volume" means the number of unit cases (or unit case equivalents) of Company
beverages directly or indirectly sold by the Company and its bottling partners
to customers. 
* For both North America and Bottling Investments Group, net revenue growth
attributable to volume reflects the increase in "as reported" volume, which is
based on as reported sales rather than average daily sales and may include the
impact of structural changes. For North America, this volume represents
Coca-Cola Refreshments` unit case sales (which are equivalent to concentrate
sales) plus concentrate sales to non-Company-owned bottling operations. 
* Fourth quarter 2012 financial results were impacted by two additional selling
days, which offset the impact of one less selling day in first quarter 2012
results. Unit case volume results for the quarters are not impacted by the
variance in selling days due to the average daily sales computation referenced
above. 
* Due to the refocusing in 2012 of the Beverage Partners Worldwide (BPW)
ready-to-drink tea joint venture with Nestlé S.A. (Nestlé), we have eliminated
the BPW joint venture volume and associated concentrate sales from our reported
results for both 2011 and 2012 in those countries in which the joint venture was
phased out during 2012. In addition, we have eliminated the Nestea licensed
volume and associated concentrate sales in the U.S. due to our U.S. license
agreement with Nestlé terminating at the end of 2012. These changes did not
materially impact the Company`s reported volume results for fourth quarter or
full-year 2012 on a consolidated basis or for any individual operating group.
However, these changes increased the Company`s reported fourth quarter and
full-year 2012 volume for still beverages by 2 points in both periods, and
ready-to-drink tea by 18 points and 11 points, respectively. 
* The Company reports its financial results in accordance with accounting
principles generally accepted in the United States (GAAP). However, management
believes that certain non-GAAP financial measures provide users with additional
meaningful financial information that should be considered when assessing our
ongoing performance. Management also uses these non-GAAP financial measures in
making financial, operating and planning decisions and in evaluating the
Company`s performance. Non-GAAP financial measures should be viewed in addition
to, and not as an alternative for, the Company`s reported results prepared in
accordance with GAAP. Our non-GAAP financial information does not represent a
comprehensive basis of accounting.

CONFERENCE CALL

We are hosting a conference call with investors and analysts to discuss
full-year and fourth quarter 2012 results today, Feb. 12, 2013 at 9:30 a.m. EST.
We invite investors to listen to a live audiocast of the conference call at our
website, http://www.coca-colacompany.com in the "Investors" section. A replay in
downloadable MP3 format and transcript of the call will also be available within
24 hours after the audiocast on our website. Further, the "Investors" section of
our website includes a reconciliation of non-GAAP financial measures that may be
used periodically by management when discussing our financial results with
investors and analysts to our results as reported under GAAP.

                                                                                                                                      
                                                                                                                                      
                                                                                                                                      
                                                                                                                                      
                                                                                                                                      
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                               
 Condensed Consolidated Statements of Income                                                                                          
 (UNAUDITED)                                                                                                                          
 (In millions except per share data)                                                                                                  
                                                                                                                                      
                                                                    Three Months Ended                                                
                                                                    December 31,              December 31,              % Change      
                                                                    
2012                     
2011                                   
                                                                                              As Adjusted1                            
 Net Operating Revenues                                             $      11,455             $      11,040             4             
 Cost of goods sold                                                 4,628                     4,403                     5             
 Gross Profit                                                       6,827                     6,637                     3             
 Selling, general and administrative expenses                       4,430                     4,406                     1             
 Other operating charges                                            214                       275                       -             
 Operating Income                                                   2,183                     1,956                     12            
 Interest income                                                    126                       127                       (1     )      
 Interest expense                                                   95                        104                       (9     )      
 Equity income (loss) - net                                         182                       155                       17            
 Other income (loss) - net                                          (19            )          82                        -             
 Income Before Income Taxes                                         2,377                     2,216                     7             
 Income taxes                                                       487                       539                       (10    )      
 Consolidated Net Income                                            1,890                     1,677                     13            
 Less: Net income attributable to noncontrolling interests          24                        20                        20            
 Net Income Attributable to Shareowners of The Coca-Cola Company    $      1,866              $      1,657              13            
 Diluted Net Income Per Share2,3                                    $      0.41               $      0.36               14            
 Average Shares Outstanding - Diluted2,3                            4,557                     4,611                                   
 1 Effective January 1, 2012, the Company elected to change our accounting methodology for determining the market-related value of assets for our U.S. qualified defined benefit pension plans. The Company's change in accounting methodology has been applied retrospectively, and we have adjusted all prior period financial information presented herein as required. 
 2 For the three months ended December 31, 2012 and 2011, basic net income per share was $0.42 for 2012 and $0.37 for 2011 based on average shares outstanding - basic of 4,479 for 2012 and 4,536 for 2011. Basic net income per share and diluted net income per share are calculated based on net income attributable to shareowners of The Coca-Cola Company. 
 3 Following shareowner approval, the Company amended its certificate of incorporation on July 27, 2012, to increase the number of authorized shares of common stock from 5.6 billion to 11.2 billion and effect a two-for-one stock split of the common stock. Accordingly, all share and per share data presented herein reflects the impact of the increase in authorized shares and the stock split. 


                                                                                                                                      
                                                                                                                                      
                                                                                                                                      
                                                                                                                                      
                                                                                                                                      
                                                                                                                                      
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                               
 Condensed Consolidated Statements of Income                                                                                          
 (UNAUDITED)                                                                                                                          
 (In millions except per share data)                                                                                                  
                                                                                                                                      
                                                                    Year Ended                                                        
                                                                    December 31,              December 31,              % Change      
                                                                    2012                      2011                                    
                                                                                              As Adjusted1                            
 Net Operating Revenues                                             $      48,017             $      46,542             3             
 Cost of goods sold                                                 19,053                    18,215                    5             
 Gross Profit                                                       28,964                    28,327                    2             
 Selling, general and administrative expenses                       17,738                    17,422                    2             
 Other operating charges                                            447                       732                       -             
 Operating Income                                                   10,779                    10,173                    6             
 Interest income                                                    471                       483                       (2     )      
 Interest expense                                                   397                       417                       (5     )      
 Equity income (loss) - net                                         819                       690                       19            
 Other income (loss) - net                                          137                       529                       -             
 Income Before Income Taxes                                         11,809                    11,458                    3             
 Income taxes                                                       2,723                     2,812                     (3     )      
 Consolidated Net Income                                            9,086                     8,646                     5             
 Less: Net income attributable to noncontrolling interests          67                        62                        8             
 Net Income Attributable to Shareowners of The Coca-Cola Company    $      9,019              $      8,584              5             
 Diluted Net Income Per Share2,3                                    $      1.97               $      1.85               6             
 Average Shares Outstanding - Diluted2,3                            4,584                     4,646                                   
 1 Effective January 1, 2012, the Company elected to change our accounting methodology for determining the market-related value of assets for our U.S. qualified defined benefit pension plans. The Company's change in accounting methodology has been applied retrospectively, and we have adjusted all prior period financial information presented herein as required. 
 2 For the years ended December 31, 2012 and 2011, basic net income per share was $2.00 for 2012 and $1.88 for 2011 based on average shares outstanding - basic of 4,504 for 2012 and 4,568 for 2011. Basic net income per share and diluted net income per share are calculated based on net income attributable to shareowners of The Coca-Cola Company. 
 3 Following shareowner approval, the Company amended its certificate of incorporation on July 27, 2012, to increase the number of authorized shares of common stock from 5.6 billion to 11.2 billion and effect a two-for-one stock split of the common stock. Accordingly, all share and per share data presented herein reflects the impact of the increase in authorized shares and the stock split. 


                                                                                                                                                            
                                                                                                                                                            
                                                                                                                                                            
                                                                                                                                                            
                                                                                                                                                            
                                                                                                                                                            
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                     
 Condensed Consolidated Balance Sheets                                                                                                                      
 (UNAUDITED)                                                                                                                                                
 (In millions except par value)                                                                                                                             
                                                                                                                                                            
                                                                                                              December 31,            December 31,          
                                                                                                              2012                    2011                  
                                                                                                                                      As Adjusted1          
 ASSETS                                                                                                                                                     
 Current Assets                                                                                                                                             
 Cash and cash equivalents                                                                                    $      8,442            $      12,803         
 Short-term investments                                                                                       5,017                   1,088                 
 Total Cash, Cash Equivalents and Short-Term Investments                                                      13,459                  13,891                
 Marketable securities                                                                                        3,092                   144                   
 Trade accounts receivable, less allowances of $53 and $83, respectively                                      4,759                   4,920                 
 Inventories                                                                                                  3,264                   3,092                 
 Prepaid expenses and other assets                                                                            2,781                   3,450                 
 Assets held for sale                                                                                         2,973                   -                     
 Total Current Assets                                                                                         30,328                  25,497                
 Equity Method Investments                                                                                    9,216                   7,233                 
 Other Investments, Principally Bottling Companies                                                            1,232                   1,141                 
 Other Assets                                                                                                 3,585                   3,495                 
 Property, Plant and Equipment - net                                                                          14,476                  14,939                
 Trademarks With Indefinite Lives                                                                             6,527                   6,430                 
 Bottlers' Franchise Rights With Indefinite Lives                                                             7,405                   7,770                 
 Goodwill                                                                                                     12,255                  12,219                
 Other Intangible Assets                                                                                      1,150                   1,250                 
 Total Assets                                                                                                 $      86,174           $      79,974         
                                                                                                                                                            
 LIABILITIES AND EQUITY                                                                                                                                     
 Current Liabilities                                                                                                                                        
 Accounts payable and accrued expenses                                                                        $      8,680            $      9,009          
 Loans and notes payable                                                                                      16,297                  12,871                
 Current maturities of long-term debt                                                                         1,577                   2,041                 
 Accrued income taxes                                                                                         471                     362                   
 Liabilities held for sale                                                                                    796                     -                     
 Total Current Liabilities                                                                                    27,821                  24,283                
 Long-Term Debt                                                                                               14,736                  13,656                
 Other Liabilities                                                                                            5,468                   5,420                 
 Deferred Income Taxes                                                                                        4,981                   4,694                 
 The Coca-Cola Company Shareowners' Equity                                                                                                                  
 Common stock, $0.25 par value; Authorized - 11,200 shares; Issued - 7,040 and 7,040 shares, respectively2    1,760                   1,760                 
 Capital surplus                                                                                              11,379                  10,332                
 Reinvested earnings                                                                                          58,045                  53,621                
 Accumulated other comprehensive income (loss)                                                                (3,385         )        (2,774         )      
 Treasury stock, at cost - 2,571 and 2,514 shares, respectively2                                              (35,009        )        (31,304        )      
 Equity Attributable to Shareowners of The Coca-Cola Company                                                  32,790                  31,635                
 Equity Attributable to Noncontrolling Interests                                                              378                     286                   
 Total Equity                                                                                                 33,168                  31,921                
 Total Liabilities and Equity                                                                                 $      86,174           $      79,974         
 1 Effective January 1, 2012, the Company elected to change our accounting methodology for determining the market-related value of assets for our U.S. qualified defined benefit pension plans. The Company's change in accounting methodology has been applied retrospectively, and we have adjusted all prior period financial information presented herein as required. 
 2 Following shareowner approval, the Company amended its certificate of incorporation on July 27, 2012, to increase the number of authorized shares of common stock from 5.6 billion to 11.2 billion and effect a two-for-one stock split of the common stock. Accordingly, all share and per share data presented herein reflects the impact of the increase in authorized shares and the stock split. 


                                                                                                                       
                                                                                                                       
                                                                                                                       
                                                                                                                       
                                                                                                                       
                                                                                                                       
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                
 Condensed Consolidated Statements of Cash Flows                                                                       
 (UNAUDITED)                                                                                                           
 (In millions)                                                                                                         
                                                                                                                       
                                                                        Year Ended                                     
                                                                        December 31,             December 31,          
                                                                        2012                     2011                  
                                                                                                 As Adjusted1          
 Operating Activities                                                                                                  
 Consolidated net income                                                $      9,086             $      8,646          
 Depreciation and amortization                                          1,982                    1,954                 
 Stock-based compensation expense                                       259                      354                   
 Deferred income taxes                                                  632                      1,035                 
 Equity (income) loss - net of dividends                                (426          )          (269           )      
 Foreign currency adjustments                                           (130          )          7                     
 Significant (gains) losses on sales of assets - net                    (98           )          (220           )      
 Other operating charges                                                166                      214                   
 Other items                                                            254                      (354           )      
 Net change in operating assets and liabilities                         (1,080        )          (1,893         )      
 Net cash provided by operating activities                              10,645                   9,474                 
 Investing Activities                                                                                                  
 Purchases of short-term investments                                    (9,590        )          (4,057         )      
 Proceeds from disposals of short-term investments                      5,622                    5,647                 
 Acquisitions and investments                                           (1,535        )          (977           )      
 Purchases of other investments                                         (5,266        )          (787           )      
 Proceeds from disposals of bottling companies and other investments    2,189                    562                   
 Purchases of property, plant and equipment                             (2,780        )          (2,920         )      
 Proceeds from disposals of property, plant and equipment               143                      101                   
 Other investing activities                                             (187          )          (93            )      
 Net cash provided by (used in) investing activities                    (11,404       )          (2,524         )      
 Financing Activities                                                                                                  
 Issuances of debt                                                      42,791                   27,495                
 Payments of debt                                                       (38,573       )          (22,530        )      
 Issuances of stock                                                     1,489                    1,569                 
 Purchases of stock for treasury                                        (4,559        )          (4,513         )      
 Dividends                                                              (4,595        )          (4,300         )      
 Other financing activities                                             100                      45                    
 Net cash provided by (used in) financing activities                    (3,347        )          (2,234         )      
 Effect of Exchange Rate Changes on Cash and Cash Equivalents           (255          )          (430           )      
 Cash and Cash Equivalents                                                                                             
 Net increase (decrease) during the period                              (4,361        )          4,286                 
 Balance at beginning of period                                         12,803                   8,517                 
 Balance at end of period                                               $      8,442             $      12,803         
 1 Effective January 1, 2012, the Company elected to change our accounting methodology for determining the market-related value of assets for our U.S. qualified defined benefit pension plans. The Company's change in accounting methodology has been applied retrospectively, and we have adjusted all prior period financial information presented herein as required. 


                                                                                                                                                                                                                                       
                                                                                                                                                                                                                                       
                                                                                                                                                                                                                                       
                                                                                                                                                                                                                                       
                                                                                                                                                                                                                                       
                                                                                                                                                                                                                                       
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                                                                
 Operating Segments                                                                                                                                                                                                                    
 (UNAUDITED)                                                                                                                                                                                                                           
 (In millions)                                                                                                                                                                                                                         
                                                                                                                                                                                                                                       
 Three Months Ended                                                                                                                                                                                                                    
                                                                                                                                                                                                                                       
                         Net Operating Revenues                                                Operating Income (Loss)1                                            Income (Loss) Before Income Taxes1                                  
                         December 31,               December 31,               % Fav. /        December 31,              December 31,              % Fav. /        December 31,               December 31,               % Fav. /      
                         
2012                      
2011                      
(Unfav.)       
2012                     
2011                     
(Unfav.)       
2012                      
2011                      
(Unfav.)     
 Eurasia & Africa        $      697                 $      663                 5               $      273                $      231                18              $      281                 $      233                 21            
 Europe                  1,143                      1,212                      (6     )        670                       593                       13              675                        598                        13            
 Latin America           1,274                      1,177                      8               715                       652                       10              718                        658                        9             
 North America           5,292                      4,993                      6               558                       498                       12              558                        500                        12            
 Pacific                 1,346                      1,357                      (1     )        426                       382                       11              434                        383                        13            
 Bottling Investments    2,087                      1,977                      6               (29           )           35                        -               154                        197                        (22    )      
 Corporate               19                         34                         (46    )        (430          )           (435          )           1               (443          )            (353          )            (25    )      
 Eliminations            (403           )           (373           )           -               -                         -                         -               -                          -                          -             
 Consolidated            $      11,455              $      11,040              4               $      2,183              $      1,956              12              $      2,377               $      2,216               7             
 1 Effective January 1, 2012, the Company elected to change our accounting methodology for determining the market-related value of assets for our U.S. qualified defined benefit pension plans. The Company's change in accounting methodology has been applied retrospectively, and we have adjusted all prior period financial information presented herein as required. 
                                                                                                                                                                                                                                       
 Note: Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                                                                                                             
                                                                                                                                                                                                                                       
                                                                                                                                                                                                                                       


During the three months ended December 31, 2012, the results of our operating
segments were impacted by the following items:

* Intersegment revenues were $26 million for Eurasia and Africa, $154 million
for Europe, $95 million for Latin America, $2 million for North America, $104
million for Pacific and $22 million for Bottling Investments. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$1 million for Europe, $70 million for North America, $2 million for Pacific,
$119 million for Bottling Investments and $20 million for Corporate due to
charges related to the Company`s productivity and reinvestment program as well
as other restructuring initiatives. Operating income (loss) and income (loss)
before income taxes were increased by $1 million for Europe due to the
refinement of previously established accruals related to the Company`s 2008-2011
productivity initiatives. Operating income (loss) and income (loss) before
income taxes were increased by $1 million for North America due to the
refinement of previously established accruals related to the Company`s
integration of Coca-Cola Enterprises Inc.`s ("CCE") former North America
business. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$6 million for North America due to the loss or damage of certain fixed assets
as a result of Hurricane Sandy. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$6 million for Corporate due to the elimination of the Company`s proportionate
share of gross profit in inventory on sales to Embotelladora Andina S.A.
("Andina") following its merger with Embotelladoras Coca-Cola Polar S.A.
("Polar"). Subsequent to this transaction, the Company has an ownership interest
in Andina that we account for under the equity method of accounting. 
* Operating income (loss) and income (loss) before income taxes were increased
by $3 million for Corporate due to a net gain on the sale of land held by one of
the Company`s consolidated bottling operations, partially offset by transaction
costs associated with the Company`s acquisition of an equity ownership interest
in Mikuni Coca-Cola Bottling Co., Ltd. ("Mikuni"), a bottling partner with
operations in Japan. 
* Income (loss) before income taxes was increased by $185 million for Corporate
due to the gain the Company recognized as a result of the merger of Andina and
Polar. 
* Income (loss) before income taxes was reduced by $108 million for Corporate
due to the loss the Company recognized on the pending sale of a majority
ownership interest in our Philippine bottling operations to Coca-Cola FEMSA
S.A.B. de C.V. ("Coca-Cola FEMSA"). This transaction was completed in January
2013. As of December 31, 2012, the assets and liabilities associated with our
Philippine bottling operations were classified as held for sale in our
consolidated balance sheets. 
* Income (loss) before income taxes was reduced by $82 million for Corporate due
to the Company acquiring an ownership interest in Mikuni for which we paid a
premium over the publicly traded market price. This premium was expensed on the
acquisition date. Subsequent to this transaction, the Company accounts for our
investment in Mikuni under the equity method of accounting 
* Income (loss) before income taxes was reduced by $25 million for Bottling
Investments due to the Company`s proportionate share of unusual or infrequent
items recorded by certain of our equity method investees. 
* Income (loss) before income taxes was reduced by $16 million for Corporate due
to other-than-temporary declines in the fair values of certain cost method
investments. 
* Income (loss) before income taxes was reduced by $1 million for Europe and was
increased by $1 million for Eurasia and Africa, $1 million for Latin America, $1
million for North America and $1 million for Pacific due to changes in the
structure of Beverage Partners Worldwide ("BPW"), our 50/50 joint venture with
Nestlé S.A. ("Nestlé") in the ready-to-drink tea category. 
* Income (loss) before income taxes was reduced by $5 million for Corporate due
to charges associated with the Company`s indemnification of a previously
consolidated entity.

During the three months ended December 31, 2011, the results of our operating
segments were impacted by the following items:

* Intersegment revenues were $28 million for Eurasia and Africa, $160 million
for Europe, $82 million for Latin America, $1 million for North America, $78
million for Pacific and $24 million for Bottling Investments. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$3 million for Eurasia and Africa, $20 million for Europe, $1 million for Latin
America, $145 million for North America, $1 million for Pacific, $31 million for
Bottling Investments and $64 million for Corporate, primarily due to the
Company`s productivity, integration and restructuring initiatives. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$10 million for Corporate due to charges associated with the floods in Thailand
that impacted the Company`s supply chain operations in the region. 
* Income (loss) before income taxes was reduced by $13 million for Bottling
Investments due to the Company`s proportionate share of unusual or infrequent
items recorded by certain of our equity method investees. 
* Income (loss) before income taxes was increased by a net $122 million for
Corporate, primarily due to gains the Company recognized as a result of an
equity method investee issuing additional shares of its own stock during the
period at a per share amount greater than the carrying value of the Company`s
per share investment. These gains were partially offset by charges associated
with certain of the Company`s equity method investments in Japan. 
* Income (loss) before income taxes was reduced by $17 million for Corporate due
to other-than-temporary declines in the fair values of certain
available-for-sale securities. 
* Income (loss) before income taxes was reduced by $1 million for Corporate due
to costs associated with the early extinguishment of certain long-term debt.
This debt existed prior to the Company`s acquisition of CCE`s former North
America business.

                                                                                                                                                                                                                                           
                                                                                                                                                                                                                                           
                                                                                                                                                                                                                                           
                                                                                                                                                                                                                                           
                                                                                                                                                                                                                                           
                                                                                                                                                                                                                                           
                                                                                                                                                                                                                                           
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                                                                    
 Operating Segments                                                                                                                                                                                                                        
 (UNAUDITED)                                                                                                                                                                                                                               
 (In millions)                                                                                                                                                                                                                             
                                                                                                                                                                                                                                           
 Year Ended                                                                                                                                                                                                                                
                                                                                                                                                                                                                                           
                         Net Operating Revenues                                                Operating Income (Loss)1                                              Income (Loss) Before Income Taxes1                                    
                         December 31,               December 31,               % Fav. /        December 31,               December 31,               % Fav. /        December 31,                December 31,                % Fav. /      
                         
2012                      
2011                      
(Unfav.)       
2012                      
2011                      
(Unfav.)       
2012                       
2011                       
(Unfav.)     
 Eurasia & Africa        $      2,970               $      2,841               5               $      1,169               $      1,091               7               $      1,192                $      1,089                9             
 Europe                  5,123                      5,474                      (6     )        2,960                      3,090                      (4     )        3,015                       3,134                       (4     )      
 Latin America           4,831                      4,690                      3               2,879                      2,815                      2               2,882                       2,832                       2             
 North America           21,680                     20,571                     5               2,597                      2,319                      12              2,624                       2,327                       13            
 Pacific                 6,035                      5,838                      3               2,425                      2,151                      13              2,432                       2,154                       13            
 Bottling Investments    8,895                      8,591                      4               140                        224                        (37    )        904                         897                         1             
 Corporate               127                        159                        (20    )        (1,391         )           (1,517         )           8               (1,240         )            (975           )            (27    )      
 Eliminations            (1,644         )           (1,622         )           -               -                          -                          -               -                           -                           -             
 Consolidated            $      48,017              $      46,542              3               $      10,779              $      10,173              6               $      11,809               $      11,458               3             
 1 Effective January 1, 2012, the Company elected to change our accounting methodology for determining the market-related value of assets for our U.S. qualified defined benefit pension plans. The Company's change in accounting methodology has been applied retrospectively, and we have adjusted all prior period financial information presented herein as required. 
                                                                                                                                                                                                                                           
 Note: Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                                                                                                                 
                                                                                                                                                                                                                                           
                                                                                                                                                                                                                                           


During the year ended December 31, 2012, the results of our operating segments
were impacted by the following items:

* Intersegment revenues were $152 million for Eurasia and Africa, $642 million
for Europe, $271 million for Latin America, $15 million for North America, $476
million for Pacific and $88 million for Bottling Investments. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$1 million for Europe, $227 million for North America, $3 million for Pacific,
$164 million for Bottling Investments and $38 million for Corporate due to
charges related to the Company`s productivity and reinvestment program as well
as other restructuring initiatives. Operating income (loss) and income (loss)
before income taxes were increased by $4 million for Europe, $1 million for
Pacific and $5 million for Corporate due to the refinement of previously
established accruals related to the Company`s 2008-2011 productivity
initiatives. Operating income (loss) and income (loss) before income taxes were
increased by $6 million for North America due to the refinement of previously
established accruals related to the Company`s integration of CCE`s former North
America business. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$21 million for North America due to costs associated with the Company detecting
residues of carbendazim, a fungicide that is not registered in the U.S. for use
on citrus products, in orange juice imported from Brazil for distribution in the
U.S. As a result, the Company began purchasing additional supplies of Florida
orange juice at a higher cost than Brazilian orange juice. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$20 million for North America due to changes in the Company`s ready-to-drink tea
strategy as a result of our current U.S. license agreement with Nestlé
terminating at the end of 2012. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$6 million for North America due to the loss or damage of certain fixed assets
as a result of Hurricane Sandy. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$6 million for Corporate due to the elimination of the Company`s proportionate
share of gross profit in inventory on sales to Andina following its merger with
Polar. Subsequent to this transaction, the Company has an ownership interest in
Andina that we account for under the equity method of accounting. 
* Operating income (loss) and income (loss) before income taxes were increased
by $3 million for Corporate due to a gain on the sale of land held by one of the
Company`s consolidated bottling operations, partially offset by transaction
costs associated with the Company`s acquisition of an equity ownership interest
in Mikuni, a bottling partner with operations in Japan. 
* Income (loss) before income taxes was increased by $185 million for Corporate
due to the gain the Company recognized as a result of the merger of Andina and
Polar. 
* Income (loss) before income taxes was increased by $92 million for Corporate
due to a gain the Company recognized as a result of Coca-Cola FEMSA issuing
additional shares of its own stock during the period at a per share amount
greater than the carrying amount of the Company`s per share investment. 
* Income (loss) before income taxes was reduced by $108 million for Corporate
due to the loss the Company recognized on the pending sale of a majority
ownership interest in our Philippine bottling operations to Coca-Cola FEMSA.
This transaction was completed in January 2013. As of December 31, 2012, the
assets and liabilities associated with our Philippine bottling operations were
classified as held for sale in our consolidated balance sheets. 
* Income (loss) before income taxes was reduced by $82 million for Corporate due
to the Company acquiring an ownership interest in Mikuni for which we paid a
premium over the publicly traded market price. This premium was expensed on the
acquisition date. Subsequent to this transaction, the Company accounts for our
investment in Mikuni under the equity method of accounting. 
* Income (loss) before income taxes was increased by $8 million for Bottling
Investments due to the Company`s proportionate share of unusual or infrequent
items recorded by certain of our equity method investees. 
* Income (loss) before income taxes was reduced by $16 million for Corporate due
to other-than-temporary declines in the fair values of certain cost method
investments. 
* Income (loss) before income taxes was reduced by $1 million for Eurasia and
Africa, $4 million for Europe, $2 million for Latin America and $4 million for
Pacific due to changes in the structure of BPW, our 50/50 joint venture with
Nestlé in the ready-to-drink tea category. 
* Income (loss) before income taxes was reduced by $5 million for Corporate due
to charges associated with the Company`s indemnification of a previously
consolidated entity.

During the year ended December 31, 2011, the results of our operating segments
were impacted by the following items:

* Intersegment revenues were $152 million for Eurasia and Africa, $697 million
for Europe, $287 million for Latin America, $12 million for North America, $384
million for Pacific and $90 million for Bottling Investments. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$12 million for Eurasia and Africa, $25 million for Europe, $4 million for Latin
America, $374 million for North America, $4 million for Pacific, $89 million for
Bottling Investments and $164 million for Corporate, primarily due to the
Company`s productivity, integration and restructuring initiatives as well as
costs associated with the merger of Embotelladoras Arca S.A.B. de C.V. ("Arca")
and Grupo Continental S.A.B. ("Contal"). 
* Operating income (loss) and income (loss) before income taxes were reduced by
$2 million for North America and $82 million for Pacific due to charges
associated with the earthquake and tsunami that devastated northern and eastern
Japan on March 11, 2011. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$19 million for North America due to the amortization of favorable supply
contracts acquired in connection with our acquisition of CCE`s former North
America business. 
* Operating income (loss) and income (loss) before income taxes were reduced by
$10 million for Corporate due to charges associated with the floods in Thailand
that impacted the Company`s supply chain operations in the region. 
* Income (loss) before income taxes was increased by a net $417 million for
Corporate, primarily due to the gain the Company recognized as a result of the
merger of Arca and Contal. 
* Income (loss) before income taxes was increased by a net $122 million for
Corporate, primarily due to gains the Company recognized as a result of an
equity method investee issuing additional shares of its own stock during the
period at a per share amount greater than the carrying value of the Company`s
per share investment. These gains were partially offset by charges associated
with certain of the Company`s equity method investments in Japan. 
* Income (loss) before income taxes was increased by $102 million for Corporate
due to the gain on the sale of our investment in Coca-Cola Embonor S.A.
("Embonor"), a bottling partner with operations primarily in Chile. Prior to
this transaction, the Company accounted for our investment in Embonor under the
equity method of accounting. 
* Income (loss) before income taxes was reduced by $53 million for Bottling
Investments due to the Company`s proportionate share of unusual or infrequent
items recorded by certain of our equity method investees. 
* Income (loss) before income taxes was reduced by $41 million for Corporate due
to the impairment of an investment in an entity accounted for under the equity
method of accounting. 
* Income (loss) before income taxes was reduced by $17 million for Corporate due
to other-than-temporary declines in the fair values of certain
available-for-sale securities. 
* Income (loss) before income taxes was reduced by $9 million for Corporate due
to the net charge we recognized on the repurchase and/or exchange of certain
long-term debt assumed in connection with our acquisition of CCE`s former North
America business as well as the early extinguishment of certain other long-term
debt. 
* Income (loss) before income taxes was reduced by $5 million for Corporate due
to the finalization of working capital adjustments related to the sale of our
Norwegian and Swedish bottling operations to New CCE.

                                                         
                                                         
                                                         
                                                         
                                                         
                                                         
                                                         
 THE COCA-COLA COMPANY AND SUBSIDIARIES                  
 Reconciliation of GAAP and Non-GAAP Financial Measures  
 (UNAUDITED)                                             


The Company reports its financial results in accordance with accounting
principles generally accepted in the United States ("GAAP" or referred to herein
as "reported"). However, management believes that certain non-GAAP financial
measures provide users with additional meaningful financial information that
should be considered when assessing our ongoing performance. Management also
uses these non-GAAP financial measures in making financial, operating and
planning decisions and in evaluating the Company`s performance. Non-GAAP
financial measures should be viewed in addition to, and not as an alternative
for, the Company`s reported results prepared in accordance with GAAP. Our
non-GAAP financial information does not represent a comprehensive basis of
accounting. 

ITEMS IMPACTING COMPARABILITY

The following information is provided to give qualitative and quantitative
information related to items impacting comparability. Items impacting
comparability are not defined terms within GAAP. Therefore, our non-GAAP
financial information may not be comparable to similarly titled measures
reported by other companies. We determine which items to consider as "items
impacting comparability" based on how management views our business; makes
financial, operating and planning decisions; and evaluates the Company`s ongoing
performance. Items such as charges, gains and accounting changes which are
viewed by management as impacting only the current period or the comparable
period, but not both, or as relating to different and unrelated underlying
activities or events across comparable periods, are generally considered "items
impacting comparability." In addition, we provide the impact that changes in
foreign currency exchange rates had on our financial results ("currency
neutral"). 

Asset Impairments and Restructuring

Asset Impairments

During the three months and year ended December 31, 2012, the Company recorded
charges of $16 million due to other-than-temporary declines in the fair values
of certain cost method investments. These charges were recorded in the line item
other income (loss) - net. 

During the three months and year ended December 31, 2011, the Company recorded
charges of $17 million due to other-than-temporary declines in the fair values
of certain available-for-sale securities. In addition, during the year ended
December 31, 2011, the Company recorded charges of $41 million due to the
impairment of an investment in an entity accounted for under the equity method
of accounting. These charges were recorded in the line item other income (loss)
- net. 

Restructuring

During the three months and year ended December 31, 2012, the Company recorded
charges of $119 million and $163 million, respectively, associated with the
integration of our German bottling and distribution operations as well as other
restructuring initiatives outside the scope of our recently announced
productivity and reinvestment program. These restructuring charges were recorded
in the line item other operating charges. See below for a discussion of our
productivity and reinvestment program. 

During the three months and year ended December 31, 2011, the Company recorded
charges of $40 million and $119 million, respectively, associated with the
integration of our German bottling and distribution operations as well as other
restructuring initiatives outside the scope of our productivity initiatives and
the integration of Coca-Cola Enterprises Inc.`s ("CCE") former North America
business. These restructuring charges were recorded in the line item other
operating charges. See below for a discussion of our productivity and CCE
integration initiatives. 

Productivity and Reinvestment

During the three months and year ended December 31, 2012, the Company recorded
charges of $93 million and $270 million, respectively, in the line item other
operating charges related to our productivity and reinvestment program which was
announced in February 2012. This program will further enable our efforts to
strengthen our brands and reinvest our resources to drive long-term profitable
growth. The first component of this program is a new global productivity
initiative focused around four primary areas: global supply chain optimization;
global marketing and innovation effectiveness; operating expense leverage and
operational excellence; and data and information technology systems
standardization. 

The second component of our productivity and reinvestment program involves a new
integration initiative in North America related to our acquisition of CCE`s
former North America business. The Company has identified incremental synergies
in North America, primarily in the area of our North American product supply
operations, which will better enable us to serve our customers and consumers. 

As a combined productivity and reinvestment program, the Company anticipates
generating annualized savings of $550 million to $650 million which will be
phased in over four years starting in 2012. We expect to begin fully realizing
the annual benefits of these savings in 2015, the final year of the program. 

Productivity Initiatives

During the three months and year ended December 31, 2012, the Company reversed
charges of $1 million and $10 million, respectively, related to previously
established accruals associated with our 2008-2011 productivity initiatives.
These reversals were recorded in the line item other operating charges. 

During the three months and year ended December 31, 2011, the Company recorded
charges of $80 million and $156 million, respectively, related to our 2008-2011
productivity initiatives. These initiatives were focused on providing additional
flexibility to invest for growth and impacted a number of areas, including
aggressively managing operating expenses supported by lean techniques;
redesigning key processes to drive standardization and effectiveness; better
leveraging our size and scale; and driving savings in indirect costs. 

The Company incurred total costs of $498 million related to these initiatives
since inception. These initiatives delivered annualized savings of over $500
million beginning in 2011, exceeding the upper end of the Company`s original
savings target of $400 million to $500 million. 

Equity Investees

During the three months and year ended December 31, 2012, the Company recorded
net charges of $25 million and net gains of $8 million, respectively, in the
line item equity income (loss) - net. These amounts represent the Company`s
proportionate share of unusual or infrequent items recorded by certain of our
equity method investees. 

During the three months and year ended December 31, 2011, the Company recorded
net charges of $13 million and $53 million, respectively, in the line item
equity income (loss) - net. These charges represent the Company`s proportionate
share of unusual or infrequent items recorded by certain of our equity method
investees. 

CCE Transaction

During the three months and year ended December 31, 2012, the Company reversed
charges of $1 million and $6 million, respectively, related to previously
established accruals associated with the Company`s integration of CCE`s former
North America business. These reversals were recorded in the line item other
operating charges. 

During the three months and year ended December 31, 2011, the Company recorded
charges of $145 million and $386 million, respectively, primarily related to our
integration of CCE`s former North America business. These charges were primarily
due to the development, design and initial implementation of our future
operating framework in North America. 

The Company realized nearly $350 million in annualized savings by the end of
2011 and incurred total costs of $487 million related to our integration of
CCE`s former North America business. These charges were primarily due to the
development, design and initial implementation of our future operating framework
in North America. This initiative was completed at the end of 2011. See above
for a discussion of the Company`s productivity and reinvestment program which
involves a new integration initiative in North America related to our
acquisition of CCE`s former North America business.

                                                         
                                                         
                                                         
                                                         
                                                         
                                                         
                                                         
 THE COCA-COLA COMPANY AND SUBSIDIARIES                  
 Reconciliation of GAAP and Non-GAAP Financial Measures  
 (UNAUDITED)                                             


Transaction Gains

During the three months and year ended December 31, 2012, the Company recognized
a gain of $185 million due to the merger of Embotelladora Andina S.A. ("Andina")
and Embotelladoras Coca-Cola Polar S.A. ("Polar"), two Latin American bottling
partners, with Andina being the acquiring company. The merger of the two
companies was a noncash transaction that resulted in Polar shareholders
exchanging their existing Polar shares for newly issued shares of Andina at a
specified exchange rate. Prior to the merger, the Company held an investment in
Andina that was classified as an available-for-sale security, and we also held
an investment in Polar that was accounted for under the equity method of
accounting. Subsequent to this transaction, the Company holds an investment in
Andina that we account for under the equity method of accounting. The Company
recorded the gain in the line item other income (loss) - net. In addition, the
Company recorded a charge of $6 million during the three months and year ended
December 31, 2012, due to the elimination of our proportionate share of gross
profit in inventory on sales to Andina as a result of the merger. The Company
recorded this charge in the line item net operating revenues. 

On December 13, 2012, the Company and Coca-Cola FEMSA, S.A.B. de C.V.
("Coca-Cola FEMSA") executed a share purchase agreement for the sale of a
majority ownership interest in our consolidated Philippine bottling operations.
This transaction was completed in January 2013. As a result of this agreement,
the Company was required to classify our Philippine bottling operations as held
for sale, and we recognized a loss of $108 million during the three months and
year ended December 31, 2012, based on the agreed upon sale price and related
transaction costs. 

During the three months and year ended December 31, 2012, the Company recorded a
charge of $82 million due to the acquisition of an ownership interest in Mikuni
Coca-Cola Bottling Co., Ltd. ("Mikuni") for which we paid a premium over the
publicly traded market price. Although the Company paid this premium to obtain
specific rights that have an economic and strategic value to the Company, they
do not qualify as an asset and were therefore expensed on the acquisition date.
This charge was recorded in the line item other income (loss) - net. The Company
accounts for our investment in Mikuni under the equity method of accounting. 

During the three months and year ended December 31, 2012, the Company recognized
a net gain of $4 million due to the sale of land held by one of the Company`s
consolidated bottling operations. This gain was recorded in the line item other
operating charges. 

During the three months and year ended December 31, 2012, the Company recorded a
charge of $5 million associated with our indemnification of a previously
consolidated entity. The impact of this charge effectively reduced the gain the
Company recognized when we initially sold the entity. The Company recorded this
charge in the line item other income (loss) - net. 

During the year ended December 31, 2012, the Company recognized a gain of $92
million as a result of Coca-Cola FEMSA issuing additional shares of its own
stock during the period at a per share amount greater than the carrying amount
of the Company`s per share investment. Accordingly, the Company is required to
treat these types of transactions as if the Company sold a proportionate share
of its investment in the equity method investee. The Company recorded this gain
in the line item other income (loss) - net. 

During the three months and year ended December 31, 2011, the Company recognized
a net gain of $122 million, primarily due to gains associated with Coca-Cola
FEMSA issuing additional common shares of its own stock at a per share amount
greater than the carrying value of the Company`s per share investment. The gains
recognized during the three months and year ended December 31, 2011, were
partially offset by charges associated with certain of the Company`s equity
method investments in Japan. The Company recorded this net gain in other income
(loss) - net. 

During the year ended December 31, 2011, the Company also recognized a net gain
of $417 million, primarily due to the merger of Embotelladoras Arca S.A.B. de
C.V. ("Arca") and Grupo Continental S.A.B. ("Contal"), two bottling partners
headquartered in Mexico, into a combined entity known as Arca Continental,
S.A.B. de C.V. ("Arca Contal"). The Company recorded this net gain in the line
item other income (loss) - net. Prior to this transaction, the Company held an
investment in Contal that we accounted for under the equity method of
accounting. The merger of the two companies was a noncash transaction that
resulted in Contal shareholders exchanging their existing Contal shares for new
shares in Arca Contal at a specified exchange rate. Subsequent to this
transaction, the Company holds an investment in Arca Contal that we account for
as an available-for-sale security. During the year ended December 31, 2011, the
Company also recorded charges of $35 million in the line item other operating
charges related to costs associated with the merger of Arca and Contal. 

In addition, the Company recognized a gain of $102 million during the year ended
December 31, 2011, as a result of the sale of our investment in Coca-Cola
Embonor S.A. ("Embonor"), a bottling partner with operations primarily in Chile.
Prior to this transaction, the Company accounted for our investment in Embonor
under the equity method of accounting. The Company recorded this gain in the
line item other income (loss) - net. 

Certain Tax Matters

During the three months and year ended December 31, 2012, the Company recorded a
net tax benefit of $124 million and $150 million, respectively. This benefit was
primarily related to the reversal of certain valuation allowances, partially
offset by amounts required to be recorded for changes to our uncertain tax
positions, including interest and penalties. 

During the three months and year ended December 31, 2011, the Company recorded a
net tax benefit of $22 million and $7 million, respectively, related to amounts
required to be recorded for changes to our uncertain tax positions, including
interest and penalties. 

Other Items

Impact of Natural Disasters

On October 29, 2012, Hurricane Sandy caused widespread flooding and wind damage
across the mid-Atlantic region of the United States, primarily in New York and
New Jersey, and as a result the Company experienced lost sales in the impacted
areas. In addition, during the three months and year ended December 31, 2012, we
recorded charges of $6 million due to the loss or damage of certain fixed assets
resulting from the hurricane. 

On March 11, 2011, a major earthquake struck off the coast of Japan, resulting
in a tsunami that devastated the northern and eastern regions of the country. As
a result of these events, the Company made a donation to the Coca-Cola Japan
Reconstruction Fund which has helped rebuild schools and community facilities
across the impacted areas of the country. During the year ended December 31,
2011, the Company recorded total charges of $84 million related to these events.
These charges were primarily related to the Company`s donation and assistance
provided to certain bottling partners in the affected regions. 

During the three months and year ended December 31, 2011, the Company also
recorded charges of $10 million as a result of the floods in Thailand that
impacted the Company`s supply chain operations in the region. 

Economic (Nondesignated) Hedges

The Company uses derivatives as economic hedges to mitigate the price risk
associated with the purchase of materials used in the manufacturing process as
well as the purchase of vehicle fuel. Although these derivatives were not
designated and/or did not qualify for hedge accounting, they are effective
economic hedges. The changes in fair values of these economic hedges are
immediately recognized into earnings. 

The Company excludes the net impact of mark-to-market adjustments for
outstanding hedges and realized gains/losses for settled hedges from our
non-GAAP financial information until the period in which the underlying exposure
being hedged impacts our condensed consolidated statement of income. We believe
this adjustment provides meaningful information related to the impact of our
economic hedging activities. During the three months and year ended December 31,
2012, the net impact of the Company`s adjustment related to our economic hedging
activities described above resulted in an increase to our non-GAAP operating
income of $82 million and $5 million, respectively. During the three months and
year ended December 31, 2011, the net impact of the Company`s adjustment related
to our economic hedging activities described above resulted in an increase to
our non-GAAP operating income of $8 million and $111 million, respectively. 

Repurchase, Extinguishment and/or Exchange of Long-Term Debt

During the three months ended December 31, 2011, the Company recorded a charge
of $1 million in the line item interest expense due to costs associated with the
early extinguishment of debt. During the year ended December 31, 2011, the
Company recorded net charges of $9 million in the line item interest expense
related to the repurchase, extinguishment and/or exchange of certain long-term
debt. 

Beverage Partners Worldwide and License Agreement with Nestlé S.A.

During the three months ended December 31, 2012, the Company reversed charges of
$3 million related to previously established accruals associated with changes in
the structure of Beverage Partners Worldwide ("BPW"), our 50/50 joint venture
with Nestlé S.A. ("Nestlé") in the ready-to-drink tea category. During the year
ended December 31, 2012, the Company recorded charges of $11 million due to
these BPW changes. In addition, as a result of our current U.S. license
agreement with Nestlé terminating at the end of 2012, the Company recorded
charges of $20 million during the year ended December 31, 2012. 

Brazilian Orange Juice

In December 2011, the Company learned that orange juice being imported from
Brazil contained residues of carbendazim, a fungicide that is not registered in
the U.S. for use on citrus products. As a result, the Company began purchasing
additional supplies of Florida orange juice at a higher cost than Brazilian
orange juice. During the year ended December 31, 2012, the Company incurred
charges of $21 million related to these events, including the increased raw
material costs. 

Currency Neutral

Management evaluates the operating performance of our Company and our
international subsidiaries on a currency neutral basis. We determine our
currency neutral operating results by dividing or multiplying, as appropriate,
our current period actual U.S. dollar operating results by the current period
actual exchange rates (that include the impact of current period currency
hedging activities), to derive our current period local currency operating
results. We then multiply or divide, as appropriate, the derived current period
local currency operating results by the foreign currency exchange rates (that
also include the impact of the comparable prior period currency hedging
activities) used to translate the Company`s financial statements in the
comparable prior year period to determine what the current period U.S. dollar
operating results would have been if the foreign currency exchange rates had not
changed from the comparable prior year period.

                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                      
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                                                                               
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                                                                                                                                               
 (UNAUDITED)                                                                                                                                                                                                                                          
 (In millions except per share data)                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                      
                                                                   Three Months Ended December 31, 2012                                                                                                                                               
                                                                       Net                     Cost of              Gross                Gross               Selling, general            Other                 Operating              Operating       
                                                                       
operating              
goods               
profit              
margin             
and                        
operating            
income                
margin         
                                                                       
revenues               
sold                                                         
administrative             
charges                                                     
                                                                                                                                                             
expenses                                                                                
 Reported (GAAP)                                                       $     11,455            $    4,628           $    6,827           59.6  %             $       4,430               $     214             $     2,183            19.1    %       
 Items Impacting Comparability:                                                                                                                                                                                                                       
 Asset Impairments/Restructuring                                       -                       -                    -                                        -                           (119        )         119                                    
 Productivity & Reinvestment                                           -                       -                    -                                        -                           (93         )         93                                     
 Productivity Initiatives                                              -                       -                    -                                        -                           1                     (1           )                         
 Equity Investees                                                      -                       -                    -                                        -                           -                     -                                      
 CCE Transaction                                                       -                       -                    -                                        -                           1                     (1           )                         
 Transaction Gains                                                     6                       -                    6                                        -                           3                     3                                      
 Certain Tax Matters                                                   -                       -                    -                                        -                           -                     -                                      
 Other Items                                                           4                       (70         )        74                                       (6              )           (7          )         87                                     
 After Considering Items (Non-GAAP)                                    $     11,465            $    4,558           $    6,907           60.2  %             $       4,424               $     -               $     2,483            21.7    %       
                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                      
                                                                   Three Months Ended December 31, 2011                                                                                                                                               
                                                                       Net                     Cost of              Gross                Gross               Selling, general            Other                 Operating              Operating       
                                                                       
operating              
goods               
profit              
margin             
and                        
operating            
income                
margin         
                                                                       
revenues               
sold                                                         
administrative             
charges                                                     
                                                                                                                                                             
expenses                                                                                
 Reported (GAAP) - As Adjusted                                         $     11,040            $    4,403           $    6,637           60.1  %             $       4,406               $     275             $     1,956            17.7    %       
 Items Impacting Comparability:                                                                                                                                                                                                                       
 Asset Impairments/Restructuring                                       -                       -                    -                                        -                           (40         )         40                                     
 Productivity & Reinvestment                                           -                       -                    -                                        -                           -                     -                                      
 Productivity Initiatives                                              -                       -                    -                                        -                           (80         )         80                                     
 Equity Investees                                                      -                       -                    -                                        -                           -                     -                                      
 CCE Transaction                                                       -                       -                    -                                        -                           (145        )         145                                    
 Transaction Gains                                                     -                       -                    -                                        -                           -                     -                                      
 Certain Tax Matters                                                   -                       -                    -                                        -                           -                     -                                      
 Other Items                                                           (3            )         (18         )        15                                       7                           (10         )         18                                     
 After Considering Items (Non-GAAP)                                    $     11,037            $    4,385           $    6,652           60.3  %             $       4,413               $     -               $     2,239            20.3    %       
                                                                                                                                                                                                                                                      
 Currency Neutral:                                                                                                                                                                                                                                    
                                                                       Net                     Cost of              Gross                                    Selling, general            Other                 Operating                              
                                                                       
operating              
goods               
profit                                  
and                        
operating            
income                                
                                                                       
revenues               
sold                                                         
administrative             
charges                                                     
                                                                                                                                                             
expenses                                                                                
 % Change - Reported (GAAP)                                            4                       5                    3                                        1                           -                     12                                     
 % Currency Impact                                                     (1)                     0                    (2)                                      (1)                         -                     (4)                                    
 % Change - Currency Neutral Reported                                  5                       6                    5                                        2                           -                     16                                     
                                                                                                                                                                                                                                                      
 % Change - After Considering Items                                    4                       4                    4                                        0                           -                     11                                     
 (Non-GAAP)                                                                                                                                                                                                                                           
 % Currency Impact After Considering Items (Non-GAAP)                  (1)                     0                    (2)                                      (1)                         -                     (4)                                    
 % Change - Currency Neutral After Considering Items (Non-GAAP)        5                       4                    6                                        1                           -                     14                                     
                                                                                                                                                                                                                                                      
 Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                                                                               
                                                                                                                                                                                                                                                      
 Reported currency neutral operating expense leverage for the three months ended December 31, 2012, is positive 11 percentage points, which is calculated by subtracting reported currency neutral gross profit growth of 5% from reported currency neutral operating income growth of 16%. Currency neutral operating expense leverage after considering items impacting comparability for the three months ended December 31, 2012, is positive 9 percentage points, which is calculated by subtracting currency neutral gross 
 profit growth after considering items impacting comparability of 6% from currency neutral operating income growth after considering items impacting comparability of 14%. Currency neutral operating expense leverage does not add using the rounded growth rates provided. 


                                                                                                                                                                                                                                                                
                                                                                                                                                                                                                                                                
                                                                                                                                                                                                                                                                
                                                                                                                                                                                                                                                                
                                                                                                                                                                                                                                                                
                                                                                                                                                                                                                                                                
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                                                                                         
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                                                                                                                                                         
 (UNAUDITED)                                                                                                                                                                                                                                                    
 (In millions except per share data)                                                                                                                                                                                                                            
                                                                                                                                                                                                                                                                
                                                                                                                                                                                                                                                                
                                                  Three Months Ended December 31, 2012                                                                                                                                                                          
                                                      Interest              Equity                Other                 Income               Income             Effective             Net income                  Net income                  Diluted           
                                                      
expense              
income               
income               
before              
taxes             
tax rate             
attributable to            
attributable to            
net              
                                                                            
(loss) -             
(loss) -             
income                                                       
noncontrolling             
shareowners of             
income           
                                                                            
net                  
net                  
taxes                                                        
interests                  
The Coca-Cola              
per              
                                                                                                                                                                                                                  
Company                    
share1           
 Reported (GAAP)                                      $     95              $     182             $     (19   )         $    2,377           $    487           20.5  %               $       24                  $       1,866               $     0.41        
 Items Impacting Comparability:                                                                                                                                                                                                                                 
 Asset Impairments/Restructuring                      -                     -                     16                    135                  -                                        -                           135                         0.03              
 Productivity & Reinvestment                          -                     -                     -                     93                   35                                       -                           58                          0.01              
 Productivity Initiatives                             -                     -                     -                     (1          )        -                                        -                           (1              )           -                 
 Equity Investees                                     -                     25                    -                     25                   4                                        -                           21                          -                 
 CCE Transaction                                      -                     -                     -                     (1          )        -                                        -                           (1              )           -                 
 Transaction Gains                                    -                     -                     10                    13                   (28       )                              -                           41                          0.01              
 Certain Tax Matters                                  -                     -                     -                     -                    124                                      -                           (124            )           (0.03       )     
 Other Items                                          -                     (3          )         -                     84                   32                                       -                           52                          0.01              
 After Considering Items (Non-GAAP)                   $     95              $     204             $     7               $    2,725           $    654           24.0  %               $       24                  $       2,047               $     0.45        
                                                                                                                                                                                                                                                                
                                                                                                                                                                                                                                                                
                                                  Three Months Ended December 31, 2011                                                                                                                                                                          
                                                      Interest              Equity                Other                 Income               Income             Effective             Net income                  Net income                  Diluted           
                                                      
expense              
income               
income               
before              
taxes             
tax rate             
attributable to            
attributable to            
net              
                                                                            
(loss) -             
(loss) -             
income                                                       
noncontrolling             
shareowners of             
income           
                                                                            
net                  
net                  
taxes                                                        
interests                  
The Coca-Cola              
per              
                                                                                                                                                                                                                  
Company                    
share2           
 Reported (GAAP) - As Adjusted                        $     104             $     155             $     82              $    2,216           $    539           24.3  %               $       20                  $       1,657               $     0.36        
 Items Impacting Comparability:                                                                                                                                                                                                                                 
 Asset Impairments/Restructuring                      -                     -                     17                    57                   2                                        -                           55                          0.01              
 Productivity & Reinvestment                          -                     -                     -                     -                    -                                        -                           -                           -                 
 Productivity Initiatives                             -                     -                     -                     80                   25                                       -                           55                          0.01              
 Equity Investees                                     -                     13                    -                     13                   2                                        -                           11                          -                 
 CCE Transaction                                      -                     -                     -                     145                  55                                       -                           90                          0.02              
 Transaction Gains                                    -                     -                     (122        )         (122        )        (84       )                              -                           (38             )           (0.01       )     
 Certain Tax Matters                                  -                     -                     -                     -                    22                                       -                           (22             )           -                 
 Other Items                                          (1          )         -                     -                     19                   6                                        -                           13                          -                 
 After Considering Items (Non-GAAP)                   $     103             $     168             $     (23   )         $    2,408           $    567           23.5  %               $       20                  $       1,821               $     0.39        
                                                                                                                                                                                                                                                                
                                                                                                                                                                                                                                                                
                                                      Interest              Equity                Other                 Income               Income                                   Net income                  Net income                  Diluted           
                                                      
expense              
income               
income               
before              
taxes                                   
attributable to            
attributable to            
net              
                                                                            
(loss) -             
(loss) -             
income                                                       
noncontrolling             
shareowners of             
income           
                                                                            
net                  
net                  
taxes                                                        
interests                  
The Coca-Cola              
per share        
                                                                                                                                                                                                                  
Company                                      
 % Change - Reported (GAAP)                           (9)                   17                    -                     7                    (10)                                     20                          13                          14                
 % Change - After Considering Items (Non-GAAP)        (8)                   21                    -                     13                   15                                       20                          12                          15                
                                                                                                                                                                                                                                                                
 Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                                                                                         
                                                                                                                                                                                                                                                                
 1 4,557 million average shares outstanding - diluted                                                                                                                                                                                                           
 2 4,611 million average shares outstanding - diluted                                                                                                                                                                                                           


                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                                                                           
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                                                                                                                                           
 (UNAUDITED)                                                                                                                                                                                                                                      
 (In millions except per share data)                                                                                                                                                                                                              
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                   Year Ended December 31, 2012                                                                                                                                                   
                                                                      Net                    Cost of              Gross                Gross               Selling, general           Other                Operating              Operating       
                                                                      
operating             
goods               
profit              
margin             
and                       
operating           
income                
margin         
                                                                      
revenues              
sold                                                         
administrative            
charges                                                    
                                                                                                                                                           
expenses                                                                              
 Reported (GAAP)                                                      $     48,017           $    19,053          $    28,964          60.3  %             $       17,738             $     447            $     10,779           22.4    %       
 Items Impacting Comparability:                                                                                                                                                                                                                   
 Asset Impairments/Restructuring                                      -                      -                    -                                        -                          (163        )        163                                    
 Productivity & Reinvestment                                          -                      -                    -                                        -                          (270        )        270                                    
 Productivity Initiatives                                             -                      -                    -                                        -                          10                   (10           )                        
 Equity Investees                                                     -                      -                    -                                        -                          -                    -                                      
 CCE Transaction                                                      -                      -                    -                                        -                          6                    (6            )                        
 Transaction Gains                                                    6                      -                    6                                        -                          3                    3                                      
 Certain Tax Matters                                                  -                      -                    -                                        -                          -                    -                                      
 Other Items                                                          9                      (20          )       29                                       11                         (33         )        51                                     
 After Considering Items (Non-GAAP)                                   $     48,032           $    19,033          $    28,999          60.4  %             $       17,749             $     -              $     11,250           23.4    %       
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                   Year Ended December 31, 2011                                                                                                                                                   
                                                                      Net                    Cost of              Gross                Gross               Selling, general           Other                Operating              Operating       
                                                                      
operating             
goods               
profit              
margin             
and                       
operating           
income                
margin         
                                                                      
revenues              
sold                                                         
administrative            
charges                                                    
                                                                                                                                                           
expenses                                                                              
 Reported (GAAP) - As Adjusted                                        $     46,542           $    18,215          $    28,327          60.9  %             $       17,422             $     732            $     10,173           21.9    %       
 Items Impacting Comparability:                                                                                                                                                                                                                   
 Asset Impairments/Restructuring                                      -                      -                    -                                        -                          (119        )        119                                    
 Productivity & Reinvestment                                          -                      -                    -                                        -                          -                    -                                      
 Productivity Initiatives                                             -                      -                    -                                        -                          (156        )        156                                    
 Equity Investees                                                     -                      -                    -                                        -                          -                    -                                      
 CCE Transaction                                                      -                      (19          )       19                                       -                          (362        )        381                                    
 Transaction Gains                                                    -                      -                    -                                        -                          (35         )        35                                     
 Certain Tax Matters                                                  -                      -                    -                                        -                          -                    -                                      
 Other Items                                                          12                     (110         )       122                                      (23             )          (60         )        205                                    
 After Considering Items (Non-GAAP)                                   $     46,554           $    18,086          $    28,468          61.2  %             $       17,399             $     -              $     11,069           23.8    %       
                                                                                                                                                                                                                                                  
 Currency Neutral:                                                                                                                                                                                                                                
                                                                      Net                    Cost of              Gross                                    Selling, general           Other                Operating                              
                                                                      
operating             
goods               
profit                                  
and                       
operating           
income                                
                                                                      
revenues              
sold                                                         
administrative            
charges                                                    
                                                                                                                                                           
expenses                                                                              
 % Change - Reported (GAAP)                                           3                      5                    2                                        2                          -                    6                                      
 % Currency Impact                                                    (3)                    (2)                  (4)                                      (3)                        -                    (5)                                    
 % Change - Currency Neutral Reported                                 6                      7                    6                                        4                          -                    11                                     
                                                                                                                                                                                                                                                  
 % Change - After Considering Items                                   3                      5                    2                                        2                          -                    2                                      
 (Non-GAAP)                                                                                                                                                                                                                                       
 % Currency Impact After Considering Items (Non-GAAP)                 (3)                    (2)                  (3)                                      (3)                        -                    (5)                                    
 % Change - Currency Neutral After Considering Items (Non-GAAP)       6                      7                    5                                        5                          -                    6                                      
                                                                                                                                                                                                                                                  
 Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                                                                           
                                                                                                                                                                                                                                                  
 Reported currency neutral operating expense leverage for the year ended December 31, 2012, is positive 5 percentage points, which is calculated by subtracting reported currency neutral gross profit growth of 6% from reported currency neutral operating income growth of 11%. Currency neutral operating expense leverage after considering items impacting comparability for the year ended December 31, 2012, is positive 1 percentage point, which is calculated by subtracting currency neutral gross profit growth 
 after considering items impacting comparability of 5% from currency neutral operating income growth after considering items impacting comparability of 6%.                                                                                       


                                                                                                                                                                                                                                                        
                                                                                                                                                                                                                                                        
                                                                                                                                                                                                                                                        
                                                                                                                                                                                                                                                        
                                                                                                                                                                                                                                                        
                                                                                                                                                                                                                                                        
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                                                                                 
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                                                                                                                                                 
 (UNAUDITED)                                                                                                                                                                                                                                            
 (In millions except per share data)                                                                                                                                                                                                                    
                                                                                                                                                                                                                                                        
                                                                                                                                                                                                                                                        
                                                  Year Ended December 31, 2012                                                                                                                                                                          
                                                     Interest             Equity               Other                Income               Income              Effective            Net income                 Net income                 Diluted         
                                                     
expense             
income              
income              
before              
taxes              
tax rate            
attributable to           
attributable to           
net            
                                                                          
(loss) -            
(loss) -            
income                                                       
noncontrolling            
shareowners of            
income         
                                                                          
net                 
net                 
taxes                                                        
interests                 
The Coca-Cola             
per            
                                                                                                                                                                                                             
Company                   
share1         
 Reported (GAAP)                                     $     397            $     819            $     137            $    11,809          $    2,723          23.1  %              $       67                 $       9,019              $    1.97       
 Items Impacting Comparability:                                                                                                                                                                                                                         
 Asset Impairments/Restructuring                     -                    -                    16                   179                  -                                        -                          179                        0.04            
 Productivity & Reinvestment                         -                    -                    -                    270                  100                                      -                          170                        0.04            
 Productivity Initiatives                            -                    -                    -                    (10          )       (3          )                            -                          (7              )          -               
 Equity Investees                                    -                    (8          )        -                    (8           )       2                                        -                          (10             )          -               
 CCE Transaction                                     -                    -                    -                    (6           )       (2          )                            -                          (4              )          -               
 Transaction Gains                                   -                    -                    (82         )        (79          )       (61         )                            -                          (18             )          -               
 Certain Tax Matters                                 -                    -                    -                    -                    150                                      -                          (150            )          (0.03      )    
 Other Items                                         -                    11                   -                    62                   23                                       1                          38                         0.01            
 After Considering Items (Non-GAAP)                  $     397            $     822            $     71             $    12,217          $    2,932          24.0  %              $       68                 $       9,217              $    2.01       
                                                                                                                                                                                                                                                        
                                                                                                                                                                                                                                                        
                                                  Year Ended December 31, 2011                                                                                                                                                                          
                                                     Interest             Equity               Other                Income               Income              Effective            Net income                 Net income                 Diluted         
                                                     
expense             
income              
income              
before              
taxes              
tax rate            
attributable to           
attributable to           
net            
                                                                          
(loss) -            
(loss) -            
income                                                       
noncontrolling            
shareowners of            
income         
                                                                          
net                 
net                 
taxes                                                        
interests                 
The Coca-Cola             
per            
                                                                                                                                                                                                             
Company                   
share2         
 Reported (GAAP) - As Adjusted                       $     417            $     690            $     529            $    11,458          $    2,812          24.5  %              $       62                 $       8,584              $    1.85       
 Items Impacting Comparability:                                                                                                                                                                                                                         
 Asset Impairments/Restructuring                     -                    -                    58                   177                  23                                       -                          154                        0.03            
 Productivity & Reinvestment                         -                    -                    -                    -                    -                                        -                          -                          -               
 Productivity Initiatives                            -                    -                    -                    156                  49                                       -                          107                        0.02            
 Equity Investees                                    -                    53                   -                    53                   8                                        -                          45                         0.01            
 CCE Transaction                                     -                    -                    5                    386                  145                                      -                          241                        0.05            
 Transaction Gains                                   -                    -                    (641        )        (606         )       (289        )                            -                          (317            )          (0.07      )    
 Certain Tax Matters                                 -                    -                    -                    -                    7                                        -                          (7              )          -               
 Other Items                                         (9          )        -                    -                    214                  77                                       -                          137                        0.03            
 After Considering Items (Non-GAAP)                  $     408            $     743            $     (49   )        $    11,838          $    2,832          23.9  %              $       62                 $       8,944              $    1.92       
                                                                                                                                                                                                                                                        
                                                                                                                                                                                                                                                        
                                                     Interest             Equity               Other                Income               Income                                   Net income                 Net income                 Diluted         
                                                     
expense             
income              
income              
before              
taxes                                   
attributable to           
attributable to           
net            
                                                                          
(loss) -            
(loss) -            
income                                                       
noncontrolling            
shareowners of            
income         
                                                                          
net                 
net                 
taxes                                                        
interests                 
The Coca-Cola             
per            
                                                                                                                                                                                                             
Company                   
share          
 % Change - Reported (GAAP)                          (5)                  19                   -                    3                    (3)                                      8                          5                          6               
 % Change - After Considering Items (Non-GAAP)       (3)                  11                   -                    3                    4                                        10                         3                          5               
                                                                                                                                                                                                                                                        
 Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                                                                                 
                                                                                                                                                                                                                                                        
 1 4,584 million average shares outstanding - diluted                                                                                                                                                                                                   
 2 4,646 million average shares outstanding - diluted                                                                                                                                                                                                   


                                                                                                                                                                                                                                              
                                                                                                                                                                                                                                              
                                                                                                                                                                                                                                              
                                                                                                                                                                                                                                              
                                                                                                                                                                                                                                              
                                                                                                                                                                                                                                              
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                                                                       
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                                                                                                                                       
 (UNAUDITED)                                                                                                                                                                                                                                  
 (In millions)                                                                                                                                                                                                                                
                                                                                                                                                                                                                                              
 Operating Income (Loss) by Segment:                                                                                                                                                                                                          
                                                                                                                                                                                                                                              
                                                                    Three Months Ended December 31, 2012                                                                                                                                      
                                                                        Eurasia &             Europe             Latin              North              Pacific            Bottling                 Corporate             Consolidated         
                                                                        
Africa                                  
America           
America                              
Investments                                                        
 Reported (GAAP)                                                        $     273             $    670           $    715           $    558           $    426           $      (29    )          $     (430  )         $      2,183         
 Items Impacting Comparability:                                                                                                                                                                                                               
 Asset Impairments/Restructuring                                        -                     -                  -                  -                  -                  119                      -                     119                  
 Productivity & Reinvestment                                            -                     1                  -                  70                 2                  -                        20                    93                   
 Productivity Initiatives                                               -                     (1        )        -                  -                  -                  -                        -                     (1            )      
 CCE Transaction                                                        -                     -                  -                  (1        )        -                  -                        -                     (1            )      
 Transaction Gains                                                      -                     -                  -                  -                  -                  -                        3                     3                    
 Other Items                                                            -                     -                  -                  86                 (1        )        -                        2                     87                   
 After Considering Items (Non-GAAP)                                     $     273             $    670           $    715           $    713           $    427           $      90                $     (405  )         $      2,483         
                                                                                                                                                                                                                                              
                                                                                                                                                                                                                                              
                                                                    Three Months Ended December 31, 2011                                                                                                                                      
                                                                        Eurasia &             Europe             Latin              North              Pacific            Bottling                 Corporate             Consolidated         
                                                                        
Africa                                  
America           
America                              
Investments                                                        
 Reported (GAAP) - As Adjusted                                          $     231             $    593           $    652           $    498           $    382           $      35                $     (435  )         $      1,956         
 Items Impacting Comparability:                                                                                                                                                                                                               
 Asset Impairments/Restructuring                                        1                     -                  -                  2                  -                  31                       6                     40                   
 Productivity & Reinvestment                                            -                     -                  -                  -                  -                  -                        -                     -                    
 Productivity Initiatives                                               2                     20                 1                  -                  1                  -                        56                    80                   
 CCE Transaction                                                        -                     -                  -                  143                -                  -                        2                     145                  
 Transaction Gains                                                      -                     -                  -                  -                  -                  -                        -                     -                    
 Other Items                                                            -                     -                  -                  (2        )        -                  14                       6                     18                   
 After Considering Items (Non-GAAP)                                     $     234             $    613           $    653           $    641           $    383           $      80                $     (365  )         $      2,239         
                                                                                                                                                                                                                                              
 Currency Neutral Operating Income (Loss) by Segment:                                                                                                                                                                                         
                                                                                                                                                                                                                                              
                                                                        Eurasia &             Europe             Latin              North              Pacific            Bottling                 Corporate             Consolidated         
                                                                        
Africa                                  
America           
America                              
Investments                                                        
 % Change - Reported (GAAP)                                             18                    13                 10                 12                 11                 -                        1                     12                   
 % Currency Impact                                                      (7)                   (3)                (6)                0                  2                  -                        (1)                   (4)                  
 % Change - Currency Neutral Reported                                   24                    16                 16                 12                 10                 -                        3                     16                   
                                                                                                                                                                                                                                              
 % Change - After Considering Items (Non-GAAP)                          16                    9                  10                 11                 11                 13                       (11)                  11                   
 % Currency Impact After Considering Items (Non-GAAP)                   (7)                   (3)                (6)                0                  2                  (14)                     0                     (4)                  
 % Change - Currency Neutral After Considering Items (Non-GAAP)         23                    12                 16                 11                 10                 27                       (11)                  14                   
                                                                                                                                                                                                                                              
 Note: Certain columns may not add due to rounding.  Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                                                                      


                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                                                                           
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                                                                                                                                           
 (UNAUDITED)                                                                                                                                                                                                                                      
 (In millions)                                                                                                                                                                                                                                    
                                                                                                                                                                                                                                                  
 Operating Income (Loss) by Segment:                                                                                                                                                                                                              
                                                                                                                                                                                                                                                  
                                                                    Year Ended December 31, 2012                                                                                                                                                  
                                                                       Eurasia &             Europe              Latin               North               Pacific             Bottling                Corporate              Consolidated          
                                                                       
Africa                                   
America            
America                                
Investments                                                         
 Reported (GAAP)                                                       $     1,169           $    2,960          $    2,879          $    2,597          $    2,425          $      140              $     (1,391  )        $      10,779         
 Items Impacting Comparability:                                                                                                                                                                                                                   
 Asset Impairments/Restructuring                                       (1           )        -                   -                   -                   -                   164                     -                      163                   
 Productivity & Reinvestment                                           1                     1                   -                   227                 3                   -                       38                     270                   
 Productivity Initiatives                                              -                     (4          )       -                   -                   (1          )       -                       (5            )        (10            )      
 CCE Transaction                                                       -                     -                   -                   (6          )       -                   -                       -                      (6             )      
 Transaction Gains                                                     -                     -                   -                   -                   -                   -                       3                      3                     
 Other Items                                                           -                     -                   -                   38                  (1          )       6                       8                      51                    
 After Considering Items (Non-GAAP)                                    $     1,169           $    2,957          $    2,879          $    2,856          $    2,426          $      310              $     (1,347  )        $      11,250         
                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                  
                                                                    Year Ended December 31, 2011                                                                                                                                                  
                                                                       Eurasia &             Europe              Latin               North               Pacific             Bottling                Corporate              Consolidated          
                                                                       
Africa                                   
America            
America                                
Investments                                                         
 Reported (GAAP) - As Adjusted                                         $     1,091           $    3,090          $    2,815          $    2,319          $    2,151          $      224              $     (1,517  )        $      10,173         
 Items Impacting Comparability:                                                                                                                                                                                                                   
 Asset Impairments/Restructuring                                       7                     -                   -                   16                  -                   89                      7                      119                   
 Productivity & Reinvestment                                           -                     -                   -                   -                   -                   -                       -                      -                     
 Productivity Initiatives                                              5                     25                  4                   -                   4                   -                       118                    156                   
 CCE Transaction                                                       -                     -                   -                   377                 -                   -                       4                      381                   
 Transaction Gains                                                     -                     -                   -                   -                   -                   -                       35                     35                    
 Other Items                                                           -                     -                   -                   108                 82                  18                      (3            )        205                   
 After Considering Items (Non-GAAP)                                    $     1,103           $    3,115          $    2,819          $    2,820          $    2,237          $      331              $     (1,356  )        $      11,069         
                                                                                                                                                                                                                                                  
 Currency Neutral Operating Income (Loss) by Segment:                                                                                                                                                                                             
                                                                                                                                                                                                                                                  
                                                                       Eurasia &             Europe              Latin               North               Pacific             Bottling                Corporate              Consolidated          
                                                                       
Africa                                   
America            
America                                
Investments                                                         
 % Change - Reported (GAAP)                                            7                     (4)                 2                   12                  13                  (37)                    8                      6                     
 % Currency Impact                                                     (11)                  (4)                 (10)                0                   2                   (19)                    (1)                    (5)                   
 % Change - Currency Neutral Reported                                  18                    0                   12                  12                  10                  (18)                    9                      11                    
                                                                                                                                                                                                                                                  
 % Change - After Considering Items                                    6                     (5)                 2                   1                   8                   (6)                     1                      2                     
 (Non-GAAP)                                                                                                                                                                                                                                       
 % Currency Impact After Considering Items (Non-GAAP)                  (11)                  (4)                 (10)                0                   2                   (17)                    0                      (5)                   
 % Change - Currency Neutral After Considering Items (Non-GAAP)        16                    (1)                 12                  2                   6                   10                      1                      6                     
                                                                                                                                                                                                                                                  
 Note: Certain columns may not add due to rounding.  Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                                                                          


                                                                                                                                                                                                  
                                                                                                                                                                                                  
                                                                                                                                                                                                  
                                                                                                                                                                                                  
                                                                                                                                                                                                  
                                                                                                                                                                                                  
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                           
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                                                                                           
 (UNAUDITED)                                                                                                                                                                                      
 (In millions)                                                                                                                                                                                    
                                                                                                                                                                                                  
 Bottling Investments Segment Information:                                                                                                                                                        
                                                                                                                                                                                                  
                                                                                                     Three Months Ended December 31, 2012                                                         
                                                                                                           Net operating              Selling, general and                Operating income        
                                                                                                           
revenues                  
administrative                                             
                                                                                                                                      
expenses                                                   
 Reported (GAAP)                                                                                           $      2,087               $         654                       $       (29     )       
 Items Impacting Comparability:                                                                                                                                                                   
 Asset Impairments/Restructuring                                                                           -                          -                                   119                     
 Other Items                                                                                               -                          -                                   -                       
 After Considering Items (Non-GAAP)                                                                        $      2,087               $         654                       $       90              
                                                                                                                                                                                                  
                                                                                                                                                                                                  
                                                                                                     Three Months Ended December 31, 2011                                                         
                                                                                                           Net operating              Selling, general and                Operating income        
                                                                                                           
revenues                  
administrative                                             
                                                                                                                                      
expenses                                                   
 Reported (GAAP) - As Adjusted                                                                             $      1,977               $         639                       $       35              
 Items Impacting Comparability:                                                                                                                                                                   
 Asset Impairments/Restructuring                                                                           -                          -                                   31                      
 Other Items                                                                                               -                          -                                   14                      
 After Considering Items (Non-GAAP)                                                                        $      1,977               $         639                       $       80              
                                                                                                                                                                                                  
 Currency Neutral and Structural for Bottling Investments:                                                                                                                                        
                                                                                                                                                                                                  
                                                                                                           Net operating              Selling, general and                Operating income        
                                                                                                           
revenues                  
administrative                                             
                                                                                                                                      
expenses                                                   
 % Change - Reported (GAAP)                                                                                6                          2                                   -                       
 % Currency Impact                                                                                         (3)                        (3)                                 -                       
 % Change - Currency Neutral Reported                                                                      9                          6                                   -                       
 % Structural Impact                                                                                       5                          3                                   -                       
 % Change - Currency Neutral Reported and Adjusted for Structural Items                                    4                          2                                   -                       
                                                                                                                                                                                                  
 % Change - After Considering Items (Non-GAAP)                                                             6                          2                                   13                      
 % Currency Impact After Considering Items (Non-GAAP)                                                      (3)                        (3)                                 (14)                    
 % Change - Currency Neutral After Considering Items (Non-GAAP)                                            9                          6                                   27                      
 % Structural Impact After Considering Items (Non-GAAP)                                                    5                          3                                   9                       
 % Change - Currency Neutral After Considering Items and Adjusted for Structural Items (Non-GAAP)          4                          2                                   19                      
                                                                                                                                                                                                  
 Note: Certain columns may not add due to rounding.  Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                          


                                                                                                                                                                                             
                                                                                                                                                                                             
                                                                                                                                                                                             
                                                                                                                                                                                             
                                                                                                                                                                                             
                                                                                                                                                                                             
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                                                                                      
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                                                                                      
 (UNAUDITED)                                                                                                                                                                                 
 (In millions)                                                                                                                                                                               
                                                                                                                                                                                             
 Bottling Investments Segment Information:                                                                                                                                                   
                                                                                                                                                                                             
                                                                                                     Year Ended December 31, 2012                                                            
                                                                                                          Net operating             Selling, general and               Operating income      
                                                                                                          
revenues                 
administrative                                          
                                                                                                                                    
expenses                                                
 Reported (GAAP)                                                                                          $      8,895              $         2,728                    $          140        
 Items Impacting Comparability:                                                                                                                                                              
 Asset Impairments/Restructuring                                                                          -                         -                                  164                   
 Other Items                                                                                              -                         -                                  6                     
 After Considering Items (Non-GAAP)                                                                       $      8,895              $         2,728                    $          310        
                                                                                                                                                                                             
                                                                                                                                                                                             
                                                                                                     Year Ended December 31, 2011                                                            
                                                                                                          Net operating             Selling, general and               Operating income      
                                                                                                          
revenues                 
administrative                                          
                                                                                                                                    
expenses                                                
 Reported (GAAP) - As Adjusted                                                                            $      8,591              $         2,651                    $          224        
 Items Impacting Comparability:                                                                                                                                                              
 Asset Impairments/Restructuring                                                                          -                         -                                  89                    
 Other Items                                                                                              -                         -                                  18                    
 After Considering Items (Non-GAAP)                                                                       $      8,591              $         2,651                    $          331        
                                                                                                                                                                                             
 Currency Neutral and Structural for Bottling Investments:                                                                                                                                   
                                                                                                                                                                                             
                                                                                                          Net operating             Selling, general and               Operating income      
                                                                                                          
revenues                 
administrative                                          
                                                                                                                                    
expenses                                                
 % Change - Reported (GAAP)                                                                               4                         3                                  (37)                  
 % Currency Impact                                                                                        (6)                       (7)                                (19)                  
 % Change - Currency Neutral Reported                                                                     11                        10                                 (18)                  
 % Structural Impact                                                                                      3                         2                                  1                     
 % Change - Currency Neutral Reported and Adjusted for Structural Items                                   8                         7                                  (19)                  
                                                                                                                                                                                             
 % Change - After Considering Items (Non-GAAP)                                                            4                         3                                  (6)                   
 % Currency Impact After Considering Items (Non-GAAP)                                                     (6)                       (7)                                (17)                  
 % Change - Currency Neutral After Considering Items (Non-GAAP)                                           11                        10                                 10                    
 % Structural Impact After Considering Items (Non-GAAP)                                                   3                         2                                  1                     
 % Change - Currency Neutral After Considering Items and Adjusted for Structural Items (Non-GAAP)         8                         7                                  9                     
                                                                                                                                                                                             
 Note: Certain columns may not add due to rounding.  Certain growth rates may not recalculate using the rounded dollar amounts provided.                                                     


                                                                                                                               
                                                                                                                               
                                                                                                                               
                                                                                                                               
                                                                                                                               
                                                                                                                               
 THE COCA-COLA COMPANY AND SUBSIDIARIES                                                                                        
 Reconciliation of GAAP and Non-GAAP Financial Measures                                                                        
 (UNAUDITED)                                                                                                                   
 (In millions)                                                                                                                 
                                                                                                                               
 Purchases and Issuances of Stock:                                                                                             
                                                                                                                               
                                                        Year Ended                        Year Ended                           
                                                        
December 31, 2012                
December 31, 2011                   
 Reported (GAAP)                                                                                                               
 Issuances of Stock                                     $         1,489                   $         1,569                      
 Purchases of Stock for Treasury                        (4,559              )             (4,513                        )      
 Net Change in Stock Issuance Receivables1              8                                 (16                           )      
 Net Change in Treasury Stock Payables2                 (1                  )             156                                  
 Net Treasury Share Repurchases (Non-GAAP)              $         (3,063    )             $         (2,804              )      
                                                                                                                               
 1 Represents the net change in receivables related to employee stock options exercised but not settled prior to the end of the quarter. 
 2 Represents the net change in payables for treasury shares repurchased but not settled prior to the end of the quarter.      
                                                                                                                               
                                                                                                                               
                                                                                                                               
                                                                                                                               
 Consolidated Cash from Operations:                                                                                            
                                                                                                                               
                                                        Year Ended                        Year Ended                           
                                                        
December 31, 2012                
December 31, 2011                   
                                                        Net Cash Provided by              Net Cash Provided by                 
                                                        
Operating Activities             
Operating Activities                
 Reported (GAAP)                                        $         10,645                  $                   9,474            
 Items Impacting Comparability:                                                                                                
 Cash Payments Related to Pension Plan Contributions    900                               769                                  
 After Considering Items (Non-GAAP)                     $         11,545                  $                   10,243           
                                                                                                                               
                                                        Net Cash Provided by                                                   
                                                        Operating Activities                                                   
 % Change - Reported (GAAP)                             12                                                                     
 % Change - After Considering Items (Non-GAAP)          13                                                                     
                                                                                                                               
 Note: Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. 
                                                                                                                               
                                                                                                                               
                                                                                                                               
                                                                                                                               
                                                                                                                               
                                                                                                                               


About The Coca-Cola Company

The Coca-Cola Company (NYSE: KO) is the world`s largest beverage company,
refreshing consumers with more than 500 sparkling and still brands. Led by
Coca-Cola, the world`s most valuable brand, our Company`s portfolio features 16
billion-dollar brands including Diet Coke, Fanta, Sprite, Coca-Cola Zero,
vitaminwater, Powerade, Minute Maid, Simply, Georgia and Del Valle. Globally, we
are the No. 1 provider of sparkling beverages, ready-to-drink coffees, and
juices and juice drinks. Through the world`s largest beverage distribution
system, consumers in more than 200 countries enjoy our beverages at a rate of
more than 1.8 billion servings a day. With an enduring commitment to building
sustainable communities, our Company is focused on initiatives that reduce our
environmental footprint, support active, healthy living, create a safe,
inclusive work environment for our associates, and enhance the economic
development of the communities where we operate. Together with our bottling
partners, we rank among the world`s top 10 private employers with more than
700,000 system employees. For more information, please visit
www.coca-colacompany.com, follow us on Twitter at twitter.com/CocaColaCo or
visit our blog at www.coca-colablog.com. 

Forward-Looking Statements

This press release may contain statements, estimates or projections that
constitute forward-looking statements as defined under U.S. federal securities
laws. Generally, the words believe, expect, intend, estimate, anticipate,
project, will and similar expressions identify forward-looking statements, which
generally are not historical in nature. Forward-looking statements are subject
to certain risks and uncertainties that could cause actual results to differ
materially from The Coca-Cola Company`s historical experience and our present
expectations or projections. These risks include, but are not limited to,
obesity and other health concerns; scarcity and quality of water; changes in the
nonalcoholic beverages business environment, including changes in consumer
preferences based on health and nutrition considerations and obesity concerns,
shifting consumer tastes and needs, changes in lifestyles and competitive
product and pricing pressures; risks related to the assets acquired and
liabilities assumed in the acquisition, as well as the integration, of Coca-Cola
Enterprises Inc.`s former North America business; continuing uncertainty in the
credit and equity market conditions; increased competition; our ability to
expand our operations in developing and emerging markets; foreign currency
exchange rate fluctuations; increases in interest rates; our ability to maintain
good relationships with our bottling partners; the financial condition of our
bottling partners; increases in income tax rates or changes in income tax laws;
increases in indirect taxes or new indirect taxes; our ability and the ability
of our bottling partners to maintain good labor relations, including the ability
to renew collective bargaining agreements on satisfactory terms and avoid
strikes, work stoppages or labor unrest; increase in the cost, disruption of
supply or shortage of energy; increase in cost, disruption of supply or shortage
of ingredients or packaging materials; changes in laws and regulations relating
to beverage containers and packaging, including container deposit, recycling,
eco-tax and/or product stewardship laws or regulations; adoption of significant
additional labeling or warning requirements; unfavorable general economic
conditions in the United States or other major markets; unfavorable economic and
political conditions in international markets, including civil unrest and
product boycotts; litigation uncertainties; adverse weather conditions; our
ability to maintain brand image and corporate reputation as well as other
product issues such as product recalls; changes in, or our failure to comply
with, laws and regulations applicable to our products or our business
operations; changes in accounting standards and taxation requirements; our
ability to achieve overall long-term goals; our ability to protect our
information technology infrastructure; additional impairment charges; our
ability to successfully manage Company-owned or controlled bottling operations;
the impact of climate change on our business; global or regional catastrophic
events; and other risks discussed in our Company`s filings with the Securities
and Exchange Commission (SEC), including our Annual Report on Form 10-K, which
filings are available from the SEC. You should not place undue reliance on
forward-looking statements, which speak only as of the date they are made. The
Coca-Cola Company undertakes no obligation to publicly update or revise any
forward-looking statements.

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The Coca-Cola Company
Investors and Analysts:
Jackson Kelly, +01 404.676.7563
or
Media:
Kent Landers, +01 404.676.2683 

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