Coke scales back growth goals

<p>The Coca-Cola Co., the world's biggest soft drink maker, is scaling back its long-term targets for sales volume and earnings growth amid continuing weakness in key markets including North America. Its shares were down 3 percent in early trading.</p><p>The forecast announced Thursday came as a result of an operational review that chairman and chief executive Neville Isdell and other senior managers have been conducting for several months. Isdell was named CEO in May to replace the retiring Doug Daft.</p><p>In a news release in advance of a presentation to analysts, the company said it expects volume growth of 3 percent to 4 percent, down from its previous targets of volume growth of 5 percent to 6 percent.</p><p>It also projects operating income growth of 6 percent to 8 percent, compared to 10 percent previously. Coke is projecting earnings per share growth in the high single-digits, which had been 11 percent to 12 percent.</p><p>The company said it expects continuing weak results to persist into 2005 in key markets including North America, Germany and the Philippines.</p><p>Coca-Cola will also step up its annual marketing and innovation investments by $350 to $400 million in 2005. The company does not disclose how much in total it spends in this area. Most of this money will go to advertise its core brands, the company said.</p><p>In addition to its flagship soft drink, Coca-Cola makes diet Coke, Sprite and Fanta as well as water, juices, coffee and sports drinks.</p><p>Coca-Cola shares were down $1.14 to $40.03 in early trading on the New York Stock Exchange. Its shares are down 23 percent from its high last spring of $53.50.</p><p>___</p><p>On the Net:</p><p>HASH(0x286577c)</p>

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