Coca-Cola protest in Venezuela blocks production

<p>Protests by ex-workers paralyzed Coca-Cola Co.'s bottling and distribution plants in Venezuela for a second day Tuesday, while the soft drink bottler said it sought a court injunction to stop the demonstrators from blocking delivery trucks.</p><p>The protest led by former delivery contractors has forced the company to halt work at its four bottling plants, and has blocked access to 23 of its 32 distribution centers, said Rodrigo Anzola, legal department head for the bottling affiliate, Coca-Cola Femsa, SA.</p><p>"We have sought a Supreme Court ruling among other legal strategies to resolve this," Anzola told Dow Jones Newswires.</p><p>Allies of President Hugo Chavez have led the protests against the U.S. company, backed by pro-Chavez allies in Congress.</p><p>"As of now, we're preparing to bring out women and children out here to sleep with us," said protester Rosa Natera, a protest organizer.</p><p>One crowd of protesters carried a Venezuelan flag, and some have donned red T-shirts reading "Coca-Cola: Don't Drink It!"</p><p>Coca-Cola has battled with ex-workers over severance pay for years, even before Mexico-based Coca-Cola Femsa SA took over the Venezuelan bottling operations in 2003.</p><p>The ex-workers, who blocked soft drink shipments starting Monday, say the company owes them as much as $2.8 million in severance payments dating back to 1999.</p><p>As a result, Anzola said, "we have no product line in production right now."</p><p>"These former contractors with help from members of congress have taken actions that remain completely outside Venezuelan law," he said. "We expect a quick response from the Supreme Court given the urgency of the situation."</p><p>Labor leaders say they will continue to press on until they get answers to their demands.</p><p>Company officials began negotiations with workers and lawmakers in August, Anzola said. The parties have made little headway since then.</p><p>Earlier this year, former workers presented the company with a list of claims from roughly 5,300 people.</p><p>The bottler employs more than 7,400 people in Venezuela.</p><p>Meanwhile, one drug store chain, Farmahorro, was starting to run short of Coke, said Ramon Estevez, general manager of the 85-store company.</p><p>"By the end of the week we will be completely out," he said, adding that stores usually keep two to three days of supplies on hand.</p><p>Chavez supporters often accuse U.S. companies of exploiting Venezuelan workers and have called for boycotts in the past against American firms, including Coca-Cola, McDonald's and Nike.</p><p>____</p><p>Raul Gallegos is a Caracas-based correspondent for Dow Jones Newswires.</p>

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