Rain dampens Magners sales, profits

16 January, 2008

Poor weather and a weak Christmas have left Magners cider owner, C&C Group, staring at a 10 per cent drop in sales for its full year.

Ireland-based C&C saw sales fall 15 per cent during the three months up to November 30th, it said in a trading statement on Wednesday. Cider sales dropped 18 per cent.

The figures reflect C&C’s ongoing hangover from the UK cider boom in the summer of 2006.

Poor weather in 2007 left the barbecues locked away for large parts, hitting sales for both beer and cider.

C&C said this, plus a “weak performance” over Christmas and a difficult on-trade market, meant full year sales for 2007/2008 were likely to be 10 per cent down on the year before.

The firm said its re-organisation and cost reduction programme, announced in November, was progressing well. It also expects to announce the appointment of a managing director for Magners Great Britain in the coming weeks.

The group will release a full year trading statement on February 29th.

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