Coke, Pepsi to unveil OJ products

Soft-drink rivals cater to consumers on low-carbohydrate diets with new orange juice offerings.

May 14, 2004: 11:06 AM EDT

http://money.cnn.com/2004/05/14/new....reut/index.htm

ATLANTA (Reuters) - Coca-Cola and Pepsi said they'll launch lower-sugar orange juice products as the two leading soft-drink companies battle for consumers on low-carb diets.

Coca-Cola said it had begun shipping its Minute Maid Premium Light product, with about half the calories and sugar, to grocery stores and mass merchandisers across the United States. Minute Maid is a unit of the Atlanta-based company.

"Minute Maid Premium Light orange juice beverage provides an alternative to juice drinkers looking to stay fit and healthy without having to forgo taste," said Donna Shields, a health and nutrition strategist at Coca-Cola.

The new drink contains 50 calories and 10 grams of sugar per 8-ounce serving. Coca-Cola said its price would be comparable to other Minute Maid Premium 64-ounce and multipack orange juice products.

The rollout comes at a time when Coca-Cola is battling No. 2 PepsiCo Inc., its main rival, for the allegiance of health-conscious consumers in North America, the largest market for the two beverage companies.

The companies have already announced plans to launch mid-calorie versions of their flagship cola brands in the United States this summer.

Purchase, N.Y.-based PepsiCo. said Thursday that it was rolling out a revised version of its Tropicana Light 'n Healthy orange juice product, which debuted in 64-ounce cartons in the United States earlier this year.

It will contain 55 calories and 11 grams of sugar per 8-ounce serving, about 20 percent less than the drink that hit stores in January. A Tropicana spokeswoman said the entire rollout would be completed during the next two months.

Although the introduction of low-calorie orange juice appears to make sense in a market where low-carbohydrate diets have become the rage, there is a possibility they could cut into sales of other Minute Maid and Tropicana juices.

Shares of Coca-Cola (KO: Research, Estimates) fell 31 cents to close at $49.61 Thursday on the New York Stock Exchange. PepsiCo (PEP: Research, Estimates) was down 49 cents to end at $53.15.