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Dear Client: The latest U.S. numbers are in from A-B, and they paint another mixed quarter, with revenue accelerating and bev alc share gains continuing; though depletions turned negative in Q2 after having returned to growth in Q1. Q2 U.S. DEPLETIONS DOWN 1.9%, SHIPMENTS DOWN 0.6%, REV UP 2.7%. After posting slight depletion growth in Q1 (+0.3%), A-B’s U.S. depletions slipped back into decline in Q2 (-1.9%), though the company continued to say it “outperformed a soft industry.” Shipments, meanwhile,
RNDC Files for Chapter 11: How Bad Is It, How Did It Get Here, and Why Now?
Dear Client: After years of tumult, RNDC filed for Chapter 11 bankruptcy protection over the weekend, and the filing helps to answer a few of the biggest questions hanging over the distributor’s unraveling, like: Just how bad is RNDC’s financial situation? How exactly did a company that generated $12 billion in annual revenue not long ago reach this point? And why file for bankruptcy now instead of, say, last year? Let’s start with the first one, RNDC’s current financial standing,
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