More on Diageo’s First Half Results

Dear Client:Diageo says tough comparisons, weak consumer demand and confidence and inventory reductions led to disappointing results in the six months to December 31. The first quarter in North America faced tough comparisons from the prior year and a "generally weak consumer trading environment...followed by a disappointing Thanksgiving," which led to a "reduction of planned shipments in December." However, consumer demand picked up more than expected over the Christmas holiday and "therefore stocks held as distributors ended the half below