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Rwenzori to increase production by 25%

17 March 2010

Kampala


March 11, 2010

Rwenzori Bottling Company, SABMiller's recently acquired water business in Uganda, is to increase capacity across its two plants located in capital Kampala from today's 137 million litres to 171 million litres or 25% in the next six months, the company announced today.
Introducing the company to the media, the Managing Director Kirowi Suma, said the new management would  develop skills to give chance to Rwenzori employees to be able to work in other Sabmiller businesses.
He said the Rwezori brand of water, which is already commanding 70% of the Ugandan market, would be made available in all areas of Uganda and the Great Lakes region.
" We shall continue to maintain world quality standards and make Rwenzori environmental friendly company" Kirowi said.


Background

- The present Rwenzori Bottling Company Limited was founded in 1993 and located at Nakawa Industrial Area, by then it was known as Rwenzori Beverage Company.

- Being the first mineral water company in Uganda, it faced a lot of problems, because people did not believe in Bottled Water as opposed to home boiled water.

- Our water brand was first sold in duty free shops mainly to expatriates and eventually many supermarkets became retailers.

- By 2000 Nakawa was running out of capacity and so a new area was located for bigger and ultra modern water plant, which came to be known as Namanve Plant, with capacity of producing 32,000 cartons per day.

The Rwenzori Brand

- The Rwenzori Mineral Water is the leading bottled water brand in Uganda with estimated market share of 70%.

- The Rwenzori mineral water bottled at both Namanve / Nakawa comes from under ground and is therefore true mineral water

- Rwenzori Mineral Water comes in three pack sizes, i.e. 500mls carton of 24 bottles, 1.5ltr carton of 12 bottles and the percent one 18.7 Jumbo bottle. The good thing with Jumbo is non- returnable one, and can be used in other purposes after finishing the water i.e. flower container etc.

SABMiller Entry
- In February 2010, SABMiller purchased the assets of Rwenzori Beverage Company - This includes land, buildings, plants and equipments at Namanve and Nakawa premises, as well as the Rwenzori Mineral Water Brand.

- All the 370 employees of Rwenzori Beverage were offered new contracts of employment with Rwenzori Bottling Company.

- The Rwenzori Bottled Water business is complementary to SABMiller's existing beer business in Uganda - Nile Breweries Limited.

- This acquisition is in line with the company's African strategy of building full beverage portfolios.

- Rwenzori Bottling Company Limited, though part of Sabmiller Group in Uganda will continue to be managed as a stand-alone business, with its own Board and Management Team, led by the Managing Director Mr. Kirowi Suma.

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