at its highest rate in 30 years. 

EXpANDiNG OUR STiLL pORTFOLiO 

Having a strong, sustainable business also depends on an expanding portfolio of still beverages that brings our offerings to new consumers and satisfies evolving needs and nutrition occasions. 

Still beverage unit case volume grew 12 percent for the year, following 7 percent growth in 2006. We continued to maintain and enhance our position in the global 

nonalcoholic ready-to-drink market. We are No. 1 in sparkling beverages, No. 1 in juice and juice drinks, No. 1 in ready-to-drink coffees and teas, No. 2 in sports drinks, and No. 3 in packaged water, where our ambition is to lead on a value, rather than a volume, basis. 

To further enhance our still portfolio we made selective, strategic acquisitions, including our purchase of glacéau, the maker of vitaminwater—the fast-growing, premier active-lifestyle beverage. This acquisition is already delivering ahead of our expectations. And our partnership with Caribou Coffee will firmly establish us in the growing ready-to-drink coffee space in North America, enabling us to deliver premium, authentic coffee to our consumers. 

bUiLDiNG OUR CApAbiLiTiES 

A year ago in this report, we said we were going to fuel growth by creating inspirational consumer marketing, providing enhanced value to millions of retail partners and to our bottling partners, who make up the world’s largest and most powerful beverage distribution network. 

The men and women of The Coca-Cola Company, working closely with our dedicated bottling partners around the world, delivered on our commitments with great discipline and skill. Our product mix is the strongest it has ever been, our innovation pipeline is growing, and our brands are winning again at the point of sale. 

Our progress in consumer marketing and commercial leadership has renewed interest in our expanding portfolio among shoppers, retail customers and our bottling partners. Creative marketing is part of our DNA and has always been our core competency in eras of success. 

In the past year, with “The Coke Side of Life,” Happiness Factory–The Movie and other award-winning marketing programs, we reinvigorated the energy and optimism

at the heart of our brands. We also invited our consumers to experience the magic and history of the world’s most valuable brand at the highly successful new World of Coca-Cola, which opened this past year in Atlanta. 

ENHANCiNG THE COMMUNiTiES WE SERvE 

We recognize that we cannot have a healthy and growing business unless the communities we serve are sustainable themselves. Careful consideration of environmental, economic and social factors plays into all our decision making and resulted in a number of new partnerships to support the health of our business and our planet. Across the Coca-Cola system, we made significant progress in reducing our water, packaging and energy imprint. 

Water is essential to our business. In 2007, we set the ambitious goal to return the water we use, in our beverages and in their production, back to nature. And our expanded global partnership with World Wildlife Fund (WWF) aims to help conserve seven of the world’s most important