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## The Nordic Region 

## Denmark — Carlsberg Danmark A/S 

In 2001, Danish beer sales decreased by 3% - mainly due to a decline in the on-trade and conve- nience sector. However, total beer consumption in Denmark is estimated to be at level with last year when taking into account the increase in cross- border trade, which is estimated at about 22% of total Danish consumption. Branded beer gained market share from discount beer and private la- bels. The on-trade, which comprises consumption in outlets, is at present undergoing structural changes where traditional beer outlets are disap- pearing, resulting in an overall negative impact on beer sales. The concentration of the retail sector continues with a declining trend in the number of outlets, particularly in the convenience sector. 

Overall, Carlsberg DanmarkGLYPH<213>s market share was in line with last year. The Tuborg brand showed strong performance whereas the Carlsberg brand and discount beer experienced a slight decline. In- creased consumer preferences for the Carlsberg brand combined with a positive market share trend suggest that the revitalisation programme for the Carlsberg brand launched in 2001 will have a positive effect on the position of the brand. 

The increase in soft drink duties as at 1 Janua- ry 2001 caused a significant drop in soft drink sa- les. Legal and illegal parallel import as well as cross-border trade increased correspondingly and are now estimated at approximately 50m litres per annum (corresponding to about 10% of the mar- ket). All sales channels are affected by this de- velopment, but the negative impact is strongest in the convenience sector. The Carlsberg and Coca- Cola brands gained increasing market share in the otherwise declining soft drink segment. 

The leading Danish soft drink producer, Coca- Cola Tapperierne A/S, was integrated into Carls- berg Danmark as a wholly owned subsidiary in 2001. Distribution, telesales, IT, finance and HR have been successfully consolidated with effect from 1 October 2001. 

Preparations for the upgrade to a new version of SAP are proceeding according to plans, and the new version is expected to be operational by the second quarter of 2002. 

The financial results of the total Danish busi- ness are in line with expectations. 

## Sweden — Carlsberg Sweden AB 

For some years, the Swedish beer market has ex- perienced a declining trend. Paradoxically how- ever, consumption shows a simultaneous increase because about 20% of total Swedish beer con- sumption stems from private import from neigh- bouring countries with lower tax levels. The trend in domestic sales seems to be towards beer types with a higher alcohol content, resulting in a shift in sales from the groceries trade to the state mono- poly outlet, Systembolaget, and restaurants. 

Overall, Carlsberg Sverige is by far the domi- nant player in the Swedish beer market with a market share twice that of number two. In 2001, Carlsberg Sverige by and large maintained the market shares achieved for the breweryGLYPH<213>s present brand portfolio. The Carlsberg brand in particular 

## Group Companies Western Europe 

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