www.heineken.com
www.zlatybazant.sk
www.zipfer.at
www.goesser.at
www.zagorka.bg
www.karlovacko.hr
www.paulaner.com
www.enjoyheinekenresponsibly.com
31
ONLINE INFORMATION
HEINEKEN N.V. ANNUAL REPORT 2008
POLAND
Consolidated beer volume
Market share
Market position
12.2 million hectolitres
33.9 per cent
2
Volume of Grupa Zywiec grew 3.4 per cent, and market share
increased 1 per cent. Growth in beer was held back by price
increases undertaken to compensate for higher input costs
and by an unfavourable weather comparison, but the positive
trend in off-trade continued. Mainstream brand Warka grew
by double digits, and Zywiec, the national premium brand,
outperformed the market. Volume of the Heineken brand
was slightly down. Grupa Zywiec increased prices twice in
2008, and revenue in euro grew 18 per cent, of which half
was organic growth and half the effect of positive exchange-
rate movement. EBIT (beia) was also higher.
RUSSIA
Consolidated beer volume
Market share
Market position
15.5 million hectolitres
13.7 per cent
3
T he beer market was 0.6 per cent lower due to mixed
weather and the effect of a rapidly declining oil price on
the economy, the first fall in 11 years. Selling prices were
increased significantly to pass on higher input costs and an
increase in excise duty. Heineken Russia improved its market
share to 15.8 per cent, driven by strong growth of premium,
regional and economy beers (source: AC Nielsen), growing
volume by 2.9 per cent. In particular, the Heineken brand
developed well, reaching 475,000 hectolitres (+9 per cent)
whilst economy brand Three Bears reached 2.5 million
hectolitres (+39 per cent). Amstel Pulse and premium-priced
Doctor Diesel lager achieved strong growth, but volume of
Ochota was lower.
Revenue grew by double digits due to a 12 per cent price
increase, but EBIT (beia) was affected by significantly higher
transport and input costs, costs related to capacity
expansions and a deteriorating sales mix.
The weaker rouble results in substantially higher input costs
as a large part of raw and packaging materials is invoiced
in euros and dollars. These increases may not be passed
on in domestic selling prices and, therefore, in combination
with the effect of the Weighted Average Cost of Capital
(WACC), a goodwill impairment of €275 million before tax
has been recognised.
OTHER MARKETS IN CENTRAL EASTERN EUROPE
Volume of Brau Holding International, our joint venture with
the Schoerghuber group in Germany, was 4.3 per cent lower
in a declining market. Lower volume and higher input costs
affected its profitability. Our share in net profit was lower.
Heineken Romania enjoyed another good year, with
the Heineken brand growing 26 per cent and single-
digit growth rates for the Bucegi, Goldenbrau and
Ciuc brands.
The breweries in the Czech Republic achieved
excellent volume (+7.3 per cent), revenue and EBIT Jt
(beia) growth. The Heineken brand grew 15 per cent.