SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
April 26, 1999
(Date of Report)
CENTRAL EUROPEAN DISTRIBUTION CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 0-24341 54-1865271
(State or other jurisdiction (Commission file number) (IRS employer
of incorporation) identification number)
1343 Main Street, Suite 301, Sarasota Florida 34236
Address of Principal Executive Offices
Registrants telephone number, including area code: (941) 330 1558
Item #5 Other Events
See attached press release announcing the agreement.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Central European Distribution Corporation
(Registrant)
Date: April 26, 1999
Jeffery Peterson
Executive Vice-president
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CENTRAL EUROPEAN DISTRIBUTION CORPORATION TO ACQUIRE
LEADING PREMIUM WINE IMPORTED IN POLAND
SARASOTA, Fla., Apr. 19/PRNewswire/ -- Central Euopean Distribution Corporation
(Nasdaq:CEDC) announced today that it has signed a definitive agreement to
purchase the assets of The Cellar of Fine Wines (CFW), the leading Polish
importer and distributor of premium wines with sales of nearly $5 million and
operating profits of nearly $1 million in 1998. The acquisition is expected to
be accretive to per share earnings in 1999.
This purchase will position CEDC as the leader in the fast growing imported wine
market, in addition to its current positions of distribution leader for
domestic vodka and imported beers and spirits. CFW's clients include leading
hotel chains such as the Sheraton, Intercontinental, Marriott, Radisson and
Meridien. It has importing relationships with vineyards from 11 countries
including such international names as Baron Philipe de Rothschild, Robert
Mondavi, M. Torres, Antinori and Penfolds.
William Carey, Chairman and CEO of CEDC, stated, "This purchase completes our
near-term objective to be a leader in all key segments of the alcoholic beverage
market in Poland. It will expand our appeal to current customers and we will be
able to expand the geographic sales coverage for these exciting new wine brands.
We are pleased that Frits Konings, Managing Director of CFW, will continue to
assist the company in the purchase of wines and in the training of the dedicated
wine sales force."
Mr. Konings commented, "We are very pleased to be combining our business with
CEDC. This provides a unique opportunity to expand our business nationally and
to take advantage of the synergies of working with CEDC's already established
national distribution and logistics system. We will continue to strive to be at
the leading edge of satisfying customers' increasing demand for high quality
wines."
Under the terms of the agreement, CFW will be paid $1.75 million in cash and
100,000 shares of CEDC stock. The transaction will be accounted for as a
purchase and will be subject to final CEDC Board approval. Closing is expected
prior to mid-year.
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CEDC is the leading importer of beers, wines and spirits, as well as the largest
distributor of domestic vodka in Poland, a four billion-dollar market at the
retail level in 1998.
Except for the historical information contained herein, the matters discussed
in this news release are forward-looking statements that involve risks and
uncertainties that are detailed from time to time in the Company's SEC reports,
including but not limited to the discussions included in the Annual Report on
Form 10K for 1998.
For further information contact Jeffrey Peterson, Executive Vice-President at
(941) 330-1558 or visit our web site at http://www.ced-c.com.
