In bleak stock market performances, 10 of 16 tracked soft drink stocks register declines for full-year 1998. Fourteen of 16 stocks under-perform Dow Jones Industrial Average. For 1998, Dow up +16.1%. S&P 500 up +26.7%. NASDAQ up +39.6%. Only six tracked beverage stocks register gains for year. Cadbury Schweppes leads beverage pack, up +67.1%. Pepsi General owner Whitman also soars, up +56.8%. PepsiCo and Quaker Oats both up +12.8%. Perennial favorites Coca-Cola Co and Coca-Cola Enterprises eke out tiny gains; each up +0.5%. Economic problems in multiple non-US markets and volume growth issues dampen Coke stock's performance.

Cadbury. Shares of Cadbury Schweppes continue on strong track. During 1998, Cadbury inks new bottling security agreements with Coca-Cola Enterprises and Pepsi Bottling Group (PBG); also announces sale of most of non-US beverage business to Coke. Cadbury's stock began run-up in January after company announced deal with CCE (BD 1/23/98). Whitman. During year, Pepsi General owner Whitman divests non-beverage businesses and announces negotiations to acquire additional territories from PBG. Stock begins climb toward end of year as market anticipates completion/announcement of PBG deal; announcement expected by end of month.

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