Please explain: ("Do not be so quick to think you are losing") -- I'm open to rational debate.
The problem I see is this:
1) Many of their new contracts are with Snapple distributors.
2) Triarc just bought Snapple.
3) Triarc wants to buy Stewart's since they don't have a root beer.
4) Triarc lets Cable Car know that it won't distribute their soda unless they agree to be bought out. This is illegal but it never stops anyone, least of all Triarc, which is run by people known to be somewhat flexible in their business ethics. (Someone else has already pointed out the recent WSJ article.)
5) Triarc also lets Cable Car know that their current management will be taken care of, so they don't feel so bad about screwing stockholders. Unfortunately, you can't do good business with bad people, and Simpson and co. are probably next in line to be screwed, though they may have rationalized this away. (Anyone who tells you "Sure, I screw people, but *you're* my buddy" is lying.)
So the question, to me, is: what percentage of Cable Car product is distributed by Snapple distributors? 80% would mean we should all take $3.25 and run (though it doesn't mean Triarc is any less unethical, it leaves DRNK with little choice). 20% would be a short-term setback but wouldn't (to my mind) merit giving up the company. Anyone got any information on this?
I'm still angry, but we've got to keep digging for facts here.
Still long,
Steve |
