Coca-Cola Consolidated is the largest Coca-Cola bottler in the U.S. The company buys concentrate from The Coca-Cola Company, manufactures ready-to-drink nonalcoholic beverages, and distributes them via direct store delivery (DSD) to retailers, convenience stores, and food service customers across 14 states and Washington D.C. About 85% of bottle and can volume is Coca-Cola branded products — including Coca-Cola, Diet Coke, Sprite, and Fanta — with the remaining ~15% coming from third-party brands like Monster Energy and Dr Pepper. Walmart and Kroger together represent about 36% of bottle/can volume. Coca-Cola Consolidated earns a spread between its manufacturing and delivery costs and the prices it charges retailers. Key cost inputs are concentrate (purchased under an incidence-based pricing agreement that ties cost to Coca-Cola Consolidated's own retail pricing and mix), aluminum cans and PET plastic bottles, and fuel for its DSD fleet. The company also pays ongoing sub-bottling fees to Coca-Cola Refreshments for the exclusive rights to distribute Coca-Cola brands in territories acquired through a 2017 U.S. bottler restructuring. Coca-Cola Consolidated operates 10 manufacturing plants and 60 distribution centers across four regions: the Carolinas, Mid-Atlantic, Mid-South, and Mid-West. Territory boundaries are fixed by agreement with The Coca-Cola Company, so geographic expansion is limited to acquiring adjacent bottler territories.