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Mondelez and Douwe Egberts maker in coffee mega-merger

Mondelez will receive $5bn in cash and a 49pc stake in the combined business which will have $7bn of sales

3:57PM BST 07 May 2014

A new giant in the coffee industry will be created after Douwe Egberts maker DE Master Blenders has merged with Mondelez’s coffee business.

The deal agreed yesterday will see the formation of the world’s second-largest coffee company after DE Master Blenders agreed to hand US-based Mondelez $5bn (£2.9bn) in cash and a 49pc stake in the combined company.

The tie-up will mean the US group’s Carte Noire, Kenco, Millicano and Tassimo brands under the same roof as the Dutch company’s Douwe Egberts coffee and Senseo coffee capsules.

The combined business, which will be called Jacobs Douwe Egberts, will have $7bn of revenues, making it a strong challenger to industry leader Nestle.

The deal is the latest step in coffee consolidation by former Reckitt Benckiser boss, Bart Becht, who last year led German investment firm Joh A Benckiser’s (JAB) £6.4bn acquisition of DE Master Blenders.

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Mondelez said the deal will allow it to focus on its snacks business which includes Cadbury’s chocolate and Oreo cookies.

The coffee merger is the by-product of a series of carve outs from previous mergers and acquisitions. Mondelez was spun out of Kraft Foods in 2012 after the hostile takeover of Dairy Milk maker Cadbury, while DE Master Blenders was carved out of US frozen foods group Sara Lee.

Mondelez boss Irene Rosenfeld yesterday unveiled a $3.5bn restructuring programme which will include a reduction in the company’s workforce.

British union Unite yesterday said it was seeking urgent assurances for the 1,000 workers at the Mondelez Kenco coffee factory in Banbury, Oxfordshire, which is one of the town’s main employers.

“This move has the potential to be highly unsettling for a skilled and dedicated workforce. The Kenco coffee factory in Banbury is a vital source of jobs for the local community and economy,” said Rhys McCarthy, Unite national officer.

Mr Becht, chairman of JAB Holding Company, said yesterday that it was “too early” to discuss potential job cuts as the process had just begun.

Bart Becht, former boss of Reckitt Benckiser, is chairman of JAB Holding Company

“There will be cost synergies on the procurement side… but this is a deal for growth not cost reductions as we are complementary businesses,” Mr Becht said.

The transaction to combine the world’s number two and number three players in the $81bn global coffee market will be heavily scrutinised by competition authorities. Mondelez has a 12.9pc share of the global market, DE Master Blenders has a 5.9pc, while Nestle remains world leader with 22pc, according to analysts. Mr Becht confirmed that the deal would need approval from the European Commission.

Despite the multi-billion size of the deal Mr Becht said that JAB would continue to look at acquisition opportunities in the coffee space. Mr Becht admitted he hasn’t had a quiet retirement since stepping down from the helm of Reckitt Benckiser in 2011.

JAB is the investment vehicle of the wealthy and very private Reimann family. Their fortune comes from the Benckiser chemicals company, founded in 1823 which through a series of deals became Reckitt Benckiser, the FTSE 100 listed maker of Cillit Bang and Durex condoms.

Mr Becht confirmed that JAB had “no intention to sell” its remaining 10.5pc stake in Reckitt Benckiser to fund further acquisitions and said that he believed the London-listed group was “fantastic” and trading well. JAB also controls beauty group Coty and owns Labelux, manager of luxury brands Bally, Belstaff and Jimmy Choo.

DE Master Blenders was advised by Lazard, JP Morgan, BDT and Goldman Sachs while JAB was advised by Bank of America and Morgan Stanley. Mondelez was advised by Centerview Partners and Perella Weinberg Partners.

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In 1753, Egbert Douwes and his wife Akke Thijsses open their grocery store "White Ox" in the city Joure in the Netherlands. This would become the the foundation for Douwe Egberts - best coffee from Holland. Egbert and Akke sell products for "the joys of daily life", which are especially coffee, tea and tobacco. To date, Douwe Egberts offers high quality premium coffee. Every year, people around the world enjoy over 70 billion cups of Douwe Egberts coffee. Most famous are the Senseo coffee pods.

Mondelez International & D.E Master Blenders 1753 to Form World's Leading Pure-Play Coffee Company

- Partnership Will Combine Jacobs and Tassimo with Douwe Egberts and Senseo in Portfolio of Iconic Coffee Brands

- Compelling Strategic Fit Due to Highly Complementary Brands, Geographic Profile and Technology Platforms

- Combined Company to Capitalize on Significant Global Growth Opportunities through Increased Scale, Greater Focus and Targeted Investment

DEERFIELD, Ill. and AMSTERDAM , May 7, 2014 /PRNewswire/ -- Mondelez International, Inc. (NASDAQ: MDLZ) and D.E Master Blenders 1753 B.V. today announced their intention to combine their respective coffee businesses to create the world's leading pure-play coffee company, with annual revenues of more than $7 billion (€5 billion) and an EBITDA[1] margin in the high teens.

The new company, to be called Jacobs Douwe Egberts (JDE), will be based in the Netherlands. It will hold leading market positions in more than two dozen countries and have a strong emerging market presence, giving it significant revenue synergy opportunities in the $81 billion global coffee category [2]. The two companies own some of the world's leading coffee brands, such as Jacobs,

, Gevalia, Kenco , Tassimo and Millicano from Mondelez International and Douwe Egberts, L'OR, Pilao and Senseo from D.E Master Blenders 1753.

"Jacobs Douwe Egberts will leverage the rich histories of both companies, combining our complementary geographic footprints, portfolios of iconic brands and innovative technologies to offer more people around the world more access to high-quality coffee and allowing the company to capitalize on the significant growth opportunities in a highly attractive market," said

, CEO of D.E Master Blenders 1753 and prospective CEO of the combined company.

"We're delighted with this transaction and the substantial value we expect to create for our shareholders," said

, Chairman and CEO of Mondelez International , whose coffee portfolio has outpaced market growth since 2010, thanks to innovations such as the Tassimo multibeverage on-demand brewing system and Millicano wholebean instant coffee. "By retaining a significant stake in the combined company, we'll continue to benefit from the future growth of the coffee category and share in the synergies and tremendous upside of this leading, one-of-a-kind coffee company."

The parties have entered into an agreement to combine Mondelez International's wholly owned coffee portfolio (outside of France ) with D.E Master Blenders 1753. In conjunction with this transaction, Acorn Holdings B.V. ("AHBV"), owner of D.E Master Blenders 1753, has made a binding offer to receive Mondelez International's coffee business in France . The parties have also invited Mondelez International's partners in certain joint ventures to join the new company. The transactions remain subject to regulatory approvals and the completion of employee information and consultation requirements.

In 2013, Mondelez International's wholly owned coffee business generated approximately $3.9 billion (€2.9 billion) in revenue, and D.E Master Blenders 1753 generated approximately $3.4 billion (€2.5 billion) in revenue.

Upon completion of all proposed transactions, Mondelez International will receive cash of approximately $5 billion and a 49 percent equity interest in Jacobs Douwe Egberts. AHBV will hold a majority share in the proposed combined company and will have a majority of the seats on the Board, which will be chaired by current D.E Master Blenders 1753 Chairman

. AHBV is owned by an investor group led by JAB Holding Company s.a r.l. Mondelez International will have certain minority rights.

The transactions are expected to be completed in the course of 2015, subject to limited closing conditions, including regulatory approvals. During this time, Mondelez International and D.E Master Blenders 1753 will undertake consultations with all Works Councils and employee representatives as required in connection with the transactions.

The new company's executive leadership team will be named at a later date and will consist of executives from both D.E Master Blenders 1753 and Mondelez International . Fact sheets with key data about the coffee businesses of both companies are available for download at http://bit.ly/1iiBeFe.

About D.E Master Blenders 1753

D.E Master Blenders 1753 is a leading pure-play coffee and tea company that offers an extensive range of high-quality, innovative products through well-known brands such as Douwe Egberts, Senseo, L'OR, Pilao, Merrild, Moccona, Pickwick and

About Mondelez International

Mondelez International, Inc. (NASDAQ: MDLZ) is a global snacking powerhouse, with 2013 revenue of $35 billion . Creating delicious moments of joy in 165 countries, Mondelez International is a world leader in chocolate, biscuits, gum, candy, coffee and powdered beverages, with billion-dollar brands such as Cadbury , Cadbury Dairy Milk and Milka chocolate, Jacobs coffee, Oreo, LU and Nabisco biscuits, Tang powdered beverages and Trident gum. Mondelez International is a proud member of the Standard and Poor's 500, NASDAQ 100 and Dow Jones Sustainability Index. Visit www.mondelezinternational.com and www.facebook.com/mondelezinternational.

This press release contains a number of forward-looking statements. Words, and variations of words, such as "will," "expect," "intend" and similar expressions are intended to identify these forward-looking statements, including, but not limited to, statements about: the parties' entry into the transactions, the timeframe for completing the transactions and the financial and growth prospects for the new company; the cash proceeds and ownership interests to be received in the transactions; creation of value for shareholders; coffee category growth; and the benefits of the transactions to Mondelez International . These forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond Mondelez International's control, which could cause Mondelez International's actual results to differ materially from those indicated in these forward-looking statements. Such factors include, but are not limited to, risks that the parties will fail to successfully complete the transactions on the anticipated timeframe and that the transactions will not yield the anticipated benefits. Please also see Mondelez International's risk factors, as they may be amended from time to time, set forth in Mondelez International's filings with the SEC , including its most recently filed Annual Report on Form 10-K. Mondelez International disclaims and does not undertake any obligation to update or revise any forward-looking statement in this press release, except as required by applicable law or regulation.

[1] Earnings Before Interest, Taxes, Depreciation and Amortization

[2] Euromonitor , 2013

SOURCE Mondelez International, Inc.

News Provided by Acquire Media

Copyright 2017 Mondelez International, Inc.

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Coffee Review: Douwe Egberts’ Aroma Rood

One of Douwe Egberts’ most popular coffees is Aroma Rood (pronounced “rote”, Dutch for “red”, which we suspect refers to the packaging). Why is it so popular, you may ask? Well, for one, it is often served in restaurants, from casual places to fine dining establishments. As a medium roast, it is intended to appeal to a wide group of coffee drinkers. Most importantly, it is popular because of its consistency in flavor. Those who love Aroma Rood use the same words to describe it: Balanced (flavor and acidity), aromatic, smooth, rich. Many drink it without milk or sugar (even when they normally use milk and sugar) because of Aroma Rood’s own special sweetness. The combination of strong Robusta beans and aromatic Arabica beans come together in a symphony of flavor through the Douwe Egberts’ roasting process.

We here at Enjoy Better Coffee like it because of all these characteristics. Aroma Rood is one of our best sellers, and honestly, when we get a new shipment, it is one of the first that we sell out quickly. We like it for being a great, full-flavor alternative to dark roast coffees. For us, it has a very real coffee taste, the taste that we want to enjoy as we make our way through the day. Our owner Victor says he would drink this coffee all the time.

We offer this coffee ground and in whole bean, which from comments on the web appears hard to find. We have an assortment of sizes, too, so there is something for everyone.

Care to share?

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4 thoughts on “ Coffee Review: Douwe Egberts’ Aroma Rood ”

No no no, I drink this everyday at the office (because this is what they have). The problem is that, it’s really cheap and that is why it is one of the best sellers. Come on people! It is sold because it represents a nice balance between price and taste (and caffeine in it from Robusta beans). For sure this is not one of the best out there : try Douwe Egberts Black or L’OR or Lavazza and then come back to this, no way.

We love strong convictions about coffee! Aroma Rood is very well-priced and honestly, we sell it quickly when we have it, including to our wholesale customers. Douwe Egberts Black, L’OR and Lavazza are all great coffees, all of which I personally enjoy. That is the great thing about coffee – there are so many to try and to enjoy, everyone can find the taste he likes best! Thanks for the post!

We are so glad you found us!! Belgium is such a lovely country; we spent some of our honeymoon in Brugges; I still have a lace bookmark I treasure from there.

The Douwe Egberts process is special, and I love that the company is so eco-friendly.

We love helping people enjoy better coffee!

I’m originally from Belgium and often made a trip across the border into Holland to get me this Aroma Rood(red), in my opinion the best coffee on the market. We had Douwe Egberts too in Belgium but in Holland they do a better job roasting it light brown, not dark.

Now that I live in Texas I’m all too pleased to have found a supplier. Sure beats $1,000 trips to Belgium to get some. But I still go for my chocolates though. Now I have more room for those and I order the coffee from

I made a friend of mine here in the States aware of this Aroma Rood. He’s a fervent coffee lover who used to work at Starbucks but admitted freely this was much better than anything he ever tasted at Starbucks. I couldn’t agree more, of course.

If you want to taste how coffee should taste, this is it. “symphony of flavor through the Douwe Egberts’ roasting process”. I couldn’t agree more strongly.

Douwe Egberts

Douwe Egberts is the main brand name for D.E Master Blenders 1753, a multinational tea and coffee company operating out of the Netherlands. [2] It was founded in Joure in the Netherlands by Egbert Douwes in 1753 as The White Ox (De Witte Os) a general grocery shop, which later developed into a company dealing in coffee, tea, and tobacco. By 1925 it had changed its name to Douwe Egberts (as in Douwe, the son of Egbert), and had introduced the red seal as its logo. [3] The company expanded through Europe, acquiring other tea, coffee and tobacco companies, such as the UK tea distributor Hornimans, until it was taken over by the Sara Lee Corporation in 1978. The tobacco interests, Van Nelle and Drum rolling tobacco, were sold to Imperial Tobacco in 1998, [4] then in 2001 the company in collaboration with Philips produced the Senseo coffee maker system. With profits from the coffee division under threat from rivals such as Nestlé and Kraft, and being unable to find a buyer, in 2012 Sara Lee split off the coffee division into D.E Master Blenders 1753, offering share-holders one share in the new company for each main share they held. [5] [6] The main Sara Lee company changed name to Hillshire Brands. [7] In 2013 German investor group Joh. A. Benckiser made an offer to purchase D.E Master Blenders 1753 for $9.8 billion. [8]

The coffee brand Douwe Egberts, especially the cheaper red label, is the traditional coffee drink found in homes for many years. On the back of the packs of coffee and tea, collectible seals were printed. Traditionally housewives cut these seals to change them for cups, coffeemakers, tea tins etc. This system began around 1925. [9]

• 1753 - Egbert Douwes starts a grocery shop in Joure, called De Witte Os ("the White Ox").
• 1780 - The company is transferred to his eldest son Douwe Egberts. Its main activities are processing and trading coffee, tea, and tobacco.
• 1948 - DE starts sales in Belgium. France, Spain, and Denmark follow.
• 1968 - A holding company, Douwe Egberts Koninklijke ("Royal Douwe Egberts"), is founded.
• 1969 - DE takes over Kanis & Gunnink, another Dutch coffee manufacturer.
• 1978 - DE is in its turn taken over by Consolidated Foods Corporation.
• 1985 - Consolidated Foods becomes Sara Lee Corporation as a result of acquisitions that year.
• 1989 - DE takes over Van Nelle, its main Dutch competitor in coffee, tea, and tobacco.
• 1998 - The hand-rolling tobacco business (Drum, Van Nelle, Amphora and Winner) is sold to Imperial Tobacco.
• 2001 - The company collaborates with Philips to produce a coffee maker called Senseo.
• 2002 - The company establishes the Douwe Egberts Foundation, an independent entity that initiates and manages coffee and tea projects in countries of origin
• 2007 - Sued the province of Groningen over the introduction of rules stating that all coffee supplied in the province must meet Fair trade criteria set by Stichting Max Havelaar. Courts ruled in favour of the province of Groningen.

In 2012 Douwe Egberts became an independent Dutch company again, trading under the name D.E Master Blenders 1753 NV. [1] In 2013 a German investor group Joh. A. Benckiser announces it will buy Netherlands-headquartered D.E. Master Blenders 1753 NV for $9.8bn. The company appointed a new management and delisted the company from the Euronext stock market. D.E. Master Blenders 1753 later bought Norway's Kaffehuset Friele coffee manufacturer. The new company announces that coffee production in Bergen, Norway, 'will continue as before'. [10]

In May 2014 the company announced plans for a merger with the American food conglomerate Mondelez International. [11] Mondelez markets in the Netherlands coffee brands under the name Jacobs and Carte Noir. The new company will use Jacobs Douwe Egberts as a trade name and will have its seat in the Netherlands. On 5 May 2015 the European Commissioner for Competition Margrethe Vestager announced to agree with the merger under several conditions. [12] Mondelez is willing to sell its Carte Noire activities. DE Master Blenders will sell its Merrild activities in Europe. The merged company will also makes it possible for Austria to make coffee pads on the DE brand Senseo through a license.

Brands owned by D.E. Master Blenders 1753 include Douwe Egberts ground and instant coffee; also Douwe Egberts Coffee Systems and Coffee Care, a drinks supply.

• Pickwick tea
• Horniman's Tea
• Natrena (artificial sweeteners)
• Merrild (coffee, in Denmark, Iceland)
• Kanis & Gunnink (coffee)
• Senseo (coffee-pads for a coffee-maker, in conjunction with Philips)

• Piazza d'Oro (espresso)
• Cafitesse (coffee concentrates and systems)
• Moccona (instant coffee)
• Cafe Switch, a frothy coffee drink that is frothed using thumb pods
• Cafe Pilao (coffee brand in Brazil)
• Harris (Coffee and filter papers in Australia)
• Maison du Café (Coffee, in France)
• Caffiato, an icedcappuccino with caramel flavour
• Marcilla (Spain) [13]
• Friele (Norway)
• Tea Forte

Kaffeepadmaschine Senseo

TopSeller Kaffeepadmaschine Senseo

Douwe Egberts Senseo Kaffeepads 126 Stück – 10 Sorten gemischt – Kaffee Pads

Douwe Egberts Senseo Kaffeepads 126 Stück – 10 Sorten gemischt – Kaffee Pads

• Originale Douwe Egberts Kaffeepads
• Für Senseo Kaffeemaschinen
• 10 verschiedene Sorten
• Insgesamt 126 Kaffeepads

Originale Douwe Egberts Kaffee Pads für die Senseo Kaffeemaschinen. 10 verschiedene Sorten gemischt im Paket. Zusammen sind es 126 Kaffe Pads.

Im Paket enthalten sind:

1x Normale Röstung1x Dunkle Röstung1x Milde Röstung1x Entkoffeiniert1x Vienna1x Sevilla1x Rio de Janeiro1x Presso1x Café Choco1x Cappuccino

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We love all things coffee (and tea)!!

Coffee Review: Douwe Egberts Pure Gold Instant

I should start this review with a disclaimer: I do not drink instant coffee. I have never found one that was even close to drinkable. So why am I reviewing Douwe Egberts Pure Gold Instant?

Well, for one, I trust Douwe Egberts to make good coffee. I believe that they would not make an instant coffee if it did not meet their exacting standards, so I already expect more from this coffee. Secondly, Pure Gold Instant consistently gets good reviews online so I wanted to see for myself. Lastly, I would love to find a convenient way to enjoy good coffee without having access to ground coffee.

I certainly love the individual sticks in which the coffee is available. They alone are convenient, small enough to carry in my computer bag or purse and easy to open (even has an arrow pointing me in the direction and location to tear). Plus, the individual sticks help keep the contents fresh for much longer than regular ground coffee. I also like the coloring of the packaging; the gold does suggest this isn’t your grandmother’s instant.

Please allow me a short digression about the types of instant coffee. There are 3:

1. Freeze-dried (Exactly what it sounds like)
2. Agglomerated (Sprayed, dried, then partially hydrogenated to produce larger granules)
3. Spray-dried (Sprayed, dried quickly to produce a fine coffee particle)

I poured the stick’s contents into a mug, then added almost boiling water. The coffee appeared as gold-colored chunky granules (agglomerated, as you may have guessed), which dissolved instantly in the hot water. Pure Gold is a medium coffee, and while I did find the flavor to be mild, it unfortunately was not as full-bodied as I would like. The aroma, though, was strong and robust with all the nuances of brewed Douwe Egberts coffee. Thirty seconds and you are ready to go, start to finish.

I tried it without any cream or sugar initially, then added my standard amount of cream and sugar. Just black, the brew had a strong flavor, with a slight bitterness, and a pleasant and real aroma. The finish was was clean too. Once I added the cream and sugar, though, I would not be able to tell the difference between brewed coffee and this instant.

In thinking about this review, I wondered why I would drink instant when I have wonderful ground coffees all around me. Immediately, I thought of several places where I would drink this instant: Traveling; hiking or camping; offices that use sub-standard coffee in the coffee maker and when visiting my mother-in-law, who does not own a coffee maker. (She is British, so only tea on the menu there.)

Is this instant as delicious as fresh-brewed coffee? No, of course not. Would I drink this coffee? Yes, I will! In fact, I am putting a few sticks in my purse right now, a couple in my computer bag and adding it to my list of items I to pack when I travel. I like the aroma, I love the convenience and, let’s face it, I like Douwe Egberts.

Care to share?

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2 thoughts on “ Coffee Review: Douwe Egberts Pure Gold Instant ”

If I understand your request, you are asking about a disposable cup pre-filled with Douwe Egberts instant coffee that you had on an airplane flight. We are not familiar with that delivery system. We will ask our contacts and let you know if we learn anything.

We do have Douwe Egberts Pure Gold Instant Coffee in individual sticks, which gets you haflway to what you want. (Perhaps you could use them with disposable cups?) We also carry Douwe Egberts Instant Cappuccino in individual sticks. They are sold in boxes of 200 and 80, respectively. (We also have a promotion with a set of either flavor in a Douwe Egberts ceramic mug, which isn’t meant to be disposable, of course!)

Thanks for writing! Let us know if the individual sticks would help you.

Sehr geehrte Damen und Herren,

Ich bin auf der Suche zum Kauf der Einwegbecher von Douwe Egberts ,wo der Instant Cafe schon drin ist.

Nur noch die Silberfolie aus dem unteren Teil des Bechers raus ziehen, und schon kann heißes Wasser drauf geschüttet werden und der Cafe ist fertig.

Ich habe diesen Cafe von Douwe Egberts im Pappbecher auf dem Flug von

Rostock nach Antalia ( bei der Fluggesellschaft sunexpress ) bekommen,und seither versuche ich diesen käuflich zu bekommen.

Vielleicht können Sie mir helfen,und mir schreiben wohin ich mich wenden kann.