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CNBC Exclusive: CNBC Transcript: CNBC’s Sara Eisen Speaks with Coca-Cola CEO James Quincey on CNBC’s “Squawk on the Street” Today

WHEN: Today, Thursday, November 16

WHERE: CNBC's "Squawk on the Street"

Following is the unofficial transcript of a CNBC EXCLUSIVE interview with Coca-Cola CEO James Quincey on CNBC's "Squawk on the Street" (M-F, 9AM-11AM ET) today, Thursday, November 16. Following is a link to the video on CNBC.com:https://www.cnbc.com/video/2017/11/16/coca-cola-ceo-broadening-into-new-categories-drives-growth.html.

All references must be sourced to CNBC.

SARA EISEN: GUYS, LOTS OF NEWS ON THE CONSUMER FRONT. WE WANT TO GO FROM CINCINNATI NOW TO ATLANTA, WHICH IS WHY I'M HERE TODAY, BECAUSE IT IS COCA-COLA'S FIRST INVESTOR DAY IN EIGHT YEARS, AND WE HAVE THE FIRST INTERVIEW WITH JAMES QUINCEY, AS THE NEW CEO OF THE COMPANY RIGHT HERE ON CNBC. THANK YOU FOR HAVING US.

JAMES QUINCEY: THANK YOU FOR COMING.

EISEN: IT'S NICE TO SEE YOU.

QUINCEY: YEAH, IT'S GREAT FOR YOU TO COME DOWN.

EISEN: SO WHAT SORT OF CHANGES ARE YOU MAKING TO THIS MORE THAN 130-YEAR-OLD COMPANY THAT YOU WANT TO COMMUNICATE TO INVESTORS TODAY?

QUINCEY: YOU KNOW, WE WANT TO REINFORCE WITH INVESTORS THE IDEA BEHIND THE TOTAL BEVERAGE COMPANY. HOW WE'RE USING THAT AS A PLATFORM FOR GROWTH, ABOUT BROADENING INTO LOTS OF OTHER CATEGORIES, HELPING CREATE VALUE FOR THE CUSTOMERS OUT THERE IN THE WORLD AND DOING SO BY CHANGING THE CULTURE OF OUR COMPANY ON THE PLATFORM OF HAVING REFRANCHISED ALL THE BOTTLERS. SO IT'S ABOUT REINFORCING THE GROWTH STORY.

EISEN: WHEN IT COMES TO COCA-COLA, CLEARLY, STILL ONE OF THE STRONGEST BRANDS IN THE WORLD. BUT IT SEEMS LIKE IT IS LOSING CACHE, YOUNG PEOPLE ARE NOT DRINKING SODA LIKE THEY USED TO. DO YOU FEEL YOU HAVE TO REINVENT THIS COMPANY AND THIS BRAND?

QUINCEY: ABSOLUTELY. I THINK EVERY BRAND NEEDS REINVENTED. I MEAN, THE COMPANY AS WE EXPAND THE PORTFOLIO HAS BECOME EVEN BIGGER THAN THE BRAND. BUT EVERY GENERATION HAS HAD TO REINVENT THE RELEVANCE OF COCA-COLA. AND WE'VE BEEN THE FIRST AT MANY THINGS OVER OUR HISTORY. AND IT'S NOW OUR JOB TO REINVENT COCA-COLA FOR THIS GENERATION, WHETHER IT'S THE WAY WE ENGAGE ON SOCIAL MEDIA OR THE SMALLER PACKAGES OR THE REFORMULATIONS, WE CAN FIND WAYS TO KEEP GROWING. AND I THINK THAT'S PART OF WHY COKE BRAND HAS REVENUES GROWN CONSISTENTLY OVER THE LAST FEW YEARS.

EISEN: AND YOU PLAN TO INCREASE THOSE SALES. YOU TALK ABOUT A TOTAL BEVERAGE COMPANY, BUT THIS IS STILL A CARBONATED SOFT DRINKS COMPANY. A MAJORITY OF SALES IS BRAND COKE, DIET COKE, COKE ZERO. HOW MANY ADJUSTMENT DO YOU HAVE TO MAKE TO THAT PORTFOLIO?

QUINCEY: I THINK IT WILL BE AN ONGOING JOURNEY. WE'VE BEEN MOVING ABOUT A PERCENT OF THE TOTAL BUSINESS INTO NEW CATEGORIES EVERY YEAR FOR THE LAST 10-15 YEARS. WE'RE LOOKING TO CONTINUE AND ACCELERATE THAT WITH NEW THINGS WE LAUNCH AND WITH ORGANIC THINGS. BUT ITS GOING TO BE AN "AND" STORY. WE'RE GOING TO GROW THE REVENUES OF SPARKLING AND ADD THESE OTHER BEVERAGES.

EISEN: DOES VOLUME EVER COME BACK?

QUINCEY: VOLUME IS PART OF THE REVENUE EQUATION. NOW IN THE U.S. IT MAY BE A SMALL OR NONEXISTANT PART OF THE EQUATION, BUT IN SOME OF THE EMERGING THIS MARKETS THE PRINCIPLE REVENUE DRIVER WILL BE VOLUME.

EISEN: AT THE SAME TIME, YOU HAVE INSTATED A COST DISCIPLINE, $3.8 BILLION PRODUCTIVITY SAVINGS. IS THERE MORE ROOM TO CUT COSTS? THAT'S A BIG THEME IN CONSUMER RIGHT NOW.

QUINCEY: YEAH, LOOK, I THINK THE ABSOLUTE CHALLENGE TO MANAGEMENT AND WE INCLUDE OURSELVES, WE'VE GOT TO BE EFFICIENT. YES, THE FIRST PRIZE WILL BE GROWTH BUT IT NEEDS TO BE DONE. AN EFFICIENT AND PRODUCTIVE FASHION, AND THAT WILL BE AN ONGOING PART OF THE CULTURE. AND I THINK WE'VE OVER THE LAST NUMBER OF YEARS NOT JUST REALIZED A LOT OF SAVINGS but INSTILLED MORE CULTURE OF VERY CHOICEFUL USE OF RESOURCES.

EISEN: SO YOU ARE CULTURALLY SHAKING UP THIS COMPANY?

QUINCEY: YEAH, WE MADE MORE PAINFUL CHANGES THIS YEAR. WE REDUCED THE HEAD OFFICE IN PART BECAUSE WE'D SOLD OFF THE BOTTLING COMPANIES AND WE WERE ABLE TO BRING IN SOME NEW DIGITAL TECHNOLOGY. AND WE SHRUNK THE HEAD OFFICE AND GOT MORE FOCUSED ON EMPOWERING THE COUNTRY COUNTRIES OUT THERE. SO WE'RE TAKING THE NECESSARY STEPS IN A COKE WAY, HUMANLY AND WITH DIGNITY, BUT WE'RE GONNA BE PRODUCTIVITY.

EISEN: JUST MENTIONED, NEWS OF THE DAY, WALMART SHARES SHOOTING HIGHER, 7%. FOOD WAS A BRIGHT SPOT BEST PERFORMANCE IN YEARS. HOW MUCH DID COKE CONTRIBUTE TO THAT?

QUINCEY: LOOK WE'VE DONE – WE WORK WITH WALMART, WE WORK WITH ALL OUR CUSTOMERS. WE TAKE THE APPROACH IF WE CAN HELP USE OUR PORTFOLIOS TO HELP THEM GROW THEIR BUSINESS, THEN WE'LL DRIVE VALUE FOR THEM AND THAT WILL WORK FOR US. AND SO THAT'S WHY WE'VE ACTUALLY BEEN OVER THE LAST THREE YEARS CONSISTENTLY THE FASTEST GROWING IN REVENUE TERMS LARGE CONSUMER PRODUCTS COMPANY, NOT JUST BEVERAGE COMPANY. SO WE WORK WITH OUR CUSTOMERS TO CREATE VALUE FOR THEM INCLUDING WALMART. I KNOW WE WERE A SMALL PART OF THEIR STORY. GREAT RESULT FOR THEM. WE FOCUS HOW CAN WE CREATE VALUE FOR THEM.

EISEN: BUT PART OF THEIR GREAT RESULT IS THEY'VE BEEN AGGRESSIVELY DISCOUNTING. WE'VE SEEN THE GROCERY PRICE WARS TO THE BOTTOM AGAIN WITH THIS WHOLE FOODS, AMAZON DEAL, KROGER CUTTING PRICES. I'M WONDERING HOW MUCH PRICING POWER DO YOU FEEL HAVE YOU IN THAT GROCERY ENVIRONMENT?

QUINCEY: WELL, I THINK PEOPLE CAN SEE FROM THE NUMBERS IN NIELSEN THAT PRICING REMAINS RATIONAL IN THE BEVERAGE INDUSTRY. WE'RE PROMOTING NOT JUST THROUGH PRICING ITSELF BUT THROUGH THE USE OF SMALLER PACKAGES, THROUGH THE USE OF INNOVATION IN THE PORTFOLIO, TO CREATE A REVENUE GROWTH STORY FOR THE CUSTOMERS AND THEREFORE PROPEL THE BEVERAGE INDUSTRY FORWARD.

EISEN: SO YOU DON'T NECESSARILY SELL TO WHOLE FOODS BUT YOU SELL A LOT ON AMAZON. HOW DOES THIS DEAL TRANSFORM THE GROCERY INDUSTRY?

QUINCEY: WELL, WE SELL SOME PRODUCTS WITH WHOLE FOODS. WE SELL ON AMAZON. WE TRY AND BE WHERE THE CONSUMERS ARE. I THIS I WE'LL SEE HOW THIS DEAL IS GOING TO TRANSFORM THE LANDSCAPE. BUT IN THE END, WHAT'S GOING TO HAPPEN IS IT'S JUST GOING TO BE A DIGITIZATION OF EVERYTHING. THE BRICKS AND MORTARS WILL INCORPORATE DIGITAL IN THEIR SHOPPING EXPERIENCE AND THE ONLINE PEOPLE ARE HAVING SOME PHYSICAL PRESENCE. BUT OUR FOCUS IS HOW DO WE FIT IN THEIR STRATEGIES TO HELP CREATE RIVALRY.

EISEN: SPEAKING OF RIVALRIES, COKE VERSUS PEPSI. PEPSI'S HAD THE UPPER HAND OVER THE LAST FEW YEARS. IT'S CHANGED A LITTLE RECENTLY. BUT THIS BETTER FOR YOU STRATEGY THAT INGENUITY HAS IMPLEMENTED RESONATES WITH INVESTORS. THEY ALSO HAVE THE SNACKS PADDING THE PORTFOLIO. BUT WE DID SEE SOME WEAKNESS IN NORTH AMERICAN BEVERAGE LAST QUARTER. ARE YOU FIGHTING BACK? IS THE TIDE TURNING?

QUINCEY: WE KNOW THAT THERE ARE UPS AND DOWNS, SOMETIMES IN NORTH AMERICA IN BEVERAGES. I THINK WE'VE GOT A LONG MULTI YEAR TRACK IN THE U.S. WHERE WE'VE BEEN WINNING 30 PLUS CONSECUTIVE QUARTERS, WE'VE BEEN GROWING THE REVENUES, WE'VE BEEN INNOVATING, WE'VE BEEN WINNING IN THE BUSINESS. SO WE THINK WE'RE GONNA STICK TO OUR STRATEGY. WE THINK THE THIRD QUARTER WAS A SMALL DIP COMING OFF A VERY STRONG SECOND QUARTER. SO I THINK IF YOU LOOK THROUGH THE TREND, YOU SEE US LEADING THE BEVERAGE INDUSTRY TO A MORE RATIONAL PLACE ON PRICING, GREATER INNOVATION, CREATING ENGAGEMENT WITH CONSUMERS. I THINK ITS GOING TO BE A GOOD STORY.

EISEN: COKE ZERO SUGAR IS PART OF THE STORY. IT'S BEEN WORKING? WHAT DOES THAT TELL YOU WHAT CONSUMERS WANT RIGHT NOW TO SEE THAT KIND OF BRAND WINNING BUT DIET STILL DECLINING?

QUINCEY: I THINK THE SUCCESS OF COKE ZERO SUGAR HERE IN THE U.S., WHICH WE'VE TAKEN WHAT WE DID IN OTHER PARTS OF THE WORLD AND REALLY LEVERAGED THAT, IS THAT FIRST, PEOPLE WANT GREAT TASTING BEVERAGES. NOTHING ELSE MATTERS -- IT STARTS WITH GREAT TASTING, YES, THEY WANT CERTAIN INGREDIENT PROFILES WHETHER IT'S NATURAL OR LESS SUGAR OR DIFFERENT COMBINATIONS. SO I THINK WEIGH SEE A LOT OF SUCCESS FROM COKE ZERO SUGAR AND DIET COKE IS STILL A WORK IN PROGRESS.

EISEN: DIETS ARENT DYING?

QUINCEY: DIETS ARENT DYING. GLOBALLY ZERO SUGAR IS GROWING FOR US. I THINK YOU'LL SEE MORE PEOPLE MOVING INTO LOW CALORIE PRODUCTS, LESS SWEET PRODUCTS GLOBALLY. AND I THINK YOU'LL START –

EISEN: THEY TASTE AS GOOD? I MEAN, THAT'S THE TRICK, RIGHT? FINDING TASTY ZERO SUGAR.

QUINCEY: I MEAN, I THINK WHY COKE ZERO SUGAR IS BEING A SUCCESS IS IN PART IT'S A BETTER FORMULA. I THINK MAKING IT A LITTLE MORE RED, BEING A BIT MORE INCLUSIVE INTO THE CORE COKE FRANCHISE OF RED, I THINK IS HELPING PEOPLE AND PEOPLE LIKE IT. BUT THE FORMULA IS BETTER. AND SO WE'RE INVESTING MORE IN OUR OWN INNOVATION BECAUSE GREAT TASTING IS THE PRICE OF ENTRY. AND I THINK WE'RE FINDING BETTER WAYS FORWARD, WE'RE SHOWCASING A FEW THINGS HERE TODAY WE THINK ARE GOING TO RESONATE WITH CONSUMERS.

EISEN: WHAT ABOUT BOOZE? ONE ANALYST BROUGHT UP THE PROSPECT OF COCA-COLA GETTING INTO ALCOHOL, AT LEAST THE BEER CATEGORY. IS THAT SOMETHING YOU'D BE INTERESTED IN?

QUINCEY: THE WAY I THINK – PHILOSOPHICALLY, I NEVER SAY NEVER ABOUT MANY THINGS. BUT THE WAY I LOOK AT IT IS LOOK, THERE'S SO MANY MORE THINGS WE CAN DO WHICH ARE SO CLOSE TO WHAT WE ALREADY HAVE STRENGTH AND CAPABILITY IN, IT DOESN'T MAKE SENSE TO DO THAT NEXT. IT MAKES MOST SENSE TO DO THE THINGS THAT ARE SYNERGISTIC WITH YOUR CONSUMERS AND WITH CAPABILITIES AS A COMPANY, AS A SYSTEM.

EISEN: HOW DOES M&A FIT INTO THAT? WHEN YOU WERE APPOINTED CEO, PEOPLE WERE REALLY EXCITED ABOUT YOUR BACKGROUND, THE MERGER OF THE EUROPEAN BOTTLERS AND THINKING THAT COKE WAS REALLY GOING TO GET INTO THE GAME AGAIN WHEN IT COMES TO M&A. MANY ARE WONDERING WHY YOU HAVENT BOUGHT MONSTER BY NOW.

QUINCEY: WELL, I ALWAYS SAVE UP MY CLASSIC M&A ANSWER FOR I COULDN'T POSSIBLY COMMENT ON M&A. AND OF COURSE, THAT APPLIES HERE. LOOK, I THINK WE WILL TRY TO MAKE MORE BOLT ON ACQUISITIONS. WE'VE HAD A GOOD TRACK RECORD OF TAKING SMALL COMPANIES, HELPING THEM GROW AND THEN EXPANDING THEM GLOBALLY. NOT ALL OF THEM WORKED, BUT WE'VE GOT A GOOD TRACK RECORD AND WE'LL CONTINUE TO FOLLOW THAT STRATEGY.

EISEN: SO, BOLT ON ACQUISITIONS VERSUS MAJOR TRANSFORMATIONAL DEALS, WHICH IS SOMETHING THE INDUSTRY HAS BEEN GOING THROUGH – DRIVEN BY 3G AND WARREN BUFFETT FOR YEARS NOW.

QUINCEY: YEAH, I MEAN WHETHER IT'S A BOLT ON OR IT'S ANYTHING TRANSFORMATION, IT HAS ALWAYS GOT TO OBEY THREE CRITERIA. THERE'S A STRATEGIC FIT, THERE'S A LOGIC STRATEGICALLY, THE NUMBERS FINANCIALLY ADD UP AND THERE'S OPPORTUNITY. IT TAKES TWO TO TANGO.

EISEN: DO YOU EVER WONDER – WE WERE TALKING ABOUT P&G AND NELSON PELTZ, NOW AHEAD ON THE BOARD BATTLE THERE – EVER WONDER WHETHER COCA-COLA COULD BE A TARGET? THE INDUSTRY HAS BEEN SO RIPE FOR ACTIVISM.

QUINCEY: LOOK, THE MANY DIFFERENT FORMS OF ACTIVISM OR OTHER INDUSTRY CHANGES THAT ARE GOING ON ARE ALL VERSIONS OF THE SAME QUESTION: IS MANAGEMENT DOING THE BEST JOB IT CAN? SO THE WAY I TAKE ALL THAT IS I COULD GET DISTRACTED BY ALL THAT, BUT REALLY WHAT I NEED TO DO IS FOCUS ON MAKING THIS THE BEST POSSIBLE COMPANY IT CAN BE, GROWING INTO THE FUTURE AND THAT'S THE PLATFORM THAT YOU HAVE TO STAND ON.

EISEN: WHAT ABOUT ONE OF YOUR LARGE INVESTORS, WARREN BUFFETT, WHO STILL OWNS MORE THAN 9% STAKE? WHAT SORT OF INTERACTIONS HAVE YOU HAD? AND IS HE ON BOARD WITH YOUR MANDATE?

QUINCEY: YEAH, SO WE SEE EACH OTHER PERIODICALLY DURING THE YEAR. HE'S VERY ON BOARD WITH THE TRANSFORMATION. HE'S BEEN VERY SUPPORTIVE. AND SO, I THINK IN THE END, IT WILL COME DOWN TO THE SAME MATTER. HES NEVER GOING TO GIVE YOU A HALL PASS ON ANYTHING, AND NOR SHOULD HE. AND WHAT HE WANTS IS GROWTH. HE, LIKE EVERYONE ELSE, SHOULD HOLD ME ACCOUNTABLE FOR DOING THE BEST WE CAN DO AND MAKING THIS A GROWTH COMPANY.

EISEN: ONE THING THAT CERTAINLY IS WORKING IN YOUR FAVOR IS THE DOLLAR HAS WEAKENED AND EMERGING MARKETS ARE COMING BACK. WHAT ARE YOU SEEING IN PLACES LIKE CHINA AND INDIA, WHICH ARE SUCH KEY MARKETS RIGHT NOW?

QUINCEY: YEAH, WE'VE DEFINITELY SUFFERED OVER THE LAST NUMBER OF YEARS WITH THE STRENGTHENING DOLLAR AND THAT'S KIND OF GOING AWAY. WE SEE RETURNS TO SOME OF THE EMERGING MARKETS. CHINA IS DEFINITELY DOING BETTER. INDIA IS DEFINITELY DOING BETTER. THERE'S STILL SOME WEAKNESS IN SOME OF THE OTHER EMERGING MARKETS. WE THINK IT WILL STILL TAKE A BIT LONGER FOR THE REST OF THEM TO COME BACK, BUT ENCOURAGED VERY MUCH BY CHINA AND INDIA.

EISEN: THE DOLLAR HAS BEEN A HUGE STORY FOR COCA-COLA. THE STRONG DOLLAR HURTING RESULTS. ARE YOU WORRIED IT'S BACK ON THE RISE NOW? THE FED IS RAISING INTEREST RATES, THE U.S. ECONOMY IS LOOKING PRETTY GOOD.

QUINCEY: LOOK, I CERTAINLY HOPE WE DONT GO BACK TO THE -8 TO 10% EVERY YEAR HEADWIND FOR US BECAUSE OF THE CURRENCY. IN THE END, THAT CAN'T LAST FOREVER WITHOUT EXPORTING INFLATION, WHICH IT DIDN'T PREVIOUSLY, BUT I DON'T THINK WE ARE GOING TO GO BACK TO KIND OF MULTIYEAR STRENGTHENINGS OF THE DOLLAR AT THE MOMENT.

EISEN: WHAT ABOUT TAX REFORM BASED ON WHAT YOU'RE HEARING FROM THE HOUSE AND SENATE AND THE ADMINISTRATION? ARE YOU HOPING THAT GETS PASSED? YOU PAY A LOW TAX RATE, BUT DO HAVE MORE THAN $20 BILLION OVERSEAS.

QUINCEY: YEAH, CLEARLY TAX REFORM, WE'RE PRO. A NUMBER OF ELEMENTS OF TAX REFORM, OBVIOUSLY IT'S CHANGING KIND OF WEEK BY WEEK OR DAY BY DAY. FROM OUR POINT OF VIEW, MORE COMPETITIVE SIMPLER TAX STRUCTURE FOR THE U.S. FROM A CORPORATE POINT OF VIEW WOULD BE POSITIVE FOR US.

EISEN: WHAT WOULD YOU DO WITH THE MONEY IF YOU WERE ABLE TO BRING IT BACK FROM OVERSEAS, THAT CASH?

QUINCEY: WELL, SOME OF OUR MONEY IS ACTUALLY INVESTED OVERSEAS, SO WE WOULD BRING SOME OF IT BACK AND BE ABLE TO INVEST MORE HERE IN THE U.S. AND ACTUALLY, WE WOULD USE SOME OF IT FOR DIVIDENDS AS WE ALWAYS DO. AND WE'D USE SOME OF IT FOR INVESTMENT IN THE U.S. BUSINESS.

EISEN: WHAT ABOUT JOBS AND WAGES? DOES THAT ARGUMENT WORK? IS THAT SOMETHING – IS THAT AN AREA YOU WOULD FOCUS ON AND YOU WOULD INVEST IN?

QUINCEY: I THINK PRINCIPALLY IT'S NOT OUR SHORT TERM CHANGE. IT'S NOT LIKE THERES A BIG BOX OF MONEY OUT THERE THAT SUDDENLY COMES BACK AND GETS REINVESTED BY US IN 2018. I THINK THIS IS AN ONGOING INCREASE OF COMPETITIVENESS OF THE U.S. ECONOMY. FROM OUR POINT OF VIEW AS A COMPANY, IF THIS WERE TO HAPPEN, IT WOULDN'T BE SUDDENLY THERE WOULD BE BILLIONS OF DOLLARS FLOWING BACK IN AND REINVESTED IN A BIG BANG. WE'VE BEEN BUILDING FACTORIES, WE'VE GOT A LOT OF NEW PROJECTS ON THE GO. BUT IN THE END, THE TAX REFORM WOULD HELP SUPPORT ECONOMIC GROWTH, ECONOMIC GROWTH WOULD ATTRACT MORE INVESTMENT BY US. SO, IT'S NOT SO MUCH A LEADS TO B, IT'S MORE THE GENERAL GROWTH OF THE ECONOMY WILL CAUSE US TO ULTIMATELY INVEST MORE MONEY.

EISEN: WE'VE SEEN A BIG JUMP IN CONSUMER CONFIDENCE IN RECENT MONTHS. IS THAT TRANSLATING INTO DIFFERENT CONSUMER BEHAVIOR AND SPENDING?

QUINCEY: I DO THINK SO. I THINK YOU SAW A SOFTENING COMING INTO Q2 AND INTO Q3 – INTO THE SUMMER. AND NOW IT'S COMING BACK AND BECOMING A LITTLE BETTER GOING FORWARD. SO, I THINK IT IS PICKING UP A LITTLE.

EISEN: AS IT RELATES TO TAXES, I WANT TO ASK YOU ABOUT THE SORT OF INCREASING WAVE OF SUGAR TAXES THAT WE'RE SEEING GLOBALLY – THE UK, YOUR HOME COUNTRY, PUTTING IT IN THE BUDGET. GOING TO TAKE PLACE NEXT APRIL. HOW BIG OF AN EXISTENTIAL THREAT DO YOU VIEW THESE KIND OF TAXES?

QUINCEY: WELL, I MEAN TAXES JUST ON SOFT DRINKS CLEARLY THE LEVEL OF THE TAXATION MAKES A DIFFERENCE, BUT I DON'T THINK THEY'RE EXISTENTIAL. I MEAN, WERE QUITE CLEAR IN OUR VIEW THAT VERY NARROW TAXES ARE NOT GOING TO HELP SOLVE THE HEALTH PROBLEM, WHICH IS REAL. WE NEED TO DO WHAT WE NEED TO DO WHICH IS SMALLER PACKAGES, REFORMULATIONS, REDUCE THE SUGAR LEVEL ON SOME PRODUCTS AND INNOVATE IN LESS SWEETEN – LESS SWEETNESS IN OUR PRODUCTS. BUT YOU CAN LOOK AT THE STUDIES, LATEST BEING BERKLEY, CALIFORNIA, FROM MR. BOPKINS, DR. BOPKINS. I MEAN, IT WAS CLEAR. THINGS THAT WERE TAXED WENT DOWN, BUT CALORIES IN TOTAL WENT UP. SO, I'M NOT SURE THAT THESE THINGS ARE GOING TO SOLVE THE OBESITY CRISIS, BUT THAT SHOULDN'T BE A PASS ON US TAKING ACTION. WE'VE TAKEN ACTION IN THE UK. YOU CAN SEE IN THE GOVERNMENT NUMBERS, SALES OF SUGAR THROUGH DRINKS HAVE ACTUALLY BEEN COMING DOWN FOR A DECADE BY ALMOST 40%. AS WE'VE GROWN THE ZERO CALORIES, ACTUALLY SUGAR THROUGH OTHER CATEGORIES IS GOING UP. SO I THINK THEY NEED TO HAVE A BROADENING OF THEIR APPROACH.

EISEN: YEAH, I WAS WONDERING HOW MUCH YOU TAKE IT AS YOUR RESPONSIBILITY TO HELP FIGHT OBESITY IN THIS COUNTRY AND OTHERS.

QUINCEY: WE NEED TO DO WHAT WE CAN CONTROL, WHICH IS THE WAY WE – THE FORMULATIONS WE PUT OUT, THE SIZE OF THE PACKAGES WE PUT OUT, ACTUALLY THE INFORMATION WE SHARE ON SOME OF THE PRODUCTS. SO WHEN WE CAN TAKE ACTION, WE ABSOLUTELY HAVE THE RESPONSIBILITY TO DO SO. BUT WE BELIEVE SOLVING THE OBESITY CRISIS, WHICH DOES NEED TO BE SOLVED, WILL REQUIRE A MUCH BROADER RESPONSE FROM MANY PRIVATE COMPANIES AND THE GOVERNMENT, RATHER THAN THINKING A NARROW TAX IS GOING TO SOLVE IT.

EISEN: WE VISITED A LOT OF YOUR INNOVATIONS AND WE ARE GOING TO SHOW A LOT OF IT IN THE NEXT FEW HOURS ON "SQUAWK ALLEY," ESPECIALLY WHAT YOU ARE DOING WITH E-COMMERCE. YOU'VE GOT A BIG SHOW FOR INVESTORS. WHAT DO YOU WANT THEM TO TAKE AWAY IN TERMS OF THE NARRATIVE FOR THE COMPANY GOING FORWARD?

QUINCEY: I THINK WHAT THE PRINCIPAL OBJECTIVE IS TO GIVE THEM CONFIDENCE THAT WE KNOW HOW TO MAKE THE GROWTH STORY HAPPEN. WE'RE LOOKING FOR ACCELERATION IN OUR TOP LINE AND WE BELIEVE WE KNOW HOW TO GET IT DONE.

EISEN: AND CAN YOU CLEAR SOMETHING UP FOR US? THE PRESIDENT IN THE PAST HAS TWEETED THAT DIET COKE IS DANGEROUS, BUT THEN HES BEEN CAUGHT WITH A LOT OF PHOTOS WITH DIET COKE AROUND HIS DESK. IS HE A DIET COKE FAN OR NOT?

QUINCEY: I HAVE TO ASSUME SO AS THE PHOTOS SHOW HIM DRINKING IT.

EISEN: IS THAT GOOD FOR YOUR BUSINESS OR BAD?

QUINCEY: WE INVITE ALL CONSUMERS IN.

EISEN: ALRIGHT, JAMES QUINCEY, THANK YOU VERY MUCH FOR HAVING US HERE TODAY. THAT IS THE BRAND NEW CEO OF COCA-COLA AND HIS FIRST EVER BROADCAST INTERVIEW ON A WIDE-RANGING ARRAY OF TOPICS. GUYS. AND IN THE NEXT HOUR, WE ARE GOING TO SHOW YOU SOME OF WHAT HE'S WORKING ON WHEN IT COMES TO E-COMMERCE, HOME SPEAKERS AND A LOT MORE. YOU DON'T NECESSARILY THINK COCA-COLA AND TECHNOLOGY, AI INNOVATION, BUT THEY'VE GOT A LOT TO SHOW HERE.

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