No surprise that the top-3 suppliers continue to dominate the CSD category, holding just over 93 share combined. Coca-Cola is at 42.2 share of CSD sales in NielsenIQ data for 52 wks thru Jun 29. PepsiCo stands at 26.9% while Keurig Dr Pepper has crept up to 24 share.

Even as Iowa just enacted restrictions on sale of hemp bevs with more than 4 mg of THC per 12-oz serving, leading in-state cannabev player Climbing Kites continues to build out its biz. It's now passing that milestone of "breaking into grocery," inking deal with regional Midwest chain Fareway to sell Climbing Kites cannabevs at all 116 locations across Iowa, co announced yesterday. Move marks "the first time Fareway has carried cannabis-infused products and the first grocery chain authorizing Climbing Kites as it grows its footprint in Iowa and beyond." So while it remains to be seen how severely new legislation will hamper in-state hemp sales as legal battle unfolds, brand's latest inroads at retail suggest it ain't lookin' to slow down. Recall, Climbing Kites was acquired by Iowa-based Big Grove Brewing and has been scaling fast this yr (BBI, Feb 21 and Apr 22). But seemingly undeterred by recent legislative challenges, "with distributors in the ABI network on board and grocery coming online, Climbing Kites is positioned to lead the category during a period of unprecedented growth," per release.

Nutrabolt's C4 Energy has gone live with its licensed C4 X Popsicle extension, offered in Grape, Cherry and Hawaiian Pineapple flavors. They'll move mainly thru KDP distribution system . . . Congo Brands' Prime Hydration has teamed with Kevin Durant to offer Cherry Freeze flavor with hoops star's name prominently emblazoned on bottle shoulder . . . Congo Brands' Alani Nu energy brand is promising an imminent "glow up" for its Hawaiian Shaved Ice entry, in collaboration with endorser Brittany Mahomes, whose husband has a dedicated bottle coming next month on Prime Hydration side of biz . . . Illicit Elixirs has added new flavor combining blood orange with prickly pear under name Bella Thorne's Naughty Behavior, powered by its purportedly happiness-inducing Dopajoy dopamine-boosting blend. Tie to My Own Worst Enemy star marks co's first foray into entertainment partnerships . . . Chamberlain Coffee has launched an online-only extension of its core bagged coffee line with Coconut Cold Brew, offered in packs of 4 multiserve bags at $17.

Alliance Consumer Growth, whose portfolio has included bev plays like Suja Juice and Athletic Brewing, has closed its fifth fund with $160 mil in commitments. ACG Fund V brings total raised to over $1 bil since firm's founding in 2011. Other investment targets have ranged from Shake Shack, Blaze Pizza and Momofuku restaurant chains to Krave Jerky and Bark Thins. All told, 17 of investments have exited so far, said cofounders Josh Goldin and Julian Steinberg.

Team Beer didn't quite finish the 2024 legislative season batting a thousand, as spirits advocates scored a notable win on RTDs in Pennsylvania this wk, just after getting a couple hits in North Carolina. Legislators in PA sent a bill to the governor that will allow a wider array of retailers to sell spirits-based RTDs, not just state-run wine & spirits stores, the AP reported last night. Grocery, convenience, on-premise outlets and unique 4th-tier beer distributors will need get a permit to sell canned cocktails, which can't be stronger than 12.5% ABV. So PA joins a number of other control states to move RTDs out of state stores.

BeatBox continues to blast off in the convenience channel. "As of today, BeatBox is now the #1 RTD single in all of US Convenience," the company posted on LinkedIn this morn, citing NIQ total US c-store scans for 13 wks ended Jun 29. "We currently account for 22% of the overall ready-to-drink category growth," post continues, pointing to BeatBox sales up an avg of 129% each wk in 2024 despite having only 3.9% household penetration.

For all the frenzy of attention given to PepsiCo's move into licensed alc bevs via its now-terminated Blue Cloud distribution arm, its alcohol push drew not a word that we could spot in earnings release, ceo Ramon Laguarta's prepped remarks, q&a yesterday morning or 56-page 10-Q filing, our sibling pub Beverage Business INSIGHTS noted yesterday. Even as Hard MTN Dew and Lipton Hard Iced Tea trends "improved" in Jun scans amid mkt expansions, $$ sales were still down 27% and 11% respectively in natl NIQ data for 4 wks thru Jun 29, according to Goldman Sachs analyst Bonnie Herzog's latest report.

Yikes. All Americas alc bev stocks covered by Bernstein's Nadine Sarwat had a rough time of it in Q2 as the "sector continued to bleed (hemorrhage?) in Q2." Each stock declined, and "all names underperformed their respective indices" too as "overarching theme has been concerns about underlying demand for US alcohol." This "captures" everything from "ongoing normalization from COVID highs" to "inventory normalization" and "consumer weakness on a challenging macro environment." Beer was bad, but spirits cos "hit historic lows" with "no positive catalyst in sight."