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Davis Beverage Expanding, Increasing Work Force

March 31, 2006

By Dan Shope, The Morning Call, Allentown, Pa.

Mar. 31–The water is good in Bethlehem.

It’s so good that Davis Beverage Group will be able to increase production of soft drinks and other beverages 400 percent to fill a new contract with Cadbury Schweppes of London.

"It looks like we’ll be using 24 to 26 million gallons of Bethlehem City water per year, up from 8 million now," said Wesley S. Davis Jr., company president.

"One of the things about Bethlehem water is that it allows us to make salt-free sodas. There’s no sodium in it, so we don’t have to spend tens of thousands on fancy water treatment."

The clean water will allow Davis to ramp up operations at his headquarters on City Line Road in Bethlehem and two nearby locations. The company will increase its 210-person work force by about 10 percent, or 20 people.

The company produces and distributes in a 40-county area brands such as Canada Dry,

7 UP, Sunkist, A&W, Snapple and Vitamin Water, Davis said.

Between now and July the company will be involved in a major renovation at the headquarters and nearby centers, investing more than $7 million in building and equipment, said Ken Davis, chief financial officer and son of Wesley Davis.

The fourth generation family-owned company started in Harrisburg and has been in the Lehigh Valley since 1970.

The expansion is aided by a $1 million Pennsylvania Economic Development Financing Authority tax exempt bond. Sovereign Bank provided the financing.

The expansion includes a 9,000-square-foot addition to a building at 2172 City Line Ave., home to production lines and headquarters.

There also will be a 35,000-square-foot addition to 2109 City Line Ave. and a 45,000-square-foot expansion at 2156 City Line, which is owned by J.G. Petrucci Co. of Asbury, N.J.

"This is a way we can assure ourselves of positive growth," Davis said. "The contract with Stewart’s, IBC and Crush product lines was won because of location, transportation networks and overall cost effectiveness of production."

dan.shope@mcall.com

610-820-6530

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