Ivester Takes Coke Helm; Few Changes Seen

Leadership of Coca-Cola Co. has passed from the Yale-educated, Havana-born scion of a prominent Cuban sugar family to a small-town Georgia native and textile mechanic’s son who earned his way to the University of Georgia by bagging groceries.

But little major change is expected in company strategies and style under new chief M. Douglas Ivester.

Ivester, who was groomed by the late Roberto C. Goizueta to succeed him, on Thursday was elected the 10th chairman in the history of the global soft drink giant.

Coke’s board, meeting in a special session in the aftermath of Goizueta’s funeral and burial this week, also named Ivester chief executive.

James B. Williams, chairman of the board’s finance committee and chairman of SunTrust Banks Inc., said the decision was made enthusiastically.

“It says good things about the company,” he said. “Roberto and Doug had been absolutely lock-step for years.”

Williams said that while Ivester can be expected to put his own stamp on the company, he is likely to follow strategies he helped Goizueta develop.

“I think you’ll see the continuation of the progress and style,” he said.

“The board knew from Roberto several years ago that Doug Ivester was his choice to succeed him in this job,” said Coke director Herbert A. Allen, president and CEO of Allen & Co. “Roberto would be very happy knowing that Doug has taken on the job he had been so carefully prepared to take.”

Coca-Cola said it will not fill the offices of president and chief operating officer “at this time.”

“As a practical matter, he [Ivester] will continue to have operating responsibilities,” a spokesman said. “From a title standpoint, he will relinquish the titles of president and chief operating officer.”

In a statement, Ivester said, “It’s our obligation as a company, and mine in this new role, to continue to build on the legacy of success Roberto has left for us.”

“That is exactly what we intend to do,” he added.

Ivester, Coke’s president and chief operating officer since 1994, crafted financial strategies that helped Goizueta build the company from one valued at less than $5 billion in 1981 to nearly $150 billion today.

Raised in New Holland, Ga., he earned an accounting degree from the University of Georgia and went to work for a private firm that audited Coke’s books. He was hired by Coke in 1979, rose quickly to become chief financial officer, and was assigned by Goizueta to head Coke’s European and then North American business sectors as part of the preparation to succeed him.

Coke shares fell $1.63 to close at $57.69 on the New York Stock Exchange.