Green Mountain Coffee Roasters, Inc. (KGM) was founded in 1981 as a small cafe in Waitsfield, Vermont. In 1993, the Company went public (NASDAQ: GMCR) and that same year made an early investment in Keurig, Incorporated. KGM acquired the remainder of Keurig in 2006 and the combined company is changing the way North America prepares its beverages both at home and in the workplace with its Keurig® Single Cup Brewing System. Today, KGM is recognized as a leader in specialty coffee and coffee makers, and acknowledged for its award-winning coffees, innovative brewing technology, and environmentally and socially responsible business practices.
KGM operates from three business units: the Specialty Coffee business unit, which includes the Green Mountain Coffee®, Tully's Coffee®, Diedrich Coffee® and Coffee People® coffee brands; the Keurig business unit, where the Keurig® Single Cup Brewing System was created; and KGM Canada, which is responsible for all KGM sales in Canada and includes the Van Houtte® business and Timothy's® World Coffee brand.
As part of its strategy to partner with the strongest beverage brands and enhance consumer choice within the Keurig® Single Cup Brewing System, GMCR has established manufacturing and distribution agreements for portion packs for use with Keurig® Brewers with Dunkin Donuts®, J.M. Smucker Co. (owner of Folgers® and Millstone® brands); Newman's Own®, Starbucks® and Conagra (owner of Swiss Miss® brand). The Company's Keurig® brewing technology is also used in the third-party brewer brands Breville, Cuisinart and Mr. Coffee. Additionally, based on a commercial agreement with Luigi Lavazza S.p.A. finalized in January 2011, KGM and Lavazza are jointly developing a new single-serve espresso machine and associated capsules.
Through a combination of these strategic relationships, its prior acquisitions and internal beverage development efforts, KGM is cultivating a portfolio of brands representative of the geographic taste preferences of coffee drinkers across the United States and Canada. Moving beyond great coffee, KGM has expanded its portion pack offering to introduce Brew Over Ice coffees, teas and other beverages including hot apple cider. In all, KGM sources, produces and sells more than 27 brands and 200 varieties of coffee, cocoa, teas and other beverages in K-Cup® packs and Vue® packs, as well as a wide variety of specialty whole bean and ground coffees in more traditional package formats. KGM's multi-brand portfolio and multi-channel distribution strategy is intended to provide widespread exposure to the brands in a variety of settings, ease of access to the product, and many tasting opportunities for consumer trial by the cup which subsequently leads to demand for the company's beverage offerings and Keurig® Single Cup Brewers.
Environmental and Social Responsibility
GMCR's purpose is to create the ultimate coffee experience in every life it touches from tree to cup, transforming the way the world views business. GMCR operates with the belief that the continued success of the Company is an enabler for continued investment in a just and sustainable future, whether through sales of Fair Trade Certified coffee, energy and waste reduction programs, awareness building campaigns, new product development, employee benefits, projects in supply-chain communities, volunteerism, grants or product donations. In fact, Fair Trade USA, the leading third-party certifier of fair trade products in the United States, named GMCR the largest purchaser of Fair Trade Certified coffee in the world for 2010, 2011, and 2012. Additionally, the Company offsets 100% of its direct greenhouse gas emissions and allocates at least five percent of its pre-tax profits to social and environmental projects. GMCR has been recognized consistently by Forbes, Fortune, and CR Magazine as an innovative, high-growth, socially responsible company.