CRUZAN ON DOWN

U.S. rum producer Cruzan International experienced huge losses for 2005. Altogether the company saw net losses of $10.5 million, a major drop from 2004’s $908,397 loss. They blame the downward spiral on Cruzan’s former majority owner Angostura’s obligation to make a payment of $9 million to certain people in the company’s management. However, despite the net losses Cruzan saw net sales rise 10.4% and gross profit increase 17.3%. “Sales of Cruzan Rums increased 21% over the previous year. However, our premium brands segment continued to sustain losses as we continue to spend heavily on brand promotion,” said Jay Maltby, chief and president. Cruzan was recently acquired by Swedish V&S Group, the owners of Absolute Vodka. Also, the company announced that Ola Salmen will takeover as chairman of the board.