While Keurig's core business remains in North America, JDE Peet's has strong operations in Europe, Latin America, and the Middle East. The combined company will benefit from increased geographical reach and market diversity. Last quarter, Keurig Dr Pepper reported a nearly 11% year-over-year increase in U.S. beverage sales, reaching US$2.7 billion. Growth has been fueled by innovation, including the launch of new flavors such as Dr Pepper Blackberry. However, the company's coffee segment has faced challenges due to competitive pressures and rising bean prices, although recent quarters have shown signs of improvement. Market Conditions and Ownership The global coffee sector has grappled with volatility in raw material costs. Drought in Brazil, the world's largest coffee producer, pushed arabica prices higher, although improved rainfall has since eased markets.