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1、TO OUR STOCKHOLDERS 2012 represented our 20th consecutive record year of increased gross sales.Gross sales rose to$2.37 billion in 2012,from$1.95 billion in 2011.This achievement was primarily attributable to increased sales of our Monster Energy drinks,both internationally and in the United States.
2、In 2012,our Monster Rehab line continued to make good progress and sales of this line more than doubled over 2011,when the line was launched.Additionally,in 2012 we launched what is arguably our most successful individual line extension ever,Monster Energy Zero Ultra,in a 16 oz.white can that has a
3、special unique textured ink finish,which has proved to be very successful and has received positive responses from consumers.During 2012,we continued to expand the distribution of our Monster Energy drinks into a number of new international markets,the most notable of which was Japan,where sales exc
4、eeded our expectations.Additional positive news on the international front was the conclusion by us of a new distribution agreement in December with Ambev for distribution of Monster Energy drinks in Brazil,which is the largest energy drink market in South America.Distribution with Ambev commenced a
5、t the end of January 2013.We are encouraged by early results achieved by Ambev.In 2012,gross sales outside of the United States increased to$513.9 million from$381.0 million in the prior year.Our Monster Energy drinks are now sold in approximately 90 countries and territories.We are continuing with
6、our plans to expand the sale of Monster Energy drinks into additional countries internationally and are continuing to focus on introducing lower calorie drinks to meet increased demand from consumers for such products.During 2012,our DSD Division introduced a number of new beverages and line extensi