Rockstar Inc Breeches Distribution Agreement With Diamex, Position In Mexican Market Under Threat

Dec. 31, 2008 - PRLog -- Hermosillo, Sonora

In 2005 Importadora y Exportadora DIAMEX S. A. de C. V., successfully introduced Rockstar Energy Drink into the Mexican Market. In addition, Diamex placed the entire line of Rockstar Energy drinks into the most prestigious showcase for beverages in Mexico.

DIAMEX, aware of the requirements of the Mexican Health and Consumer Protection Departments that any product must meet for legal sale in Mexico, reported to Rockstar management, since the beginning of its contractual relationship with Rockstar Inc., weaknesses and excesses of the product in its formulation and in the labeling of its containers.

The refusal of Rockstar Inc. to modify or change Rockstar Energy Drink to bring it into compliance with these regulations resulted in shortages of the product in the Mexican market. The inability of DIAMEX to access compliant product to service its customers, resulted in sanctions against the company and an inability to meet its distribution goals.

Today Rockstar Inc. has begun negotiations with the largest bottling group in Mexico to distribute Rockstar on a National level. It has left behind its obligations to DIAMEX and consequently the Mexican consumer. At risk is its position as one of the leading Energy Drink brands in Mexico that DIAMEX worked diligently to establish.

Rockstar, in an intentional and fraudulent manner, has forced DIAMEX into a position in which it is unable to fulfil its commercial commitments. This may necessitate legal action by DIAMEX and its associates in order to recover the damages and losses that were generated by this irresponsible indifference to the Mexican consumer.


DIAMEX Director General, José María García, said in an interview, "Despite the inaction of Rockstar, our lawyers and associates did everything possible to obtain from the Mexican authorities concessions that would allow DIAMEX to continue marketing the product. We did our part, but Rockstar Inc. never wanted to make the necessary changes to their products to meet current Mexican ( Secretaria de Salud, Procuraduria Federal del Consumidor, Comision Federal para la proteccion contra riesgos sanitarios, Aduana Mexicana) regulations. This seriously damaged commercial relationships that we enjoyed with Cadena Comercial OXXO, S.A. de C.V. – FEMSA Comercio and others.  Product activations that were ready for this year with other chains and distributors such as Soriana, Comercial Mexican, COMEXTRA and 7 Eleven Mexico, among others, were cancelled.”

The original expectation of the parties was to position Rockstar Energy Drink, handled by DIAMEX, as one of the three leading Energy Drink brands in the Mexican market. This now seems impossible, due to the actions of a foreign company that did not have a serious commitment to adhere to the regulations and rules required by the Mexican government to assure the safety of products sold to the Mexican consumer.


DIAMEX is a Mexican company focused on the import, export, logistics, production, representation, marketing and administration of prestige beverages and trademarks. DIAMEX is focused on creating new products and introducing new and exciting beverages and consumer products to the Mexican market. It also has the privilege of belonging to the Mexican association of energy drinks manufacturers; BENERMEX, which represents the interests of the most important Energy Drink brands in the country.