Green Mountain Coffee Roasters, maker of the popular Keurig one-cup coffee brewer, said the Coca-Cola Co. (NYSE: KO – $38.15) had bought a 10% stake in it for $1.25 billion with an option to increase its position up to 16% through open market purchases of Green Mountain common stock during the first 36 month. The agreement would help launch Green Mountain’s new cold drink machine planned for release as soon as October. Under their 10-year accord, the companies will collaborate on the development and introduction of Coca-Cola products on Green Mountain’s upcoming machine that will serve both carbonated and non-carbonated beverages, including soft drinks, tea and juice. The deal will make Green Mountain the global exclusive partner for the production and sale of Coke’s branded single-serve, pod-based cold beverages. Separately, Coke and GOSH Enterprises, parent company of Charley’s Grilled Subs and Charley’s Philly Steaks restaurant concepts, announced a multi-year product and marketing agreement to serve Coca-Cola products in over 400 of its restaurants across the United States. Coca-Colas shares, yielding 3%, are worthy of consideration by conservative investors.