Both sales-to-retail (STRs) and sales volume increased 1.8 percent in the second quarter due to a year-over-year change in the timing of the Canada Day holiday within our fiscal calendar. As a result, the Canada Day retail load-in this year was in the second quarter, versus primarily in the third quarter last year. Our Canada market share declined approximately one-half share point from a year ago on estimated industry growth of 3 percent.
Net sales per hectoliter increased 6 percent in local currency, with more than half of the increase driven by continued positive pricing, and the remainder due to the addition of NAB contract sales.
Cost of goods sold (COGS) per hectoliter increased 6 percent in local currency, with more than half of the increase related to the cost of brewing beer under our NAB contract, along with higher pension costs, input inflation and a mix shift toward higher-cost products.
Marketing general and administrative (MG&A) expense increased 13 percent in local currency, with two-thirds driven by higher marketing and sales investments and the remainder due to cycling lower employee incentive costs in the prior year.United States Business (MillerCoors) (3) Molson Coors underlying U.S. segment pretax income increased 7.2 percent to $184.6 million in the quarter. MillerCoors Operating and Financial Highlights MillerCoors underlying net income for the quarter, excluding special items, increased 9.1 percent to $436.0 million, driven by positive pricing, favorable brand mix and cost management. MillerCoors domestic STRs declined 1.4 percent. Domestic sales-to-wholesalers (STWs) increased 0.3 percent. Domestic net revenue per hectoliter, which excludes contract brewing and company-owned-distributor sales, grew 3.6 percent primarily due to strong net pricing and favorable mix. Total company net revenue per hectoliter, including contract brewing and company-owned distributor sales, increased by 3.4 percent for the quarter. Third-party contract brewing volumes were up 6.7 percent.
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