EARTHQUAKE: ABI buys Northern Brewer,Midwest Supply

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When AB bought RR, they shut down operations in Latrobe, PA and moved (I believe) to Newark, NJ. It was SOP for AB to buy a competing brand and then kill it.

There was a point in history that AB was in negotiations to buy Yuengling (America's Oldest Brewery). As the legend goes, **** Yuengling sought a face-to-face and a handshake from Auggie. Auggie refused, and **** told him he could go £#€% himself, **** would never sell to him.

Instead, **** expanded markets up and down the Eastern seaboard and as West into Ohio. Now, Yuengling is the largest American-owned brewing company in the US. All I can say - if it's true, thanks Auggie.

(Where you see ****, think nickname for Richard).

I just talked to someone in the financial and beer industries yesterday who is familiar with the deal. He said ABI was firm that as a condition of the deal the Latrobe plant must be sold to a company that agreed to employ the workers for a minimum of two more years. I believe he said it was an energy drink company that bought the plant. Yes, brewery operations were moved to NJ.

Yuengling is not the same beer it once was, either. It has had the flavor profile altered, probably for economic reasons (adjuncts) since it is now attempting - at least in my market - to price itself at about the same point as Budweiser. Adding adjuncts is not necessarily a bad thing from a mass marketing standpoint, either. It makes the beer more accessible to the masses, though not to the craft types.

I'm on the fence about ABI buying up brands, since I own stock in brands in which ABI is a major shareholder and is considering buying, and so I would profit by that.
 
When InBev sold to AB, the brewery was not included - only the brand and the recipe. City Brewing from WI purchased the brewery in 2006. It's been a 'contract brewer' pretty much ever since. They've brewed Sam Adams, Iron City, Dusquesne Pils, Lion Brewing products and, most recently, Red Stripe and Guinness Blonde.

I'm sure the deal regarding employment of its existing workforce was tied in to the collective bargaining agreement that they had executed the year prior to the sale (a six-year contract).

Interestingly, ABI announced last year that it will no longer use bottles for RR... will only be available in cans.
 
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When InBev sold to AB, the brewery was not included - only the brand and the recipe. City Brewing from WI purchased the brewery in 2006. It's been a 'contract brewer' pretty much ever since. They've brewed Sam Adams, Iron City, Dusquesne Pils, Lion Brewing products and, most recently, Red Stripe and Guinness Blonde.

I'm sure the deal regarding employment of its existing workforce was tied in to the collective bargaining agreement that they had executed the year prior to the sale (a six-year contract).

Interestingly, ABI announced last year that it will no longer use bottles for RR... will only be available in cans.

ABI currently brews Rolling Rock at several of its facilities. There's another City Brewing facility at Memphis I am familiar with that brews a lot of different brands, as well.
 
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