RBPMail 4.12, December 1998
Real Beer Page Mail (RBPMail) began as a modest update to craft-brew events on the WWW. It evolved into a news digest and sometimes editorial forum. We present its contents here much as they were emailed to subscribers. Often, links you will see are out of date, and businesses referred to may also be long gone.
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Just back from the Czech Republic, Celebrator Beer News publisher Tom
Dalldorf reports the buzz on the street in Prague is about future
"privatization" of Czech industry. This could lead to further purchases
and "relationships" with respect to the country's highly respected
brewing companies. Pilsner Urquell was privatized through investments
from a Czech bank in 1991 -- just two years after the "Velvet
Revolution" ended Communist control of indigenous industry. That Czech
bank was recently purchased by the Namora Bank of Japan. Of primary
interest is the future of Budweiser Budvar, the equally legendary
brewery in Ceske Budejovice which shares the Budweiser moniker with
Anheuser Busch of Saint Louis, Mo. A-B has been trying to purchase the
Czech brewery for many years to czech-mate the ongoing trademark dispute
with the Bohemian brewery. A recent report suggests that the Czech
government and analysts agree that the country needs an inflow of
foreign investment to help counter ongoing financial difficulties. This
will include selling state assets, reorganizing companies and attracting
foreign investment. The Bud v. Bud issue should come to a rolling boil
next year.
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A new survey by market analysts Euromonitor found that Czech's were
easily the world's biggest beer consumers in 1997. The study reported
that Czech drank an average of 156 liters per person and German 130
liters each. In Belgium the per capita intake was 99 liters and in Great
Britain is was 97 liters. The average in the United States was 84.7,
while world norm was 25.3. India was at the low end of the spectrum with
per capita consumption of less than 0.5 liters - the same amount in a
year that a Czech drinks in a day.
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University of Barcelona researchers used a 3,100-year-old recipe to
recreate a beer from the Bronze Age. The recipe was pieced together
through microscopic examination of scrapings from the bottom of a red
clay jar found at an archeological dig known as Geno, in Spain's
northeast Catalonia region. Jose Luis Maya, a history professor, said
the researchers turned to brewers at a nearby San Miguel beer plant for
help in cooking up a fresh batch of old beer. Tests done on the Geno
residue showed the brewers used barley and a kind of wheat called emmer.
"They also added herbs as preservatives," Maya said. "That's the problem
with beer. If you don't add preservatives, it goes bad quickly."
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JAPANESE BEER SHIPMENTS FALL OFF IN SEPTEMBER
The top breweries in Japan have begun to feel the ramifications of a
slowing economy to varying degrees. Beer shipments by Japan's major
brewers dropped 1.8% in September 1998 from same month in 1997. While
shipments by smaller breweries declined -- at Sapporo, 23.7% and at
Suntory, 7.4%, both Kirin, the largest in Japan, increased shipments by
3.8% and second largest brewer Asahi increased shipments by 5.1%.
Kirin's increase was in part due to the rise in deliveries of its low-
malt brew, Tanrei.
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German beer producers have learned that their beer is preferred abroad
in bottles, not cans. Actually, French and Dutch beer drinkers do prefer
cans, but British and U.S. consumers prefer their German beer in
bottles, as reported by the German Federal Statistics Office. The United
States imported 64 million liters of beer in bottles in the first six
months of this year, but only 5 million liters of beer in cans. In the
U.K., 24 million liters of beer in bottles were imported from Germany,
but only 7 million liters in cans. Conversely, France imported 13
million liters of beer in bottles against 25 million liters of beer in
cans.
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Earlier this year a U.S. district court judge struck down a Missouri law
that would have required labels list where a beer is brewed, saying that
such a law would most benefit the nation's largest brewery - Anheuser-
Busch. England's beer consumer group (the Campaign for Real Ale - CAMRA)
contends the opposite is true across the Atlantic: that major breweries
must be held accountable about claims where beer is brewed. In the "1999
Good Beer Guide" CAMRA attacks British brewers for fooling consumers
into thinking that major foreign brands are brewed abroad when in fact
they are brewed in the UK. The Campaign drew particular attention to a
Carlsberg television ad that showed Danes getting angry about their beer
leaving the country. In fact most UK-consumed Carlsberg is made in
Northampton.
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WOLVERHAMPTON TAKES AIM AT HISTORIC MARSTON BREWERY
Britain's biggest regional brewer Wolverhampton & Dudley Breweries
recently launched a hostile takeover bid for neighbor Marston, Thompson
& Evershed. Marston rejected the offer calling it "wholly inadequate."
Many industry analysts believe Wolverhampton will succeed in its effort,
but will have to boost its bid. "The industrial logic is so compelling,
the regionals need to consolidate to compete against the nationals and
at last it is happening," said one leading drinks industry analyst. The
bid if successful would create a big regional beermaker with three
breweries and nearly 2,000 pubs controling 5% of the British beer
market. It would be a strong competitor in central England to the four
national beermakers which brew four out of every five pints drunk in
Britain. "The logic of the deal is that the consolidation of regional
brewers is the only way to cut costs and gain economies of scale to
compete against the national brewers," said Wolverhampton's managing
director David Thompson.
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The Campaign for Real ale claimed a victory when Castle Eden Brewery was
sold to a consortium of local businessmen. CAMRA began a campaign,
together with the local trade union and others, to keep the brewery open
after the announcement in April that it was to be sold by Whitbread.
Mike Benner of CAMRA said: "This is exactly the result we have
campaigned for. I am confident that in the hands of the new management
team led by long-time Head Brewer Jim Kerr, the brewery and beers will
thrive. It just goes to show that asset-stripping viable businesses is
not the best solution to the pressures faced by today's brewers."
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If you check the TV listings and notice Michael Jackson is scheduled on
Late Night With Conan O'Brien for tonight, be advised that's THE
Michael Jackson, not the Indiana crooner. What kind of questions should
the Bard of Beer expect and what kind of answers will he come up with?
We can hardly wait. And we sure hope he doesn't get "bumped." If he does
get bumped, he may appear next Wednesday. Meanwhile, there are lots of
new stories at the Beer Hunter site, plus a page that makes ordering
Michael Jackson's books and publications easy.
http://www.beerhunter.com
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If you've ventured near a mall since Thanksgiving you know that it's
crowded out there. There's a crowd at BREWMall, too, but the nice thing
about virtual shopping is nobody gets in your way. One thing to
remember, though, is that it takes time for retailers to deliver the
items you order so drag your mouse not your feet. BREWMall--the world's
largest catalog of beer merchandise anywhere--offers 1,995 items to
choose from and a special Gift Guide to get you started.
http://www.brewmall.com/holidays98
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Newcastle Brown ale is looking for a few good alibis, and in return
offering some nifty prizes and a bit of fun. If you've got a good alibi
for showing up late, then enter the Little Brown Lie Sweepstakes. If you
find yourself in need of such an alibi, say because you've lingered too
long savoring the flavor of a Newcastle Brown Ale, you'll find some
ready-made alibis there. You can also hang out with "those lads" from
Newcastle, take their trivia quiz and sign up to receive their activity
book. Here's a free alibi to get you started: "I'm allowing it to
achieve the proper 'room' temperature."
http://www.newcastlebrown.com
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Meet Rene, who is ready to tell you everything you need to know about
beer in Belgium. Interbrew, which imports four brands of Belgian beer to
North America, has Rene greet you at the door of this site, which offers
quizzes, a primer to help you pick the style beer you like best,
information about where to find its products and plenty on the beers
themselves:
The beer, which took its name in 1926 from an exceptional Christmas
beer, is now known as the "Beer from the land of beer." It is the No. 1
selling Belgian beer in the world, the top imported beer in England and
is now available in the United States in New York and other selected
markets.
http://www.bestbelgianbeers.com/beerprd/lagr_st.htm
The village of Hoegaarden was once home to 34 breweries, then none,
before the "dead" style of White beer was revived here. Hoegaarden White
continues to win awards and is the definitive beer for the style.
http://www.bestbelgianbeers.com/beerprd/whitvill.htm
Leffe, traces its origins back to the Abbey Notre Dame de Leffe, founded
in 1152 on the river Meuse in the province of Namur.
http://www.bestbelgianbeers.com/beerprd/abbey.htm
Lambics are unique, even by Belgian standards. The Belle-Vue beers are
brewed by an extremely complex process that can last years.
http://www.bestbelgianbeers.com/beerprd/lambic.htm
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Words from the site: "It's the American Dream: Get married. Buy a house.
Open a brewery." Dean Biersch and Dan Gordon opened their first brewpub
in 1988 and today they operate brewery restaurants in five states. The
places are equally known for their true-to-style lager beers and their
excellent food. It's unfortunate that nobody has invented a browser
plug-in that can let visitors sample a taste of the trademark Gordon
Biersch Garlic Fries. We'll have ours with a Marzen.
http://www.gordonbiersch.com
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With offices in four countries and a site that provides information in
five languages, Bavarian Brewery Technologies focuses on only one thing:
building breweries. All are designed to comply with the Bavarian
"Rheinheitsgebot" and in case you want to see what that word looks in
Japanese, check out the overview page.
http://bavarianbrewerytech.com
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It looks like a small 150-year-old family store from the outside because
that's what it is. Inside, though, you'll find hundreds of beers to
choose from, unique food choices and a knowledgeable staff. The web site
reflects this, including a history of the store, a fine beer education
area, glassware for sale and notes on the special beer Stone City
Brewing made to mark the 50th anniversary of John's Grocery. The store
was founded in 1948 in a former tavern, while the building itself dates
back to 1848.
http://www.johnsgrocery.com
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This more-than-a-homebrew store has been serving customers since 1972,
so its mail order department is adept at dispatching orders to anywhere
in the world. Not only will you find everything you need to brew beer,
but also to make wine, make cheese, grow mushrooms, create vinegar, etc.
The business is based in Woburn, Mass., and offers secure on-line
ordering.
http://www.beer-wine.com
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- The Real Beer Page announces a diverse group of brew websites
to check out:
- http://www.monkscafe.com
- http://www.irishpubtours.com
- http://www.ecologiccleansers.com
- http://www.brewersheritage.com
- http://www.beerheads.com
- http://www.maltbev.com
- http://www.hwbta.org
- http://www.merchantduvin.com
- http://www.mainebrew.com
- http://www.toronado.com
- http://www.jtwhitneys.com
- http://www.brewing.co.nz
- http://www.beertravelers.com
- http://belgianstyle.com/mmguide
- http://www.independencebrew.com
- http://hopheadcollection.com
- http://www.4rapid1.com
- http://specialtyproductsltd.com
- http://triplerock.com
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Thanks to all who have been replying to our Quickie Surveys. We draw one
winner each month for the prize of "Michael Jackson's The Great Beers of
Belgium" distributed by Vanberg & DeWulf
(http://www.BelgianExperts.com), importers of fine Belgian beers and now
brewers of Belgian-style beer in their Cooperstown, N.Y.-based Brewery
Ommegang. Last month's winner was Robert C. Crittenden, who said email
is the only way he participates in online discussions, because he has no
time for other ways.
LAST MONTH'S QUESTION:
Last month we asked if you used other means than email to participate in
online discussions. More than half of you keep it simple, using email
only or subscribing to mailing lists. However, more than 10% of you use
all the options the Internet has to offer and 25% use newsgroups.
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OREGON BREWERS GUILD BEGINS USING 'QUALITY MARK'
The Oregon Brewers Guild has begun its program to require beers to be
laboratory and taste tested before receiving the guild's "quality mark"
for use on a breweries' packaging. Beers found to have gross faults or
judged guilty of making false claims on their labels won't make the
grade. "It is a very touchy thing to tell an artist how to paint or a
brewer how to brew beer, and that's not our intent," said Mike Sherwood,
director of the guild. Because of brewers' concerns, it took two years
to get the program set up. Forty beers made by 10 Oregon brewers have
already undergone earned the quality mark. Laboratory tests performed by
Analytical Labs in Corvallis check beer on a variety of parameters, such
as color, bitterness level and alcohol content. Then the beers face
blind taste testing by industry experts. The quality mark is already
being added to Full Sail, Saxer, Nor'Wester, Deschutes and Widmer's
packaging.
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STROH PLANS TO CLOSE TAMPA BREWERY
While rumors continue to swirl that Stroh Brewery Co. will be sold, the
Detroit-based company announced it's closing its Tampa, Fla., Brewery.
The brewery is the company's smallest, with annual production capacity
of 1.5 million barrels of beer. The company said it is closing the
brewery because of the recent loss of the Pabst contract brewing deal to
Miller Brewing and overcapacity in the Stroh system.
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YUENGLING & SONS GETS TO KEEP ITS SLOGAN
Pennsylvania's D.G. Yuengling & Sons, Inc., may keep its slogan,
"America's Oldest Brewery." Canada's Molson Breweries, which is 212
years old, had objected on the grounds that "America" refers to North
America. The U.S. Patent and Trademark Office ruled that the term
"America" means the United States, not Canada, for most buyers.
Yuengling had been using its slogan on "beerware" since 1957. Molson
does have the option of appealing the case to a federal court.
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DANES LAUNCH BEER CONSUMER ORGANIZATION
Denmark now has its own beer consumer group, similar to organizations in
most of Europe's other countries. The association notes: "An increasing
number of Danes have discovered the great diversity of quality beers
coming from many other countries. The beer enthusiasm in USA
microbreweries, the huge support for real ale in United Kingdom, the
Belgian revival of small breweries etc. inspires also the Danes to a
renewed interest in quality beer and beer traditions."
http://www.image.dk/~danoel
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New Belgium Brewing Company has been named one of America's most
successful small manufacturers in the November issue of Industry Today.
The Fort Collins, Colo., brewery was one of 25 small companies around
the United States selected by the publication.
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1,500 GALLONS OF BEER DOWN THE DRAIN AND UP THE . . .
When Harbor Docks Seafood & Brewery in Destin, Fla., changed hands
earlier this year, brewer Gary Essex had to dump 1,500 gallons of beer
down the drain. The new owner didn't have its liquor and brewing
licenses in place so Essex had only a few hours to think about disposing
of the beer before it had to be flushed. "I didn't really take into
account we were putting all that beer down a 4-inch sewer pipe," Essex
said, chuckling as he recalled the day. "I had a woman come out of the
women's room and say foam was coming out of the toilet." The brewpub is
due to reopen as Morgan's Sports Bar & Brewpub early in 1999.
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In anticipation of the 1999 Super Bowl, Anheuser-Busch has brought its
11-year-old Bud Bowl promotion to the Internet. A-B offers sweepstakes
tickets and entertainment at http://www.budbowl.com that requires your
browser be fully modified. The promotion is not available to California
residents.
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* "The Homebrewer's Garden," by Joe Fisher & Dennis Fisher. Originally
intending to discuss brewing herbs, the Fishers discovered the ease of
growing one's own barley and hops. Details are provided on growing,
tending, harvesting and using hops, six different grains and 42
varieties of herbs.
* "Brew Your Own British Real Ale," by Graham Wheeler & Roger Protz.
Consisting largely of recipes, the book now includes U.S. measurements.
The recipes are all-grain, but several include methods for converting to
malt extract recipes also. Some of the recipes: Ringwood Old Thumper,
Tolly Cobbold Bitter, Morland's Old Speckled Hen and Adnams Bitter.
* "Clone Brews," by Tess & Mark Szamatulski. Basically a collection of
recipes, Clone Brews features homebrew recipes for commercial beers from
around the world. Instructions in each recipe, however, are clear and
instructions for extract, all-grain and mini-mash methods are provided.
These books and others are available at BREWMall:
http://brewmall.com/
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EDITORIAL: YEAR IN REVIEW PART I - A YEAR IN BEER
As Kenneth Starr headed before the Grand Jury to submit his case against
the President, craft and specialty beer companies have started to
present their cases to the beer wholesale trade. The two groups probably
have more in common than you imagine. As is often the case, what shows
itself in one art form expresses itself across others. Carl Jung, a
founder of the modern science of psychology, suggested that these
synchronous expressions represent manifestations of a collective
unconscious. Bear with us as we pursue the comparisons between Oval
Office high drama and the divine comedy of the better beer category.
Starr's work has come from a single minded-obsession for the last
several years. He's staked his reputation and made a name, for better or
worse, from his efforts. His quest seems heroic, if in a somewhat tragic
way, because he's working on taking out the big cheese. Old No. 1. The
top dog.
The micros and the imports have established a name by making the big
cheeses of the beer business, industrial brewers in general and A-B
specifically, their foil. And the sometimes bumbling, sometimes clever
industrial brewers proved to be a good foil at that. The results earned
press if for no other reason than the polarity of a "David vs. Goliath"
fairy tail. Like Clinton, the big beer companies have struck back with
campaigns to legislate, confuse, diffuse and, in rare cases, harvest the
success of the specialty segment.
Like Starr, the specialty segment has been given the validation of media
discussion and some momentum of success. However, few know, nor want to,
the back room deals and strange bedfellows earned through their pursuit
of the top. To recap some of the bedfellows from the last year or so:
* Corona & Modelo fell to A-B's international expansion campaign,
surrendering 51% of its shares to the top U.S. brewer. Redhook and
Widmer joined A-B's camp as well via investment and distribution deals.
A-B launched a competitive "Mexican Micro" named Azteca to ride the wake
of Corona's success and a new hybrid beer/tequila product aimed at
increasing its already impressive total share of ethanol delivery.
* A-B backed Corona knocked Heineken off its top import spot and shows
no sign of looking back. From the other U.S. border, Interbrew-owned
Labatt charged past Molson for the No. 3 import spot and top Canadian
import crown. Samuel Adams claims the No. 3 spot in sales if you expand
the definition from import beer to "better beer."
* Meanwhile, The Gambrinus Co. -- East Coast importers of Corona, Modelo
& Moosehead and owners of BridgePort and Shiner -- acquired the Pete's
Brewing brands.
* In Europe, the Czech Republic's anti-monopoly office banned a merger
of Plzensky Prazdroj AS and Pivovar Radegast AS, two of the country's
largest brewers. Bass Plc (U.K.) controls the country's second largest
brewer, Prazski Pivovary AS, and opposed the merger.
* Feldschloesschen-Huerlimann Holding AG, Switzerland's biggest brewer
and beverage group, signed a deal with Anheuser-Busch to distribute Bud
to retail outlets, restaurants and bars in Switzerland. F-H claims 50%
of the Swiss beer market and was formed in 1996 by a merger of rivals
Feldschloesschen and Huerlimann. The latter brewery created the
venerable Samichlaus beer which was discontinued in the shadows of the
A-B notice.
* The United Brewing Group, Sausalito, Calif., acquired Carmel Brewing
Co. in Salinas, Calif., with company stock, wrapping up a craft
acquisition spree of Mendocino and Ten Springs Brewing Companies along
with several failed overtures to breweries such as Humbolt Brewing and
Nor'Wester. UB Group's departure from the Nor'Wester deal delivered the
death blow for the struggling brewer, and Saxer Brewing bought the
brands from the bankrupt concern.
* Riverside Brewing of Riverside, Calif., and Heritage Brewing of Lake
Elsinore, Calif., combined to form the West Coast Brewing Company.
* Specialty brands looked for creative ways to address a noisy and
crowded wholesale distribution channel. Rogue partnered with US
Beverage, started by former executives from Seagram Distributing
(Seagram imports Grolsch and recently Steinlager and markets Devil's
Mountain). Anchor expanded its distribution relationship with Labatt
USA.
* Frederick absorbed fellow Mid-Atlantic brewers, Wild Goose and
Brimstone Brewing and moved its Hempen brew to national distribution.
* Denver-area craft brewers Left Hand Brewing Co. and Tabernash merged
to earn production and marketing efficiencies and find strength in
combined market share. They then joined with two other breweries --
Bristol Brewing and Avery Brewing -- to form a distribution alliance.
* Rumors remain strong that Stroh Brewery, the fourth largest in the
nation, will be sold. Whether it goes to Pabst or Miller Brewing or is
involved in some sort of three-way deal, it seems likely that much of
the beer currently brewed by Stroh will soon be made by Miller. Stroh
currently produces most of the beer sold by Boston Beer Co. and Pete's
Brewing.
* In Pennsylvania, first it was Independence Brewing and Pittsburgh
Brewing that were going to merge, then it was Red Bell Brewing getting
ready to take over Lion Brewery. But eventually, Red Bell and Pittsburgh
Brewing agreed to merge, with Pittsburgh (an old regional brewery with
roots that stretch back to 1861) becoming the subsidiary of Red Bell,
the upstart micro. Meanwhile, Red Bell also said it will continue to
pursue Lion Brewery Inc. of Wilkes-Barre in an effort to expand its
product line to malt and non-alcoholic brews.
* Never far from beer industry deals, on July 1, more than 1,500 company
employees toasted their own Price Waterhouse-Coopers & Lybrand merger
with a signature beverage created for the event by the Bonaventure
Brewing Co. of Los Angeles.
* Even industry vendors were at it as advertising firm Lois/USA Inc.
(Corona's agency) merged with its newly acquired Scaros & Casselman
(formerly the Bass Plc. agency).
Beyond strange bed-fellows and guerrilla warfare, the beer industry and
Starr investigation/hunt share another common phenomena: people on the
street have a strong opinion about the outcome of the conflict. And
they're tired of -- and retaliating against -- dirty smear campaigns.
With beer, people voted with their pocket books and drove the specialty
and craft industry to an all-time high.
When you combine imports, industrial brewer-backed brands such as
Killian's and Michelob Specialty products, regional brands and brewpubs,
you can see that the better beer category is healthy and growing.
Meanwhile, back in Milwaukee at Miller's HQ word's out that the sexy but
vapid "Macrobrew" ads -- pitted against the micro renaissance -- is
getting the ax.
In the next year, we predict that you will see several Industrial
brewer-backed brands drift into anonymity and eventually die, as the big
brewers pull back marketing, advertising and sales support from brands
that draw focus away from the flagship beer(s). We won't point fingers,
but you'll know who they are and will find yourself asking, "Whatever
happened to such-and-such beer?" The good news may be that more shelf
space and support will be created for strong import and regional brands.
The bad news may be that there will be a glut of bad, aging, poorly
developed "concept beers" priced to move.
Buyer beware. The beer will suck and it could sour new consumers from
getting the same exciting first impression you had when you tasted your
first real beer. If you're ever caught wondering if a brand is a real
beer or not, we encourage you to search Michael Jackson's Beer Hunter
website, Gak's Beer Is My Life, the Beer Expedition and the search
engine available on the front page at RealBeer.com to research some
expert information about the brewer. Chances are, if it's available in
the North America, we're covering it.
As with the Starr Investigation, there will probably be many innocent
bystanders involved and forever damaged by the warfare. Some of those
will be poorly financed or managed breweries. And some of those will be
dear to us in palate and friendship.
As consumers and voters, we still have a voice in the outcome of the
beer industry war for market and mindshare. As we encourage every year
about this time, when you head home or out for the holidays, bring
better beer with you. Get Dad, Aunt Jane and Cousin Bubba to trade up
for a real beer. Let them know that it matters. You may get in trouble
trying to make political converts out of friends and associates, but you
can't when it comes to beer.
Have a safe, happy and prosperous holidays. Coming next month, Year in
Review, Part II: What's been brewing online.
Cheers! Your friends at Real Beer.
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