RBPMail 7.08, August 2001
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.
In this issue:
* Interbrew Buys Beck's
* U.K. Prefers that Interbrew Sell Carling
* A-B Ordered to Pay Maris Family $50 Million
* Tsingtao Continues Acquisition Course
* Venezuela Breweries Battle over Returnable Bottles
* Grolsch, Miller Strike Brewing, Distribution Deal
* Brewery Ticketed for Destruction Brews British Champion
* Two Greene King Beers Kept out of GBBF
* American-Designed Beer Champion of London
* Pabst to Close its Last Brewery
* Craft Brewing Pioneer Bert Grant Dies
* Hopunion Craft Brewery Division Purchased by Growers
* Bridgeport Brewing Plans to Double Size
* Boston Beer Tests Sam Adams Light
* Fischer Brings Back Glacier Beer
* Belgian Microbrewery-Restaurant Planned in Florida
* Interbrew Consider Stella-Branded Bars
* Bar's Tips Contribute $100,000 To Children's Hospital
* Beer Provides Ingredients Good For Your Heart
* Editorial: Remembering Bert Grant's smile<
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INTERBREW BUYS BECK'S
Interbrew, the world's second largest brewer, has completed a deal to
buy Beck's, Germany's largest exporter. It's the Belgian brewer's
second German acquisition in two weeks. It announced on July 27 that it
bought 80% of specialty beer maker Diebels. With the purchase of
Diebels, a maker of traditional German beer, and premium lager brewer
Beck's, Germany's fourth-biggest beer maker, Interbrew has boosted its
market share in Europe's largest economy and strongest beer market. As
well as building a position in Germany, Interbrew adds to its portfolio
of international brands. In recent years, the company has almost
doubled in size. Half a dozen takeovers in Asia and Europe, including
U.K. brewers Whitbread and Bass last year, have been aimed at helping
Interbrew compete for market share against main European rival
Heineken.
U.K. PREFERS THAT INTERBREW SELL CARLING
While Interbrew expands in other regions, its acquisition of Bass
Brewers remains on hold. Of four options available to settle antitrust
concerns, Britain's Office of Fair Trading is expected to recommend the
"Carling Brewers" option, that allow Interbrew to retain the Bass
Brewers business in Scotland and Northern Ireland as well as the Bass
ale brand, and sell the Carling brand, which holds a 19% U.K. market
share, to a third party. The most likely bidders are Heineken and South
African Breweries. Interbrew would rather pursue the "International
Brewer" option where it would sell off Bass's Scottish and Irish
divisions and several regional brands and retain the Carling and Bass
brands.
A-B ORDERED TO PAY MARIS FAMILY $50 MILLION
A jury last week ordered St. Louis-based Anheuser-Busch to pay $50
million to the family of late baseball great Roger Maris for improperly
taking away a beer distributorship. The Maris family immediately
questioned the award, saying it does not include $89.7 million from
lost sales. The world's largest brewer took away the distributorship in
1997, prompting a $300 million breach of contract lawsuit from the
family, which had run the operation in Gainesville and Ocala, Fla., for
29 years. Attorneys for the Maris family said Anheuser-Busch wanted to
take over the distributorship to give it to family friends of chairman
August Busch III. Busch attorneys denied the claim.
TSINGTAO CONTINUES ACQUISITION COURSE
Tsingtao Beer Group has signed a contract with Zhangzhou Brewery Co. in
Zhangzhou, Fujian province, intending to completely acquire Zhangzhou
Brewery and showing signs of a long-rumored merger-and-acquisition
campaign. Tsingtao earlier acquired a 51% interest just a few days ago
in Tee Yih Jia (Fujian) Brewery Co., a wholly owned company of the
Singapore-based Asia-Pacific Breweries Ltd.
VENEZUELA BREWERIES BATTLE OVER BOTTLES
Venezuela's two largest breweries -- Regional and Polar -- are locked
in a knock-down, drag-out fight over empty beer bottles. It's part of
their ongoing battle in the $1.7 billion beer market where consumers
spend 24% of their food budget on beer. The basics: 85% of the beer
sold is bottled in glass containers -- which are cheaper to manufacture
than cans. Once the empties reach the warehouses, they are sorted out
and returned to their original maker. Regional claims that Polar has
been stashing thousands of Regional bottles in its warehouses, and has
accused Polar of smashing Regional bottles.
GROLSCH, MILLER STRIKE BREWING-DISTRIBUTION DEAL
Dutch brewer Grolsch has entered into a multi-year alliance to brew and
bottle Miller Genuine Draft for various European, while it will also
sell, market and distribute Miller Genuine Draft in the Netherlands and
France. According to Grolsch spokesman Coen Thoenissen, Grolsch will
brew and bottle Miller Genuine Draft for the Dutch, French and German
markets "and a number of other markets, but that will be up to Miller
to decide. We have agreed on a minimum volume, and to Grolsch it
doesn't matter what language the label of the bottle is in."
GBBF WINNER EARMARKED FOR DESTRUCTION
JHB brewed by Oakham of Peterborough was judged to be the best beer in
Britain by a panel of brewers, beer writers and journalists at the
Great British Beer Festival. Oakham's brewery site is earmarked for
demolition to make way for a new shopping center. The company is hoping
that the publicity can help its battle for survival. Partner Jake
Douglas said, "Hopefully, Peterborough council will recognize that this
is a prestigious award that honors the whole city and see what a
valuable contribution we make. People come to Peterborough specifically
to drink our beers and we believe the pub and brewery could easily be
integrated into the development plan." Complete GBBF results.
TWO GREENE KING BEERS KEPT OUT OF GBBF
Suffolk brewer Greene King was furious when its Ruddles County and Old
Speckled Hen beers were prohibited from the Great British Beer
Festival. Festival producer Campaign for Real Ale (CAMRA) said the ban
was necessary to protect Britain's brewing heritage. It explained it
had banned the beers because production had been moved to a different
site, changing the "natural ingredients" and "local taste" of the beer.
Greene King, which acquired Oxfordshire-brewer Morland along with the
two beers two years ago, was told they could not be displayed because
CAMRA "doesn't approve of companies that buy breweries for a brand name
and then close a brewery and move production to another site." But
Greene King said the public wanted to see these beers "celebrated, not
banned." Since acquiring the two ales that were in serious decline,
Greene King has boosted sales of Old Speckled Hen by 31% and Ruddles by
50%.
AMERICAN-DESIGNED BEER CHAMPION OF LONDON
A beer designed by an American has been judged Champion Beer of London.
The brew was created by Grant Johnston, formerly of Marin Brewing in
California. The British award is for the Pale Ale he designed for
ZeroDegrees, a brewpub. Michael Jackson reports.
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PABST TO CLOSE LAST BREWERY
Pabst Brewing Co. will soon be a "virtual brewer," marketing beer made
by Miller Brewing Co. The San Antonio-based company -- once part of the
thriving brewing community based in Milwaukee, Wis. -- has notified 400
employees at its brewery near Allentown, Pa., that the facility will be
closed by mid-September. Production will be moved to various Miller
breweries, which already make 80% of Pabst beers. Pabst announced
earlier this year that it would close its 115-year-old San Antonio
plant, the historic Pearl Brewery, putting the last 80 employees out of
work. More than 400 Pabst employees in Pennsylvania will lose their
jobs. As a result, Miller expects to brew an additional 2.4 million
barrels of beer yearly for Pabst and a total of more than 10 million.
CRAFT BREWING PIONEER BERT GRANT DIES
Craft brewing pioneer Bert Grant, who founded the first modern day
brewpub in the United States, is dead at 73. Grant had been ill for two
years and died last week at the University of British Columbia Hospital
in Vancouver. He had moved to that city a year ago to be close to his
children. When Grant founded his brewpub in Yakima, Was., in 1982 there
were fewer than 50 individual brewing operations in the U.S. Today
there are more than 1,500. That brewpub expanded to become a bottling
microbrewery, selling about 10,000 barrels of Bert Grant's Ales in
2001. He sold the brewery to Chateau Ste. Michelle wines in 1995, but
Grant remained an active spokesman until being slowed by illness. The
family suggests that donations be made to the Audubon Society, 700
Broadway, New York, N.Y., 10003.
http://www.realbeer.com/news/articles/news-001574.php
http://www.beerhunter.com/documents/19133-001575.php
GROWERS BUY HOPUNION USA CRAFT BREWERY DIVISION
HopunionUSA, Inc. has agreed to sell its Craft Brewery Division to six
hop growing families. The growers involved operate hop farms in both
Oregon and Washington. Ralph Olson, who as directed the craft brewery
sales efforts for HopunionUSA for several years, has also acquired an
ownership interest and will serve as general manager of the new
company. "I am pleased to announce that the Craft Brewery Operations of
HopunionUSA has been purchased by an enthusiastic group of hop growers
-- most of whom I have sourced specialty hops from for many years. In
addition, our experienced staff of trained professionals, including
Ralph Woodall, will continue to serve our brewery customers as in the
past," Olson said.
BRIDGEPORT BREWING PLANS TO DOUBLE SIZE
BridgePort Brewing Co. of Portland, Ore., has begun an expansion that
will double the brewery's capacity from 50,000 to 100,000 barrels per
year. It is the second major expansion for BridgePort since The
Gambrinus Co. acquired the brewery in 1995. "The strong sales growth of
BridgePort IPA and the overall BridgePort brand in the market demands
doubling the capacity of the brewery," said brewmaster Karl Ockert.
BridgePort sales have consistently registered in the double-digit
range.
BOSTON BEER TESTS SAM ADAMS LIGHT
Boston Beer Co. is test marketing Sam Adams Light in Providence, R.I.,
and Portland, Maine. "I think beer drinkers will be surprised when they
discover how great our light beer tastes," Boston Beer founder Jim Koch
said. It is the company's second foray into the light beer market,
which accounts for about half the beer sales in the United States.
Boston Lightship received high marks from tasting panels comparing low-
calorie beers before being discontinued in the late '90s. Getting
consumers to accept a light beer from a company known for its full-
bodied products might be a challenge, said Benj Steinman, editor of
Beer Marketer's Insights. "There's a bit of a disconnect, but it's sort
of a necessity" for Boston Beer to be in the light beer category,
because of the category's growth potential, he said.
FISCHER BRINGS BACK GLACIER BEER
Fischer Beverages has announced it will bring back 63�N 46�W beer,
which drew international attention when it was first sold at the end of
1999. The beer is brewed with water collected from the glaciers of
Greenland at polar coordinates 63� North by 46� West. In these extreme
regions, the ice lying dormant thousands of meters below the surface
may be up to 250,000 years old. The beer is being sold in select
European locations and through the Fischer Internet website.
BELGIAN MICROBREWERY PLANNED IN FLORIDA
You may recall that a few years ago the Sterkens Brewery in Belgium,
maker of the St. Sebastiaan ales, was looking for American partners who
wanted to run brewery-restaurants with Sterkens providing the brewing
expertise. They never quite found the right match. Now co-owners Serge
Van Limbergen and Leen Sterkens are making plans to open St. Sebastiaan
Belgian Microbrewery, complete with a 320-seat restaurant in Spring
Hill, Fl. With initial help from her uncle, who will fly in from
Belgium, Sterkens, 24, will be in charge of brewing the beer and will
use recipes not used at the family's other nine breweries. The brewery
is due to open next February.
INTERBREW CONSIDERS STELLA-BRANDED BARS
Interbrew is considering launching Stella Artois-branded bars in the
U.K. The female-friendly bars would promote Stella heavily but not to
the exclusion of other brands -- Interbrew also owns Boddingtons,
Murphy's Wadworth 6X and Rolling Rock. It would be part of an ongoing
push to positioned Stella as an upmarket lager. Interbrew recently
launched an ornate 1-litre bottle of Stella to encourage people
to drink the lager with their meals at home or in restaurants. And
the company continues to look for other ways to target the over-50s
crowd.
BAR'S TIPS CONTRIBUTE $100,000 TO HOSPITAL
Since 1977, Bob Wawrzeniak has been donating the tips at Bob's Bar in
Glassport, Pa., to the Children's Hospital of Pittsburgh Free Care Fund
-- and that spare change has added up to more than $100,000. "This is
all due to the people that walk in that door," Wawrzeniak said,
referring to the 15 or 20 regular customers who contribute most of the
money. "There's no hype. They know what I do and they help."
BEER PROVIDES INGREDIENTS GOOD FOR YOUR HEART
Beer may provide the same "good for your heart" ingredients as
fortified grains and green leafy vegetables. "Folate from beer may ...
contribute to the protective effect of alcohol consumption on
cardiovascular disease in population(s) with generally low folate
intake from other nutrients," according to a study by Dr. O. Mayer Jr.
and colleagues from Charles University in Pilsen, Czech Republic. Their
conclusions were study published in the July issue of the European
Journal of Clinical Nutrition. The study measured blood levels of
folate, vitamin B6 (pyridoxine) and vitamin B12 in 543 residents of
Pilsen, an area with one of the highest rates of beer consumption in
the world. The B vitamins they measured are linked to lower levels of
homocysteine, a compound in the blood associated with increased heart
disease risk.
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EDITORIAL: REMEMBERING BERT GRANT'S SMILE
Perhaps you've been to a small brewery where the brewer is wearing a T-
shirt that reads: "We drink what we brew, we sell what's left over." Or
you've heard brewers like Ron Barchet and Bill Covaleski of Victory
Brewing Co. in Downingtown, Pa., say that their first rule when it
comes to brewing is to make what they like.
Bless them all, because they tend to brew beer we want to drink, too.
They, like us, owe thanks to those who made such an attitude possible.
Bert Grant, who died last week, was one of those men. The list of his
accomplishments would fill a book -- in fact, his autobiography, The
Ale Master, goes great with a hoppy beer -- but nothing was more
important than the fact he brewed beer he liked to drink.
It sounds simple, but when Grant opened Yakima Malting and Brewing in
Yakima, Wash., in 1982 there were fewer than 50 independent brewing
operations in the United States. It seemed we were well on the way to
one national beer style -- the American light lager. It was outlandish
to think you could operate a brewery making beer you liked rather than
a product formulated by the marketing department.
Instead Grant and brewers like him revived styles that had vanished
from the American beer landscape, and sometimes from almost anywhere
else either.
You'll see many tributes to Grant in print through the next few months
(start with Michael Jackson's). His impact cannot
be overstated. We thought about trying to reflect the magnitude of his
work by collecting tributes to run in this space, but instead decided to
share one memory:
We watched Bert Grant enjoy more than one beer, and we never saw him
fail to smile when he took a drink of one of his own.
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