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New Miller beer ‘As light as it gets’

Miller Brewing might be pleased enough with the early success of a 64-calorie called MGDL-4 (or Miller Genuine Draft Light) it might extend the test throughout the Midwest and maybe even beyond.

Brandweek reports that MGDL-64, which debuted in August in Madison, Wis., has fared particularly well with women who sampled the low-calorie beer against Coors Light and Michelob Ultra from Anheuser-Busch.

Its tagline “As light as it gets” has appeared on retail displays as well as on out-of-home signage.

Miller rep Julian Green said, “We have made no definitive decisions about MGDL-64 beyond Madison and while we’re encouraged by the early results in Madison we’re waiting for a more detailed assessment which will influence our decision.”

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Dixie celebrates 100th anniversary

Dixie Brewing gateThe owners of Dixie Brewing Co. in New Orleans are holding a Halloween party at the brewery tonight, even though it stands abandoned two years after Hurricane Katrina and looters left the building an empty shell.

“We’ve worked too hard to give up now,” owner Joe Bruno said. “Dixie is fine, a lot of people want it back on the shelves and so do we.”

Although the brewery stands empty the first new pallets of Dixie’s Blackened Voodoo, Jazz Amber Light and Dixie Lager have been shipped and are on sale at select retail markets around the country. The beers are brewed under contract at the Minhas Brewery in Monroe, Wis.

After the party owners Joe and Kendra Bruno hope to get to the business of rebuilding. The initial phase of the plan calls for rebuilding a compact state-of-the-art facility within the historic landmark, along with a rooftop Old World Beer Garden, Gift Shop, and Hospitality Reception Center. The Brunos hope for the brewery to be back in operation within the next 18 to 24 months.

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WSJ on global beer consolidation

The Wall Street Journal uses the news that Carlsberg and Heineken have formed a consortium to bid for the United Kingdom’s best-selling brewer, Scottish & Newcastle, as an opportunity to explain “Why Consolidation Storm Is Brewing in Beer Industry.

The maneuvers, coming about 2½ years after the most recent wave of beer-industry consolidation, are a reaction to shifts in beer-drinking habits across the globe. In Western Europe and the U.S., beer sales growth is sluggish amid increasing competition from wine and spirits.

Of course the story mentions concerns about the rising cost of ingredients, emphasizing that price and market share are at least as important to the large companies as the beers they brew.

The WSJ points out the S&N takeover is far from a done deal and other companies could enter bids.

Another possible suitor for S&N is Anheuser-Busch, the world’s third-largest brewer by volume. The St. Louis-based beer maker is heavily dependent on the U.S. market and may be attracted to the opportunity to gain a big stake in Russia or the U.K. W. Randolph Baker, Anheuser’s chief financial officer, declined to comment.

Jean-Francois van Boxmeer of Heineken makes the difference between being a giant brewing company and a small-batch brewer quite evident when he says that it takes so much capital that it isn’t worth the expense being in many of the world’s markets unless your company is either the No. 1 or No. 2 player.

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Norwegian chosen top Pilsner Urquell bartender

World Beer FestivalErik Jönsson of Norway has won the title of Pilsner Urquell International Master Bartender of the Year during competition completed in New York.

Jönsson, 22, triumphed over finalists from 14 other countries.

Finalists took a written exam, were interviewed bya panel of beer experts and demonstrated their skill at pouring Pilsner Urquell according to strict guidelines.

Hanna Michalczyk from Poland and Tatyana Neklyudova, two of the first female bartenders to reach the finals, finished second and third.

After the competition, Jönsson said: “I’ve been really inspired this weekend. Everyone needs inspiration and meeting with bartenders from around the world who all do the same job, but are from different cultures and different countries has been really incredible.”

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Heineken, Carlsburg may bid for Scottish & Newcastle

Scottish & Newcastle stock surged Wednesday after two of its European competitors said they’re considering a takeover bid. Carlsberg and Heineken said they were in talks regarding the formation of a consortium to launch a bid for the UK’s largest brewer.

The companies said that it was “currently intended that Carlsberg will ultimately acquire Scottish & Newcastle’s interest in Baltic
Beverage Holdings, France and Greece, and that Heineken will ultimately assume control of Scottish & Newcastle’s business in the UK and other European markets.”

Edinburgh-based Scottish & Newcastle’s top brands include Foster’s, Kronenbourg 1664 and Newcastle Brown Ale, while Heineken’s main brands are Heineken and Amstel and Carlsberg is known for its Carlsberg beer.

If closed the deal would further the ongoing consolidation among the world’s largest brewers. Last week Moslon Coors and SABMiller announced plans to combine their U.S. operations.

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Bud.tv called flawed, but brilliant

Anheuser-Busch advertising chief Bob Lachky last week described the company’s online channel Bud.tv as a “flawed idea but brilliant concept.”

A-B has sunk millions of dollars into the project with disappointing results.

Speaking at the Association of National Advertisers Masters of Marketing conference in Phoenix, Lachky blamed much of the problem on the complicated registration process designed to keep underage readers out.

But he also criticized his own company’s approach: ““The other thing that is totally flawed — and I don’t understand this — as you can tell I was doing something else at the time … I don’t understand why you’d have Bud.tv and then not have anything branded on it at all and just have this bizarre content that wasn’t branded.”

Lachky also commented on the merger between SABMiller and Molson Coors announced last week.

“Everyone took that $500 million in efficiencies at face value,” he said. “It means they’re going to be closing breweries and cutting people’s jobs.”

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Firestone Walker, Lost Abbey shine at GABF

Firestone Walker Brewing Co. and Redrock Brewing Co. won five medals each after judges were done evaluating 2,793 beers at the Great American Beer Festival.

Firestone was honored as Mid-Size Brewing Company of the Year, with Matt Bryndlidson capturing his fourth Brewmaster of the Year award at GABF or the World Beer Cup. Port Brewing and Lost Abbey won Small Brewing Company of the Year. Tomme Arthur won his third Brewmaster of the Year award; the previous two having come at Port Brewing in Solano Beach.

All the brewing awards (brewery and brewmaster):

– Large brewing company and company brewer of the year, Pabst Brewing Company, Woodridge, Ill., Bob Newman.

– Mid-size brewing company and company brewer of the year, Firestone Walker Brewing Company, Paso Robles, Calif., Matthew Brynildson.

– Small brewing company and brewer of the year, Port Brewing & The Lost Abbey, San Marcos, Calif., Tomme Arthur.

– Large brewpub and brewer of the year, Redrock Brewing Company, Salt Lake City, Utah, Kevin Templin.

– Small brewpub and brewer of the year, Montana Brewing Company, Billings, Mont., Travis Zeilstra.

During the GABF awards ceremony, journalists and distributors were also recognized.

The Brewers Association Beer Journalism Awards recognized journalistic excellence in the coverage of American beer. The winner in the Consumer Print media category was Marnie Old for “Beer Takes the High Road” published in Santé magazine in June 2007. In the Consumer Electronic media category the winners were Roger Sherman and Jesse Sweet of Florentine Films for THE AMERICAN BREW which first aired in April 2007 on the History Channel. The Trade and Specialty Beer media winner was Julie Johnson Bradford for “The Men in the Tall Rubber Boots” published in All About Beer magazine’s May 2007 issue.

The National Beer Wholesalers Association (NBWA) and the Brewers Association (BA) presented the Craft Beer Distributor of the Year Award to Monarch Beverage Co. of Indiana. The award recognizes the beer distributor in America who does the most to market, sell and promote craft beer in their market. The Craft Beer Distributor Achievement Award went to Louis Glunz Beer Co. of Illinois, and the Craft Beer Distributor Recognition Award went to Cavalier Distributing of Ohio.

Complete results.

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Coors, Miller to combine U.S. operations

And then there were two.

The Big Three of American brewing with become the Big Two. Brewers Molson Coors Brewing Co. and SABMiller said today they will combine their U.S. operations in a joint venture.

The makers of Miller Lite, Original Coors and Coors Light said they will share ownership equally in the new venture, but because of the economic value of their respective units SABMiller will have a 58% economic interest to Molson Coors’s 42% interest. The deal is expected to close by the end of he year.

Miller is the second largest brewing company in America and Molson Coors the third, both well behind Anheuser-Busch. Even combined they will still be smaller than A-B.

SABMiller and Molson Coors said they expect the combined brand portfolio, scale and combined management strength of the joint venture will allow it to better compete in the U.S marketplace, improving the standalone operational and financial performance of both Miller and Coors.

“This transaction is driven by the profound changes in the U.S. alcohol beverage industry that are confronting both of our companies with new challenges,” said Molson Coors Vice Chairman Pete Coors.

“Consumers are broadening their tastes and are increasingly looking for greater choice and differentiation; wine and spirits companies are encroaching on traditional beer occasions, and global beer importers and craft brewers are both taking a larger share of volume and profit growth. Creating a stronger U.S. brewer will help us meet these challenges, compete more effectively and provide U.S. consumers with more choice, greater product availability and increased innovation. The Molson and Coors families are firmly in support of this strategic transaction.”

The press release.

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Czechs won’t put Budvar brewery on market

The Czech government has decided not to take what might have been the first step toward selling the Budejovicky Budvar brewery, the Prague Daily Monitor reports.

Prime Minister Mirek Topolanek said there on no current plays to privatize the brewery. “This is no privatisation,” he said, adding that transforming the brewery into a joint-stock company would take about 12-18 months.

He also dismissed speculation that his adviser Marek Dalik is in talks with US brewing giant Anheuser-Busch.

An earlier story.

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Colorado passes California in beer production

Colorado became the nation’s top beer-producing state in 2006, the first time it has led the nation since 1990.

Primarily because of production at the very large Coors Brewing and Anheuser-Busch facilities in northern Colorado, the state’s brewers made more than 23.3 million barrels of beer according to the Beer Institute.

“It’s true that most of that volume is from Coors and Anheuser-Busch, a very high percentage of it,” said Doug Odell, president of the board of directors of the Colorado Brewers Guild. “But I think the real story is that there are a hundred other breweries in the state of Colorado contributing a great variety of beer styles and beer flavors.”

Odell is an owner and brewmaster of Odell Brewing Co. in Fort Collins, home to fast-growing New Belgium Brewing.

“Our first full year (1989) we sold about 900 barrels,” Odell said. “This year we are going to sell about 39,000.”

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Canadian craft brewers call for shake up

Ontario Craft Brewers want to shake up the system in which their beer is sold.

“Ontario Craft Brewers strongly believe that Ontario beer consumers are not well served by the restriction of The Beer Store ownership to only three competitors,” the craft brewers’ president John Hay said.

Together, the country’s three largest brewers control a network of 440 stores that account for 85 per cent of all Ontario beer sales. Founded in 1927 as Brewers Warehousing, The Beer Store used to be a non-profit co-operative owned by all the brewers that used it.

The small brewers say The Beer Store has become a foreign-owned monopoly that serves mainly the interests of the three big multinational beer companies that control it through their ownership stakes in Molson, Labatt and Sleeman.

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Bud.TV renewed

Beer in the Hollywood Reporter – who would have thunk it?

Gail Schiller reports that despite dwindling traffic and reports it would be phased out by the end of this year the brewing giant is committed to Bud.TV through 2008.

“We wanted to get through the step of, ‘OK, should we continue into ’08 as we build our marketing plans?’ and that was the decision,” he (Tony Ponturo, vp global media and sports/entertainment marketing) said. “I think it (Bud.TV) is something that could have an ending someday, but I think if we keep learning from it and if we keep seeing assets from it … then it makes sense to continue the site.”

Traffic to Bud.TV has continued to slide from the 250,000 visitors the site had when it launched in February, averaging about 50,000 visitors recently.

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Silver Bullet, NASCAR united

Molson Coors Brewing Co., the third-largest U.S. brewer, has outbid Anheuser-Busch for the rights of official beer sponsor of NASCAR auto racing. This means Coors Light – aka The Silver Bullet – replaces Budweiser.

Budweiser had been the official beer of NASCAR since 1998. It also had sponsored Dale Earnhardt Jr.’s No. 8 since he entered the Cup series in 1999. The beer will remain in the top series next year as the sponsor of Kasey Kahne’s No. 9 Dodge.

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Deschutes rolls out a traveling beer barrel

Deschutes Beer Wagon

Oregon’s Deschutes Brewery has built a a portable pub in the shape of a giant beer barrel. It will roll through several Seattle neighborhoods over the next few weeks.

The enormous barrel, fabricated by Hollywood designer Eddie Paul, makes its first appearance at the Fremont Oktoberfest September 21-23, then stops at the Red Bull Soapbox Race September 29. During October, the rolling barrel, accompanied by food and music from local bands, opens its taps in Capitol Hill, Wallingford and South Lake Union before returning to the Queen Anne-Fremont neighborhood.

Each Neighborhood Hops event will feature a selection of Deschutes beers, including Mirror Pond Pale Ale, Black Butte Porter and Inversion IPA. A rotation of pre-release beers will also be available, including the new Green Lakes Organic Ale.

Admission to the Neighborhood Hops events is free. Pints of Deschutes Brewery beers and food from local partners will be available for purchase. Proceeds from the events will be donated to a variety of local non-profits including the Puget Soundkeeper Alliance , protecting and preserving Puget Sound for more than 20 years, and Gilda’s Club Seattle.