News

Boulevard Brewing in Kansas City is preparing to dip its toes into the Atlantic, with a September rollout planned for the state of Massachusetts. Boulevard has already enjoyed success selling its Smokestack Series in the Northwest and now will see how the specialty line will do in the Northeast.

“Adding an East Coast market to our distribution portfolio is a big step for the brewery,” said John McDonald, Boulevard founder and president. “The craft beer movement in New England continues to gain momentum, and we are eager to see how our brands will play in that part of the country.”

All year-round, seasonal, and limited-release Smokestack Series beers will be available, some in 750ml bottles and others in 12-ounce four-packs. Tank 7 Farmhouse Ale will also be sold in five-gallon kegs.

“We are very excited that Boulevard Brewing Company has chosen us to represent their brands,” said Bill Burke, president of Burke Distributing of Boston. “They are the first supplier to sign on with MBA, our recently formed distributor network, and we are fully committed to their success. Working with an organization like Boulevard, known for their integrity as well as their fine beer, is a real honor for us, and we look forward to a long relationship.”

Boulevard is set to begin another brewery expansion in October. A six-month, $3 million project will remove six original 105-barrel fermentation tanks, replacing them with eight 300-barrel vessels built in neighboring Springfield, Mo. Upon completion, Boulevard’s annual fermentation capacity will jump by approximately 20%, surpassing 200,000 barrels annually.

Asahi Group Holdings has struck a deal to buy New Zealand beverage group Independent Liquor for $1.3 billion, giving the Japanese brewing giant a ready-to-drink cocktail maker to add to its stash of assets in the Oceania market.

Japanese brewers have been on an acquisition spree, using the strong yen to pick up foreign companies and to counter slowing sales in their home market. Beer sales within Japan have fallen 15% in the last decade.

Asahi bought all outstanding shares of Flavoured Beverages Group, the parent company of Independent Liquor known for its “Woodstock Bourbon” and “Vodka Cruiser” brands, from private equity firms.

Young’s & Co. has ended its last ties with its historic London brewery.

Young’s began operations as the Ram Brewery in Wandsworth in 1831, and until 2006 — when it sold a majority stake to Charles Wells and closed its London brewery — claimed the site was the oldest British brewery in continuous operation, with evidence of brewing going back to the 16th century.

Young is selling its 40% share in the joint venture to Charles Wells for £15 million. The Young’s business now consists of 246 pubs, including 26 sites from the acquisition of gastropub group Geronimo Inns in December.

Alaskan Brewing issued a press release Wednesday to make it clear the Juneau company will remain independent.

“Despite claims in a July 6 special edition of the Craft Brew News (CBN) that an acquisition deal was being discussed between North American Breweries (NAB) and Alaskan, the brewery unequivocally assures its many loyal customers that Alaskan is not in negotiations, nor do they plan to enter into negotiations with NAB or any other entity,” the press release began. Craft Brew News is an e-letter published by Beer Marketer’s Insights.

“We have no earthly clue where this rumor came from,” Alaskan co-founder Marcy Larson said for the release. “At first we thought it was a joke, that maybe someone had hacked into the CBN.”

The report pointed out that Alaskan sales recently have grown at a slower rate than many other craft breweries. Alaskan leadership explained that was a result of conscious decisions.

“We have not engaged in the price wars or rapid expansion of other craft brewers and we have remained profitable,” co-founder Geoff Larson said. “Over the last ten years, the price of oil, a cup of coffee and nearly everything else has gone up. Even the price of mass-produced beer has gone up, yet craft beer pricing remains at levels lower than those of a decade ago. In 2010, we chose a sustainable pricing strategy over the volume chase and are happy with where we ended up. We are proud to say that our growth has allowed us to issue profit sharing to our employees and investors for the last 15 years running and we are investing in state of the art brewing technology to help us remain a sustainable, profitable and independent brewery in Alaska for years to come.”

The company also announced that as part of its celebratioin of 25 years of operation the brewery will release a limited-edition Russian Imperial Stout brewed with alder-smoked malt, birch syrup and fireweed honey from Alaska. Named for the local mining history and the unique challenges of brewing award-winning craft beer from a remote Alaska town, Alaskan Perseverance Ale will be available in September.

The Wisconsin Brewers Guild is asking state residents to join others in sending a message to Governor Walker to veto budget language related to microbreweries. The language in question, known as Motion 414, would take away small brewers’ abilities to distribute each other’s beers and own and operate their own taverns.

A letter from the guild members explains:

Such drastic alterations to what has proven to be a successful business model will only lead to a stifling of growth and a loss of jobs.

Unfortunately, when this issue was being discussed, small brewers weren’t even consulted and have been completely shut out of the legislative process. The Guild has pledged to sit down with legislators, government officials and other interested parties to discuss the issues and find common ground, but that can’t happen if the budget is signed into law with Motion 414 as part of the bill. Read the guild’s letter to the Governor.

Please email and/or call the Governor’s office today and tell him to veto Motion 414 in its entirety and allow Wisconsin’s small breweries to continue to create jobs and add value to the state’s economy.

You can find Governor Walker’s contact information here.

Thanks for your support of Wisconsin’s small brewers.

Jeff Hamilton, President
Wisconsin Brewer’s Guild

More about the story can be found here.

Support Your Local Brewery has issued an E-Action Alert for New York, where the smaller brewers need help getting Senate Bill 1315, legislation affecting distribution agreements between small brewers and beer wholesalers, to the Senate floor for a vote. The fate of this important bill now lies in the hands of the Senate Rules Committee.

They’ve sent this message:

The legislative session has been extended through Wednesday June 22nd and it is imperative and urgent that you phone and email the Senate Rules Committee members today and ask them to move S. 1315 to the Senate floor for a “yes” vote this week.

Key Points

• Permits brewers with less than 300,000 barrels annual production and comprising less than 3% of a wholesaler’s annual sales volume to terminate an agreement with that wholesaler without having good cause (currently, a brewer may only terminate with good cause, i.e. the distributor is not properly representing a beer or brewer in the market. This is a long, difficult and expensive process and success for the brewer is by no means an assured outcome).

• The bill also requires payment of fair market value for the applicable distribution rights lost and allows for an arbitration panel to review the fair market value.

• This is a jobs creation bill that will allow small brewers the ability to grow their business through increased access to market. This will benefit both small brewers and beer drinkers.

• Locally-made New York State beers should be available in all New York markets, not just those decided by a distributor.

Rules Committee Members’ contact information is available online by linking to their individual home pages under their names on the left navigation bar.

Special note for those living in Brooklyn: Senator Golden is still on the fence with this bill because he has been told that if passed, it will lead to jobs losses. Please phone, email and fax Senator Golden and stress to him that this is a job creation bill because it will allow small brewers greater market access, thereby allowing them to brew more beer and employee more people.

Thank you in advance for your immediate attention to this important matter.

New York State Brewers Association

Senators from Montana and Idaho have established a Senate Small Brewers Caucus. The House Small Brewers Caucus was formed in 2007.

In a Dear Colleague letter, Senators Max Baucus (D-Mon.) and Mike Crapo (R-Idaho) wrote, “In recent years, the more than 1,700 craft brewers all across America have met growing consumer demand for their products by brewing flavorful and innovative beers which they encourage Americans to enjoy in a responsible manner. These small and independent brewers . . . generate more than $3 billion in wages and benefits, and pay more than $2.3 billion in business, personal and consumption taxes.”

The caucus will provide opportunities for senators and staff to learn about all aspects of brewing business. Montana’s small brewers don’t just make great beer out of the best Montana grains — they also support good-paying Montana jobs,” Sen. Baucus said. Sen. Crapo pointed out that Idaho produces several of beer’s key ingredients, notably barley, wheat and hops. “While advocating for the excise tax relief bill, I’ve had the opportunity to meet with many of Idaho’s small craft brewers and heard firsthand from local entrepreneurs about the opportunities for economic growth and job creation that the industry can provide. This caucus will provide Senators with a better understanding of all aspects of small brewing and the positive impact it has on their communities,” he said.

New Belgium Brewing has announced it has signed contractual agreements with 17 distributors in the Maryland, Virginia and Washington, D.C. areas. The deals broaden New Belgium distribution to 28 states and the District of Columbia. Those territories officially open Aug. 22. Of the 17 distributors, seven are in the Miller/Coors network, nine are Anheuser Busch/Inbev and one is independent.

“We are, of course, very excited to be working with the highest caliber distributors in such an incredibly competitive market,” New Belgium’s Mid-Atlantic Regional Director, Neil Reeve, said for a press release. “It was a difficult decision in that there were no bad options. In the end, we chose a healthy mix.”

New Belgium plans to open in all new markets with 22-ounce bottles of Fat Tire, Ranger IPA and the fall seasonal, Hoptober Ale. Trippel and Lips of Faith beers will also be available in some markets, with draft and 12-ounce packages to follow.

No deal has been signed for Montgomery County, Maryland, at this time though there are plans to open that area eventually. Because the county operates independently of the three-tier system, there are logistical challenges to all facets of assuring quality.

“New Belgium would like very much to be in Montgomery County,” said Reeve. “We are simply trying to figure out how to make it work to our standards in a way that is respectful to the distributor, New Belgium, our retailers and our beer drinkers.”

Charles Joseph Koch Jr., father of Boston Beer Company co-founder Jim Koch, has died. He was 89 years old.

A press release from Boston Beer explains, “The elder Mr. Koch was a guiding light for his oldest son, Jim, in the creation of The Boston Beer Company. He contributed his immense knowledge of brewing, as well as his sound business advice. But his greatest gift lay in an old trunk stored in his attic. That trunk contained family brewing memorabilia and beer recipes dating back to the 1800s. Indeed, he handed over to his son what he considered the best of the family beer recipes. That beer was first brewed in 1984 and soon appeared in taverns and restaurants in Boston under the name Samuel Adams Boston Lager. The success of Samuel Adams Boston Lager is widely credited as a catalyst for the American Craft Beer Revolution.”

Charles Koch was born in Cincinnati on November 14, 1922, and after majoring in chemical engineering at the University of Cincinnati he became the fifth generation of eldest Koch sons to become a brewer.

He apprenticed in some of Cincinnati’s leading breweries, including Wiedemann, Hudepohl, Burger, Bavarian and Schoenling Brewing Company. He also graduated from America’s oldest brewing school, the Siebel Institute of Technology in Chicago in 1948 and served as brewmaster at the Wooden Shoe Brewery in Minster, Ohio. Coming full circle, The Boston Beer Company bought the Hudepohl-Schoenling Brewery in Cincinnati in 1996. At the conclusion of a major renovation to the renamed Samuel Adams Brewery in 2005, one of the brewery’s two, new copper brew kettles was named in honor of Charles Koch.

Koch left the beer business when he saw that the taste for full-flavored beers was on the wane. In 1958, he co-founded Chemicals, Inc., a distribution company of brewing and industrial chemicals in Cincinnati, Ohio and retired in 1987. He served as a member of The Boston Beer Company’s first Board of Advisors and then on the Board of Directors from its initial public offering in 1995 until his death.