A colleague of mine today heard from an industry insider that the new buyer of the Latrobe Brewery may be D.G. Yuengling & Son Brewery of Pottsville, Pennsylvania. Yuengling is the sixth largest brewer in the United States, having greatly increased their sales over the last several years. They also recently purchased the old Stroh’s Brewery in Tampa, Florida and built an additional facility in their hometown of Pottsville. By all accounts this expansion has been wonderful for their business and would give them both sufficient cash and the motivation to purchase another brewery to service the western part of the state and perhaps even expand into Ohio and West Virginia. So the rumor makes a lot of sense but only time will tell if it’s true or not.
New Buyer for Latrobe Brewery?
InBev reportedly has a potential buyer for the Latrobe Brewery, but is keeping tight-lipped about who that buyer is, at least for now. They claim a letter of intent may be forthcoming, according to several accounts in various Pittsburgh area media. Pittsburgh Brewing Co. had been rumored to be a potental buyer but given the speed of this news it seems very unlikely that it is them since they would require bancktuptcy court approval to sign a letter of intent to purchase the brewery. My guess is that it will be an overseas brewer looking to produce their beer here in the states.
Carte Blanche Named Champion Beer of Scotland
Kelburn Brewery’s Carte Blanche, a strong golden ale, was named the Champion Beer of Scotland at last week’s Traditional Beer Festival.
Bay Area Brewfest 2006
Yesterday a new beer festival took place in the Bay Area. The Bay Area Brewfest was held at the County Expo Center in San Mateo, California and appeared to be a modest success. Attendance rumors were that around 1,200 people sampled the fifty or so craft and imported beers available at the festival. The music was very good and mercifully not too loud. For a first-time festival, the organization seemed outstanding. As I’ve said before, the Bay Area could really use a big outdoor festival to showcase the area’s wonderful and many contributions to the beer scene. Is this is? Not yet, but the potential is definitely there. I would have liked to see more local breweries there, but perhaps next year?
Even though attendance was good, it never felt crowded at the Expo Center, and there was plenty of parking.
Festival organizer Jeff Moses, who’s also GM of Coast Range/Farmhouse Brewing Co. of Gilroy, California.
Music was sponsored by the local radio station 107.7, The Bone, who had a stage with seating set up on one end of the festival area. You could hear the music throughout the festival, but it was never too loud, a rarity at these type of events.
Jeremy Cowan, of Shmaltz Brewing, shows off his new 10th anniversary brew Genesis 10:10.
J.J. Phair, owner of the award-winning E.J. Phair Brewing.
The wold looks rosier when seen through beer goggles.
Jack Curry, co-owner of the Prince of Wales, a San Mateo institution and great beer pub.
Fellow writers Lisa and Mike Pitsker, along with their son James, my table-mates at the festival.
Anheuser-Busch in Dirty Water
According to yesterday’s Worcester Telegram (Massachusetts), the Sixties band The Standells are suing Anhueser-Busch for copyright infringement. Apparently A-B used their 1966 hit Dirty Water in advertising without first obtaining the band’s permission. Dirty Water is usually assosciated with the Boston Red Sox because the song is played at Fenway Park every time the Red Sox win. The Standells filed a federal lawsuit on May 31 claiming that Anheuser-Busch used their song Dirty Water “without permission in commercials to try to tap into the song’s connection to the team.”
North American Brewing Awards 2006
At the 12th annual Mountain Brewers Beer Fest, which was held in Idaho Falls, Idaho, last Saturday June 3, the 2006 North American Beer Awards were announced.
Bud Goes for Silver
Currently being test-marketed in Scotland, Anheuser-Busch, will be rolling out Bud Silver throughout the United Kingdon beginning next month. Bud Silver is a “European-style beer with a fuller premium flavor,” according to the UK trade magazine “Checkout.”
It comes in a blue and silver can and is 4.1% abv. According to A-B’s UK managing director, David Dryden, “Bud Silver represents an exciting opportunity for us to compete in a growing category.” Since the UK is Bud’s third-largest market outside the U.S. and Budweiser is the number one premium packaged lager in bars, pubs, clubs and restaurants, I’m not sure what “growing market” he’s talking about. I presume he means beer with flavor — or “fuller premium flavor,” as he put it — is the category that’s growing. But back up a second, how sad is it that marketing is so effective that Britain’s youth has abandoned the country’s rich heritage of ales and made Budweiser their number one drink? But I digress.
New Bay Area Brewfest This Saturday
This Saturday in San Mateo, a new Bay Area beer festival will take place at the County Expo Center, aptly named the Bay Area Brewfest. The Expo Center a good, centrally-located spot for a beer fesitival with plenty of parking, and the Bay Area could really use a good annual beer festival. There’s plenty of good small ones here and there but there hasn’t really been a good big one in the area since the KQED Beer & Food Festival and the Berkeley Beer Festival both stopped pouring for good several years ago. So it’s with high hopes Jeff Moses, who is also the GM for Coast Range/Farmhouse Brewing in Gilroy, has organized this new event. I’ll be there to offer my support along with fifty breweries who’ll be pouring samples of their beer from 12-6 p.m. Tickets are $25.00 at the gate and include admission, entertainment, and tastings.
Please think about coming out and supporting the festival so it can be an annual event. The first year’s turnout will go a long way to insuring future festivals.
6.10
Bay Area Brewfest (1st annual)
County Expo Center, 2495 South Delaware Street, San Mateo, California
[ website ] [ tickets online ] [ map ]
Fowl Ball?: Widmer Buys a Piece of Goose Island
Well this one certainly came out of left field. I’m not quite sure what to think about it. I really like Kurt and Rob Widmer. I like them a lot, in fact, both personally and professionally. They pioneered American-style hefeweizen, in fact invented the style. They co-founded the Oregon Brewers Festival to support and promote the craft beer industry as a whole. They brew many great beers — their potato beer is still the best of its type I’ve ever had — in many diverse styles. And they’re both very affable and down to earth people who make the beer community a better place for their having been a part of it. So I originally greeted the news of their arrangement with Anheuser-Busch somewhat suspiciously. But in the end they’ve been able to make it work for them, a trick few have been able to pull off. Which makes Widmer Brothers all the more impressive for having been able to walk that fine line between craft and business so successfully.
So does buying a minority interest in Goose Island Brewing of Chicago make sense? In some ways, yes it does. From a distribution point of view, it seems to make very good sense for both parties. If each begins making the other’s beer for their own markets, that too makes good business sense. So why does it give me pause? I’m not sure, but I think it has something to do with A-B buying a 35% stake in Goose Island and then Widmer buying a presumably much smaller piece, when they themselves are are part-owned by A-B (39.5%). I can’t put my finger on what bothers me about this, perhaps it is just simple paranoia on my part. For now, I’ll try to concentrate on the positive aspects of this and try to silence that voice in the back of my head and wish Kurt, Rob and John and Greg Hall all the best.
Senate Votes Against Abolishing Estate Tax
I realize this is not, strictly speaking, beer news, but given the NBWA’s unrelenting efforts to help their rich members avoid paying taxes, and my diatribe about it two days ago, I wanted to update the story. Today, the Senate voted to “reject a Republican effort to abolish taxes on inherited estates during an election year with control of Congress at stake,” according today’s San Francisco Chronicle. The vote was three short of the votes needed to advance the bill.
Also from the Chronicle article:
“The estate tax is an extremely costly tax for a wealthy few that comes at the expense of every other American born and yet to be born for decades to come,” said Senate Minority Leader Harry Reid, D-Nev.
Under current law this year, the first $2 million of a person’s estate or $4 million of a couple’s, escapes taxation. The remainder can be taxed at rates up to 46 percent.
According to the most recent statistics available from the Internal Revenue Service, 1.17 percent of people who died in 2002 left a taxable estate.
“Repealing the estate tax during this time of fiscal crisis would be incredibly irresponsible and intellectually dishonest,” Sen. George Voinovich (R) of Ohio said.
Unsurprisingly, the NBWA wasted no time expressing their displeasure with the Senate vote. From their press release:
“We are disappointed about today’s vote regarding a permanent solution to the death tax which hurts small family-owned businesses. Make no mistake about it. Those Senators who previously supported death tax repeal and today opposed this effort to proceed to H.R. 8 are standing in the way of a permanent solution. Those Senators that voted “no” on cloture have essentially voted “yes” to increase the death tax to 55 percent in 2011.
“On behalf of America’s beer distributors, we will continue to work with Congress on a permanent solution to the death tax that will allow small business owners to plan for the continuation of their businesses with certainty and without fear of a looming death tax threat that could mean the death of the family business.”
Oh, those poor rich families. They may be family-owned, but small they’re not. But I guess money makes people do and say crazy things. So the spin machine is again in high gear. I’m sure we haven’t heard the last of this issue.