Craft Brew Alliance and Anheuser-Busch Announce New and Enhanced Commercial Agreements
Agreements Support Continued Distribution Growth, Brewery Optimization, and International Expansion for CBA’s Portfolio
Through the agreements, AB will provide additional support and committed
resources to accelerate CBA’s growth strategy, which includes:
strengthening its distinctive portfolio of craft brands; maximizing the
1. Master Distributor Agreement
CBA and AB have extended the current fee structure of their existing
Master Distributor Agreement for 10 additional years, through 2028. The
amended agreement secures CBA’s brands in the industry’s strongest
wholesaler network, enabling continued investment in brand growth and
strategic partnerships, such as
2. Contract Brewing Agreement
Under the terms of a new contract brewing arrangement, CBA and AB will work together to transition up to 300,000 barrels of volume into AB’s state-of-the-art breweries. This agreement will directly support CBA’s ongoing brewery footprint optimization and enable both companies to realize additional operational efficiencies.
3. International Distribution Agreement
AB will support the expansion of CBA’s portfolio of brands globally
through a new international distribution agreement. This agreement
builds on CBA’s recent distribution arrangements with AB, which launched
Commenting on the new agreements,
Felipe Szpigel, president, The High End, Anheuser-Busch, added: "We have deep respect for CBA and these agreements represent a natural progression of our relationship with them. As a company, we believe in brewing amazing beers and elevating the sophistication of beer and the category as a whole. CBA shares these beliefs and today’s announcement will help bring CBA's impressive portfolio of craft brands to more beer lovers in the U.S. and around the world. We will support the growth of CBA’s brands and create new opportunities for both companies through our unparalleled network of U.S. wholesaler partners, dedication to quality through our industry-leading breweries and international reach."
CBA is expected to gain significant financial benefits from these commercial agreements that will allow the company to continue investing in its growth strategy and increase its sales and marketing spend behind its brands. As a major CBA shareholder, AB is positioned to benefit directly from those gains, along with the expected new opportunities the agreements create for its international distribution system, U.S. wholesaler partners, and breweries.
CBA and AB will work together over the coming months to implement the brewing and international distribution aspects of these agreements.
CBA will hold a conference call today,
The public is invited to listen to a live webcast of the conference call on the Investors section of CBA’s website at www.craftbrew.com. Approximately two hours following the conference call, an archived webcast will be available at the same site and will remain available for at least 90 days.
Interested parties may participate in the live conference via telephone
by dialing (877) 797-0723 if calling from within the
Statements made in this press release that state CBA’s or its
management’s intentions, hopes, beliefs, expectations or predictions of
the future, including anticipated financial and operational benefits,
are forward-looking statements. It is important to note that the actual
results could differ materially from those projected in such
forward-looking statements. Additional information concerning factors
and risks that could cause actual results to differ materially from
those in the forward-looking statements is contained from time to time
in CBA’s filings with the
CBA is a leading craft brewing company, which brews, brands and markets
some of the world’s most respected and best-loved American craft beers.
We are home to three of the earliest pioneers in craft beer:
In addition to growing and nurturing distinctive brands rooted in local
Publicly traded on NASDAQ under the ticker symbol BREW,
For more than 160 years, Anheuser-Busch and its world-class brewmasters
have carried on a legacy of brewing America’s most-popular beers.
Starting with the finest ingredients sourced from Anheuser-Busch’s
family of growers, every batch is crafted using the same exacting
standards and time-honored traditions passed down through generations of
proud Anheuser-Busch brewmasters and employees. Anheuser-Busch owns and
operates 19 breweries, 21 distributorships and 22 agricultural and
packaging facilities, employing more than 16,000 people across
Craft Brew Alliance, Inc.
Jenny McLean, 503-331-7248
Max Gleischman, 202-716-1496
Craft Brew Alliance, Inc.
Edwin Smith, 503-972-7884