Australia: J. Boag and Sons, a subsidiary of San Miguel Corporation, reported on August 3, 2004 revenue improvement during the first half of the year amid a continuing shift to premium beer among beer drinkers in Australia.

The market trend resulted in a 5% growth in sales volume and a 29% increase in revenues year-on-year. The company’s earnings contribution to parent San Miguel’s coffers recorded a significant improvement of 42% as profit margins continued to expand. This was made possible as the company enjoys the leveraging power of the San Miguel group, thereby keeping production costs in check.

J.Boag has delivered solid volume and earnings results for San Miguel's international operations. San Miguel is totally committed to continue investing in both brand and distribution in order to further strengthen the long-term prospects of the company.

With the year’s positive outlook, the company is already in the process of putting additional capacity to be able to serve pent-up demand. Also, the company is looking into introducing new and exciting products both in the Tasmanian and Australian-mainland markets.

06 August, 2004