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E-Malt.com Newsletter 07a
February 10 - February 12, 2014
Quote of the Week
"There are two primary choices in life: to accept conditions as they exist, or accept the responsibility for changing them."
Denis Waitley
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Currency Rates
Base Currency: US Dollar
on February 12, 2014 |
Base Currency: Canadian Dollar
on February 12, 2014 |
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1 USD = 0.7322 EUR
1 USD = 0.6086 GBP
1 USD = 1.1058 CAD
1 USD = 1.1101 AUD
1 USD = 102.3520 JPY
1 USD = 2.4102 BRL
1 USD = 34.7821 RUB
1 USD = 6.1031 CNY
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1 CAD = 0.9045 USD
1 CAD = 0.5505 GBP
1 CAD = 0.6622 EUR
1 CAD = 1.0041 AUD
1 CAD = 92.5793 JPY
1 CAD = 2.1801 BRL
1 CAD = 31.4611 RUB
1 CAD = 5.5203 CNY
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Currency Rates Chart
Equities of the Largest Breweries
USA: US beer sales fall 1.4% in 2013 but craft beer production up 9.6% - report
...Click here
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USA: Anheuser-Busch InBev launches Signature Copper Lager in 12 states
...Click here
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USA, CA & MA: Coronado Brewing starts distribution in Massachusetts
...Click here
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USA, CO & MN: Oskar Blues Brewery distributing its craft beer in Minnesota
...Click here
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USA, CO & MD: Fort Collins Brewery expands into Maryland
...Click here
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USA, PA & MA: Massachusetts becomes the 15th state to distribute Yuengling’s beers
...Click here
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USA, OR & TN: Craft Brew Alliance plans to grow by about 100,000 barrels annually
...Click here
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USA, MO: O'Fallon Brewery to establish a new brewery in St Louis
...Click here
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USA, WA: Tin Dog Brewing opens in Seattle’s South Park
...Click here
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World: Heineken reports 4.5% increase in full-year revenue
...Click here
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World: SABMiller predicts improving sales in Europe
...Click here
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Japan: Asahi Group forecasts lower profit for this year
...Click here
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UK: Barley usage for brewing, malting and distilling increases by 3.9% in July-December
...Click here
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World: Barley trade forecast increased by USDA this month
...Click here
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World: It may be prudent for Diageo to sell its beer business - analysts
...Click here
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Vietnam: Ministry of France recommends increase in beer and tobacco excises
...Click here
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Russia: Beer’s share of total alcohol sales remains virtually unchanged in 2013
...Click here
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Japan: Sapporo Holdings’ net profit surges 75.2% in 2013
...Click here
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India: Supreme Court orders status quo on Diageo-United Spirits deal
...Click here
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Ethiopia: Heineken’s new brewery set for completion in mid-2014
...Click here
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Japan: Manufacturers boost production in anticipation of consumer tax increase
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World: The Hindu community urges AB InBev to change Brahma beer name
...Click here
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Graph of the Week
Table of the Week
World Use of Hops and Hop Products 1997 - 2013s
Prices Evolution
Barley Prices
Canadian Malting and Feed Barley Prices
US Malting and Feed Barley Prices
French Malting and Feed Barley Prices
Theoretical Malt Prices
Canadian Malt Prices
US Malt Prices
Theoretical EU Malt Prices
These Days in Business History
February 10
1635 Academie Francaise forms in Paris (by Cardinal Richelieu)
1933 Delivery of 1st singing telegram
1961 Niagara Falls hydroelectric project begins producing power
February 11
1809 Robert Fulton patents steamboat
1826 London University founded
1987 British Airways begins trading stocks
February 12
1809 Charles Darwin, England, discovered evolution
1877 1st news dispatch by telephone, between Boston & Salem
1998 Intel unveils its 1st graphics chip i740
Agenda
World Beer Cup 2014 key dates:
-Call for Entries: Oct. 28, 2013-Nov. 1, 2013
-Judging: April 7-8, 2014 in Denver, Colorado
-Gala Awards Ceremony: April 11, 2014 in Denver, Colorado
February 2014:
19-22: National Winter Ales Festival 2014 (Derby, UK)
March 2014:
12-15: Brazilian Beer Festival (Blumenau, Brazil)
18-19: Food and Drink Technology Africa 2014 (Johannesburg, South Africa)
23-28: IBD Convention - Asia Pacific Section (Ho Chi Minh City, Vietnam)
April 2014:
07-08: World Beer Cup 2014 (Denver, USA)
08-11: Craft Brewers Conference 2014 (Denver, USA)
13-17: Trends in Brewing 2014 (Ghent, Belgium)
22-24: Pivovar (Brewer) 2014 (Moscow, Russia)
26-27: Zythos Beer Festival 2014 (Leuven, Belgium)
May 2014:
21-24: Pivo (Beer) 2014 (Sochi, Russia)
22-24: Copenhagen Beer Festival 2014 (Copenhagen, Denmark)
June 2014:
11-15: Mondial de la Biere 2014 (Montreal, Canada)
August 2014:
12-16: Great British Beer Festival 2014 (London, UK)
September 2014:
08-11: Worldwide Distilled Spirits Conference 2014 - IBD Scottish Section (Glasgow, UK)
25-27: Drink Technology India 2014 (Mumbai, India)
October 2014:
13-16: China Brew and Beverage 2014 (Beijing, China)
November 2014:
11-13: Brau Beviale 2014 (Nuremberg, Germany)
12-14: Vietbrew 2014 (Ho Chi Minh City, Vietnam)
More events are available on site www.e-malt.com
News Articles
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USA: US beer sales fall 1.4% in 2013 but craft beer production up 9.6% - report
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The popularity of craft beer in the US continued to rise in 2013, but not enough to prevent an overall drop in the beer
...More info on site
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USA: Anheuser-Busch InBev launches Signature Copper Lager in 12 states
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For the first time in more than 15 years, Anheuser-Busch InBev is adding a line extension to its Busch brand with the launch of Busch Signature Copper Lager in 12 Midwestern states, STLtoday.com reported on February 11.
The copper-colored lager has 5.7 percent alcohol by volume, higher than Busch's 4.3 percent ABV.
Only 12 Midwestern states, including Missouri and Illinois, will carry Busch Signature Copper Lager. Performance in these states will dictate whether the beer is sold nationally, AB InBev said. St. Louis is the north American headquarters for AB InBev.
The new copper lager's taglines that will appear in print, TV and digital ads are: “More Flavor. No Fuss,” and a beer for those “Slightly More Special Occasions."
The beer's higher alcohol is in line with the company's emphasis on new products with higher alcohol levels. In early 2013, AB InBev debuted Budweiser Black Crown and Beck’s Sapphire, which each have 6 percent ABV.
AB InBev is investing more marketing muscle to its value brand category, which includes Busch, Natural Light and Rolling Rock. Busch debuted a new campaign in January with the tagline 'Here's to Earning it,' that highlights eight American workers. New integrated marketing campaigns are in the
...More info on site
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USA, CA & MA: Coronado Brewing starts distribution in Massachusetts
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Coronado Brewing has announced it will be entering a new partnership with Massachusetts Beverage Alliance (MBA), making its west coast products available to Massachusetts’s craft beer drinkers the week of February 10th. Coronado Brewing cofounder Rick Chapman will be visiting the market with the team, helping launch the beer to retailers and craft brew fans alike the week of February 17th, according to Brewbound.
While the partnership was announced by MBA earlier this month, key market events that will be attended by the brewery team are planned for February 17-20.
“Being in Massachusetts really puts us on the east coast map,” said Coronado cofounder Rick Chapman. “But we’re ready excited to share our west coast hoppy brews with this important part of the US.”
Massachusetts Beverage Alliance (MBA) grew sales 97 percent in 2013. Of the 91,312 additional cases sold over 2012, 56.2 percent of the growth came from new acquisitions, while the remaining 43.8 percent was driven by established brands. In total, MBA sold 185,744 cases in 2013.
About Coronado Brewing Company:
In 1996, when craft beer was still a foreign term and San Diego County was home to only a handful of breweries, the Chapman brothers Ron and Rick opened a brewpub
...More info on site
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USA, CO & MN: Oskar Blues Brewery distributing its craft beer in Minnesota
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Oskar Blues Brewery of Longmont, Colorado entered the Minnesota market this month. With 119,000 barrels brewed in 2013, Oskar Blues is Colorado's second largest brewing company (behind New Belgium Brewing Co.) and roughly the size of St. Paul's Summit Brewing Co, Bizjournals.com reported on February 6.
Founded by Dale Katechis in 1997, Oskar Blues brews one-third of its beer at a second brewery in North Carolina it opened in December 2012.
Oskar Blues' Minnesota distributor is Original Gravity.
Oskar Blues cans its beer. Customers can find six packs or mixed 12-packs of Dale's Pale Ale, Old Chub Scotch Ale and Mama's Little Yella Pils. Kegs are also being distributed to bars and restaurants.
The beer is now sold in 32 states.
“There is already a strong following for our flagship brew, Dale’s Pale Ale, in the region so we look forward to introducing all of our products to Minnesotans,” Oskar Blues Director of Marketing Chad Melis said in a statement.
Town Hall Brewery of Minneapolis said it sees Oskar Blues as a blueprint for how a brewpub can grow into a larger craft beer company.
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USA, CO & MD: Fort Collins Brewery expands into Maryland
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The Fort Collins Brewery announced on February 10 its expansion into Maryland by partnering with seven different distributors across the state. Starting this week, FCB will be available throughout the state in package and on draft.
“We are thrilled to join forces with the distributors we’ve chosen and be able to expand the FCB product to the people of Maryland,” said Fort Collins Brewery Sales Representative, Fred Winther.
FCB has paired up with Bob Hall Inc., Guy Distributing Co. Inc., Eastern Shore Distributing, Katcef Brothers Inc., Kelly Distributors, Sentman Distributors Inc and Wantz Distributors Inc. to handle the delivery of FCB’s brews throughout Maryland.
FCB sales reps visited Maryland this week to officially meet the distributors, local beverage centers and to roll out FCB brews into the 21st state of their expansion.
Major Tom’s American Wheat, Chocolate Stout, Red Banshee, Rocky Mountain I.P.A. will be available in 6-packs and on draft, along with the Brewer’s Lunch Box, a variety 12-pack.
About Fort Collins Brewery:
The Fort Collins Brewery is a family-owned, hand-crafted brewery in Northern Colorado, since 2004. FCB also offers the only full-size restaurant inside a brewery in Fort Collins, CO.
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USA, PA & MA: Massachusetts becomes the 15th state to distribute Yuengling’s beers
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D.G. Yuengling and Son Inc. announced on February 7 that it will be expanding the distribution of its "highly sought after brands" to Massachusetts in early March, making it the 15th state in the brewery's footprint, according to Republican & Herald.
This initial rollout includes its flagship beer, Yuengling Lager, as well as Light Lager and Black & Tan brands.
Jen Holtzman, marketing manager at Yuengling, said on February 7 that the brewery will eventually bring its entire portfolio but believes that focusing initially on the main three is best.
"Porter and (Lord Chesterfield) Ale will likely follow and then seasonals," she said.
Seven wholesalers have been assigned to distribute Yuengling products across the state - Atlas Distributing, Craft Brewers Guild, Girardi Distributing, L. Knife Distributing, Quality Distributing, Seaboard Distributing and Williams Distributing.
According to Holtzman, the expansion isn't the first time Yuengling has been sold in Massachusetts, as this marks a return after it scaled back in the 1990s due to supply limitations.
"They had to pull back when they first introduced Lager and couldn't make enough," Holtzman said. "They had to pull back the footprint. Many people didn't even realize that we were there."
Holtzman said that this expansion was an interesting one, with
...More info on site
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USA, OR & TN: Craft Brew Alliance plans to grow by about 100,000 barrels annually
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After being appointed the new CEO of Craft Brew Alliance (CBA) last November, Andy Thomas promised that his first job would be to improve gross margins.
As part of its strategy to deliver that improvement, CBA is planning to grow by about 100,000 barrels annually via a contract brewing arrangement with Blues City Brewery LLC in Memphis, Tenn., Brewbound reported on February 10.
“This partnership will allow us to support growth in the Southeast and Midwest in 2014 and the years to come,” said Scott Mennen, the vice president of brewery operations. “Having an additional brewery in our brewing footprint, from a supply chain standpoint, allows us to get our beer more efficiently and effectively to the areas where we are seeing the most growth.”
During its third quarter earnings call last November, CBA said it operated at 77 percent capacity utilization for the quarter — in other words, plenty of room to grow. But in order to continue improving gross margins, Mennen said the outsourced production in the Southeast — which would be equivalent to about 14 percent of the 725,000 barrels the company produced in 2012 — was the best option.
The multi-year deal is technically an alternating proprietorship, meaning a CBA
...More info on site
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USA, MO: O'Fallon Brewery to establish a new brewery in St Louis
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O’Fallon Brewery is set to acquire and renovate an industrial building for its new brewery in Maryland Heights, St Louis, Missouri with an investment of $7.5 mln, Drinks Business Review
reported on February 10.
O'Fallon took this decision after exceeding production capacity at its facility in Missouri. The new brewery is expected to produce 25,000 barrels of beer annually.
Located in 40,000ft² of area, the industrial center will be renovated starting in April 2014 and expected to be complete by the end of 2014.
The new brewery will feature a 50 barrel brewhouse, kegging and packaging lines, and a tasting room. It will also host tours for visitors and will offer beer on tap at an outdoor patio.
O'Fallon Brewery owner and president Jim Gorczyca was quoted as saying that the brewery currently has 10 employees, which will grow to between 25 and 30 when the new facility opens.
"Our goal is to grow to 50,000 barrels of beer in 10 years," Gorczyca added.
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USA, IL: Dry City Brew Works to open in Wheaton
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Just a stone's throw from the area known as Whiskey Creek during Prohibition, downtown Wheaton will soon welcome its first brewery and tasting room. Dry City Brew Works hopes to open this summer, producing up to 40 barrels of beer at a time and offering a five-beer rotating tap for tastings, Mysuburbanlife.com reported on February 10.
The brewery will be operated by Wheaton residents Jessica and Ben Sampson, and Jessica's parents, Lori and Dave Carr of Glen Ellyn.
A pharmacist by trade, Ben became interested in the combination of science and art brewing requires.
"I really wanted to know how it worked, rather than follow a recipe," he said. "I read some books about every style and tried to make it my own."
Ben and Jessica became beer aficionados, traveling the country to visit small breweries, touring more than 30 during their honeymoon last year and falling in love with the tight-knit brewing community.
"My experience in going to beerfests and breweries and all these places was just realizing what camaraderie there is in this industry," Jessica said. "These people love what they do, they have a lot of fun when they go to work, it's a great network of people. It's all about the
...More info on site
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USA, WA: Tin Dog Brewing opens in Seattle’s South Park
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The third new brewery to open in Seattle’s South Park neighborhood this year opened on February 8, Washingtonbeerblog.com reported on February 10.
After a nearly one-year process of creating and building-out the brewery and tasting room, they are starting out with five beers on tap: White Dog IPA, Wit IPA, Northwest Pale Ale, a Dubbel and a Saison. Tin Dog Brewing is a collaboration of husband and wife team Eric and Lisa Rough.
Tin Dog joins two other South Park breweries that opened in the past year. Burdick Brewery and Lowercase Brewing happen to share a space in a new industrial building. All three will soon be easier to reach this spring when the new South Park bridge is built. But even without it, having three breweries within blocks of each other sounds like a great reason for a southend brewery tour.
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USA, NY: Gun Hill Brewing opening in Bronx
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Gun Hill Brewing is the first beer company to open in the Bronx in half a century. It's expected to be up and running within the next few weeks, News 12 Bronx reported on February 9.
The company plans to start off with 2,000 barrels in its first year of production. It will be manufacturing and distributing its ale and lagers to restaurants throughout the city.
"We have unique equipment that will allow us to make beer with pronounced character. We're going to have hot flavor in our beers, top-quality ingredients," says Chris Cheehan, who is behind the operation, along with his two partners.
Gun Hill Brewing plans to celebrate its grand opening in mid-March.
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World: Heineken reports 4.5% increase in full-year revenue
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Heineken NV said it expects a gradual recovery of the global economy will support growth of its business in the year ahead, although demand
...More info on site
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World: SABMiller predicts improving sales in Europe
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SABMiller Plc, the world’s second-biggest brewer, predicted improving sales in Europe and raised a profit margin forecast slightly as it expects pricier beer offerings
...More info on site
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Japan: Asahi Group forecasts lower profit for this year
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Asahi Group Holdings Ltd., Japan’s second-largest beermaker, forecast profit this year that was lower than analysts’ estimates after 2013 earnings missed projections, Bloomberg reported
...More info on site
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UK: Barley usage for brewing, malting and distilling increases by 3.9% in July-December
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Brewers, maltsters and distillers total wheat usage in December 2013 was 69 thousand tonnes, down 11%, Defra reported on February 6.
In July-December, wheat usage
...More info on site
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World: Barley trade forecast increased by USDA this month
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Australian and EU barley export forecasts for 2013/14 are raised to 5.0 million tons and 4.5 million, respectively, because of higher demand from the
...More info on site
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World: It may be prudent for Diageo to sell its beer business - analysts
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Diageo, the world's biggest spirits maker, has seen growth slow, and one of the culprits has been its beer business. Despite having two of
...More info on site
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Vietnam: Ministry of France recommends increase in beer and tobacco excises
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Vietnam’s Ministry of Finance has recommended an increase in excise tax on alcohol and tobacco by 15-20 percentage points as part of the government's
...More info on site
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Russia: Beer’s share of total alcohol sales remains virtually unchanged in 2013
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Russians purchased less vodka and more wine in 2013. Beer enjoyed stable demand, its consumption volume remained practically unchanged last year, Nr2.ru reported on
...More info on site
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Japan: Sapporo Holdings’ net profit surges 75.2% in 2013
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Sapporo Holdings Ltd.’s net profit in 2013 surged 75.2 percent to ¥9.45 billion on ¥509.83 billion in sales, up 3.5 percent, the company reported on February 12.
Sapporo projects its profit to dive 47.1 percent to ¥5 billion despite a 5.5 percent rise in sales to 537.¥7 billion.
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India: Supreme Court orders status quo on Diageo-United Spirits deal
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Shares of United Spirits and United Breweries gained momentum in trade after the Supreme Court ordered a status quo on Diageo-United Spirits deal, The Economic Times reported on February 10.
The Supreme Court has set aside the Karnataka High Court order which had annulled the United Breweries Holding's (UBHL) sale of its stake in United Spirits to Diageo.
While the order has come as a breather for the Vijay Mallya - owned companies, the apex court has maintained that the winding-up pleas against UB Group will continue in the in Company court.
Notices have been issued by the Supreme Court to lenders on Diageo, UB Group pleas against the High Court order.
The next hearing on Diageo-UB Group plea against the Karnataka High Court order will be in April.
The Karnataka High Court had annulled the Diageo-UB Group following a winding-up petition filed by creditors against UBHL for dues of about Rs 600 crore pertaining to Kingfisher Airlines.
Diageo has agreed to take over United Spirits by buying out shares held by UB Group companies, but its efforts to secure a higher shareholding were thwarted by a tepid response to its open offer.
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Ethiopia: Heineken’s new brewery set for completion in mid-2014
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Heineken’s new brewery in Ethiopia being constructed at Kilinto area on the outskirts of Addis Ababa is set for completion in mid-2014, New Business Ethiopia reported on February 10.
The announcement was made by Johan Doyer, Managing Director of Heineken in Ethiopia during the formal arrival of six large fermentation tanks at the site, after six weeks of travel on the site over the weekend.
The plant, which is expected to produce 1.5 million hectolitres of beverages annually, has a construction cost slated at about 127 million Euros. It’s also expected to brew all of the Harar and Bedele brands which it currently is the owner of, while in the future Heineken brands are planned to be brewed on the site.
Anteneh Mitiku, General Manager of the Kilinto factory project, stated that In term of the market share although they haven’t made a specific projection he’s witnessed the market share doubling in size over the last five years, with the growth rate increasing from year to year and as such see a good market potential.
Heineken has previously invested around 120 million Euros when it bought two renowned Ethiopian breweries Bedele and Harar, as well as 45 million
...More info on site
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Japan: Manufacturers boost production in anticipation of consumer tax increase
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Japan’s manufacturers have boosted production in anticipation of a consumer binge ahead of the April 1 consumption tax hike, The Japan Times reported on February 9.
Since companies are already seeing last-minute demand before the tax climb to 8 percent from 5 percent, they are taking all possible measures to raise output.
Still, the growth in demand is not boosting regular employment or private-sector investment because manufacturers are cautious about the risk of substantially increasing inventories that could quickly become dated right after the tax hike.
Kirin Brewery Co. plans to boost production of its mainstay Ichiban Shibori beer by 20 percent in March compared with the previous year.
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World: The Hindu community urges AB InBev to change Brahma beer name
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The Hindu community recently urged the Leuven (Belgium) headquartered global brewer Anheuser-Bush InBev to change the name of its popular 'Brahma' beer, calling it highly inappropriate, India Blooms reported on February 10.
Hindu statesman Rajan Zed, in a statement in Nevada (USA) on February 10, said that inappropriate usage of Hindu deities or concepts or symbols for commercial or other agenda was not okay as it hurt the devotees.
In Hinduism, the creator God, Lord Brahma, along with Lord Vishnu and Lord Shiva, forms the great triad of Hindu deities.
Linking Lord Brahma with an alcoholic beverage was very disrespectful, Zed, who is President of Universal Society of Hinduism, pointed out.
Rajan Zed stressed that Lord Brahma was highly revered in Hinduism, meant to be worshipped in temples or home shrines and not to be used in selling beer for mercantile greed.
Zed noted that Hinduism is the oldest and third largest religion of the world with about one billion adherents and a rich philosophical thought and it should not be taken lightly.
Symbols of any faith, larger or smaller, should not be mishandled, Zed argued.
Moreover, the sacredness attached to Lord Brahma did not go well with raunchy commercials and ads of 'Brahma'
...More info on site
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