USA: Illinois Liquor Control Commission approves Anheuser-Busch stock holding in local beer distributor

The Illinois Liquor Control Commission has passed a favourable decision allowing Anheuser-Busch InBev to hold a 30 % stake in City Beverage-Illinois, thus ending the 2-year controversy, The Drinks Business Review reported on November, 1.

Anheuser-Busch vice president and general counsel Gary Rutledge sais that the company is happy with the commission's decision.

As part of the decision, Commissioners have also advised Illinois state legislators to revise the Liquor Control Act to include out-of-state brewers on the list of firms prohibited from holding more than 5 % distribution ownership.

Illinois presently operates under a three-tier system, which does not allow producers, distributors and retailers penetration to each other's industry with an exception for small craft brewers who produce a limited number of barrels each year.

The tussle began in 2009 when Soave Distributing made an attempt to sell its 70% stake in City Beverage-Illinois to Anheuser-Busch InBev.

07 November, 2012