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$46 Billion Offered for Anheuser-Busch
By CHRISTOPHER LEONARD, AP
ST. LOUIS (June 11) - Anheuser-Busch Cos., the biggest U.S. brewery, received a $46 billion buyout offer Wednesday from a Belgian brewer that might be too good to refuse.
 Budweiser brewer Anheuser-Busch of St. Louis said Wednesday that it has received a buyout offer worth roughly $46 billion from Belgium-based brewer InBev. Anheuser-Busch gave no timetable for making a decision on the deal.
The maker of Budweiser beer disclosed late Wednesday that InBev SA, whose brands include Beck's and Stella Artois, delivered an unsolicited all-cash bid of $65 a share. It's unclear whether senior Anheuser-Busch executives think the deal makes sense, but shareholders may be drawn to the offer that represents a sizable premium over the company's closing price of $58.35 Wednesday.
"Anheuser-Busch said that its board of directors will evaluate the proposal carefully and in the context of all relevant factors, including Anheuser-Busch's long-term strategic plan," the company said in a statement. "The board will pursue the course of action that is in the best interests of Anheuser-Busch's stockholders."
A spokeswoman said the company would not comment beyond the statement.
Speculation has been rife in past weeks that a takeover bid was coming. The beer industry has been consolidating in recent years amid rising ingredient costs and stale demand in the United States.
Shares of the U.S. brewer surged almost 8 percent to $62.84 after hours, when the announcement was made. They had risen 2 percent in regular trading earlier in the day, when rumors of the deal were reported on CNBC.
Opposition to a potential takeover has already been fierce in Anheuser-Busch's hometown of St. Louis, and elsewhere in the U.S. The brewer employs 6,000 people in St. Louis, and many workers are worried InBev will cut jobs as the companies consolidate.
Web sites have sprung up opposing the deal on patriotic grounds, arguing that such an iconic U.S. firm shouldn't be handed over to foreign ownership.
"I am strongly opposed to the sale of Anheuser-Busch, and today's offer to purchase the company is deeply troubling to me," Missouri's Republican Gov. Matt Blunt said in a statement.
InBev was formed in 2004 when Belgium's Interbrew merged with South America's biggest brewer, AmBev. Since then, the company has cut jobs in several European countries even as its sales were boosted by strong demand in Latin American countries.
Anheuser-Busch executives have made cost-cutting a goal over the last two years. Sales in the United States have been stagnant as consumers turn toward wine and cocktails, and the rising costs of ingredients have bitten into profit margins.
Last year, Anheuser-Busch turned a profit of $2.12 billion, up nearly 8 percent from $1.97 billion in 2006. But its core brands of Budweiser and Bud Light continued to lag as sales of craft beers and imports rose.
While the InBev deal looks sweet on paper, it's far from a sure thing. Anheuser-Busch did not release details of how InBev planned to finance the deal, and raising so much capital could be tough as banks tighten their standards during a global credit crunch.
Great Lakes Brew Fest
Tickets recently went on sale for this summer's Great Lakes Brew Fest held in Racine. This years festival is on September 13th, and you can sample beers from over 80 breweries, including Lakefront, Capital, Leinies and Bells.
As the fest continues to grow exponentially, the organizers are considering adding a Friday night private party with a Head Brewer (this year Bell's ),and add an event for Saturday to catch a younger crowd that stays up later, so attendees can make a weekend out of the experience.
Visit www.greatlakesbrewfest.com for more information.
This is the "Big One", The American Homebrewers Association's "Big Brew" Day
The Society of Oshkosh Brewers will participate in the National Homebrewer Association's National Homebrew Day.
Each year on the first Saturday in May, homebrewers unite non-brewing and brewing friends and family to celebrate National Homebrew Day, joining with thousands of homebrewers from around the world in brewing the same recipes and sharing a simultaneous toast at noon Central Time.
The event will begin at the crack of dawn and continue throughout the day with many brews going at once. There will be demonstrations, tasting and much more.
The public is most welcome and is invited to participate in the actual brewing operations. Learn to homebrew and meet some great people!
Find out more HERE.
Why Price Increases Are Brewing for Craft Beers
That six pack of high-brow beer is about to come at a higher price, thanks to the sharpest surge in decades in the cost of the hops and barley that give each brew its distinctive taste.
Consumers could pay 50 cents to $1 per six pack more in the coming months for many small-batch "craft beers," as brewers pass on rising hops and barley costs from an unpalatable brew of poor harvests, the weak dollar and farmers' shift to more profitable crops. Other makers of craft beers, the fastest-growing segment of the U.S. brewing industry, say they may eat the higher ingredient costs, which will pare their profits. Read more...
AHA Club-Only Competition Schedule
The SOBs are actively participating in the AHA Club-Only Competition series. The contests are held throughout the US and they vary from Big Beers to Meads. The competition schedule is shown below, in our Competition Corner. More information is available at beertown.org.
Bears eat man at beer festival
BELGRADE, Serbia (Reuters) -- A 23-year old Serb was found dead and half-eaten in the bear cage of Belgrade Zoo at the weekend during the annual beer festival
The man was found naked, with his clothes lying intact inside the cage. Two adult bears, Masha and Misha, had dragged the body to their feeding corner and reacted angrily when keepers tried to recover it
"There's a good chance he was drunk or drugged. Only an idiot would jump into the bear cage," zoo director Vuk Bojovic told Reuters
Local media reported that police found several mobile phones inside the cage, as well as bricks, stones and beer cans.
Beer Boosts Bust Size
It is reported that Boza, a traditional fermented drink made from wheat flour and yeast, enlarges women's breasts. The drink is suddenly becoming very popular in Europe. Brewed traditionally in Bulgaria, which recently joined the European Union, Boza's customers are predominently men, who are reportedly hoping to bring about improvements in their wives and girlfriends. I wonder Boza's effects are related to beer goggles?
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