A-B has Good Second Quarter
July 28, 2008 - Anheuser-Busch, in its waning days of independence, reported a strong second quarter, due to the successful launch of Bud Light Lime and stronger sales of its higher-priced beers.
Just days after it agreed to be acquired by Belgian brewer InBev, A-B reported U.S. beer segment sales increased 4.5%, due to a 0.5% increase in volume and a 3.2% increase in revenue per barrel, which resulted from price hikes and increased sales of high-priced beers. The company said it plans to raise prices again on most of its domestic portfolio in September and October.
Beer shipments to wholesalers increased 0.5% in the quarter. Sales from wholesalers to retailers rose 0.4%, despite the timing of the Fourth of July holiday that adversely impacted 2007 comparable results.
Earlier this month, Anheuser-Busch accepted a $50.3 billion takeover bid at $70.00 per share from InBev. The deal will create the world's largest beer maker with annual net sales of $36.4 billion, and end roughly 150 years of independence for A-B.
InBev, brewer of Stella Artois, Beck's and Bass to name a few, has said it wants make Bud a household name similar to global icons like Coca-Cola and Pepsi, not only in America, but throughout Europe and Asia as well.