The 21st Annual Beer Insights Seminar is coming up in just a couple of weeks, Nov 9-10 at the Waldorf=Astoria in NYC. This yr’s seminar has a stellar lineup, including top execs from each of the top 4 US beer suppliers: AB InBev’s prexy North America Luiz Edmond, MC ceo Tom Long, Constellation Brands ceo Rob Sands and HUSA prexy Dolf van den Brink.  We’ve recently added what’s sure to be a lively panel on the “Changing Landscape in Beer and Beer Distribution,” including consultant Joe Thompson, Columbia Dist (Washington) prexy Chris Steffanci and Yuengling chief oper officer Dave Casinelli. 

Beer Insights Seminar features topical talks, provocative panels, lotsa Q&A, plus plenty of networking oppty.  We’ll also have an in-depth discussion with craft pioneers Deschutes’ Gary Fish and Brooklyn’s Steve Hindy, as well as a panel to explore one of the industry’s hottest topics: franchise law carve-outs for small brewers and other 3-tier issues.  Veteran industry attys Marc Sorini and Mike Madigan will be joined by Manhattan Beer’s coo Bill Bessette.  Seating is limited.  Click here for more info and click here to register.  

Two recent stories from regulatory world point up challenges that regulators face.  In four-years-and-running saga from Louisiana, former regulator/state ABC commissioner Murphy Painter, who was  fired after complaints of improper conduct, has not only gotten his hard-fought days in court, but is winning there and may collect damages in the end.  And there’s a beer tie.  Louisiana Voice website detailed that Painter’s problems stemmed from his seeking “complete and proper” documentation of license application to build big beer tent across from Superdome in New Orleans several years ago, sought by local AB distrib Southern Eagle and development groups.  Gov’s office supported it too.  Turns out distrib and development groups were big supporters of Gov Jindal over the yrs, Louisiana Voice reported.  Painter lost job, state filed charges against him for allegedly “stalking” female employee.  But criminal prosecution “fell apart,” he was recently cleared of harassment charges and state has already paid $474K of his legal expenses, website sez.  There will be another trial to determine if he’s due damages.  And there’s a civil suit pending against state’s Office of Inspector General for allegedly botching original investigation. 

Meanwhile, in Pennsy, fed grand jury and FBI lookin’ more closely at charges that several members of Pennsy Liq Control Bd improperly accepted gifts, trips from wine/liquor vendors, reports Pittsburgh Tribune Review.  Four members of board resigned before Ethics Comm released report on this conduct earlier this yr and collectively re-paid total of $23K.  No charges were filed, but sources told the paper that current investigation is “looking at issues raised by” Ethics Comm and that grand jury “appears to be looking at issues and individuals beyond those identified by the commission as well.”  Beyond fate of these ex-members, which include former Chairman, is question of how development may or may not affect Pennsylvanians’ faith in control system many have been trying to change for years.

Longtime industry atty Mort Siegel told mtg of state liquor admins yesterday that industry regulation a “mixed bag” if you take the long view.  On panel discussing alc bev regulations that have “withstood the test of time,” Mort said that “by and large, statutes focusing on public health, public safety and public welfare” have done so.  Specifically, laws that require licensing of 3-tiers, product labeling/formulation, minimum age laws, taxation, brand registration and reporting have been effective in promoting safety and protecting public.

But laws governing biz practices, in Mort’s view, are “vague, indefinite,” have created much “regulatory discretion” and haven’t stood test of time.  “They are unrealistic,” sez Mort, and “are being encroached by competitive concerns and new technology such as internet wine sales as well as selective enforcement.”  Tied house regs, including bans on providing “things of value” and “gifts or services,” often “totally inconsistent with the original principles of tied house,” Mort added.  Suggested that “exceptions have swallowed the rules” in many cases.  (Topic for another day: if that’s true, how do you move forward?  Keep creating exceptions, adopt “anything goes” attitude, revisit and rewrite the rules, something else?)  Regulator from Md suggested his state, by moving some regulation to local rather than state level authorities, has provided flexibility to “maximize control while adapting to consumer demand” in evolving industry.  And Mort gave example of “how to make it work” in era of change: successful effort in NY state to carve out exceptions so that small brewers can transfer brands without good cause as long as distribs gets fair mkt value.  We’ll be discussing this very carve-out, and lots more on topic, at upcoming Beer INSIGHTS Seminar in NYC, Nov 9-10.        

Longtime industry atty Mort Siegel told mtg of state liquor admins yesterday that industry regulation a “mixed bag” if you take the long view.  On panel discussing alc bev regulations that have “withstood the test of time,” Mort said that “by and large, statutes focusing on public health, public safety and public welfare” have done so.  Specifically, laws that require licensing of 3-tiers, product labeling/formulation, minimum age laws, taxation, brand registration and reporting have been effective in promoting safety and protecting public.

But laws governing biz practices, in Mort’s view, are “vague, indefinite,” have created much “regulatory discretion” and haven’t stood test of time.  “They are unrealistic,” sez Mort, and “are being encroached by competitive concerns and new technology such as internet wine sales as well as selective enforcement.”  Tied house regs, including bans on providing “things of value” and “gifts or services,” often “totally inconsistent with the original principles of tied house,” Mort added.  Suggested that “exceptions have swallowed the rules” in many cases.  (Topic for another day: if that’s true, how do you move forward?  Keep creating exceptions, adopt “anything goes” attitude, revisit and rewrite the rules, something else?)  Regulator from Md suggested his state, by moving some regulation to local rather than state level authorities, has provided flexibility to “maximize control while adapting to consumer demand” in evolving industry.  And Mort gave example of “how to make it work” in era of change: successful effort in NY state to carve out exceptions so that small brewers can transfer brands without good cause as long as distribs gets fair mkt value.  We’ll be discussing this very carve-out, and lots more on topic, at upcoming Beer INSIGHTS Seminar in NYC, Nov 9-10.        

The 21st Annual Beer Insights Seminar is coming up in just a couple of weeks, Nov 9-10 at the Waldorf=Astoria in NYC. This yr’s seminar has a stellar lineup, including top execs from each of the top 4 US beer suppliers: AB InBev’s prexy North America Luiz Edmond, MC ceo Tom Long, Constellation Brands ceo Rob Sands and HUSA prexy Dolf van den Brink.  We’ve recently added what’s sure to be a lively panel on the “Changing Landscape in Beer and Beer Distribution,” including consultant Joe Thompson, Columbia Dist (Washington) prexy Chris Steffanci and Yuengling chief oper officer Dave Casinelli. 

Beer Insights Seminar features topical talks, provocative panels, lotsa q&a, plus plenty of networking oppy.  We’ll also have an in-depth discussion with craft pioneers Deschutes’ Gary Fish and Brooklyn’s Steve Hindy, as well as a panel to explore one of the industry’s hottest topics: franchise law carve-outs for small brewers and other 3-tier issues.  Veteran industry attys Marc Sorini and Mike Madigan will be joined by Manhattan Beer’s coo Bill Bessette.  Seating is limited.  Click here for more info and click here to register. 

There’s a famous story in beer biz that August Busch III challenged distiller execs to match beers and martinis to dispute the “drink is drink” tax equivalence notion.  There’s a new duel out there, this one part of the pot legalization debate.  Pro-pot activists challenge folks on the other side to a “hit for shot” public duel.  For every shot of alcohol an anti-pot legalization advocate takes, the pro-potter takes a toke and onlookers “would be able to see who is in worse physical condition in the end,” as In These Times reports.  Pot guys gotta be talkin’ booze; if it’s beer vs pot, idea would clearly backfire. 

This came up yesterday; pot advocate David Boyer challenged South Portland, ME’s Police Chief Edward Googins to a duel.  (Pot legalization on upcoming ballot in South Portland, as well as Lewiston, ME, Alaska and Oregon).  Googins had earlier told a local newspaper:  “Claims that marijuana is safer than alcohol are so bogus it’s not even funny.”  Boyer, natch, insists pot is safer than alcohol and said: “Enough is enough. Perhaps this dramatic demonstration of the relative harms of each substance will finally get the point across.”  Googins passed on the duel, noting he doesn’t break laws: “I spend my time enforcing the law.”  We’d missed it earlier, but apparently Marijuana Policy Project’s Mason Tvert challenged Colo Gov John Hickenlooper and Pete Coors to drug duels during the Colo debate. 

Jamie Dinan, founder of York Capital Management LP which oversees $25 bil and specializes “in making bets around corporate events,” according to Bloomberg, recommended shares of Molson Coors. He sees a 48-58% potential upside from “potential acquisition of SABMiller by ABI.  If deal came down, ABI would have to “automatically” sell SABMiller’s stake under US antitrust law, he noted at Sohn Canada Conference yesterday as reported by Bloomberg.  That would leave Molson Coors as the likely buyer.  Stock up 2.7% today. 

Yuengling promoted Pat Pikunas to new position of vp sales. Pat, previously division sales manager in mid-Atlantic, got the nod.  “There’s more to come,” Yuengling coo Dave Casinelli told INSIGHTS this morn, as Yuengling has “recommitted” to “build out” its organization to “get to where we need to get.” For example, in past 12 mos, Yuengling has increased its sales force by 24%.  In past, Yuengling has spent way more on cap ex than on sales/mktg org, creating a bit of an “imbalance,” acknowledged Dave.  But Yuengling has now begun to “twist that dial” the other way as owner Dick Yuengling “willing to commit” more resources to build out organization to meet changing needs of marketplace.  With 3 new states opening in New England at various points during yr, Yuengling volume running up 6-7% yr-to-date. 

“AB and MillerCoors dominate the value category, producing 19 of the top 20 value brands,” noted St Louis Post-Dispatch (PBR is lone exception), in article today dubbed “Anheuser-Busch looks to burnish ‘value’ beers.”  Each of AB and MC talk about increased focus on economy brands, but sub-premium category has tuff time holdin’ ground.  Sub-premiums down 2-3% and shed 1 share of both volume and $$ yr-to-date thru Oct 5 in IRI Multi-Channel + Convenience.  Imports segment poised to soon pass sub-premium $$ share to take over as 2^nd largest segment in scans; it already has for latest 13 wks. At 15.52 share of $$, compared to 15.37 for subs.      

AB’s been able to shore up its sub-premium brands a bit with success of Rolling Rock, up 27%, Bud Ice, +9%, and Natty Daddy, +48%, the fastest growing top sub-premium brands.  But those, along with the rest of co’s sub-premium portfolio haven’t been quite enuf to patch up Natty Light (-6%) and Busch (-3%) declines.  Newest addition to AB’s economy line-up, Busch Signature Copper Lager, launched earlier this yr in Midwest mkts, first Busch line extension in 15 years.  So far it’s sold nearly 600,000 cases in scans to-date, which has helped boost Busch family of brands to positive growth for the yr, along with help from Busch Light and Busch Ice.  “The brand is doing very well and we’re looking at evaluating other expansion opportunities,” said Nate Scudieri, director of value brands.  Since launch distribution’s already been expanded to “several Great Lakes states, Texas and some markets in the Southeast.”

MC economy brands havin’ tuffer time, as virtually every one in portfolio is down for the yr.  That includes Keystone Light (-7.5%), Miller High Life (-4%), Icehouse (-7%) and Milwaukee’s Best Light (-13%) collectively down half a share of volume.  MC has upped focus on Miller High Life in particular, with “I am Rich” campaign that debuted earlier this yr, paper noted, however High Life trends improved only moderately.  Recall, MC revealed plans at recent sales mtg to “amplify” key economy brands before it can “simplify” (i.e reduce skus) them.   Starting with High Life, it’ll add 16-oz can pack, new 12 packs and a “new look” next yr, Icehouse will get new can design too, and Steel Reserve will get flavors (see Oct 8 Express).  Also plans to “unveil a new design next year” for Keystone Light, paper noted.   

The 21st Annual Beer Insights Seminar is a premier industry event,  that will take place Nov 9-10 at the Waldorf=Astoria in NYC. This yr’s seminar has a stellar lineup, including top execs from each of the top 4 US beer suppliers: AB InBev’s prexy North America Luiz Edmond, MC ceo Tom Long, Constellation Brands ceo Rob Sands and HUSA prexy Dolf van den Brink.  We’ve recently added what’s sure to be a lively panel on the “Changing Landscape in Beer and Beer Distribution,” including consultant Joe Thompson, Columbia Dist (Washington) prexy Chris Steffanci and now Yuengling chief oper officer Dave Casinelli. 

Beer Insights Seminar features topical talks, provocative panels, lotsa q&a, plus plenty of networking oppy.  We’ll also have an in-depth discussion with craft pioneers Deschutes’ Gary Fish and Brooklyn’s Steve Hindy, as well as a panel to explore one of the industry’s hottest topics: franchise law carve-outs for small brewers and other 3-tier issues.  Veteran industry attys Marc Sorini and Mike Madigan will be joined by Manhattan Beer’s coo Bill Bessette.  Seating is limited.  Click here for more info and click here to register.