Next shoe in new wave of challenges to state alc bev laws on dormant Commerce Clause grounds dropped this wk. Iowa can no longer allow in-state wineries to self-distribute to in-state retailers but bar out-of-state wineries from the same privilege, a district ct judge in the state ruled. A state law requiring permittees to be based inside IA discriminates against out-of-state players, and the state presented neither enough "concrete evidence" nor any "non-discriminatory alternatives" to let the law stand, the judge wrote. While the ct did uphold other provisions of state law related to defining "good moral character" and corporate residency, functionally, the state must now stop enforcing the requirement that wineries seeking a distribution permit be "located within the state."

Asahi is on track to begin US production of Asahi Super Dry by early 2025, ceo Atsushi Katsuki told Just-Drinks in recent interview. Co's "not quite seeing any opportunities at the moment" for bigger M&A in the US, so "our plan is to aim for organic growth," he said, acknowledging it will likely take longer to reach its ambitious goals in the US. Recall, co aims to produce ~850K bbls/yr of Asahi brands outta Octopi facility acquired early this year "over the medium term" (see Jan 11 issue).

Key, ketone-based energy entry from founding team of Coke vet and Pepsi vet, has been picked up nationally by Sprouts Farmers Market chain, whose 420 stores will more than double brand's retail footprint to 700 stores. As reported, brand created by Coke (and Apple) alum Karishma Thawani and Pepsi (and McKinsey) alum Tekla Black had launched this past spring in indie accts in NY (BBI, Apr 24) and more recently entered small but influential Erewhon chain in SoCal. Zero-sugar line is formulated with 11.5 g of clinically backed Avela pre-ketones from Genomatica, along with moderate 80 mg of green-tea-based caffeine balanced with L-theanine, with stevia the sweetener. Sprouts is picking up all 3 flavors: Ginger Lime, Grapefruit Peach and Pineapple Passionfruit. In NY, retail base includes likes of Westside Market, Brooklyn Fare, Health & Harmony, Mulberry Market (Soho) and some Equinox gyms.

Quebec-based Lassonde Industries said it will invest US$200 mil to replace a juice plant in Seabrook, NJ, even as it plans to pony up an additional $20 mil at a single-serve aseptic site in Hendersonville, NC, that already has been undertaking $53 mil upgrade. In NJ, new site of about 200K sq ft will is adjacent to existing plant, built in 1935 and acquired by Lassonde in 1982. Its website lists it as 675K-sq-ft large and containing 3 lines used to produce co's PET-packaged Apple & Eve and Ruby Kist brands as well as private-label brands for customers in Northeast. Construction will commence early next year, with production activities progressively transferred starting in 2026 and concluding in 2027. The new site will bring "a more efficient production flow, improved yields and better logistics," per announcement. In NC, the additional investment, due to be completed by next year, "consists in bringing in-house certain owned production assets currently deployed at a copacker facility." That site just went live with initial investment. The activities all are occurring under rubric of investment overhaul dubbed Project Eagle that aims to address US costs that co acknowledged were out of whack . . . Clark Beverage Group, Kentucky-based distributor that straddles 5 states with arms that move soft drinks like Coca-Cola and Dr Pepper as well as beers from Molson Coors and Mark Anthony Brands, is investing $120 mil to build distribution center near Bowling Green that will serve as corporate hq too. It didn't disclose timeline beyond describing it as long-term project, local station WNKY reported. Its soft drink biz dates back 120 years and it entered beer biz in 1969 as Miller/Falstaff house . . . Construction will commence next year on food/bev incubator in New Orleans after Jefferson Parish Economic Development Commission reeled in $4.2 mil in grants. The money will fund design, engineering and construction of 15K-sq-ft facility at 480-acre Churchill Technology & Business Park that contains 3 commercial kitchens, demonstration and training space, offices and ambient and refrigerated storage space. Proponents said incubator will bring needed mentorship option to entrepreneurs in foodie mecca.

It's been a relatively quiet year from Coca-Cola's alc bev unit Red Tree Beverage in the US, but news started to drum up in these last coupla weeks. Co will appoint Coke vet Lourdes (Lou) Grill as new Red Tree prexy effective Nov 1. Previous prexy Jenny Dowdy left Coca-Cola in Jul, her LinkedIn profile indicates, with no new destination listed yet. Lou "will operationally lead the success of our Alcohol Ready to Drink (ARTD) business across the United States," as she's "uniquely qualified to lead" the unit "with her strong background in finance, strategic partnerships and distributor relationships," Coca-Cola's head of new revenue streams Dan White shared in statement. Lou's held "roles of increasing accountability in finance, marketing assets and leading the natural channel sales, distribution and strategy team," including most recent gig as North America leader for McDonald's Division, he added. RTB leadership change comes as several of its licensed alc bev brands are declining in US this yr, with biggest family, Simply Spiked, down 9% YTD thru Sep 8 in Circana multi-outlet + convenience data including -22% for last 12 wks. But brands offered via Molson Coors partner still hold 0.7 share of total beer $$ sales in Circana MULC, slightly bigger than Sierra Nevada and just behind FIFCO USA in these channels, and MC has vowed to continue betting on Simply Spiked as its #1 FAB priority in 2025 while looking to shore up Topo Chico hard seltzer family too. More details in Insights Express.

Sometimes we notice that brands we've extensively covered have gone quieter in market and take a moment to note this development, not without great sympathy for effort put in . . . One is venerable Honeydrop brand that was launched in 2008 by ex-Pepsi exec David Luks, who's since moved on, and operated by CEO Andrew Lorig, who's risen thru ranks from regional sales mgr role 14 years ago. Among interesting strategic pivots the brand had made over the years was to shift from shelf-stable line that had trouble competing with constantly promoted brands like Honest Tea to superpremium refrigerated version, often using coveted Manuka honey variant. Sadly, despite recently adding well-received wellness shot, brand has eased out of market in recent months, with last of inventory depleted a coupla months ago, Andrew confirmed. But it may be just a needed pause: he said he's in discussions with potential investors or buyers and open to further overtures . . . The LA-based marketing and apparel entrepreneur Andres Izquieta made a splash at Expo West 2022 with purportedly longevity-enhancing Chiki Chiki Boom Boom Tropical Water that put a Latino spin on punch style by using ingredients from a "blue zone" in Ecuador with high proportion of centenarians (BBI, Apr 4 2022). Riding marketing themes like "reggaeton in a bottle," with its name later simplified to Chiki Tropical Water, brand seemed to strike a chord with younger Latino consumers and entered major chains like Walmart's Florida stores. But lately, website DrinkChiki.com has gone dark, its social media has sputtered out and all 4 sku's are listed as out of stock at Walmart. We reached out to Andres last week but haven't heard back.

Utah-based Bucked Up energy brand has recruited MMA star Conor McGregor as investor/endorser, move heralded by new flavors Irish Apple and Orange within Notorious Buck subline celebrating fighter's Irish heritage. Workout supplements are promised next. Tho it's become conventional to say celeb investors will take instrumental role in building biz, McGregor brings history of entrepreneurial endeavors as investor in Bare Knuckle Fighting Championship, as well alc-bev endeavors like Proper No 12 Irish Whiskey. The Notorious entries, due early next year, feature image of McGregor running nearly entire height of can. Co cited scan data indicating that canned energy line has more than doubled in c-store sales for YTD, within co that claims to offer 500+ sports nutrition items that generate over $300 mil in retail sales thru 55K pts of distribution. Brand will be exhibiting at NACS c-store showcase in Las Vegas next week.

This week in 1972, INSIGHTS reported on comments from Bill Coors at FTC hearing as he shared reasons expansion wasn't easy for Colorado brewer. Coors was avail in ~11 states at time but had 7,000 applications from potential new distribs on file, said Bill. While one competitor's regional mgr claimed Coors faked "artificial" shortages to stoke demand, Bill said under oath that shortages were not planned. "We have to dedicate practically every resource we can get our hands on for plant expansion to keep up with demand and we are not doing it." Bill added, "my brother and I have never borrowed money," and would not do so to expedite expansion. Asked if Coors' cash flow would be sufficient to finance expansion over next 10 yrs, Bill replied, "barely." Coors depletions were growing ~20% annually in 1971-72.