urbanSTL

This is positive.



http://www.stlrcga.org/x3223.xml



sorry if it was shared already... I didn't find it.





STATEMENT RE: Anheuser-Busch InBev

By Richard C.D. Fleming,

President and CEO, St. Louis Regional Chamber & Growth Association



Although most St. Louisans would have preferred that Anheuser-Busch remain independent, the fact is that the new Anheuser-Busch InBev will be the world leader in the brewing industry, and the company's North American headquarters and Budweiser brand global headquarters will be in St. Louis.



Like every other community, St. Louis has experienced several mergers and acquisitions in recent years - and many have produced positive results. For example:



-Boeing, which acquired McDonnell-Douglas, remains the region's No. 2 employer.

-Nestlé's acquisition of Ralston Purina resulted in a net increase in headquarters jobs for the region, which is now the Switzerland-based international company's North and South American headquarters.

-Wachovia, which recently acquired A.G. Edwards, has moved the headquarters of its brokerage operation here from Richmond, Va., and has announced that it will add up to 1,000 new jobs in St. Louis.



continues at http://www.stlrcga.org/x3223.xml

^ from the article above...

As a result, the number of Fortune 1000 companies based in the St. Louis region has actually increased from 17 in 2000 to 21 today. Nine of those companies are in the Fortune 500.

what are the companies?

STL Fortune 1000/500



here: http://www.stlrcga.org/x2629.xml

Wow! Could the financial environment change enough to cause the deal to fail?



According to reports on the financial news channels this a.m., Inbev is now scrambling to find cash and credit. The value of the dollar is coming back against the Euro.



Is it possible that the credit either isn't there now or isn't valued highly enough to make the cash purchase in dollars?

Matt wrote:Wow! Could the financial environment change enough to cause the deal to fail?



According to reports on the financial news channels this a.m., Inbev is now scrambling to find cash and credit. The value of the dollar is coming back against the Euro.



Is it possible that the credit either isn't there now or isn't valued highly enough to make the cash purchase in dollars?

^ Negative. This deal is going through. If necessary, they will simply divest non-core assets to finalize it.

Has there been any talk of InBev spinning off the 9th Street Beverages (non-alcoholic) subsidiary?

When the heck is this deal suppossed to be finalized? I see there is still A-B stock to purchase.

The Central Scrutinizer wrote:

DeBaliviere wrote:Has there been any talk of InBev spinning off the 9th Street Beverages (non-alcoholic) subsidiary?

A bit premature to ask, since it was just formed!

That's kind of why I was wondering that - if forming the subsidiary would make it easier to sell/spin off.

The Central Scrutinizer wrote:

innov8ion wrote:

Matt wrote:Wow! Could the financial environment change enough to cause the deal to fail?



According to reports on the financial news channels this a.m., Inbev is now scrambling to find cash and credit. The value of the dollar is coming back against the Euro.



Is it possible that the credit either isn't there now or isn't valued highly enough to make the cash purchase in dollars?

^ Negative. This deal is going through. If necessary, they will simply divest non-core assets to finalize it.

I'm not sure what non-core assets InBev has. As far as I know, they are mostly just a beer company.

They're looking at the non-alcoholic beverage sector as a growth opportunity. Sales performance for this portfolio is up 77% this year. I highly doubt they would sell it.



If InBev doesn't have much in the form of non-core assets, it may make more sense to sell A-B's non-core assets to complete the sale if necessary. You know, like Busch Entertainment Corp. & Busch Properties. Busch Entertainment already has a potential European bidder for about $4.5B.



Ref: http://money.cnn.com/news/newsfeeds/art ... RTUNE5.htm

"We are contemplating disposals of non-core assets from both companies. However, it is too early to comment at this stage on which businesses specifically would be considered," a company spokesman said Wednesday."

innov8ion wrote:If InBev doesn't have much in the form of non-core assets, it may make more sense to sell A-B's non-core assets to complete the sale if necessary. You know, like Busch Entertainment Corp. & Busch Properties. Busch Entertainment already has a potential European bidder for about $4.5B.

I thought it was pretty much understood that they were already going to need to do that to afford the $70 per share sales price. If the cost of the deal is increasing, what else can they do? They may end up having to issue stock, which could trigger a shareholder revolt. Unlikely, but this is exactly why I said before that this isn't a done deal.

Yep, news today is that they'll issue more stock and sell non-core assets.



Non-core is defined however Carlos decides. Anyone in the market for a horse and wagon? How about Korean beer (that seems like a core asset)?



Funny thing about raising quick cash this way is that there has to be a buyer for the non-core assets you're trying to sell at top dollar.



Same is true with creating more shares to sell. Who's confident enough to buy it?

The Central Scrutinizer wrote:So you think AB would sell assets to help facilitate a deal they didn't want in the first place? I find that to be rather odd.

I don't find it odd in the least. They want to sell now and will do what is necessary to make it happen.

Antitrust lawsuit filed on AB, InBev merger

Rachel Lippmann, KWMU

ST. LOUIS, MO

(2008-09-10)

(KWMU photo)



Opponents of a merger between Anheuser-Busch and Belgian brewer InBev have filed an anti-trust lawsuit against the proposal.

The merger would create the world's largest brewer.



San Francisco-based lawyer Joseph Alioto filed the complaint Wednesday on behalf of ten individuals who purchase Anheuser products. The complaint says they will be hurt by price increases caused by reduced competition.



"Any foreigner can come in and compete," Alioto said. "But in our country, competition, not combination, is the rule of trade."



The complaint argued InBev's willingness to pay $52 billion for Anheuser Busch proves InBev can afford to come into the American beer market on its own.



READ FULL ARTICLE:

http://publicbroadcasting.net/kwmu/news ... ectionID=1

matguy70 wrote:another: from AP:



Beer drinkers challenge InBev-Anheuser-Busch deal

By CHRISTOPHER LEONARD – 6 hours ago



ST. LOUIS (AP) — Ten angry beer drinkers are trying to derail the largest brewery takeover in history.



The group filed a federal lawsuit Wednesday claiming Belgium-based InBev's $52 billion purchase of Anheuser-Busch Cos. Inc. would violate U.S. antitrust law if completed as planned in the coming months.



The suit, filed in Anheuser-Busch's hometown of St. Louis, does not seek financial damages but asks a judge to block the deal. The Department of Justice often reviews large acquisitions to determine if they are legal under U.S. law. But attorneys behind the lawsuit said they want to halt the deal regardless of the verdict in Washington.



"The Justice Department can do whatever they want. They have no absolutely no effect on private actions," said Joseph Alioto, the lead attorney in the case. He declined to say Wednesday who was funding the lawsuit.



Anheuser-Busch said it will fight the suit.



READ FULL ARTICLE:

http://ap.google.com/article/ALeqM5iZWh ... gD9343IJG0

I expect this to go over like a lead balloon. It brings to mind the old adage about the tree falling in the forest that no one hears.

^Mythbuster's proved that you can actually make a lead balloon.

^^

the old adage about the tree falling in the forest that no one hears.

That's not an adage. It may be a riddle.

Touché. It's nice to know the correction police never sleep on the job around here.

But if a dead tree gets thrown in the forest and it doesn't have any staff, how do we know if it makes any noise?