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PostMay 11, 2009#776

DOGTOWNB&R wrote:CS, let me guess, you actually believe this was a 'hostile takeover'?

Business 101: Money talks! Major stakeholders walked!



You believed Busch IV when he said 'not on my watch' ? ....with all due respect, quite naive!



What would you call it? Do you actually think Busch IV was oblivious to the possibilities? Was there nothing they could do to prevent it, if he really wanted AB to remain independent? I first heard of a rumored 'combination' 5 or so years ago from friends that work there. It was a rumor to employees. Obviously those rumors carried some weight. You think Mr. Busch just ignored these rumblings? Highly doubtful? Employees (current & former) that I know, feel that this is without question, the way it went down. Did anyone ever publicly admit this, NO! Why would they? The 'friendly combination/hostile takeover' spin is much better PR.


So you have no source? You should go to work for the WSJ. They completely missed this inside deal.



It was well known at the brewery for several years that management was concerned about a possible takeover (from anyone, not just InBev), due to, in their opinion, the too-low share price. Of course, I would suggest there are very few publicly traded companies with depressed share prices who don't have similar thoughts.

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PostMay 11, 2009#777

So you have no source?


Wouldn't reveal any source if I could. Just average, everyday, present and former employees beliefs. Based on what? A few, 30+ years of working there, knowing people and what is going on behind the scenes. Others, just pure rumor.



Is it straight from Busch IV, no. Is there some level of common sense required to see that the first rumblings of an INBEV takeover did not occur in recent years, yes! It seems your focusing on the 'planned handover' wording. Maybe that was not the best way to put it. Maybe adding the word 'negotiated' would have been much better. The relationship between the two companies has been there for years. According to Brito, the 'combination' was the next logical step. For AB, the next logical step may not have been a complete handover of control to INBEV, but the fact that some form of 'combination' had been rumored for many years, is no coincidence. It had to come from somewhere within. I heard it and I am a total outsider who just had friends and family there. Once the economic cards stacked against AB, it made it hard for higher ups to refuse. I feel it would have happened at some point in the future, bad economy or not.



I was a shareholder for many years. I would not call the stock 'depressed', try 'stagnant' It held its value, but rarely went up. That was the issue. I bought in for the LONG haul. When you think about how long the stock was stagnant and the ongoing threat of takeover, why did AB take no steps, buy competitors, add any provisions to prevent something they were so concerned about? They actually removed provisions in 2004, I believe. Maybe they knew the US market is not growing and to grow shareholder wealth, the only choice was a merger. When you have 50% marketshare, it is hard to grow. It is not about profitability these days. It is all about adding shareholder value. AB did not. I experienced that frustration first hand as a shareholder. It never went under the price I bought in at. However, the SP never grew much beyond what I bought in at, until the takeover rumors started.

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PostMay 11, 2009#778

1. There's no G-D way AB Inbev would abandon to then sell the StL brewery at any time in the near future.

a) Modern, state of the art brewery, one of the best in the world

b) Consolidated business operations across multiple units

c) Significant investments aimed at the StL brewery are either imminent or underway

d) No capacities for replacement of scaled production

e) Cost-effective facilities

f) Massive goodwill loss across the US market

g) Geographically consolidated expertise, a metro area core cluster in all things brewing

h) To do what with this, sell it with the old Lemp?

i) No sources to back up the claims, only wholly speculative guesses with a faulty source of manufacturing and administrative comprehension



2. I heard the rumors of InBev going after AB years ago. Not from a friend who's a high up at the brewery, or from Warren Buffett that he wanted to sell, and not from a spy at InBev. The global beer industry has been consolidating for years (forget microbrews when considering this), centering on brand acquisitions. For $70/share, InBev made their acquisition after years of joint ventures with AB, domestic and global, and it was a very good price for the BUD shares. My claimed source is just listening to stories on the news while working in financial services and being observant to M&A rumors regarding StL companies.

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PostMay 11, 2009#779

^ AHA! You have now provided TOO much information and your source is revealed! 8)

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PostMay 11, 2009#780

Be careful not to feed the troll, dogtown... It's not worth it.

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PostMay 11, 2009#781

Gone Corporate wrote:2. I heard the rumors of InBev going after AB years ago. Not from a friend who's a high up at the brewery, or from Warren Buffett that he wanted to sell, and not from a spy at InBev. The global beer industry has been consolidating for years (forget microbrews when considering this), centering on brand acquisitions. For $70/share, InBev made their acquisition after years of joint ventures with AB, domestic and global, and it was a very good price for the BUD shares. My claimed source is just listening to stories on the news while working in financial services and being observant to M&A rumors regarding StL companies.


Someone should have told AB III. :)

PostMay 11, 2009#782

innov8ion wrote:Be careful not to feed the troll, dogtown... It's not worth it.


Aren't you busy compiling the list of all the car companies, banks and other companies Obama now runs? Oh wait, you withdrew those claims. Kind of embarassing.

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PostMay 11, 2009#783

^ The troll is hungry, it appears. I never withdrew any claim. Obama fired the GM CEO, strong-armed Chrysler into bankruptcy, and threatened to change its non-voting stock interest in banks, gained through money lent by the Troubled Assets Relief Program, to a voting stock interest. The concerns are valid whether you like them or not.

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PostMay 11, 2009#784

Get back on topic.

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PostMay 12, 2009#785

DOGTOWNB&R wrote:
So you have no source?


Wouldn't reveal any source if I could. Just average, everyday, present and former employees beliefs. Based on what? A few, 30+ years of working there, knowing people and what is going on behind the scenes. Others, just pure rumor.



Is it straight from Busch IV, no. Is there some level of common sense required to see that the first rumblings of an INBEV takeover did not occur in recent years, yes! It seems your focusing on the 'planned handover' wording. Maybe that was not the best way to put it. Maybe adding the word 'negotiated' would have been much better. The relationship between the two companies has been there for years. According to Brito, the 'combination' was the next logical step. For AB, the next logical step may not have been a complete handover of control to INBEV, but the fact that some form of 'combination' had been rumored for many years, is no coincidence. It had to come from somewhere within. I heard it and I am a total outsider who just had friends and family there. Once the economic cards stacked against AB, it made it hard for higher ups to refuse. I feel it would have happened at some point in the future, bad economy or not.



I was a shareholder for many years. I would not call the stock 'depressed', try 'stagnant' It held its value, but rarely went up. That was the issue. I bought in for the LONG haul. When you think about how long the stock was stagnant and the ongoing threat of takeover, why did AB take no steps, buy competitors, add any provisions to prevent something they were so concerned about? They actually removed provisions in 2004, I believe. Maybe they knew the US market is not growing and to grow shareholder wealth, the only choice was a merger. When you have 50% marketshare, it is hard to grow. It is not about profitability these days. It is all about adding shareholder value. AB did not. I experienced that frustration first hand as a shareholder. It never went under the price I bought in at. However, the SP never grew much beyond what I bought in at, until the takeover rumors started.


Whether "depressed", "stagnant" or otherwise, management had expressed concern over the past few years that they felt the shares were undervalued. Apparently, they were correct (see: Warren Buffett). There was a very real concern within the company that they were subject to a takeover if they couldn't get the share price up somehow. They were right.

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PostMay 12, 2009#786

^Who was AB's CFO again? (rhetorical)



GoneCorp, I had a friend saying the same thing and I disregarded him as crazy 2 years ago. Why am I being given a finance degree in 4 days... (joke)



StL pride deff got in the way on this one. Quite a few could have made a pretty-penny from what I had been hearing before the share price ballooned after the M&A talk went officially public.

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PostMay 12, 2009#787

The Central Scrutinizer wrote:
innov8ion wrote:Be careful not to feed the troll, dogtown... It's not worth it.


Aren't you busy compiling the list of all the car companies, banks and other companies Obama now runs? Oh wait, you withdrew those claims. Kind of embarrassing.


Might not want to make a point of asking for promised lists and maps, as I am still awaiting your list of City-owned vacant parcels in downtown.

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PostMay 12, 2009#788

I think most can agree on one thing....this takeover is horrible for our city. It is so much more than a source of pride. AB Inc. was one of the great American companies and it was based right here in STL. It is gone and fading. It will likely be a brewery with some lower management people here in the future. Very sad! Can we and we will move on, yes! Does it s*ck, h*ll yes!!!

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PostMay 12, 2009#789

DOGTOWNB&R wrote:I think most can agree on one thing....this takeover is horrible for our city. It is so much more than a source of pride. AB Inc. was one of the great American companies and it was based right here in STL. It is gone and fading. It will likely be a brewery with some lower management people here in the future. Very sad! Can we and we will move on, yes! Does it s*ck, h*ll yes!!!


Yeah, but Milwaukee has basically gone through the same thing. What I'd really like to see is the emergence of more smaller breweries now.

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PostMay 12, 2009#790

DeBaliviere wrote:
Yeah, but Milwaukee has basically gone through the same thing. What I'd really like to see is the emergence of more smaller breweries now.




How about some of the zillionaires that made out like bandits on the AB deal, open some start up brewerys at the old Lemp and Falstaff sites...an employee at The Stable told me they are going to brew Lemp at the old Brewery again. Is that true or rumor?

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PostMay 12, 2009#791

DOGTOWNB&R wrote:How about some of the zillionaires that made out like bandits on the AB deal, open some start up brewerys at the old Lemp and Falstaff sites...an employee at The Stable told me they are going to brew Lemp at the old Brewery again. Is that true or rumor?


That's what I'm talkin' about!



I have a friend who's involved with the Lemp group and he says they're currently contracting with a brewery in Minnesota but are looking into brewing their beer here. He said they don't have a specific location in mind yet though.

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PostMay 12, 2009#792

DOGTOWNB&R wrote:DeBaliviere wrote:
Yeah, but Milwaukee has basically gone through the same thing. What I'd really like to see is the emergence of more smaller breweries now.




How about some of the zillionaires that made out like bandits on the AB deal, open some start up brewerys at the old Lemp and Falstaff sites...an employee at The Stable told me they are going to brew Lemp at the old Brewery again. Is that true or rumor?


I believe they are going to brew it in the old Coke Bottling plant on Davis. Maybe.

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PostMay 12, 2009#793

The Central Scrutinizer wrote:I believe they are going to brew it in the old Coke Bottling plant on Davis. Maybe.


Yeah, that was mentioned in a P-D article a few weeks back. That would certainly be a cool option. The space there that could be used for a biergarten would be really sweet.

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PostMay 12, 2009#794

There are plenty of people in this town who know the business of beer...



Can't help being reminded of the recent Sam Adams commercial with the founder telling his story about how he quit his day job and started the brewery. Oh the american dream.

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PostMay 12, 2009#795

old Coke Bottling plant on Davis


CS, where is that plant located?



I'd like to see historic breweries of the past utilized as well. I REALLY want the Falstaff Brewery reopened. I get depressed looking at it in it's current state.

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PostMay 12, 2009#796

DOGTOWNB&R wrote:
old Coke Bottling plant on Davis


CS, where is that plant located?



I'd like to see historic breweries of the past utilized as well. I REALLY want the Falstaff Brewery reopened. I get depressed looking at it in it's current state.


More info: http://www.urbanstlouis.com/urbanstl/vi ... php?t=7055

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PostMay 12, 2009#797

^That is great! As long we keep the brewing in the historic parts of

St. Louis. I dream of the day when there are many breweries down in south city, sort of like the days when STL had 42 or so breweries. Looks like we are off to a great start.



-Lemp

-Mattingly

-Stable

-Schlafly

-AB

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PostMay 12, 2009#798

Don't forget Morgan Street and Buffalo Brewing Co. too!

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PostMay 12, 2009#799

Square One

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PostMay 12, 2009#800

^even better! 42 + here we come!

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