Beer brewing company
Craft Brew Alliance, Inc.
![](//upload.wikimedia.org/wikipedia/commons/thumb/2/2a/Craft_Brew_Alliance_Logo.jpg/220px-Craft_Brew_Alliance_Logo.jpg) |
Industry
| Alcoholic beverage
|
---|
Founded
| July 1, 2008
; 15 years ago
(
2008-07-01
)
|
---|
Defunct
| November 11, 2019
; 4 years ago
(
2019-11-11
)
|
---|
Fate
| Acquired by
Anheuser-Busch InBev
, becoming the
Brewers Collective
|
---|
Headquarters
| |
---|
Products
| Beer
,
cider
|
---|
Production output
| 86,553,060 liters (724,900
barrels
)
|
---|
Website
| craftbrew
.com
|
---|
Craft Brew Alliance
is a
beer
brewing
company that originally was composed of five beer and cider brands:
[1]
- Redhook Ale Brewery
, founded by Gordon Bowker and Paul Shipman in 1981 in Seattle, Washington;
- Widmer Brothers Brewery
, founded by brothers Kurt and Rob Widmer in 1984 in Portland, Oregon;
- Kona Brewing Company
, founded by father and son team Cameron Healy and Spoon Khalsa in 1994 in Kona, Hawaii;
- Omission Beer, developed internally in 2012 in Portland, Oregon; and
- Square Mile Cider, launched in 2013.
Craft Brew describes Kona and Omission as national brands, while the others are regional brands.
[2]
In addition, Craft Brew launched strategic brewing and distribution partnerships with three other regional companies, whom it acquired outright on October 10, 2018:
- Appalachian Mountain Brewery, from Boone, North Carolina;
- Cisco Brewing, Inc. from Nantucket, Massachusetts; and
- Wynwood Brewing from Miami, Florida.
[2]
According to the
Brewers Association
, Craft Brew is the ninth largest beer brewing company in the United States, based on 2015 sales volume of 824,400 and an annual working capacity of approximately 1,075,000 barrels.
[1]
[3]
As of November 2019,
Anheuser-Busch InBev
has agreed to fully acquire Craft Brew Alliance in 2020. The acquisition started in December 2010, when AB InBev bought 32.2%
[4]
[5]
of the business, became the company's distribution partner,
[4]
was given two seats on its board of directors, and gained special status in the company's board committees.
[5]
On August 23, 2019, AB InBev paid Craft Brew $20 million instead of exercising a "pay-or-play" option to buy out the rest of Craft Brew Alliance at a price of $24.50 a share (which would have cost about $328 million).
[6]
[7]
As a consequence, shares of Craft Brew dropped more than 20% that day.
[7]
However, on November 11, 2019, A-B agreed to purchase the rest of Craft Brew for $16.50 a share (about $220 million).
[8]
Company history
[
edit
]
The company was formed on July 1, 2008,
[9]
[10]
with the merger of
Redhook Ale Brewery
and
Widmer Brothers Brewery
. CBA acquired
Kona Brewing Company
on October 1, 2010. In 2012, CBA launched a new brand called Omission Beer, promoting the beer as specially crafted to remove
gluten
. In 2013, CBA launched a cider - Square Mile Cider, and in 2014 entered into a partnership with
The Chive
to create KCCO beer under the independent/Chive-owned Resignation Brewery moniker.
[11]
The company was originally named
Craft Brewers Alliance
, but changed its name to Craft Brew Alliance on January 12, 2012.
[12]
As of March 15, 2012, Craft Brew Alliance is publicly traded as
Nasdaq
:
BREW
. Prior to this date it was publicly traded as HOOK.
[13]
Products
[
edit
]
The company produces brands such as Redhook, Widmer Brothers Brewing, Omission Beer and several others.
[14]
Redhook
[
edit
]
Redhook was founded in the early 1980s in
Seattle
. At first, the brewery was a small shop in the Seattle neighborhood of
Ballard
. The beers brewed by Redhook include ESB, IPA, Pilsner, Copperhook, and seasonal brews.
[14]
Anheuser-Busch sold Redhook to
Tilray
on 8 August 2023 due to the decline in sales from the
2023 Bud Light boycott
.
[15]
Widmer Brothers Brewing
[
edit
]
Widmer Brothers brews various beers including their flagship, Hefe American Hefewiezen, Drop Top Amber Ale, Upheaval IPA, Steel Bridge Porter, PDX Pils, various seasonals and 10+ small batch beers on tap at the Brewery on Russell St. Anheuser-Busch sold Widmer Brothers to
Tilray
on 8 August 2023 due to the decline in sales from the
2023 Bud Light boycott
.
[15]
Kona Brewing Company
[
edit
]
The Kona Brewing Company was founded in the spring of 1994 and is
Hawaii
's largest brewery.
[14]
Omission Beer
[
edit
]
The company's Omission Beer is designed to have low
gluten
content by using a proprietary enzyme to remove gluten from traditional beer ingredients - namely malted barley.
[16]
Square Mile Cider Company
[
edit
]
Launched in 2013, there are two primary products under this brand - "The Original" which is a traditional hard apple cider; and "Spur & Vine", which is a "hopped apple cider".
Appalachian Mountain Brewery
[
edit
]
On December 2, 2014, CBA entered into a strategic partnership agreement with
Boone, North Carolina
-based Appalachian Mountain Brewery (AMB).
[17]
As part of the partnership, CBA acted as "master distributor" for AMB, allowing their products to ship via the
Anheuser-Busch InBev
distributor network. CBA had taken an undisclosed, minority stake in AMB. On October 10, 2018, CBA announced that it acquired 100% of the AMB brand, brewery, and pub. The transaction closed November 29, 2018.
[2]
On June 3, 2023, the former owners of the Appalachian Mountain Brewery announced they had purchased the company back from AB InBev and will be severing ties with the company to refocus on local distribution.
[18]
Cisco Brewers, Inc.
[
edit
]
On September 25, 2015, CBA announced a strategic partnership agreement with Nantucket-based Cisco Brewers.
[19]
As with previous partner, AMB, CBA acted as "master distributor" for AMB, allowing their products to ship via the
Anheuser-Busch InBev
distributor network. CBA had taken an undisclosed, minority stake in Cisco Brewers. On October 10, 2018, CBA announced that it had acquired 100% of the Cisco intellectual property assets related to its malt beverage products; Cisco's founders continue to own and operate the Cisco Brewers brewpub properties and retail merchandising, including the original brewery and grounds in Nantucket.
[2]
Wynwood Brewing Co.
[
edit
]
On December 15, 2016, CBA announced a strategic partnership agreement with Miami, FL-based Wynwood Brewing Co. ("Wynwood").
[20]
CBA took a 24.5% stake in Wynwood, valuing the deal at under $30 Million. As with previous partners AMB and Cisco Brewers, CBA acted as "master distributor" for Wynwood, allowing their products to ship via the
Anheuser-Busch InBev
distributor network. On October 10, 2018, CBA announced that it had acquired the remaining 75.5% of equity in Wynwood, making Wynwood a wholly owned subsidiary of CBA, although Wynwood co-founders Luis Brignoni and his father “Pops” Brignoni would continue to run the operations.
[2]
Sustainability initiatives
[
edit
]
Through investments in renewable energy, closed-loop systems, and energy intensity, the company is improving their operations and efficiency. The company utilizes
BMS
software at their breweries to access real-time tracking of key performance indicators to help reach sustainability targets.
[21]
Officers and directors
[
edit
]
Name
[22]
|
Title
|
Kurt R. Widmer
|
Chairman emeritus
|
Andrew J. Thomas
|
Chief executive officer
|
Christine Perich
|
Chief financial officer, treasurer
|
Scott Mennen
|
Chief operating officer
|
Dan Partelow
|
VP, commercial development
|
Peter Schauf
|
VP, international sales
|
Derek Hahm
|
VP, sales & brewpubs
|
Ken Kunze
|
Chief marketing officer
|
On November 21, 2013, the company announced that, effective January 1, 2014, Andy Thomas will take over as the company's new CEO.
[23]
On May 20, 2015, CBA announced the appointment of Joe Vandersteldt to CFO, along with several other changes at the executive leadership level.
[24]
[25]
Use of the term "craft brew"
[
edit
]
While the company name contains the phrase "
craft brew
", it does not meet the definition of a craft brewer according to the Brewers Association,
[26]
due to the percentage stake owned by Anheuser-Busch InBev.
[4]
[27]
[28]
[29]
The
Brewers Association
defines American craft brewers as "small, independent and traditional", with 'small' defined as an "annual production of 6 million barrels of beer or less", a limit changed in 2011 from 2 million to 6 million to ensure the ongoing inclusion of
Boston Beer Company
[30]
(the producer of the
Samuel Adams
brand), "independent" defined as at least 75% owned or controlled by a craft brewer, and "traditional" defined as at least 50% of its volume being all malt beer.
[26]
[29]
See also
[
edit
]
References
[
edit
]
- ^
a
b
"Craft Brew Alliance, Inc. Annual Report For the Fiscal Year Ended: December 31, 2015"
Retrieved August 26, 2018.
- ^
a
b
c
d
e
"Craft Brew Alliance form 10-K for fiscal year ended December 31, 2018"
. March 3, 2019
. Retrieved
November 12,
2019
.
- ^
"Brewers Association Lists Top 50 Breweries of 2015"
, Brewers Association, April 5, 2016.
- ^
a
b
c
"10 Craft Beers that Aren't"
,
TheStreet
, January 4, 2013.
- ^
a
b
"Craft Brewers Alliance, Inc. Form 10-K"
. US SEC. p. 18.
As of December 31, 2010, A-B owns approximately 32.2% of our outstanding common stock and, under the Exchange Agreement, has the right to appoint two designees to our board of directors and to observe the conduct of all standing board committees.
- ^
Kendall, Justin (August 23, 2019).
"Anheuser-Busch InBev Doesn't Make Qualifying Offer for Craft Brew Alliance"
.
Brewbound
. Retrieved
November 11,
2019
.
- ^
a
b
Meunier, Andre (August 23, 2019).
"Anheuser-Busch opts not to buy Portland's Craft Brew Alliance"
.
The Oregonian
. Retrieved
November 11,
2019
.
- ^
Rogoway, Mike (November 11, 2019).
"Anheuser-Busch buys total control of Portland's Craft Brew Alliance for $220 million"
.
The Oregonian
. Retrieved
November 11,
2019
.
- ^
"Craft Brewers Alliance"
. Archived from
the original
on December 9, 2011
. Retrieved
August 30,
2009
.
- ^
"Post-merger Widmer reports profit"
.
Portland Business Journal
. August 12, 2009.
- ^
"Craft Brew Alliance Reports Second Quarter 2013 Results"
, Craft Brew Alliance official web site.
- ^
"Craft Brewers Alliance is now Craft Brew Alliance"
. Archived from
the original
on June 11, 2015
. Retrieved
October 9,
2013
.
- ^
Craft Brew Alliance Changes Ticker Symbol to 'Brew'
accessed January 8, 2013
- ^
a
b
c
brands of company
, accessed, October 29, 2013.
- ^
a
b
Jacob, Denny.
"Anheuser-Busch Selling Shock Top, Blue Point to Cannabis Company Tilray"
.
The Wall Street Journal
. Retrieved
August 16,
2023
.
- ^
"Drinking is Believing | F.A.Q"
. Omission Beer. November 21, 2013. Archived from
the original
on November 30, 2016
. Retrieved
November 30,
2016
.
- ^
Appalachian Mountain Brewery.
"Appalachian Mountain Brewery"
. Appalachian Mountain Brewery
. Retrieved
November 30,
2016
.
- ^
Gartner, Jordan (June 3, 2023).
"Original owners buy brewery back from Anheuser-Busch"
.
WBAY-TV
.
ABC
. Retrieved
June 4,
2023
.
- ^
Craft Brew Alliance.
"Cisco Brewers"
. Craft Brew Alliance
. Retrieved
September 25,
2015
.
- ^
Brewbound (December 15, 2016).
"Wynwood Brewing"
. Brewbound
. Retrieved
December 15,
2016
.
- ^
"Sustainability Hero: Julia Person brings energy efficiency to craft brewing"
.
Lucid
. Retrieved
November 13,
2018
.
- ^
Key People in CBA
[
dead link
]
- ^
Next CEO for CBA - Andy Thomas
- ^
"Craft Brew Alliance Inc (BREW.O) Key Developments"
. Reuters.com. Archived from
the original
on March 5, 2016
. Retrieved
November 30,
2016
.
- ^
"Craft Brew Alliance Inc (BREW.O) People"
. Reuters.com. Archived from
the original
on April 2, 2012
. Retrieved
November 30,
2016
.
- ^
a
b
"Craft Brewer Defined"
. Brewersassociation.org. Archived from
the original
on July 10, 2011
. Retrieved
March 16,
2012
.
- ^
"That Craft Beer You're Drinking isn't Craft Beer ? Do You Care?"
,
Time
, August 13, 2013.
- ^
Report: The Craft Beer Industry's Big Year
,
Associations Now
, March 20, 2013.
- ^
a
b
"Brewers Association: Craft Beer is Now a $10 Billion Category"
,
Brewbound
, March 18, 2013.
- ^
"10 Craft Beers That Aren't"
. TheStreet. January 4, 2013
. Retrieved
November 24,
2013
.
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Subsidiaries
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Equity investments
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Brands
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People
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