Frankenbeer!

From the New York Times:

 “Deal for Anheuser-Busch Is Said to Be Near"

By ANDREW ROSS SORKIN and MICHAEL J. de la MERCED

Published: July 11, 2008

In a reversal of its previous hostility to the idea, Anheuser-Busch is in active talks to sell itself to the Belgian brewer InBev in a friendly deal, people briefed on the matter said Thursday night.

Exact terms of the potential deal could not be learned, but one person said that InBev had indicated that it would be willing to pay more than the $65 a share it had originally offered. People briefed on the deal cautioned that the talks might still break down.

In striking an agreement, Anheuser risks a political backlash from the growing number of hometown politicians and customers who had supported the company in its efforts to remain independent.

Helping to drive the deal talks was the indication that some of Anheuser’s largest shareholders, including Warren E. Buffett, were leaning toward backing a deal with InBev.

If a deal is reached, it would end more than a month of hostilities between the two beer giants and create the world’s largest brewer. It would combine Anheuser, the maker of Budweiser and a fixture in American culture, with InBev, the producer of Stella Artois, Beck’s and Bass, creating a new behemoth with distribution channels around the world. 

Since InBev unveiled its original $46.3 billion, $65-a-share offer in June, however, the two sides have waged a very public and very bitter brawl. Both companies have sought to press their case in court: InBev has sought to oust the American company’s board, while Anheuser accused the Belgian brewer of lying about its financing commitments and criticized it for having operations in Cuba.

The fight is set against a backdrop of rising prices for beer ingredients like grain and a rapidly consolidating beer industry. Giants like InBev and SABMiller, the world’s two largest brewers — which were themselves the products of mergers struck this decade — have raced to outstrip each other in market share. Though SABMiller, based in London, currently holds the No. 1 position, an Anheuser deal would propel InBev to the top spot.

While the United States remains the world’s largest beer market, domestic brewers have struggled in recent years as their customers drift toward wine and spirits, as well as craft beers and imports. That has tempted the international brewers, as has the weak American dollar. SABMiller and Molson Coors will combine their operations in the United States, forming a formidable rival to Anheuser.

InBev has been mindful of the political pitfalls that could befall a hostile bidder for an American icon like Anheuser. The company said that it would keep St. Louis as its North American headquarters and would try to keep the Anheuser name somewhere in the combined brewers’ new title. Yet on Monday, InBev said that it would begin to canvass Anheuser’s shareholders, seeking their support in ousting the company’s directors. It named an alternate board, including a dissident member of the controlling Busch family.

August A. Busch IV, Anheuser’s chief executive and a scion of the company’s longtime owners, has consistently said that InBev’s offer is too low. But he has felt pressure to enhance his company’s long-stagnant stock. To counter InBev’s claims that it could bolster Anheuser’s bottom line, Mr. Busch and his management team have said that they will cut the company’s work force by as much as 15 percent.

Anheuser has also sought to stymie InBev’s efforts to dislodge its board with its own lawsuit, filed on Tuesday. The company accused its suitor of lying about the firmness of its lending commitments, drawn from a group of eight international banks including JPMorgan Chase. It also argued that because of InBev’s current brewery operations in Cuba, the combined company would run afoul of American trading prohibitions against the island nation.”

Analysis?  Well, eventually, the more money you offer, people start to see things differently.  The whole cuba thing’s pretty silly though.  Cheers!

Fear no Beer. Or anything else.

Okay. 

A quick story.  As you all know, THHGs is out here in Vegas these days and soon will be pulling stakes for the Great Colorado Beer Tour and other places east.  We’ve spent a lot of time seeking out new things here, and have happened upon a chain restaurant / bar whose big hook is the loud Classic Rock (yeah!) and many beers on tap.  At any one time, they have 130 - 160 different offerings On The Line, as it were.  (Know what chain I’m talking about?  See pic above for name. Get it right? You win another tour of the THHGs website!)

They also have 2 Happy Hours per day, one during afternoon hours, and another that starts at 11PM, with half price on most pints and most (very large, very tasty) appetizers.  Now, you know that we’re not big on chains here at The Happy Hour Guys, but there is definitely a deal to be had here.  Can you stand Very Loud Music?  A somewhat Fratty atmosphere?  Okay then - after 11, the beer is affordable, so is the food, and both taste extremely good.

But the substance of this entry is not about the place itself, but what I witnessed there the other night.  As I stood there, mouth watering, trying to decide between a Deschutes Black Butte Porter and a Rogue Shakespeare Stout, a person sauntered up to the bar, glanced briefly at the huge menu of different well-crafted beers, looked at the bartender, and ordered a Bud Lite.

(Deep breath.  Count to ten.  Neither one working.)

WTF? Would you go to Baskin Robbins and order Vanilla Ice Cream?

 Now we understand that a huge list of beers you may never have heard of can be incredibly daunting.  But it can also be (try this one out, folks) incredibly exciting!

Variety is the spice of life:  There is a reason that hackneyed phrase holds up over the years.  But variety in booze always seems to be something that people are scared of.  We find over and over in the booze industry that once one selects a particular brand as being “theirs”, they stay with it... for life.  And that’s just sad.  With all these people out there creating incredible beers, wines, and distilled products one after another, why not walk a new path for a moment? There’s nothing scary or distasteful here - if you don’t like it, turn around and go back to the old familiar way; but trust us, these new tastes are not to be missed.  

 Become a Declaimer of Drink.  A Singer of Sauce.  A Poet of Pub Culture.  Build your repertoire of tastes, stories, and phrases.  It is truly an honorable path to walk, easy to start upon, and as in any great philosophy, it is all about the journey.

To that person who ordered the Macro-macro Brew:  We here at THHGs forgive you, just this once.  But it is so easy to amend your ways:  Try something new!  You will not, will not, will not regret it.  Cheers!