Beer Industry Consolidation Harry Schuhmacher Beer Business Daily BEER BUSINESS DAILY & Modern Brewery Age beernet.com 1

“Consolidation started 10 years ago and probably has 10 more to go before it winds down.”                  -Peter Swinburn, CEO MolsonCoors

Beer is one of the biggest consumer goods categories in the world, just short of $200 billion in retail value and 1.45 billion hectoliters in volume. Beer is also very heavy relative to its price.

InBev's Route to Consolidation Artois Beck's Bass Hoegaarden Labatt's Interbrew AmBev InBev Anheuser-Busch AB InBev

InBev Map BEER BUSINESS DAILY & Modern Brewery Age beernet.com 2

SABMiller's Route to Consolidation South African Breweries Aparthied Lifted Miller Snow Bavaria SABMiller Molson Coors MillerCoors BEER BUSINESS DAILY & Modern Brewery Age beernet.com 2

SABMiller Map

Beer Consumption Ranking by Country China United States  Germany Brazil Russia Japan UK Mexico South Africa Spain.

Top Global Brewers

The top five global brewers already account for two-thirds of the world beer market and this could rise to 85% if InBev buys A-B.

Top Beverage Companies 1.  Nestle 2.  Coca-Cola 3.  Coca-Cola Enterprises 4.  Anheuser-Busch 5.  Diageo 6.  SABMiller 7.  InBev 8.  Heineken 9.  Suntory 10. PepsiCo 11. Pepsi Bottling Group 12. Asahi 13. Kirin 14. Fonterra 15. Pernod Ricard 16. Dean Foods 17. Kraft Foods 18. Femsa 19. Unilever 20. Dairy Farmers of America Out of the top 20 beverage companies, 8 are beer companies.

Secondary Consolidation Pabst in play Magic Hat and Pyramid Production deals

Wholesaler Consolidation Tied-House implications, overreaching What Does Consolidation Mean to Control States? Pricing stabilized Dedicated to system Wholesaler Consolidation Tied-House implications, overreaching