1. MillerCoors Miller, Coors join forces to battle Budweiser Presented by : Chris Zales Alex Jones Adrian Smith

2. Background Miller Brewing Co. owned by SABMiller has 18% of the market Miller Brewing Co. Molson Coors Brewing Co. has around 11% of the market Anheuser-Busch has just under 50% of the market Anheuser-Busch Making MillerCoors and Anheuser-Busch about 80% of the beer market

3. Benefits Tag-team approach – Control multiple pricing categories Better position to compete against Anheuser- Busch Save $500 million in annual costs Molson Coors and SABMiller shares rose around 12% combined while Anheuser-Busch declined 1% after the announcement

4. Risks $450 million in the first year to change business and logistics strategies Breweries closing – Employees losing jobs Competing with each other – Example: Miller Lite vs. Coors Light

5. Mixed Efforts Aren’t Enough Anheuser-Busch: $417 Million Miller +Coors Combined: $330 Million

6. Interesting Facts A Google search found varying amounts of results per light beer: - Miller Lite- Miller Lite: 620,000 - Bud Light: 488,000 (Anheuser-Busch) - Coors Light: 227,000 MillerCoors is projected to sell 69.9M barrels in the U.S. with a revenue of $6.6B Last year alone Anheuser sold 102.3M barrels with revenues of $15.7B!!!

7. Is It Worth It? According to beer historian Maureen Ogle, author of “Ambitious Brew” 1958 : Pabst and Blatz 1982: Stroh’s and Schilitz Both ended up leaving the big brand names worse off

8. Bibliography http://google.com http://www.msnbc.msn.com/id/21204207/ http://adage.com/dailynews/article?article_id=1 21135 http://adage.com/dailynews/article?article_id=1 21135 http://www.youtube.com/watch?v=EJJL5dxgVaM