Constellation Brands

The Friday Mash (“Long Live the King” Edition)

On this day in 1603, James VI of Scotland becomes James I of England and Ireland upon the death of Queen Elizabeth I. The kingdoms of Scotland and England remained sovereign states, with their own parliaments, but both were ruled by James in personal union.

And now….The Mash!

We begin in Vancouver where last week, the Railtown Pub advertised its St. Patrick’s Day celebration with a Guinness glass filled to the brim and literally losing its head. That caught the attention of the Irish Independent newspaper, which called the pour “sacrilegious”.

Now that the Chicago White Sox’s partnership with MillerCoors has expired, the ballclub has formed a new partnership with Constellation Brands, which will open “Casa Modelo” at the ballpark.

While on spring break in The Bahamas, a frat boy used the teeth of a beached shark to puncture a beer can so he could “shotgun” it. His video of the stunt prompted a swift—and angry—backlash on social media.

Portland, Oregon, is about to get a beer bar devoted to session beers. Its name, naturally enough, is Sessionable. The bar will pour 30 beers, all with ABVs ranging from 2.5 to 5 percent.

Neil Patrick Harris, who the spokesperson for Heineken beer, says that he has a Heineken Light tap in his bar at home. He adds that unlimited beer at home “is as awesome as it sounds”.

According to a recent survey, one out of four beer drinkers said they would switch to marijuana if it became legal in their state. If they do switch, brewers will suffer $2 billion per year in lost sales.

Finally, MLive.com asked eight brewery owners in the Grand Rapids, Michigan, area whether the craft beer industry is in a bubble. They don’t think so, but some admit that the market is getting tougher for new entries.

The Friday Mash (Wall Street Journal Edition)

On this day in 1889, the first edition of the Wall Street Journal was published. With a total of 2.4 million print and digital subscribers, the Journal is the largest newspaper in the United States by circulation.

And now…The Mash!

We begin in the Bay Area, where David Kravets of Ars Technica magazine reviews Heineken’s new “Brewlock” technology. Brewlock consists of a rubbery bladder that holds the beer inside a plastic centrifuge. Compressed air pumped into the centrifuge forces out the beer before air can mix with it.

In Ephraim, Wisconsin, beer is legal for the first time since 1853, when it was founded by Norwegian Moravians. Efforts to overturn the beer ban failed in 1934 and 1992.

The mayor of Zaragoza, Mexico, says there’s no water for consumption by its residents. He blames Constellation Brands’ brewery, which uses the water to brew Corona and brands of beer.

A Microsoft recruiter messaged a “bae intern”, inviting him or her to an Internapalooza after-party with “noms”, “dranks”, and “Yammer beer pong tables”. A company spokesperson called the message “poorly worded”.

The “world’s oldest payslip,” which dates back 5,000 years, reveals that some laborers in ancient Mesopotamia opted to be paid in beer for their work.

After Wales made it to the semifinals of the Euro 2016 soccer tournament, Budweiser celebrated the team’s success by treating every Welsh adult to a beer.

Finally, Matt Cunningham is growing hops and barley on his farm, a big step toward a beer brewed with all Ohio ingredients. Sounds perfect for Ohio State football games, where beer will be sold stadium-wide this fall.

The Friday Mash (Glass Houses Edition)

Eighty years ago today, in Toledo, Ohio, the first building to be completely covered in glass was completed. It was built for the Owens-Illinois Glass Company. The “Glass City” is also known for Jamie Farr and his beloved Tony Packo’s Cafe and Toledo Mud Hens.

And now….The Mash!

We begin in Hollywood, where Golden Globe Awards host Ricky Gervais opened the show with a beer in his hand, and then proceeded to offend much of the audience with his jokes.

George Lenker, “The Beer Nut,” criticizes the Bavarian government for ordering a brewery to stop marketing its milk stout as beer because that beer didn’t comply with the Reinheitsgebot.

The Washington Post’s Ryan Ermey rated the top cheap beers, based on three criteria: alcoholic content, can design, and taste (“if you insist”). His top pick? Genesee Cream Ale.

Constellation Brands, which plunked down $1 billion to buy Ballast Point Brewing Company, will invest another $1.5 billion to build a brewery in Mexicali to meet growing demand for Mexican beer.

An iconic Pacific Northwest beer is coming back. The Red Hook Ale Brewery announced it will be making Rainier Pale Mountain Ale and other Rainier beers.

Nielsen NV and BARTRENDr have found out fans’ favorite brands of beer and liquor in every NFL city. Everclear didn’t make the list—even among fans of the awful Tennessee Titans.

Finally, brewer Chris Reynolds was given a chance to taste some of Alexander Keith’s IPA that was bottled in the 19th century and recently found underwater. Reynolds described the taste as “a little tree fruit note, a cherry note in there somehow—certainly a lot of sulphu,”.

More Acquisitions News

Reuters reports that New Belgium Brewing Company has hired the advisory firm Lazard Middle Market, which has worked with other craft breweries exploring a possible sale. According to people familiar with the matter, New Belgium’s valuation could exceed $1 billion, the price Constellation Brands paid for Ballast Point Brewing Company.

Meanwhile, Anheuser-Busch announced that it has acquired Arizona’s leading craft brewer, Four Peaks Brewing Company. Known for its Kilt Lifter Scottish-style ale, Four Peaks becomes the sixth brewery in A-B’s craft division, The High End.

Ballast Point Cashes In for $1 Billion

No question about it. Acquisitions are craft beer’s number-one story in 2015. Today brought news that Constellation Brands, which owns Corona, Modelo Especial, and other Mexican beers agreed to buy San Diego-based Ballast Point Brewing Company. The price tag: $1 billion, or roughly $6,000 a barrel based on Ballast Point’s current-year production.

Constellation’s CEO, Rob Sands, found Ballast Point attractive because its beers are so profitable. Sculpin IPA typically sells for several dollars more than other brands of India pale ale, and Ballast Point’s revenue per barrel is nearly 25 percent higher than the craft beer industry’s average.

Ballast Point beers are currently available in 30 states. Constellation, which has relations wish large retail chains such as Kroger Company, intends to take the brand national.

The Friday Mash (World Anesthesia Day Edition)

On this day in 1846, William T.G. Morton first demonstrated ether anesthesia at the Massachusetts General Hospital. Each year the medical community honors this breakthrough with World Anesthesia Day. If ether “isn’t right for you”, we suggest having a beer instead.

And now….The Mash! 

We begin in Iowa City, where the informal University of Iowa “Beer Band” has suspended itself—at least for the time being—after townspeople complained abou X-rated song lyrics.

Beer author John Holl interviewed Dr. Chris White, the founder of yeast provider White Labs. Topics include sour beer, brewer education, and White’s new facility in North Carolina.

Chicago restaurateur Rick Bayless is introducing genuine Mexican-style beers. He’s opened a brewpub, and has also formed a brewing partnership with Constellation Brands .

Years ago, graphic designer Harvey Shepherd fell in love with beer packaging. He’s turned his avocation into the recently-published Oh Beautiful Beer: The Evolution of Craft Beer and Design.

Business consultant Chip Martella has good news and bad news for craft brewers. The dreaded industry shakeup has arrived, but a scrappy craft brewer can still succeed in this environment.

Carla Jean Whitley of AL.com details the revival of brewing in Alabama. Now that lawmakers have eased many Prohibition-era restrictions, the state’s brewery count has risen to 28.

Finally, declining sales of American light beer have forced breweries to rethink their advertising strategies. Their new ads will stress product quality, and will carry more woman-friendly messages.

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