Lunchtime Beverage Break
Hope this quenches your thirst for a little news:
- First reported by WBAY in Wisconsin:
- Illinois bids farewell to Bell's beers (according to the Chicagoist):
Anyway, rather than do business with Chicago Beverage, when Bell got word of the impending sale, he opted instead to stop shipping his beer to Illinois as a form of protest, effectively killing the sale.
The loss of Bell's in Illinois sheds light on the little-known details of "franchise rights" among liquor wholesalers. Thanks in large part to the lobbying efforts of the state's beer and spirits distributors, the distribution rights for beer brands are open-ended and weighted in favor of the distributors. By pulling his beers from Illinois in protest, Bell is hoping to shed some light on this, as craft brewers, in particular, often have to make these agreements in order to market their product. Before Goose Island entered their distribution deal with Anheuser Busch, they had similar problems with Union Beverage. There have been rumblings that Bell's can be gone from the market for a year, but the reality is, unless they come to an agreement with LaCrosse, LaCrosse sells his rights to a distributor that Bell respects, or Bell's sues to extricate themselves from their deal, they could be gone for much longer than that. It hurts Union more than it does Bell's; Chicago is Bell's fourth-largest market, but the brewery is extending its reach into other states and feel they can withstand the hit."
- Hansen's option-granting practices reveiwed by SEC (from Motley Fool):
On the one hand, Hansen is undergoing one of those accounting reviews of options-granting practices dating as far back as 1996. Two weeks ago, a letter came in from the SEC, informing Hansen's management of an informal inquiry on the subject, and the company promptly set up its own internal investigation.