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Thursday, December 25, 2008 8:30:04 AM
It is a three year license, however, in brewing and supplying product to the licensee. They shall need to find, secure, and begin brewing, or if they already have a brewery, then begin the formulation transfer process to continue the Labatt "special" formulation of their own accord. At this point, after three years, the entire Labatt name shall be divested.
Should DKAM win the bid, if as some might contend they are bidding, they can move headquarters to Buffalo and will have three years to continue operations as Labatt would wish, as well as integrate their other brands ino the distribution chain. In addition, they can fold the line of Kid Rock beers in under the Labatt umbrella, as well as give Rheingold a go again from either the Labatt brewery, or from Kid's new brewery which is still unnamed but is selected now.
What makes this such an interesting situation if DKAM is bidding, is that out of all the known bidders: Crown, Diageo, Constellation, High Falls, Boston, City Brewing, DKAM would be the ONLY one that is going through a current expansion and introduction phase. It would be the ONLY company utilizing and implementing an iconic format to its line of beers. As such, it would be the ONLY company that could effectively change the Labatt name for the better making it an attractive acquisition target for none other than InBev at the end of three years. Of course, at a much higher price tag than it is now where In Bev is currently being forced to sell at fire sale prices.
I checked my stocking and still no news but we'll give Santa til the end of the year to come back around after checking the naughty and nice list one more time.
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