Page 7 - Aruba Today

U.S. NEWS A7
Friday 11 December 2015

US lawmakers say merger to make North Las Vegas Mayor John Lee displays a copy of a newspaper during a news conference,
megabrewer may cause hangover Thursday, Dec. 10, 2015, in Las Vegas. Lee spoke about the planned $1 billion manufacturing
plant to be built by Chinese-back electric car maker, Faraday Future, in his city.
MATTHEW DALY
Associated Press (AP Photo/David Becker)
WASHINGTON (AP) — Castle Danger Brewery in Two
Harbors, Minnesota, has been brewing what it calls US Financial Front:
“dangerously good ales” on the north shore of Lake
Superior since 2011. The company outgrew its original Chinese-backed electric carmaker picks
home in tiny Castle Danger and now distributes beer Nevada to locate $1 billion plant
to bars and restaurants throughout northern and
central Minnesota. MICHELLE RINDELS with people across the makers, who approved a
Sen. Amy Klobuchar, A innesota Democrat, hails the JUSTIN PRITCHARD board to see if we can get $1.3 billion incentive pack-
brewery as an example of the growing craft-beer Associated Press these jobs created.” age in a special session last
industry in her state and says she fears that a deal CARSON CITY, Nevada The letter to Nevada law- year to secure electric car-
to merge the world’s biggest beer companies into a (AP) — Chinese-backed makers, obtained by The maker Tesla Motors’ mas-
megabrewer could make it harder for Castle Danger electric carmaker Fara- Associated Press, is signed sive battery factory outside
and other small brewers to sell their brands. day Future plans to build by Jia Yueting (ZHAW’ of Reno.
Klobuchar and other lawmakers from both parties a $1 billion manufacturing YOO’-weh-ting), a Chinese Sandoval, who met with
raised questions at a Senate hearing Tuesday on the plant in North Las Vegas, billionaire investor who Faraday representatives
proposed $107 billion takeover by the world’s largest according to a letter the styles himself after Apple’s in China this fall as part
brewer, Anheuser Busch InBev, of rival SABMiller. The company sent Nevada of- late Steve Jobs and signed of a year of negotiations,
combined company would control nearly a third of ficials Wednesday. the letter in his capacity as would need to summon
the global beer market. The upstart, California- founder and CEO of the lawmakers to Carson City
“Wholesalers make decisions everyday on what based automaker chose holding company LeTV. for a special session to fi-
brands to put on their trucks,” Klobuchar said. “By Nevada over three other Faraday hopes to bring a nalize the agreement.
working to ensure those decisions are driven by con- states and after exten- vehicle to market as early Faraday has offered few
sumer demand and not producer power, we can sive negotiations with Ne- as 2017 but has yet to un- details on its product so far,
help competition in the beer industry remain on tap.” vada’s economic devel- veil a concept car. but has spoken in broad
Sen. Chris Coons, a Delaware Democrat, said he wor- opment team. Its tentative Republican Gov. Brian terms about its vision to
ried the merger could harm Delaware-based brew- agreement to build the Sandoval and his top eco- transform transportation
ers such as Dogfish Head and 16 Mile. factory is contingent upon nomic development of- and said it has a diverse
“Nobody wants to take a seat at a bar and find out the state authorizing major ficer are scheduled to at- funding strategy to bring it
that their only options are Bud and Miller,” Coons tax incentives. tend a news conference to life.
said. “I’m deeply concerned this merger will squeeze “I’m excited about the in Las Vegas on Thursday “We plan to revolutionize
out the small and independent craft brewers in Dela- opportunity and I hope it that’s expected to include the automobile industry
ware and across the country at the cost of innova- works out,” said Repub- a formal announcement of by creating an integrated,
tion, consumer choice and jobs.” lican Assembly Major- an agreement to bring the intelligent mobility system
Carlos Brito, chief executive of Anheuser Busch InBev, ity Leader Paul Anderson, plant to North Las Vegas. that protects the earth and
tried to reassure lawmakers, saying the proposed who will need to rally legis- Tax incentives to seal the improves the living environ-
merger was not about squeezing out smaller com- lative support for the deal. deal would need authori- ment of mankind,” Yueting
petitors in the United States, but instead was intend- “I look forward to working zation from Nevada law- Jia wrote.q
ed toopen markets in Africa, Asia and Central and
South America.
Under the deal, the Miller brand would be sold to ri-
val Molson Coors, which would have full control of
operations.
The merger “is about bringing more choices to more
consumers around the world, including extending
the reach of iconic American brands such as Bud-
weiser to new markets,” Brito told a Senate Judiciary
subcommittee on antitrust, competition policy and
consumer rights.
By selling the popular Miller brand to Molson Coors,
the deal ensures that Anheuser Busch InBev’s market
share in the U.S. will not change, Brito said.
“If anything, this deal will create an even more com-
petitive landscape in the U.S. by creating a stronger
competitor in Molson Coors,” he said.q