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Anheuser-Busch announces $2b boost for American brewingAnheuser-Busch announces $2b boost for American brewing

Capital expenditure program among largest in history of U.S. brewing industry.

May 16, 2017

3 Min Read
Anheuser-Busch announces $2b boost for American brewing

Anheuser-Busch delivered a resounding vote of confidence in American brewing, announcing this week a major capital expenditure program across the country.

The company said it plans to invest close to $500 million in 2017 and $2 billion through 2020 – among the largest capital investment programs ever in U.S. brewing history. The 2017 investments include:

  • More than $200 million for brewery and distribution projects;

  • $180 million for product packaging and innovation initiatives, and

  • $58 million to improve and increase sustainability at its facilities.

The announcement is the next phase in a period of extensive, ongoing investment totaling $4.5 billion from 2011 to 2020, Anheuser-Busch said.

The new capital expenditure program will expand the company’s U.S. operations, bolster local and state economies and support more than 17,000 jobs in the U.S. It will also help drive forward the company’s growth strategy, including through new and innovative collaborations with companies like Teavana.

“Since Anheuser-Busch was founded 165 years ago, our company has been deeply rooted in America’s economic and cultural life. Our love of great beer and bringing people together is part of the American story,” said João Castro Neves, president and chief executive officer of Anheuser-Busch. “We are making these investments in our business and the communities where we live and work, for the next 165 years.”

Dave Taylor, vice president of supply for Anheuser-Busch added, “We are focusing on investments which empower our employees to do what they do best: brewing the best beer. Ninety-eight percent of the beer we sell in America is proudly made here at our 21 breweries using the highest-quality ingredients."

Key individual investments in the new capital expenditure program include:

  • $82 million to enhance nationwide supply chain operations and build new state-of-the-art distribution facilities in Los Angeles, Cal., and Columbus, Ohio.

  • $28 million at the Ft. Collins, Colo., brewery to expand the production of popular aluminum bottle products and increase the diversity of products through installation of dry hop capabilities.

  • $18 million at the Williamsburg brewery for new technology and equipment to maintain quality and to install new labeling machines.

  • $15 million to begin innovative cross-brewing capabilities at the Fairfield brewery through the Elysian partnership, including significant updates to brewery infrastructure.

  • $12 million for the Cartersville brewery to install a new multi-packer to diversify packaging capabilities, as well as new programming and metering devices to increase energy efficiency.

  • $13 million at the St. Louis brewery, including updates to the beechwood-aging tanks and several other initiatives that allow for production capability of new brands, as well as investments to increase sustainability.

  • $11 million to expand aluminum bottling capabilities at the Jacksonville brewery, as well as upgrades to improve energy efficiency.

  • $11 million to begin innovative cross-brewing capabilities at the Merrimack brewery alongside craft partners.

  • $10 million in continued investments at the Los Angeles brewery to add water efficiency and treatment capabilities.

  • $10 million to the Baldwinsville brewery to increase production of non-alcoholic product offerings, mainly Teavana, and to install a new multi-packer.

  • $8 million to the Houston brewery to begin brewing the popular Michelob Ultra Lime Cactus product and to expand aluminum bottle production.

  • $7 million to the Columbus brewery to support various improvements, including projects to conserve resources and to develop and integrate new products.

Anheuser-Busch is the U.S. arm of Anheuser-Busch InBev and operates 21 local breweries, 21 distributorships and 23 agricultural and packaging facilities across the U.S.

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