Members of the Illinois Liquor Control Commission are set to review the proposed buyout of distributor City Beverage by a Tennessee Family at the commission’s monthly meeting in Chicago this afternoon.
If you recall, Anheuser-Busch announced on October 31st that they were selling their 30-percent stake in the four wholesalers that make up City Beverage (Arlington Heights, Chicago, Markham and downstate Bloomington) to the Hand Family. Also announced, on the same day, the investment firm that owns the remaining 70-percent interest in City Beverage would be buying River North Sales and Service.
The plan: roll the two into one creating the largest Bud distributor in Illinois.
Moving forward, the mega distributor will be known as Lakeshore Beverage.
The Illinois Liquor Control Commission meets today with one glaring issue absent from its agenda: the proposed buyout of Illinois distributor City Beverage by a family in Tennessee.
The planned buyout of wholesalers City Beverage and River North Beer still have a hurdle or two to clear before the two can become one: including approval from the Illinois Liquor Control Commission. On October 31st — one year after the Commission rendered the controversial decision allowing Anheuser-Busch to retain a minority interest in City Beverage — the Hand Family in Tennessee and BDT Capital Investments, based in Chicago, announced plans to buy City Beverage and River North. Anheuser-Busch gave the deal its blessing a few days later.
Representatives from the three-tiers (manufacturer, distributor and retailer) will be on hand at this morning’s Illinois Liquor Control Commission hearing for what one insider is calling “HB 2606 101.” Continue reading
With a few flicks of a pen today, Illinois Governor Pat Quinn signed HB 2606 into law effectively ending Anheuser-Busch’s minority ownership — and majority control — over distributor City Beverage.
The legislation, approved overwhelmingly by the Illinois House and Senate during the spring legislative session, would prohibit a brewer from owning a distributor.
Introduced in February, the bill specifically targeted Anheuser-Busch’s 30-percent stake in wholesaler City Beverage, which has four locations in Illinois; Arlington Heights, Bloomington, Chicago and Markham. The distributorship was seen as a pivotal piece in A-B’s attempt to chip away at MillerCoors’ stronghold on the Chicago market. Continue reading
Legislation that would make it illegal for a brewer to hold an ownership interest in an Illinois distributor cleared the state Senate Tuesday on a unanimous, 52-0 vote. The bill previously passed the House and now goes to the governor for his signature.
Once signed into law, the bill will effectively end Anheuser-Busch’s minority ownership interest in, but majority control of, Illinois distributor City Beverage. Continue reading
The Illinois Senate Executive Committee, Wednesday, unanimously approved bills impacting homebrewing in Illinois as well as legislation prohibiting a brewer from owning a distributor.
Both bills passed the Illinois House two weeks ago. Continue reading
A bill that would force Anheuser Busch to sell its minority interest in Illinois distributor City Beverage passed the Illinois House on a unanimous vote, 103-0-0.
Today is the deadline to pass bills out of the Illinois House. State Representative Frank Mautino (D-Spring Valley) pledged HB 2606 would be called for a vote by the 19th, so today is the day.
For those of you just joining us, the legislation would prohibit a brewer from owning a distributor in Illinois. This bill, even though it hasn’t been voted on by either chamber, has already caused Anheuser-Busch to agree to sell its ownership interest in wholesaler City Beverage by 2015 – as laid out in the proposed legislation.
The concession comes five months after the Illinois liquor Control Commission voted to allow AB to retain its 30-percent ownership interest in City Beverage, ending a years long dispute over whether the Illinois Liquor Control Act permits a brewer to own a distributor. Continue reading
Follow along as the Illinois legislature convenes in Springfield with a pending vote on tweaks to the Illinois Liquor Control Act and 3-tier system of alcohol beverage distribution in the Illinois House.
photo courtesy Eric Hausman (aiachicago.org)