The Beginning of the End of Budweiser Racing????

[rocketman]

If it gets bought out you will not notice anything different. They will still have the clydesdales, the german Budweiser umpa song, and the top fuel car. They won't want to do anything to remind people that another company owns them. Diamler stayed in drag racing didn't they? It will be business as usual. Now some day it will end as all things do but hey, maybe KB will have them longer with the new company but maybe not.

 

[Paul]

If it gets bought out you will not notice anything different. They will still have the clydesdales, the german Budweiser umpa song, and the top fuel car. They won't want to do anything to remind people that another company owns them. Diamler stayed in drag racing didn't they? It will be business as usual. Now some day it will end as all things do but hey, maybe KB will have them longer with the new company but maybe not.

I agree, it is hard to say what the company will do if they are acquired. Castrol didn't stop supporting Force when they were acquired by BP and that relationship is still going strong.

 

[jackass]

I think alot of the "over seas" buys of american companies learned frm the great Wrangler mistake..... when bought out the new owners decided Dale Sr and motorsports just wasn't needed anymore... if i remember correctly.. they lost a 30% share of the jeans market real quick....lol...

Then tried for years to get back with Dale SR..... after he passed and Jr got the rights to his name and who he could sign for him self... Wrangler tossed up the ring at "any cost" to get him.......

i think it made several companies take notice..... if it works.... leave it alone.....

should be the case if AB is bought out......

 

[nick name]

If it gets bought out you will not notice anything different. They will still have the clydesdales, the german Budweiser umpa song, and the top fuel car. They won't want to do anything to remind people that another company owns them. Diamler stayed in drag racing didn't they? It will be business as usual. Now some day it will end as all things do but hey, maybe KB will have them longer with the new company but maybe not.

I couldn't disagree more.

Inbev is known for their skill in cutting extraneous costs to the bone. Many analysts believe that the reason for their attempt at AB is because there is nothing left to cut in their core companies.

Inbev is not known for emptying their wallet for promotion.

Here in the home of Budweiser, we're hearing a lot different story than you tell. All of the major charities are on red alert right now because if the AB conduit goes dry they will be in very serious trouble.

Around here, AB is about the last company to offer good paying jobs with benefits. I worked for them for 14 years and even though this is now 2008 they have cut back much less than the norm as for wages and benefits. Don't expect that to last upon a takeover as Inbev will need to slash costs to make the deal work.

I haven't read an AB annual report since the 90s, but at that time the Clydesdales were owned by the Busch family and leased back to the corporation.

Maybe I'm gunshy, as the city has never been the same since Carl Icahn (the original hostile takeover, strip to the bleeding bones raider) ruined TWA.

 

[nick name]

I agree, it is hard to say what the company will do if they are acquired. Castrol didn't stop supporting Force when they were acquired by BP and that relationship is still going strong.

How are the business approaches of BP and Inbev anywhere near similar?

Have you taken a look at Inbev's operating mode?

 

[DrRocket]

There's a web site called saveAB.com where you can go to sign a petition and get a free "Save AB" bumper sticker. Click on the petition link to sign up and don't forget to check the box to get your bumper sticker. Here's the link:

http://saveab.com/

If this makes anyone feel better, then go ahead and sign this "petition." (The site doesn't seem to be working right now though.)

Won't make a bit of difference. The executives of major corporations aren't in the habit of checking online petitions for permission to make business deals.

If InBev is determined to buy AB, and if AB stockholders think it's time to cash out, and given the current economic conditions, that's not out of the question, then this deal will go down, and there's very little anyone can do about it.

It all about business.

 

[john]

I wouldn't start worrying yet.

InBev's $50 billion Budweiser bid loan a 'big ask' - washingtonpost.com

Thats right, 20 (TWENTY) underwriters need to sign off on this deal.

 

[Jim]

If it gets bought out you will not notice anything different.

Actually, InBev has a history of acquiring other companies and then slashing operating expenses and making other changes.

Jim

 

[Whipster]

Actually, InBev has a history of acquiring other companies and then slashing operating expenses and making other changes.

Jim

They've already started talking about selling off the theme parks:

Anheuser-Busch Theme Parks Are Possible Merger Casualty

I guess the bottom line is this, either AB shareholders thumb their noses at InBev's offer or they decide to become greedy *******s and sell out. Since AB is a reasonably profitable company, the shareholders would be less inclined to sell. On the other hand though, AB's profits have dropped somewhat as has all other businesses lately which could cause shareholders to sell off before the value of the company drops. Pride vs greed.

 

[joe fuchita]

Quote:
Originally Posted by Paul Miller
I agree, it is hard to say what the company will do if they are acquired. Castrol didn't stop supporting Force when they were acquired by BP and that relationship is still going strong.

How are the business approaches of BP and Inbev anywhere near similar?

Have you taken a look at Inbev's operating mode?

If I recall, Allen Johnson lost the Amoco sponsorship once bp bought Amoco, same with Dave Blaney in nascar.

 

[None]

They've already started talking about selling off the theme parks:

Anheuser-Busch Theme Parks Are Possible Merger Casualty

I guess the bottom line is this, either AB shareholders thumb their noses at InBev's offer or they decide to become greedy *******s and sell out. Since AB is a reasonably profitable company, the shareholders would be less inclined to sell. On the other hand though, AB's profits have dropped somewhat as has all other businesses lately which could cause shareholders to sell off before the value of the company drops. Pride vs greed.

Budweiser isn't exactly a poster child in acquiring assets. They absolutely intimidated the EU into taking away the European naming rights of "Budweiser" from the original brewer in the Czech Republic. "Budvar," which is Czech for "Budweiser," has been making beer since the 1300's and was overwhelmed by AB's resources to steal the name from them so AB's "Budweiser" could be marketed in Europe under the name. So, maybe the Busch family are thieves in their own right. Their beer is crap but I sure don't want to see racing a fatality of merger mania.

 

[Paul]

If I recall, Allen Johnson lost the Amoco sponsorship once bp bought Amoco, same with Dave Blaney in nascar.

This is why I said it is hard to say what the new company will do if they do merge. BP merged with Amoco in 98 I believe and the sponsorship didn't go away until 2001. You give an example of where cuts were made (over time) and I gave a more recent example of the same company merging and not cutting a drag race team sponsorship. By the way, if my memory is correct when the Amoco sponsorship was lost the Amoco brand was also going away.

 

[nick name]

This is why I said it is hard to say what the new company will do if they do merge. BP merged with Amoco in 98 I believe and the sponsorship didn't go away until 2001. You give an example of where cuts were made (over time) and I gave a more recent example of the same company merging and not cutting a drag race team sponsorship. By the way, if my memory is correct when the Amoco sponsorship was lost the Amoco brand was also going away.

It was only a sponsorship because some people chose to call it that. Remember that Allen owns a chain of quick stops/gas stations and was an Amoco distributor. As I remember it, the signs came off the car because BP said "no way", while Amoco had been saying "maybe in the future".

That sort of "sponsorship" was fairly common at the time. Other examples might be Gary Brown (Texaco) Tim Wilkerson (NAPA), and quite a few others.

If you continue to maintain that it's not possible to predict, take a few minutes and check what happened to the promotional budgets of InBev's previous takeovers.

And Paul, it's not a merger. It's about as far from a merger as you can get.

 

[Jim]

Budweiser isn't exactly a poster child in acquiring assets. They absolutely intimidated the EU into taking away the European naming rights of "Budweiser" from the original brewer in the Czech Republic. "Budvar," which is Czech for "Budweiser," has been making beer since the 1300's and was overwhelmed by AB's resources to steal the name from them so AB's "Budweiser" could be marketed in Europe under the name. So, maybe the Busch family are thieves in their own right. Their beer is crap but I sure don't want to see racing a fatality of merger mania.

Budweiser had every right to defend their brand. Some feel they (Budvar)were pressing AB for a form of greenmail.

Pisses me offto see the Busches called thieves. Every damned beer company in this counrty was formed by immigrants and some "biult" independent brands bigger than anything they brought from the old country.
Busweiser is Budweiser!

PS: In spite of what I said at the beginning of this thread, Bud's entire marketing persona is likely to be threated or, at least, significantly cut back if In-Bev takes over.

 

[.]

Anheuser-Busch rejects InBev bid as 'inadequate'

 

[DrRocket]

It remains to be seen how determined InBev is on buying A-B. If they increase the offer in an attempt to lure A-B stockholders to push the board to sell, they'll end up borrowing lots of money, and then will be forced to sell off a lot of company assets, ranging from the theme parks, all the way to brands and also shut down and sell plants and equipment therein, in an attempt to pay off loans.

In fact, all of the above is what InBev is known for doing.

Let's hope the A-B board remains steely in their resolve to not sell.

 

[None]

Budweiser had every right to defend their brand. Some feel they (Budvar)were pressing AB for a form of greenmail.

AB is the laughing stock of the world that they call their beverage beer. There is a reason it's call "Buttwiper."

Pisses me offto see the Busches called thieves. Every damned beer company in this counrty was formed by immigrants and some "biult" independent brands bigger than anything they brought from the old country.
Busweiser is Budweiser!

Ask the breweries that were manhandled, bought out and booted aside by the Busch family. Their hands are not squeeky clean by any means.

PS: In spite of what I said at the beginning of this thread, Bud's entire marketing persona is likely to be threated or, at least, significantly cut back if In-Bev takes over.

You're probably right on that one. Drag racing would probably be a casualty of a merger due to such a small marketing arena.


FT.com / Companies / Consumer industries - InBev to go hostile as Anheuser rejects bid
Can InBev turn Budweiser into a global brand? - International Herald Tribune

 

[DrRocket]

The next step......

InBev is taking it's hostile takeover bid to the next level, asking sharerholders to oust the current board of directors, and replace it with a freindly one handpicked by InBev.

InBev seeks to remove Anheuser board in $46 billion takeover bid