Pabst Brewing Company has announced a new brewing contract agreement with Anheuser-Busch InBev. The contract comes after a two-decade long contract agreement with Molson Coors came to an end in December 2024.
Beginning in the first quarter of 2025, Pabst will begin production using several AB InBev facilities.
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Since the closing of Pabst’s Milwaukee brewery in 1996, the company has relied on third-party plants to brew legacy brands like Pabst Blue Ribbon, Old Style and Old Milwaukee. Now, AB InBev will give Pabst the space for greater supply, as well as the potential to grow its portfolio as the consumer market shifts.
Prior to the new AB InBev agreement, when the Molson Coors contract end date became public in 2019, Pabst announced a similar agreement with City Brewing. The companies made a deal running through 2040 to offset the Molson Coors production loss. City Brewing will still produce significant volumes for Pabst. With facilities in Wisconsin, Tennessee, California and Pennsylvania, the La Crosse, Wisconsin-based City Brewing is one of the nation's largest contract brewers.
As for Anheuser-Busch, the deal moves a former rival into its supply chain. The beer giant recently closed a Massachusetts distribution facility, but has invested nearly $2 billion in U.S. sites in the last five years.
AB InBev currently has 12 breweries across the country. Under the new contract, Lone Star will be the first Pabst brand to enter production, which is scheduled to begin at AB InBev’s Houston facility in early 2025.
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Pab's Brewing Company has announced a new
brewing contract agreement with Anheuser-Busch
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InBev.
The contract comes after a two decade long
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contract agreement with Molson Coors came to an
end in December 2024.
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Beginning in the first quarter of 2025, Pabst
will begin production using several AB InBev
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facilities.
Since the closing of Pab's Milwaukee brewery in
00:22.479 --> 00:28.680
1996, the company has relied on third party
plants to brew legacy brands like Pabst Blue
00:28.680 --> 00:31.350
Ribbon, Old Style, and Old Milwaukee.
00:31.559 --> 00:36.950
Now, AB InBev will give PABS the space for
greater supply as well as the potential to grow
00:36.950 --> 00:42.259
its portfolio as the consumer market shifts.
Prior to the new AB InBev agreement,
00:42.470 --> 00:46.259
when the Molson Coors contract end date became
public in 2019,
00:46.509 --> 00:49.139
PEBS announced a similar agreement with City
Brewing.
00:49.270 --> 00:54.750
The companies made a deal running through 2040
to offset the Molson Coors production loss.
00:54.909 --> 00:57.869
City Brewing will still produce significant
volumes for PES.
00:58.479 --> 01:02.509
With facilities in Wisconsin, Tennessee,
California, and Pennsylvania,
01:02.799 --> 01:07.269
the Lacrosse, Wisconsin-based City Brewing is
one of the nation's largest contract brewers.
01:07.480 --> 01:11.639
As for Anheuser-Busch, the deal moves a former
rival into its supply chain.
01:11.760 --> 01:16.940
The beer giant recently closed a Massachusetts
distribution facility but has invested nearly
01:16.940 --> 01:20.470
$2 billion in US sites in the last 5 years.
01:20.680 --> 01:23.879
AB InBev currently has 12 breweries across the
country.
01:24.199 --> 01:29.180
Under the new contract, Lone Star will be the
first PABS brand to enter production,
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which is scheduled to begin at AB InBev's
Houston facility in early 2025.
01:34.550 --> 01:37.180
I'm Devon Verbsky, and this is manufacturing
now.
