Craft Brewers Alliance Cae

Corporate and Industry Background

The purpose of this paper is to detail the corporate and industry background for Craft Brewers Alliance Inc. As well as analyze their current market position and future outlook. In this paper we will look at Craft Brewers Alliance history, business strategies and financial data.

Corporate Background:

Craft Brewers Alliance Inc. (CBA) is a leading, high quality hand crafter beer brewer, headquartered in Portland, OR. CBA is the result of a merger between Redhook Ale Brewery Inc and Widmer Brothers Brewing Company which happened on July 1, 2008. Redhook was an independent brewer of craft beers founded in Seattle, Washington in 1981, and it was one of the pioneers of the domestic brewing segment. Widmer was founded in Portland by Kurt and Rob Widmer in 1984, and it is known for introducing Hefeweizen, unfiltered wheat beer in 1986, which was a great success. CBA also has brewing, sales and marketing relationships with Kona Brewery, LLC, and Fulton Street Brewing, LLC which brews malt beverages under the brand name Goose Island Beer Company CBA currently operates three production facilities, one in Portland, OR, one in Woodinville, Washington, and one in Portsmouth, New Hampshire, the company also operates a small brewpub brewery in Portland, OR, in the Rose Quarter. CBA employs approximately 400 people as of December 31, 2008. The company trades on NASDAQ under ticker symbol “HOOK.” (Craft Brewers Alliance Inc. 2008 Annual Report, 1.) In addition to having strong business relationships with Kona Brewery and Fulton Street Brewing, the company also has a tight product distribution relationship with Anheuser-Busch, Inc. which is responsible for most of CBA’s distribution. The company currently sells its products in 48 states.

Craft Brewers Alliance Inc. Mission statement is to be the preeminent specialty craft brewing company in the United States, producing the highest quality ale products in company-owned facilities, and...