05 February, 2005

USA: Gambrinus Co. of San Antonio, Texas, which imports Mexico's Modelo line of beers, confirmed the lucrative, nearly two-decade marriage between the maker of the nation's No. 1 imported beer, Corona, and its Texas-based importer for the eastern half of the United States is on the rocks

Gambrinus said Grupo Modelo of Monterrey first tried to acquire the Texas company, then, when the overture was rebuffed, indicated that it will not renew the import agreement, which expires Dec. 31, 2006. That would be a major blow for Gambrinus, founded by former Modelo marketing executive Carlos Alvarez, who later acquired the Spoetzl Brewery, maker of Shiner Bock.

About 90 % of Gambrinus sales are Corona and other Modelo beers -- 4.5 million barrels out of 4.9 million, said Benj Steinman, editor of Beer Marketers Insights, an industry journal based in Nanuet, N.Y.

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