USA: Meetings between Latrobe Brewing’s union members and potential buyer begin

In Westmoreland County, the first round of negotiations between Latrobe Brewing's union members and a potential buyer began June 28, The Pittsburgh Channel communicated June 28.

Union officials are meeting with executives from Wisconsin City Brewing at the Greensburg Sheraton for several days, if necessary.

Last month, Anheuser-Busch bought the Rolling Rock label but not the plant.

City Brewing signed a letter of intent to buy the Rolling Rock facility, which means it has exclusive negotiating rights, at least temporarily.

"I'm very excited and very hopeful. Hopefully, we can get this done. If we have to stay here all night or two days, or three days, we're going to try," said union steward Joe Mulhurn.

Gov. Ed Rendell told both sides they would need to be flexible and try to come to an agreement by the end of July, when the plant is set to close.

City Brewing is forecasting a 30% sales volume increase this year, mainly due to the company's production of non-alcoholic beverages. The company needs additional production capacity, City Brewing President Randy Smith said.

The purchase of a facility in the eastern United States will help put much of City Brewing's products closer to their markets, Smith said. The Latrobe facility also will give City Brewing additional capacity to grow, he said.

City Brewing has just over 400 employees who have a starting base wage of around $16.25 per hour. The company brews its own lineup of beers, including City Lager and City Light. But City Brewing gets most of its business through contract production - making beverages for other companies.

The union employees in Latrobe are paid an average wage of around $21 per hour, said George Sharkey, business agent for Local 144B of the International Union of Electrical Workers-Communication Workers of America.