facebook
twitter
rss
account
search
search
 

More cuts likely at Anheuser-Busch InBev

July 23, 2008 at 4:17 PM   |   Comments

2 of 3
| License Photo
ST. LOUIS, July 23 (UPI) -- Belgian beer giant InBev has targeted $500 million in operating cost cuts for its new U.S. franchise Anheuser-Busch, executive Carlos Brito said.

Anheuser-Busch had already set a target for cuts at $1 billion, USA Today reported.

The U.S. brewer agreed to a purchase offer from InBev of $52 billion on July 13. The deal is expected to close by the end of the year.

Brito said that marketing, a trademark of the company, wouldn't be cut as long as it shows results.

"The first thing in brand marketing is not to change what's working," he told the newspaper.

Anheuser-Busch spent $1.47 billion on marketing in 2007 and its marketing budget may even increase, an industry analyst said.

"I think InBev gets the whole thing that they need to step up marketing to make Bud a global brand," said Benj Steinman, editor of Beer Marketer's Insights.

© 2008 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Recommended UPI Stories
Featured UPI Collection
trending
2014: The Year in Music [PHOTOS]

2014: The Year in Music [PHOTOS]

Most Popular
1
Tony Hayward: Kurdish oil sector open for business Tony Hayward: Kurdish oil sector open for business
2
Textron's G-CLAW on target in live-fire demonstration Textron's G-CLAW on target in live-fire demonstration
3
Pay up, Gazprom tells Ukraine Pay up, Gazprom tells Ukraine
4
$3 gas could make a comeback $3 gas could make a comeback
5
Starbucks testing smaller Frappuccinos Starbucks testing smaller Frappuccinos
Trending News
Video
x
Feedback