Boston Beer Eyes More Aged Brews With Pennsylvania Plant InvestmentJanuary 8, 2014
The Boston Beer Company is continuing to expand its brewing capabilities by investing in its Samuel Adams Brewery in Pennsylvania’s Lehigh Valley. The company is adding several new aging and fermentation tanks at the facility, which will allow it to introduce new innovations such as aged beers under its Barrel Room Collection. The upgrades—part of a total $100 million to $120 million capital spend by the group over the past year—follow the addition of a canning line at the plant last March, through which Sam Adams Boston Lager was made available in cans for the first time.
Boston Beer acquired the Lehigh Valley site from Diageo, which had used it to produce RTDs, in 2007 for $55 million. Last year, the company added 70 new positions at the brewery (Boston Beer also has production sites in Boston and Cincinnati).
Over the first nine months of 2013, Boston Beer Co.’s core shipment volume was approximately 2.5 million barrels, a 23% increase from the comparable 39-week period in 2012. For 2014, the company is projecting shipment and depletions growth in the mid-teens, along with price increases of 2%-3% and ramped up capital spending of between $140 million and $180 million.Subscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning.