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American Brewing Issues Letter to Shareholders

Wednesday, 22 October 2014 09:00 AM

American Brewing Company, Inc.

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American Brewing Company, Inc., Wednesday, October 22, 2014, Press release picture

 

 

 

 

 

Edmonds, WA / ACCESSWIRE / October 22, 2014 / American Brewing Company, Inc., (ABRW) ("ABC"), an award-winning micro-brewing company based out of the Pacific Northwest, today released the following letter to shareholders. 

Dear Shareholders,

Wow, what a year this is shaping up to be!

As a recent addition to the world of publicly traded companies, I wanted to introduce myself and provide information related to our direction going forward. To all of the new shareholders who have shown their faith by investing in American Brewing Company, Inc., thank you for your commitment to our success. We feel strongly that we want to share the craft beer experience and the success of our company, through ownership, so that every beer drinker may participate in this thriving industry which grew 17.2% by volume last year (according to the Brewer's Association website).

Let's start with what has already happened this year: 

We raised approximately one million dollars for the expansion of our brewing facilities and remodel of our tasting room. All of the funds raised were used for these purposes as well as our operations. Not one single dollar was used for executive compensation. We expanded our brewing capacity and reconfigured brewery layout to allow for a total of six times our original capacity. As stated in previous quarterly reports, even with 2 complete shutdowns of the brewery and a one week long closure of the tasting room, revenues for the second quarter of 2014 were up as compared to the second quarter of 2013. We successfully took the company public and are now one of only 5 publicly traded craft breweries to my knowledge.We began our program for the introduction of 6-pack, 12 ounce cans. We have now filled cans in 3 styles of our beers, Breakaway IPA, American Blonde and Flying Monkey Pale Ale.We have presented this format to chain stores and are awaiting decisions on their cycle for next resets.The Company is thrilled that with our newly increased capacity, we can fill our expanded our shelf space in Canada. We have just begun the process of introduction into that exciting and growing market. We have reintroduced our program for seasonal and one-off brews so that we may create fun and inventive new beers for the consumer and beer aficionados to get excited about. Some examples in development include a Rauchbier, Vanilla Porter and Apple Cinnamon Ale. We are also expanding our sour program (which has included our award winning Stupid Sexy Flanders). We are releasing Courage at the end of October. This is our American Wheat Ale designed at the request of the Jet City Comicon thereby extending our Pop Culture series of beers created for Comicons.

In November we will release our IPO IPA which is a straw colored, 6.2% ABV beer that is lighter in hop profile. Our research indicates a shift in buyer preference to this lighter style of IPA. And to reiterate previously stated goals and objectives, management will endeavor to:

Grow revenues through the development and release of new beers, packaging formats and geographical territories. Grow through acquisition. We will search for breweries which meet specific criteria of both revenue and geography for accretive mergers. The goal being to capitalize on the individual nature of the new brewery and its owners rather than to transform them into a corporate identity. We believe this will give the overall company efficiencies in administration, purchasing and distribution while retaining the local/regional flair that is driving the industry. As a point of clarification, our cash flow is at breakeven if you factor out the salaries of the CEO and the VP. Our salaries ($80K and $60K) are accruing on our books. Outside of that, we are current on our obligations and have been from day one. There is no doubt that American Brewing has accomplished a great deal this year. I am very proud of all of the people that have worked so hard to get us here. I remain excited about the possibilities that are before us. And of course I want to thank you for the trust and confidence that you've placed in our company.

 
Best Wishes,
 
Neil Fallon
Chief Executive Officer
 
About American Brewing Company
 
Founded in 2010, American Brewing Company, Inc., is an award-winning micro-brewing company based out of Edmonds, Washington. American Brewing Company's current offerings include Breakaway IPA (named 'Best in the West' by Beer West Magazine), American Blonde (featured in GQ Magazine), Flying Monkey Dogfight Pale Ale, and Caboose Oatmeal Stout. American Brewing Company also produces seasonal brew batches, two of which-The Brave American and Polska Porter-won Bronze Medals at the Great American Beer Festival in 2011 and 2012, respectively. American Brewing Company's current U.S. sales network includes Washington and North Carolina. American Brewing Company also has international sales in Canada and Japan.
For more information, please visit: http://www.americanbrewing.com/.
 
Safe Harbor Statement
 
This press release contains "forward-looking statements" within the meaning of Section 27A of the 1933 Securities Act and Section 21E of the 1934 Securities Exchange Act. These statements include, without limitation, predictions and guidance relating to the company's future financial performance and the research, development and commercialization of its technologies. In some cases, you can identify forward-looking statements by terminology such as, "may," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential," "continue," or the negative of these terms or other comparable terminology. These forward-looking statements are based on management's current expectations, but they involve a number of risks and uncertainties. Actual results and the timing of events could differ materially from those anticipated in the forward-looking statements, as the result of such factors, risks and uncertainties as (1) competition in the markets for the products and services sold by the company, (2) the ability of the company to execute its plans, (3) other factors detailed in the company's public filings with the SEC, which are available at http://www.sec.gov/. You are urged to consider these factors carefully in evaluating the forward-looking statements.
 
Contacts
 

Corporate:
Neil Fallon, CEO
American Brewing Company
Tel: 253.241.4550
Email: [email protected]
 
Investor Relations: 
Kevin Fickle, President
Nuwa Group LLC
Tel: 925.330.8315
Email: [email protected]

 

SOURCE: American Brewing Company, Inc. 

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