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CRB Has Invested 300 Million Yuan in Qinghe Moni Beer and Become Its Holding Company; Another Step Toward Unifying All Beer Companies in Liaoning Province (Translation)

14 June 2011

On the morning of June 9th 2011, China Resources Snow Breweries (China) Co. officially announced that they invested 300 million yuan in purchasing an 80.1% stake of North Green Food Co., Ltd. Qinghe Moni Beer Branch, and established a brand-new Snow Breweries (Tieling) Co., LTD.

China Resources Snow Breweries (Tieling) Co., LTD unveiled the nameplate the same day. The secretary of the municipal committee of Tieling, Wenke Li, and CRB Liaoning Province regional manager Yongzhuo Na unveiled the nameplate for the new company together. The inauguration ceremony was hosted by Qinghe County warden Lin Li, and other leaders also participated in the ceremony. Mayor Yesong Wu gave a congratulatory speech.

The annual production capacity of North Green Food Co., Ltd. Qinghe Moni Beer Branch is 190,000 kilolitres, which is the largest beer enterprise in the Liaobei area. Daocheng beer is the main brand of this company. Since the acquisition, CRB has already invested 40 million yuan in reforms.

The birth of this small-scale "little brother" in the Snow beer family brought plenty of attention from industry professionals. Liaoning province is the place where CRB had started its business in 1994 and later spread to the entire nation. The Three Northeast Provinces of China have become the base market for CRB as well as the market in Liaoning Province. The success of this acquisition means that the national brand CRB has taken a big step toward their dream of "unifying all the beer companies in their hometown Liaoning Province."

While the company in Tieling was going through the restructuring and integration earlier this year, Meixue breweries, located at Fuxin, also joined CRB.

It was reported that CRB owns multiple beer production enterprises in the cities of Liaoning Province including Shenyang, Dalian, Anshan, Panmian, Liaoyang, Dandong, Huludao, Chaoyang, Tieling, and Fuxin, and their total production capacity has exceeded 2.3 million kilolitres. Their distribution networks are spread all over the province, and definitely have advantages in the cities. As we can see, CRB has already formed a beer armada centreing on Shenyang, and the new structure of Liaoning Beer that is led by CRB has also become mature.

Industry professionals think the formation of new structure of Liaoning Beer, led by CRB, will bring to CRB not only the market honour, but also the moving-forward occupancy rate in the market as the synergistic effect emerges.

CRB owns production factories in Dandong, Dalian, Panmian, Huludao along the coast of the southwest Liaoning Province, Chaoyang, Fuxin in the west inland of Liaoning Province, as well as Shenyang, Liaoyang, and Anshan in the central section. This time they settled down in the north of Liaoning, which will have a significant effect in the upcoming busy season of beer-selling.

According to the research, the new company will import CRB's strict management and quality control system, which focuses on safety, environmental protection, higher quality, lower cost, and upgrading equipment and so on.

"After the intensive technology and equipment reformations, and multiple market testing, the technology and equipment fully qualify for producing Snow beer. It is already in operation producing Snow beer. The consumers in Tieling can now enjoy Snow beer that was brewed in their local area," says CRB Liaoning Province regional manager Yongzhuo Na.

About CRB (China) Co., Ltd.

CRB (China) Co., Ltd., established in 1994, is a professional beer production and management company. It is headquartered in Beijing, China. Its shareholders are China Resources Enterprise, Limited and the world's second largest beer group, SABMiller. CRB currently operates more than 70 breweries in China, including Snow brand, and holds more than 30 regional brands in the Chinese beer market, with 19.8% of market share. In 2010, CRB sold over 9.28 million kilolitres of beer. With 11% growth, the company's total production and sales have been ahead of other domestic beer companies for five consecutive years. In 2010, Snow's single-brand sales increased by 16% to reach 8.413 million kilolitres, consolidating its position as the world's leading beer brand.

About Snow Beer

In 1964, in a products rating competition in which all of the top Chinese beer companies had gathered, a new product among the beers won the top prize. It was all because of its rich, white, snow-like foam and long-lasting taste, like a flower, giving it its name: "Snow Beer."

In 2002, CRB (China) Co., Ltd. made Snow Beer into a national beer brand. Snow Beer has a fresh, light taste and is a positive, aggressive, challenging and innovative brand with high popularity among consumers nationwide. It has become a favourite beer among youth. The State Administration for Industry and Trademark Office declared the Snow brand "China's Famous Brand" in September 2007.

In 2005, Snow Beer sold 1.58 million kilolitres of beer and became number one in sales of single-product beer brands. In 2006 Snow became the fastest growing and most valuable beer brand; its brand value reached 11.185 billion yuan. After becoming number one in single-product sales in 2006, it had a new high record in 2007: 5.1 million kilolitres sold. Once again it reached the top of single-product sales in the Chinese beer industry. In 2007, Snow's brand value reached 13.658 billion yuan. Single-brand Snow sales increased by 19.1% in 2008; sales reached 6.1 million kilolitres, and it was given the "number one single-brand sales" title four times, becoming the world's number-one selling beer brand, with a brand value of 15.3 billion. Snow brand value increased to 37.726 billion yuan in 2009.

About China Resources Enterprise, Limited

China Resources Enterprise, Limited is listed on the Hong Kong Stock Exchange as one of Hong Kong's Hang Seng Index constituent stocks. The company focuses on consumer products, with operations in Mainland China and Hong Kong, and is principally engaged in retail, beer, food, and beverage businesses.

About SABMiller plc

SABMiller is one of the world's largest beer companies. It is a London-based company that is listed on the London and Johannesburg stock exchanges. SABMiller has large-scale production and sales of beer and other beverages in 75 countries on six continents. It owns more than 100 breweries and 200 brands of beer. Its annual beer sales are about 21.0393 million tons. SABMiller is highly recognised for its production management in the international market and is considered to be a well-operated company in emerging markets. In many countries that the company has entered, SABMiller's brand portfolio and market shares are in the market leadership positions.

This SABMiller subsidiary news release has been translated from its local market language to English language for publication on We have attempted to provide an accurate translation of the original material but due to the difficulties of translation slight differences may exist.
Note, the news release was first published in its local market on [09/06/2011].

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