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SABMiller Announces 10-Year U.S. Partnership Agreement with Foster’s

25 June 2007

Ref 19/2007

25 Jun 2007

SABMiller plc, one of the world’s leading brewers, announces that its U.S. subsidiary, Miller Brewing Company, plans to enter into a ten year licensed-brewing partnership with Foster’s Group Limited.  Under the new arrangement, brewing of the Foster’s Lager and Special Bitter brands sold in the U.S. will transfer from Molson Coors of Canada to Miller’s breweries in Fort Worth, Texas, and Albany,Georgia in November 2007.

Forming part of Miller’s strategy to migrate its portfolio to higher margin segments, the move to U.S. production will reduce Foster’s freight costs, enabling the business to put additional investment behind the brand to drive long-term growth.  It will continue to be distributed and marketed in the U.S. through Foster’s USA LLC, a joint venture between Miller and Foster’s Group Limited.

Miller and Foster’s Group have been sales and marketing partners in the U.S. since 1993.  The joint venture included Molson until 2001, when the Canadian brewer reduced its role to production of the Foster’s beer sold in the U.S.  In August 2006, SABMiller announced that it would acquire all of Foster’s assets in India for US$120 million, including the rights to the Foster’s brand in the territory.

Tom Long, Miller President and CEO commented:

“Today’s announcement is a critical step as we partner with Foster’s Group to position this brand as the preferred trade-up for mainstream beer drinkers who want a truly unique beer experience.  Foster’s has great growth potential and we’re excited about the opportunity to maximize Foster’s growth in the U.S.”

Scott Weiss, Managing Director of Foster’s Americas commented:

“The decision to shift Foster’s brewing to Miller is clearly in the best interest of our brand because it allows us to better chart a course for sustained growth in the United States.  Now we can set our sights on re-establishing Foster’s as the quintessential Australian brand that offers American beer drinkers a taste of the fun and sociable Aussie lifestyle.  We look forward to working even more closely with the team at Miller to build Foster’s into a leading premium beer choice in the States.”


About SABMiller plc

SABMiller plc is one of the world’s largest brewers with brewing interests or distribution agreements in over 60 countries across six continents. The group’s brands include premium international beers such as Miller Genuine Draft, Peroni Nastro Azzurro and Pilsner Urquell, as well as an exceptional range of market leading local brands.  Outside the USA, SABMiller plc is also one of the largest bottlers of Coca-Cola products in the world.

In the year ended 31 March 2007, the group reported US$3,154 million adjusted pre-tax profit and revenue of US$18,620 million.   SABMiller plc is listed on the London and Johannesburg stock exchanges.

This announcement is available on the company website:

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About Miller Brewing Company

As one of America’s oldest brewers, Miller Brewing Company continues the commitment of founder Frederick J. Miller to brew “confoundedly good beers” with “uncompromising quality.”  Through more than 150 years of innovation and brewing excellence, Miller has built a broad portfolio of award-winning beers that capture approximately 18 percent of the U.S. beer market.  Miller beers have won 94 medals – more than twice as many as its major competitors – at the biannual World Beer Cup and annual Great American Beer Fest since 1996, when the World Beer Cup debuted.  Miller’s flagship brand, Miller Lite, is the great tasting, less filling beer that defined the American light beer category in 1975.  The company also brews smooth, golden rich Miller Genuine Draft using a unique cold-filtering process that Miller introduced in 1985.  Miller's oldest brew is Miller High Life, the champagne of beers.  Miller imports Peroni Nastro Azzurro, Pilsner Urquell and Foster's, and brews regional craft beers Leinenkugel's and Henry Weinhard's.  Near-premium beers include Milwaukee's Best Light, Steel Reserve, Olde English 800, Mickey's Malt Liquor, Icehouse and Sharp's, a non-alcohol brew.  Miller also offers the Sparks line of caffeinated alcohol beverages.  Miller is a wholly owned subsidiary of SABMiller plc, the world's second largest brewer.  For more information, visit

About Foster’s Beer

First brewed in 1888 by the Foster brothers in Melbourne, Australia, Foster's is one of the world's best beers. As one of only a handful of truly global beer brands, Foster's in now available in over 150 countries. Foster's is one of the fastest growing international premium beer brands in the world, and has enjoyed international growth of 40 per cent since 1997. Foster's is brewed in 12 countries, at 17 locations with over 100 million cases of Foster's sold annually.


SABMiller plc
Tel:  +44 20 7659 0100

Sue Clark 
Director of Corporate Affairs 
Tel:  +44 20 7659 0184

Gary Leibowitz
Senior Vice President Investor Relations 
Tel: +44 20 7659 0119

Nigel Fairbrass
Head of Media Relations 
Tel: +44 7799 894265

This announcement does not constitute an offer to sell or issue or the solicitation of an offer to buy or acquire securities of SABMiller plc (the "Company") or any of its affiliates in any jurisdiction or an inducement to enter into investment activity.

This document includes "forward-looking statements".  These statements may contain the words "anticipate", "believe", "intend", "estimate", "expect" and words of similar meaning.  All statements other than statements of historical facts included in this announcement, including, without limitation, those regarding the Company's financial position, business strategy, plans and objectives of management for future operations (including development plans and objectives relating to the Company's products and services) are forward-looking statements.  These forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements.  These forward-looking statements are based on numerous assumptions regarding the Company's present and future business strategies and the environment in which the Company will operate in the future.  These forward-looking statements speak only as at the date of this announcement.  The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained in this announcement to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. Any information contained in this announcement on the price at which the Company's securities have been bought or sold in the past, or on the yield on such securities, should not be relied upon as a guide to future performance.

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