ANHEUSER-BUSCH TO SPIN OFF CAMPBELL TAGGART TO SHAREHOLDERS.

ST. LOUIS--(BUSINESS WIRE)--July 26, 1995--The 100 percent spin-off of Campbell Taggart, Inc. to shareholders of Anheuser-Busch Companies, Inc. will benefit both companies and their investors, August A. Busch III, chairman of the board and president of Anheuser-Busch Companies, Inc., said Wednesday.

"We believe this spin-off is in the best interests of all the parties involved," Busch said.

"Campbell Taggart can operate best in the highly competitive baking and refrigerated dough businesses as a stand-alone company with an independent management focus and its own incentive-based compensation programs," Busch said. "In addition, Anheuser-Busch will benefit by being able to concentrate more fully on its core domestic and international beer businesses and our supporting entertainment, packaging and snack operations. Finally, this transaction is in keeping with our commitment to maximize shareholder value."

Barry H. Beracha, chairman and chief executive officer of Campbell Taggart, said the spin-off will enhance Campbell Taggart's ability to compete in the marketplace.

"We are extremely excited about the prospects for Campbell Taggart as an independent company," Beracha said. "We believe there is great potential in this industry for our company to be recognized as the standard of excellence in baking and refrigerated dough. The greater flexibility and tighter focus we will gain through this ownership change will help us accelerate the progress we are already making toward that goal."

Beracha, who joined Campbell Taggart in 1993, will continue as chairman and CEO. Beracha is a 28-year veteran of Anheuser-Busch who, before joining Campbell Taggart, served as chairman and chief executive officer of Metal Container Corporation, which grew under his leadership to become one of the leading companies in the can-making industry. The other members of the Campbell Taggart senior management team will also remain with the new company as it becomes independent.

As announced earlier Wednesday, the Anheuser-Busch Board of Directors approved a plan to spin off Campbell Taggart to its shareholders, to be completed during the first half of 1996. The spin-off is subject to the receipt of a favorable ruling from the Internal Revenue Service that the transaction would be tax-free.

Under the spin-off, each Anheuser-Busch shareholder would receive a pro-rata share of the voting common stock of Campbell Taggart through a special dividend. Campbell Taggart, which has annual sales of approximately $1.5 billion, would become an independent company, with its own Board of Directors and its own stock publicly traded on a national exchange.

As part of the spin-off, Campbell Taggart will pay Anheuser-Busch a final dividend, which Campbell Taggart will finance with debt. The amount has not yet been determined, but it is anticipated that Campbell Taggart's financial position will justify an investment grade credit rating. In addition, Campbell Taggart will fund an employee stock ownership plan with shares of its stock. It is anticipated that the plan will own approximately 6 percent of Campbell Taggart's stock after the spinoff.

Busch said he believed Campbell Taggart has a bright future as an independent company.

"Campbell Taggart has made progress in its effort to become the leader in its industry," he said. "We believe it has the products, the people and the financial resources to achieve its goals."

"Our plans to strengthen and grow Campbell Taggart remain intact," Beracha said. "We are going forward, for example, with our plans for a new Technology and Development Center in St. Louis, for a new bakery in Arizona, for a $20 million upgrading of our delivery system in California, and for a significant investment in handheld computer technology. We will continue with an accelerated investment program for expanding our refrigerated dough business through our Merico, Inc. subsidiary. We will also continue with our aggressive commitment to new product development.

"As we make these investments, we will also continue to emphasize our Total Quality Commitment efforts. We will work closely with our customers to understand their needs, and continually drive improvements to achieve the highest quality, best service and best value for them and our consumers.

"Over the next five years, we expect to grow," Beracha concluded. "That growth will come from new products, expansion and, potentially, acquisitions."

The new company will be based in St. Louis, where Campbell Taggart already has its headquarters.

Rainbo, Colonial, Earth Grains, Grant's Farm, IronKids, Essentials and Break Cake. Through its Merico subsidiary, Campbell Taggart is also the second largest producer of refrigerated dough products. Campbell Taggart has about 16,000 employees, and operates 45 plants in the United States and nine in Spain and France. The company's European holdings are comprised of Bimbo, Spain's largest commercial baker, and Europate, a refrigerated and frozen dough operation based in France. -0-

                         CAMPBELL TAGGART, INC.
                               Fact Sheet

Key Brands: Bread:      Colonial; Rainbo; IronKids; Earth
                        Grains; Grant's Farm.  Snack Cakes:  Break Cake

Number of bakeries:     45 in the U.S. (in 19 states); 9 in Spain and
                        France

Primary market areas:   South, Southwest, Midwest, Northern California

Sales:                  Approximately $1.5 billion

Number of employees:    16,000 worldwide

Chairman and CEO:       Barry H. Beracha

Headquarters:           St. Louis, Missouri

Other Products:         Refrigerated dough products under the Merico
                        brand as well as for Roman Meal, Sun Maid and
                        hundreds of private-label brands

Commercial customers:   Supplies rolls, buns and other products to
                        Burger King; Arby's; Denny's; Dairy Queen;
                        Shoney's; Wendy's; Hardees; Olive Garden.
                        Makes cheese crackers, pretzels for Eagle
                        Snacks, Inc.

Founded:                1925

Acquired by
Anheuser-Busch:         1982

CONTACT: Anheuser-Busch, St. Louis

Paul Wagman or Frank Hamsher, 314/982-1700