Analysts say SAB is making progress at Miller.

In a recent report, analysts at Citigroup/Smith Barney wrote that SAB managers are making progress in their efforts to fix the Miller Brewing Company.

But even as SABMiller is busy revamping its business, they say Anheuser-Busch is seizing new ground.

So, even while SABMiller might be showing signs of turning around its faltering Lite franchise, A-B is bolstering its light beer family with the very successful Michelob Ultra.

The report indicates that SABMiller's improvements in bottom line performance might be overbalanced by A-B's success in redefining the market. In this scenario, Miller's position in the U.S. market might continue to deteriorate even as it regains stability in its existing business.

However, even if analysts think SABMiller is underperforming in the medium-term, the analysts are with-holding judgement until they see the results of SABMiller's autumn marketing offensive.

In a recent interview with the South African Business Report, SABMiller CEO Graham Mackay admitted that the company had not made significant progress in the US just yet, but said that the new management team is now revamping marketing efforts and rebuilding distributor relationships.

He also said that past failures in portfolio management were being addressed. "We wanted to ensure we avoided implementing another poor attempt at portfolio management, so we've spent a considerable amount of time undertaking in-depth research and planning," he told the Report.

Mackay said that SABMiller can be number two in the U.S. market and still be a success. "But we do have to stop shedding market share," he told Business Report.