Anheuser-Busch/Teamster Contract Closer to Execution; Last Two Locals Ratify After Years of Delay; National Labor Relations Board Charges, Other Matters Must Still be Resolved.

Business Editors

ST. LOUIS--(BUSINESS WIRE)--Oct. 27, 2000

Anheuser-Busch (NYSE:BUD) officials were informed by officials of the International Brotherhood of Teamsters tonight that the last two local unions representing brewery employees have ratified the final offer which the company implemented more than two years ago. Company officials told the union that the ratification is another step toward executing an agreement, but reminded them that the offer requires that National Labor Relations Board charges and other court cases be resolved before the contract can be signed.

"While we have moved closer, the agreement is not finalized yet," said Mark T. Bobak, Vice President Corporate Human Resources, Anheuser-Busch Companies, Inc. "It should be noted that there are still several items relating to National Labor Relations Board charges and other court cases which must be resolved by the parties before a contract can be executed. Of course, economic terms will not be impacted because these were already part of the company's implemented offer."

Company and union representatives will meet in the near future to discuss these matters, Bobak said.

Anheuser-Busch began negotiating with the Teamsters on a new contract covering brewery employees represented by the union in late 1997. After months of negotiation, the company presented its final offer in March 1998. Because the two parties reached impasse, the company implemented that offer in September 1998.

"For more than two years our operations under the implemented final offer have been excellent," noted Bobak. "Employees covered by the contract have received several pay raises. Attendance and safety have improved to the point that employees at most breweries have received supplemental payments for meeting pre-determined goals."

The national contract was ratified in a vote in August 1999. At that time 11 of 24 local supplements had been approved. By June 2000, all local units except Local 102 in Newark had ratified their local supplements. Those Local 102 supplements were approved today.

Under the company's final offer the average brewery employee represented by the Teamsters would earn about $66,000 annually. Wages would be more than $23.00 an hour with benefits worth $25.00 an hour.

Anheuser-Busch, Inc. is the world's largest brewing organization. It operates breweries in St. Louis, MO, Los Angeles, CA., Newark, N.J., Houston, TX., Columbus, Ohio, Jacksonville, FL., Merrimack, N.H., Williamsburg, VA., Fairfield, CA., Baldwinsville, N.Y., Fort Collins, CO., and Cartersville, GA.