Budweiser Partners With Heineken In Italy; Heineken Italia Will Brew, Market and Distribute the King of Beers.

Business Editors

MILAN, Italy--(BUSINESS WIRE)--Aug. 26, 2003

Anheuser-Busch Europe Ltd. (NYSE: BUD) and Heineken Italia S.p.A. have reached a licensing agreement that will allow Heineken to brew, market and distribute Anheuser-Busch's flagship brand under the "Budweiser" and "Bud" trademarks in Italy. It is anticipated that the agreement will take effect on November 11, 2003.

Budweiser, King of Beers, is the world's best-selling beer and has been brewed and marketed under license in Italy since 1995. The brand is well distributed in both on-premise and off-premise accounts and has enjoyed steady growth reaching a strong position among premium beers sold in Italy.

"We are delighted with the agreement with Anheuser-Busch allowing us to add Budweiser to our product portfolio, as Italian consumers have shown their appreciation for this beer since its arrival in our country. The power of this brand will further enrich the range of products we offer to our clients," said Massimo von Wunster, managing director, Heineken Italia S.p.A.

"Heineken will be an excellent partner for Anheuser-Busch in Italy, and we look forward to working with them to grow the Budweiser brand," said Andrew Day, vice president and managing director, Anheuser-Busch Europe Ltd. "Italy continues to be an important market for our company, and we're excited about this new partnership."

The agreement will be subject to approval by the Autorita Garante della Concorrenza e del Mercato.

Birra Peroni Industriale S.p.A. has locally brewed, packaged and distributed the Budweiser brand in Italy since 1995. Anheuser-Busch and Peroni have agreed to end their partnership in November, due to Peroni's recent ownership change.

Heineken is among the leading beer producers in the world; it employs approximately 48,000 people and produces 108.9 million hectoliters of beer. Its total turnover is approximately 10.3 billion Euros and its net profit is 795 million Euros (2002 figures). The Heineken brand is sold in more than 170 countries while the Heineken Group is present in more than 60 countries with 110 production sites.

Heineken Italia S.p.A. has been doing business in Italy since 1974, when it bought Birra Dreher S.p.A., a company that was founded in Vienna in 1773. The company first entered the Italian market in 1865 when it opened its first brewery in Trieste. In 1996 Heineken Italia S.p.A. acquired Birra Moretti S.p.A. reaching its current operational dimensions. At present it employs 1,060 people, operates in Italy with six production sites, produces and commercializes 5.5 million hectoliters of beer and has gross consolidated turnover of 938.4 million Euros (2002 figures).

Anheuser-Busch is based in St. Louis, Missouri, USA. Its Budweiser brand is the world's best-selling beer, locally brewed in 10 countries and sold in more than 80 others worldwide. Anheuser-Busch is the world's largest brewer and holds a leading world market share of 11 percent, including Anheuser-Busch's proportional share of its international equity partners' brands. Anheuser-Busch reported worldwide beer volume of 128.8 million hectoliters (109.8 million barrels) in 2002, up 2.3 percent for the year. Pro-rated volume of its partners' brands was 21.2 million hectoliters (18.1 million barrels), giving Anheuser-Busch a combined volume of 150.0 million hectoliters (127.9 million barrels) in 2002.