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Miller/SAB negotiations are ongoing.

Miller and South African Breweries South African Breweries was founded in 1895 by Jacob Letterstedt specifically to serve a new market of miners and prospectors in and around Johannesburg. Two years later, it became the first industrial company to list on the Johannesburg Stock Exchange (JSE).  are continuing to talk about SAB's possible purchase of the Milwaukee brewer. But sources report any deal could take weeks or even months to hammer out. Analysts had expected Philip Morris would want to announce a deal prior to the company's shareholders meeting, held April 25th. Obviously, no such announcement was made.

The sale has been viewed as a plus for Philip Morris, since the Miller beer unit has been a lackluster performer, relative to PM's other consumer goods consumer goods

Any tangible commodity purchased by households to satisfy their wants and needs. Consumer goods may be durable or nondurable. Durable goods (e.g., autos, furniture, and appliances) have a significant life span, often defined as three years or more, and
 units. PM would be likely to plough proceeds from any sale into its tobacco or Kraft foods Kraft Foods Inc. (NYSE: KFT) is the largest food and beverage company headquartered in North America and the second largest in the world after Nestlé SA.

The Philip Morris Company (now known as Altria Group), a company that produces tobacco products, acquired Kraft for

Consultant Mark Rodman has said that a deal might not happen until early fall. That could allow Miller to retain continuity of management during the peak summer selling season, and would also allow SAB to gauge Miller's performance during the period, which runs through Labor Day.

There are numerous other theories about the delay. Reports in the British press have indicated that the $5 billion price tag for Miller might be a sticking point. SAB may be looking for Looking for

In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with.
 a bargain, given Miller's lugubrious lu·gu·bri·ous  
Mournful, dismal, or gloomy, especially to an exaggerated or ludicrous degree.

[From Latin l
 performance in recent years.

Some analysts have floated the possibility of another suitor SUITOR. One who is a party to a suit or action in court. One who is a party to an action. In its ancient sense, suitor meant one Who was bound to attend the county court, also, one who formed part of the secta. (q.v.)  for Miller. The first stories about the sale of Miller, back in January, posited a merger between Miller, SAB and Scottish & Newcastle.

The possible sale of Miller was originally reported in January as a proposed merger among three companies: Miller, South African Breweries and Scottish & Newcastle PLC, based in Edinburgh, Scotland. S & N execs recently announced possible sale of its pub and hotel group, which could raise $2.9 billion for acquisitions.
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Title Annotation:South African Breweries
Publication:Modern Brewery Age
Article Type:Brief Article
Geographic Code:6SOUT
Date:May 27, 2002
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