Aspromonte Coors sells to Miller houses.
"It's time to make a decision like this," Aspromonte told the Houston Business Journal, "After a period of time, you have to look at what the marketplace is doing. Right now, it's consolidation."
The terms of the sale give Houston Distributing 79% of Aspromonte Coors' distribution volume. That company will now distribute Coors in its current territories--western Harris County and Fort Bend County.
"This acquisition creates efficiencies and synergies that allow us to operate more profitably and to continue to compete at our current high level," said Bo Huggins, Houston's senior vice president and son of Houston Distributing founder Joe Huggins.
Houston will assume responsibility for 26 former Aspromonte employees and will lease a warehouse for one year, with an option to renew.
Faust's portion of the deal involves acquiring 21% of Aspromonte Coors' distribution volume, which Faust will distribute in Brazoria County. This is the third acquisition for Faust, which last year bought its first Coors distributorship, Stefani Distributing of Baytown, gaining a new warehouse. "It's a very competitive business," Don Faust, Jr., vice president, told the Houston Business Journal. "You either get big, or you get out We were ready to get bigger."
Faust now operate three distribution centers, which it plans to combine into one. The company is currently seeking a location for a new 200,000-square foot facility.
"We're trying to be more efficient," Faust said. "All these warehouses are redundant. Plus there's the corporate culture. it's hard to communicate to people if we're all spread out"
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|Publication:||Modern Brewery Age|
|Article Type:||Brief Article|
|Date:||Apr 3, 2000|
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