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Coors could expand plant at CO-site.

Coors could expand plant at CO-site

Top officials of the Adolph Coors Co. say the Golden brewery, already the world's largest, will expand by 40 percent by 1995 if sales continue their strong growth.

"We think it is feasible to increase brewing capacity to 28 million barrels at this plant," William K. Coors, chairman and president of Coors, told shareholders attending the company's annual meeting recently. "It is much more economical to build that capacity here."

Of immediate concern to Coors is a solution to a shortage of packaging.

The company is considering buying an underused or closed brewery from a competitor initially to obtain the packaging facilities.

The Golden, CO, brewery, in anticipation of heavy summer sales, is running virtually at 99 percent of absolute capacity now, producing 20 million barrels a year, said Al Babb, executive vice president of Coors.

"That can be expanded to 28 million barrels by 1995," he said. "Most of the infrastructure already is in place."

While Coors officials did not discuss with shareholders the cost or potential employment impact, the expansion would translate into some job growth at the company, which employs about 9,000 people in Colorado.

Babb said if increased beer sales outstrip the enlarged brewery facilities after 1995, the first beer to be brewed outside of Golden likely would be the new Keystone and Keystone Light brands.

Facilities for malting barley before the brewing process begins also will have to be enlarged, Coors said. Malting capacity now is sufficient for 23.8 million barrels.
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Title Annotation:Adolph Coors Co.
Publication:Modern Brewery Age
Date:May 28, 1990
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