It later recovered a bit and ended the day at 108.50 pesos. Shares of the Mexican brewer Grupo Modelo, the largest in the country, fell to a seven-month low, down 9.5 percent to 105 pesos on the Mexican exchange. It later resumed and closed down 17.4 percent at $32.36.ĪB InBev’s stock was the worst performer in the FTSEurofirst 300 index of leading European blue-chips, closing down 7.8 percent at 63.90 euros, just above a three-month low hit shortly after the Justice Department’s statement. Trading in Constellation Brands, which would have become sole owner of the company that distributes Modelo beers, was halted after it dropped 23.8 percent. But, when they did, the smaller Modelo, with its popular Corona beer, often refused and took market share, the Justice Department said.įor example, Modelo declined to raise prices in California in 2010 and was “eating (Budweiser’s) lunch,” according to an AB InBev document quoted in the Justice Department complaint aimed at stopping the proposed transaction on the grounds that it breaks antitrust law.ĪB InBev, which announced the deal for Modelo in June, said it will fight the Justice Department in federal court and called its decision to sue “inconsistent with the law, the facts and the reality of the market place.” This market dominance would seem to give the big companies the power to raise prices. 2 player is MillerCoors, a joint venture between SABMiller Plc and Molson Coors Brewing Co. The top seller is AB InBev, which has 200 brands ranging from big names like Budweiser and Stella Artois to craft-style beers like Shock Top and Goose Island.
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