Boston Beer
Financial Statement Analysis- Boston Beer Company FIN 506 FALL 2010
Dan Chenoweth
Tatiana Cozma
Tawana Johnson
Kyle Krukowski
1- INTRODUCTION TO BOSTON BEER COMPANY, INC. Ranked #4 during the 2010 US Open Beer Championship and consistently ranked in the top 10 of brewing competitions, Samuel Adams Boston Lager is the flagship beer of The Boston Beer Company. Although the Boston Beer Company was founded in 1984, the roots of the Samuel Adams Boston Lager are over 100 years old beginning with James Koch’s great-great grandfather’s family recipe. As a result of the Industrial Revolution, small regional brewers, like James Koch’s great-great grandfather’s, struggled due to increasing competition. In 1984, Jim Koch resurrected his family recipe and produced the first batch of Samuel Adams Boston Lager in his kitchen. Koch formed an alliance with Pittsburgh Brewing Company to produce the Sam Adams lager in their facility. Koch marketed and sold his beer door to door in Boston area restaurants and bars and was soon rewarded with 25 regular customers. In 1985 on Patriots Day, Jim advertised by delivering bottles of the Sam Adams Lager to various bars and restaurants as samples. Bartenders quickly became fans of the craft beer and sales began to grow rapidly and eventually spread across the state of Massachusetts, Connecticut and into Germany. Three months later the Sam Adams Lager was voted the best beer in America.(1) Throughout the second half of the 1980’s the Samuel Adams Lager continued to become more and more popular and their sales, customer base, and notoriety on the upper east coast continued to grow. In 1988 Koch purchased an old brewery in Boston with the intention of creating his own brewing operation. However, with the state’s massive regulations and high costs, they decided to build a research and development facility and tourist attraction out of the location which still today attracts many visitors each year. New
Dan Chenoweth
Tatiana Cozma
Tawana Johnson
Kyle Krukowski
1- INTRODUCTION TO BOSTON BEER COMPANY, INC. Ranked #4 during the 2010 US Open Beer Championship and consistently ranked in the top 10 of brewing competitions, Samuel Adams Boston Lager is the flagship beer of The Boston Beer Company. Although the Boston Beer Company was founded in 1984, the roots of the Samuel Adams Boston Lager are over 100 years old beginning with James Koch’s great-great grandfather’s family recipe. As a result of the Industrial Revolution, small regional brewers, like James Koch’s great-great grandfather’s, struggled due to increasing competition. In 1984, Jim Koch resurrected his family recipe and produced the first batch of Samuel Adams Boston Lager in his kitchen. Koch formed an alliance with Pittsburgh Brewing Company to produce the Sam Adams lager in their facility. Koch marketed and sold his beer door to door in Boston area restaurants and bars and was soon rewarded with 25 regular customers. In 1985 on Patriots Day, Jim advertised by delivering bottles of the Sam Adams Lager to various bars and restaurants as samples. Bartenders quickly became fans of the craft beer and sales began to grow rapidly and eventually spread across the state of Massachusetts, Connecticut and into Germany. Three months later the Sam Adams Lager was voted the best beer in America.(1) Throughout the second half of the 1980’s the Samuel Adams Lager continued to become more and more popular and their sales, customer base, and notoriety on the upper east coast continued to grow. In 1988 Koch purchased an old brewery in Boston with the intention of creating his own brewing operation. However, with the state’s massive regulations and high costs, they decided to build a research and development facility and tourist attraction out of the location which still today attracts many visitors each year. New
Bibliography: 1http://www.usopenbeer.com/ 2http://www.bostonbeer.com/aboutus 3http://www.fundinguniverse.com/company-histories/The-Boston-Beer-Company-Inc-Company-History.html 4http://www.answers.com/topic/the-boston-beer-company-inc 5http://sandp.ecnext.com/coms2/description_RS_ABT_ITM http://www.referenceforbusiness.com/history2/74/Boston-Beer-Company.html http://www.askmen.com/top_10/entertainment/21_top_10_list.html http://www.realbeer.com/library/authors/nachel-m/jim_koch.php http://www.accessmylibrary.com/article-1G1-164949845/boston-beer-co-people.html