AB InBev shuts one of its nine Russian breweries
MOSCOW Aug 7 (Reuters) - Anheuser-Busch InBev, the world's biggest brewer, is to close one of its nine plants in Russia to cut costs in a market being hit by government moves to cut drinking.
The maker of Budweiser and Stella Artois said on Tuesday it would shut its brewery in Kursk, whose output fell 30 percent last year, and move production to other sites. About 50 of the plant's 275 staff will likely remain with the company.
Russia has been toughening up the regulation of alcohol sales, with measures already taken including excise tax hikes and a ban on advertising in all media, including online.
"We do not see any other option in the current beer market conditions which continue to negatively reflect on SUN InBev's financial results," said SUN InBev, the group's Russian unit.
Earlier this year, Danish brewer Carlsberg - the Russian market leader and maker of Baltika and Tuborg - missed first-quarter profit expectations due to a hit from Russian beer tax hikes. (Reporting by Natalia Ishchenko; Writing by Maria Kiselyova; Editing by Dan Lalor)
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