Beer maker Brahma shuts Venezuela plant on sales slide
CARACAS, March 20
CARACAS, March 20 (Reuters) - Brahma, a Venezuelan division of Latin American brewing giant Ambev, is closing its operations in the South American nation following a prolonged slide in sales, the company said on Wednesday.
Brahma said its share of Venezuela's market over seven years dropped to 0.9 percent from 9 percent, preventing it from carrying out necessary investments in its facilities.
"In addition, (the company has faced) consistent increases in operating costs and an environment that is exceedingly complicated for the brewing industry," Brahma said.
It began shutting operations on Monday.
The company did not immediately respond to requests for additional comment.
Plant workers last year told local media that the company's financial problems worsened when Ambev sold the Zulia brand of beer, which was produced and marketed alongside Brahma, to another local beer maker.
Ambev is part of Anheuser-Busch InBev SA, the world's biggest brewer. (Reporting by Marianna Parraga, writing by Brian Ellsworth; Editing by Bernard Orr)
- Moscow fights back after sanctions; battle rages near Ukraine crash site |
- U.S. man sues soccer star Cristiano Ronaldo over CR7 trademark
- Gaza toll soars as Israel 'days' from completing tunnel hunt
- Obama to Republicans: ‘Stop just hatin’ all the time’
- Argentina braces for market reaction to second default in 12 years