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Show National Enterprise , May 26, 1976 Page Two m'i Lower Beer Volume and Drinkability Trouble Coors tailers at the lower price. That lost the company some popularity, both among retailers and among customers who had to pay higher prices. About the same time, some of the firms drivers in the bay area withdrew from the Teamsters Union, and, according to Coors, "They (Teamsters) began to work us over in the dirtiest, most unprincipled GOLDEN, of Adolph Coors Co. (OTC 24.375, 24.875) of Golden, Colorado, is unhappy with the company's performance even though 1975 was a year of record sales and earnings. The reason for that unhappiness, William K. Coors, chairman, told shareholders at the company's first public annual meeting in Denver, way imaginable." was that the volume of beer sold dropped for the first time Rumor Mill in recent history and the beer drinkable" as Two major rumor camwasn't as Coors beer should be. paigns were started, he He took the opportunity to explained: one saying the explain to shareholders the company had contributed $1 lobby companys philosophies and million to the anti-gu- n what it expected to do with its and another that Coors had made a similar contribution to "super beer." Coors said the volume of the Sierra Club. Both rumors beer sold in 1975 dropped 4 alienated primary groups of percent, and the main reason beer drinkers, hunters and was a 10 percent decline in sportsmen. This type of campaign is volume in California where the company was blamed for rais- particularly effective, Coors said, because in trying to ing the price of beer. convince the pro-gu- n group comand the Reasons and Excuses sportsmen that pany wasn't against them, the There are excuses for the company alienated the antidecline and there are reasons, gun group and the Sierra he said. The excuses are that Club. And, he added, "You the recession was more severe have no idea how many Sierra in Southern California than in Gub people there are in the companys other markets, California." the spring was the coldest and Also, during 1974, the barwettest in California's history ley crop wasnt a good one, and the company lost popular- Coors said, and that caused ity with beer drinkers. problems with the clarity of The reasons for the popular- the beer. It took the company ity drop involved an increase until September of 1975 to in the price of beer and the figure out the problem. Coors emphasized, "It's not withdrawal of truckers from the Teamsters Union in one of that we sold poor beer. It still the companys San Francisco is as good or better than the others. But, it has to be so Bay area distributorships. Another reason was a dec- good that the competition line in the quality of the beer. cant woo the customer away, Coors hadnt raised its prices and they were wooed away in for beer in 30 years, Coors 1975." The secret of a super beer, explained. But, after the price controls imposed by President Coors said, is drinkability, a Nixon were dropped, the com- feeling about a beer that has pany found that prices for its little to do with the taste. He said that Anheuser-Busc- h raw materials had nearly is the only other comdoubled as suppliers sought to make up for the artificial pany in the nation that recognizes that quality in a beer. barrier to inflation. The company raised the Drinkability price of its beer 4 to 5 percent "Im told," Coors said, in April and raised them another 5 percent in August. About that time the DemoCol-Manage- ment Beard Swings Profitability "that the top people get a case of our beer each week and try to match its drinkability." Drinkability is the quality, he explained that makes a customer want another beer. If the customer drinks four beers "thats really, really drinkability," he said. Weve had it and its a fleeting thing." Coors has gone to great lengths to insure that its beer is as drinkable as possible. It doesnt use artificial preservatives to reduce the deterioration of the beer and it doesnt pasteurize the beer as other brewers do, he said. The fermentation process takes nine days, compared with three days used by Schlitz, a company that uses a high yeast concentration, warmer temperatures and agitation to hasten the fermentation, he said. "Were moving in the opposite direction," he said. Die company has found that the cooler the temperature the smaller the amount of yeast used, the closer the company comes to its super beer. And, since warmth and time tend to make the quality of beer deteriorate, the company has taken steps there, too. Coors beer is refrigerated from the time it leaves the plant in Golden until it is delivered to the retailer, and the company tries to persuade retailers to keep the beer refrigerated. swing in profitability of just over $200,000 from the results of the 1975 third quarter, said OKLAHOMA CITY, Ok Beard Oil Company (OTC 4.625, 5.125) reported net earnings of $47,579, or $0.02 per share, for the first nine months of fiscal 1976, ended March 31, 1976. In the first nine months of the prior fiscal year, the company earned $153,415, or $0.08 per share. Operating revenues for the fiscal 1976 period increased to $3,596,185 as compared with $2,865,052 in the 1975 fiscal period. Oil and gas sales for the nine months increased 45 percent to $3,048,855 fyom $2,104,570 in the first nine months of fiscal 1975. Beard earned $26,459, or continued he expected improvement through the end of the fiscal year in June. He expressed satisfaction with the increase in Beards oil and Continued on Page Nine Crest Acquires Uranium Interest SALT LAKE CITY Crest Resources, Inc. (OTC .42, .45) has announced the acquisition per share, in the third quarter, reversing a loss of $173,908, or $0.09 per share, recorded in the third quarter of fiscal 1975. Revenues for the quarter were $1,241,522 as compared to $835,241 in the third quarter of fiscal 1975. Oil and gas sales increased 54 percent in the quarter to $1,055,950, compared with oil and gas sales of $685,105 in the fiscal 1975 third quarter. Herb Mee, Jr., president, commenting that the third quarter results represented a $0.01 of a 15 percent interest in 633 mining claims in Freemont The County, Wyoming. claims lie in an area extremely close to the Gas Hills uranium producing area where extensive new exploratory efforts are underway, said company president Malcom Justice. The Crest property has uranium showing from core drilling of approximately .2 percent, Justice said. The company is attempting to obtain additional capital for further development. THE NATIONAL Subscriptions 1 8 per year 35 Cents a Copy The National Enterprise is published weekly by the National Enterprise Publish ing Company, Ihl, 500 Continental lank Bldg., P.0. Bex 11771, Pioneer Station, Salt lake City, Utah 84147. (801)533-055- 6 Future Plans Second Class Postage Paid Coors said he also believed returnable containers for beverages would become mandatory in the near future and the company is looking to plastic bottles that, can be refilled to cover that possibiFrom an energy standlity. point," he said, "nonretum-able- s are indefensible." The company would like to see its customers return the aluminum cans for recycling, and it is lobbying against returnable glass bottles. According to Coors, if the continued on Page 12 It George m Salt Lake City, Utah Gragereen Publisher Alone E. Bentley Editor Ryan B. Petition Business Manager . Mary McM Mon Gabor Tony Swangor Stoll Reporters Peter Harrtoon Operations Manager DortsWerdle Grculaiion Manager cratic National Convention was being held in Kansas City and there were threats of still another round of controls. To protect itself, Coors said, the company raised prices another 9 percent in December. Trouble with Dealers The firm was protected from inflation, he said, but got into trouble with its California In California, he dealers. y explained, there is a Offering components for complete 45-da- waiting period from the announcement of a price increase until that increase becomes effective. That, he said, allows retailers to overstock on the cheaper beer and later pass the high cost on to customers. But, the Golden company wouldn't oversupply the re SOLAR ENERGY HOMES DISTRIBUTION CENTERS NEEDED FOR tr (tomb' tftn i Ufipn- - Swimming Pool Heating Systems Home Heating Systems Water Purification Systems tftIMMi s&i wu tlfM&lli KSU- - 9$3i |