The Pabst Brewing Company () is an American company that dates its origins to a brewing company founded in 1844 by Jacob Best and was, by 1889, named after Frederick Pabst. It is currently the holding company contracting for the brewing of over two dozen brands of beer and malt liquor from now defunct companies including Pabst Blue Ribbon, P. Ballantine and Sons Brewing Company, G. Heileman Brewing Company, Lone Star Brewing Company, Pearl Brewing Company, Piels Bros., Valentin Blatz Brewing Company, National Brewing Company, Olympia Brewing Company, Falstaff Brewing Corporation, Primo Brewing & Malting Company, Rainier Brewing Company, F & M Schaefer Brewing Company, Joseph Schlitz Brewing Company, Jacob Schmidt Brewing Company and Stroh Brewery Company.
The company is also responsible for the brewing of Ice Man Malt Liquor, St. Ides High Gravity Malt Liquor, and retail versions of beers from McSorley's Old Ale House and Southampton Publick House (of Southampton, New York).
Pabst is headquartered in Los Angeles, California. On November 13, 2014, Pabst announced that it had completed its sale to Blue Ribbon Intermediate Holdings, LLC. Blue Ribbon is a partnership between Russian-American beer entrepreneur Eugene Kashper and TSG Consumer Partners, a San Francisco-based private equity firm. Prior reports suggested the price agreed upon was around $700 million.
In 2017 the company opened the Pabst Milwaukee Brewery, a brewpub located in an old chapel on the original Milwaukee Pabst Brewery campus, that brews relatively small batches of craft-type beers and long-discontinued, historic Pabst brands (such as Old Tankard and Andeker).
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History
Founding
The original brewery was founded in 1844 as The Empire Brewery, later Best and Company, by brewer Jacob Best. The brewery was run by Jacob Sr. and his sons Phillip, Charles, Jacob Jr., and Lorenz. Phillip took control of the company in 1860. They started the brewery on Chestnut Street Hill in Milwaukee with a capacity of 18 barrels (2.9 m3). Later, in 1863, Frederick Pabst, a steamship captain and son-in-law of Phillip Best, bought 50% of Phillip Best Brewing, and assumed the role of vice president. In 1866, Best's other daughter, Lisette, married Emil Schandein, who Best sold the remaining half of the business to. This move made Frederick Pabst president, and Lisette's husband vice-president. Lisette Schandein took over as vice-president of the company through 1894 after her husband's death.
By 1874 Phillip Best Brewing Co. was the nation's largest brewer. The brewery's best seller was a lager, "Best Select," which began public sales in 1875.
20th century
During Prohibition, Pabst stopped making beer and switched to cheese production, selling more than 8 million pounds of Pabst-ett Cheese. When Prohibition ended, the company went back to selling beer, and the cheese line was sold to Kraft.
Pabst was renowned in Milwaukee for its brewery tours. Visitors to Pabst's tour were rewarded with sometimes bottomless glasses of beer at its end-of-tour Sternewirt Pub. Complete with a statue of Captain Frederick Pabst and waitresses pouring from pitchers of Pabst Blue Ribbon, Pabst Bock, and Andeker, the pub was popular with tourists and locals alike, especially students from nearby Marquette University and the University of Wisconsin-Milwaukee. Pabst's sales reached a peak of 15.6 million barrels in 1978 before they entered into a steep decline.
Kalmanovitz era
Paul Kalmanovitz, a "self-made beer and real-estate baron," purchased the Pabst Brewing company in 1985 for $63 million in a hostile takeover through the auspices of his holding company S&P Co.; S&P Co.'s first brewery was Maier Brewing Company, purchased in 1958. When Kalmanovitz died in 1987, S&P became legally inseparable from the Kalmanovitz Charitable Trust.
In 1996, Pabst's entire beer production was contracted out to the Stroh Brewery Company, which utilized excess capacity at the former flagship brewery of the G. Heileman Brewing Company of La Crosse, Wisconsin it had absorbed earlier that year. In turn, the historic Pabst brewery in Milwaukee was closed, ending a 152-year association with the city and turning that company into a virtual brewer. In 1999, Pabst purchased the Stroh label, and the brewery in La Crosse was sold to City Brewing Company. In 2001, production was contracted to Miller Brewing Company, and by then what remained of the Pabst company operated out of San Antonio.
S&P was ordered by the IRS to sell the Pabst Brewing Company by 2005 or lose its not-for-profit, tax-free status. After a while, Pabst Brewing claimed that they were unable to find a buyer at market value and requested an extension until 2010 that the IRS granted.
In 2006, CEO Brian Kovalchuk resigned and the board replaced him with Kevin Kotecki. Kotecki swiftly moved the Pabst Brewing Company and its roughly 100 headquarters personnel to Woodridge, Illinois, a Chicago suburb. The offices in Woodridge were located on historic US Route 66.
Between 2005 and 2010, "PBR brand volume increased 69%, and Pabst's gross margins increased 48 percent, operating profit rose 81 percent, and net revenue per barrel increased 28 percent."
On May 28, 2008 a former Pabst Brewery in Newark, New Jersey, which was in the process of being demolished, caught fire and was seriously damaged.
Metropoulos era
On May 26, 2010, investor C. Dean Metropoulos reached a deal to purchase Pabst for about $250 million. On May 14, 2011, it was announced that Pabst would be relocating to Los Angeles, California.
Pabst retains a data center in San Antonio, Texas, the previous location of its headquarters. Pabst's shuttered brewery complex in Milwaukee was targeted to be redeveloped into restaurants, entertainment venues, stores, housing and offices. The $317 million project became the subject of public debate in Milwaukee.
Kashper era
Pabst Brewing Company announced November 13, 2014 that it had completed its sale to Blue Ribbon Intermediate Holdings, LLC. Blue Ribbon is a partnership between American beer entrepreneur Eugene Kashper and TSG Consumer Partners, a San Francisco-based private equity firm. Prior reports suggested the price agreed upon was around $700 million. Redevelopment of the historic Pabst campus continued, with the original brewhouse converted into a hotel, other buildings converted into condominiums and offices, and others still to be redeveloped.
In July 2015, Pabst announced plans to return to Milwaukee and build a small brewery on the site of the original Pabst Brewing "complex." This was completed and opened in early 2017.
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Outside of the United States
Pabst Blue Ribbon America has a licensing agreement and joint venture arrangement with China Pabst Blue Ribbon. It is produced, marketed and distributed by CBR Brewing Company, which jointly owns the company along with Guangdong Blue Ribbon Group under a sub-licensing agreement with the Pabst Brewing Company. CBR is a British Virgin Islands owned company but it is based in China. China Pabst recently released a new beer called Pabst Blue Ribbon 1844 for consumption in the domestic market; it sells for $44 USD a bottle.
In 1999, Sleeman Breweries in Guelph, Ontario, a division of Sapporo Breweries, acquired Stroh Canada which owned the Canadian rights to a folio of brands, including Pabst. Sleeman then became the Canadian manufacturer and distributor of those products.
Product lines
Pabst Blue Ribbon
Pabst Blue Ribbon, also known as "PBR", is the namesake of the Pabst Brewing Company products. Originally called "Best Select," and then "Pabst Select," the current name came from the blue ribbons that were tied around the bottle neck, a practice that ran from 1882 until 1916, discontinued due to a silk shortage during World War I. It was once again tied around the bottles after prohibition from 1933 until 1950.
Jacob Best
"Jacob Best Pilsner" is a pale lager named after Pabst's founder, Jacob Best.
Ballantine
"Ballantine IPA" re-launched in August 2014 after nearly 20 years off the market. This is Pabst's foray into the craft beer market. Ballantine's flagship beer, "Ballantine XXX Ale," has remained on the market since Prohibition ended. Ballantine Brewery was acquired by Pabst in 1985 when it bought the Falstaff Brewing Corporation.
Schlitz
"Schlitz" was first brewed by the Joseph Schlitz Brewing Company in Milwaukee. Schlitz was one of the world's top-selling beers during the first half of the 20th Century. Pabst Brewing Company also produces four Schlitz malt liquors--Schlitz Red Bull, Schlitz Bull Ice, Schlitz High Gravity, and Schlitz Malt Liquor.
Blatz
"Blatz" was the flagship brand of the Valentin Blatz Brewing Company of Milwaukee, Wisconsin. The brewery was a major competitor of Pabst, Miller, Heilemen, and other Milwaukee brewers, but was bought out in 1968 by Pabst. Pabst continued to produce Blatz beer into the 1990s when it was discontinued. The brand was revived in 2007.
Old Milwaukee
"Old Milwaukee" is a pale lager. It was first brewed in 1890 by the Joseph Schlitz Brewing Company in Milwaukee, and was re-introduced in 1955 as a value priced beer.
Colt 45
"Colt 45" is a brand of malt liquor first produced in 1963 by the National Brewing Company in Baltimore, Maryland. Colt 45 is the namesake of running back Jerry Hill (#45 of the 1963 Baltimore Colts).
St. Ides
"St. Ides" is a brand of malt liquor first launched by the McKenzie River Corporation in 1987. St. Ides gained prominence during the late 1980s and early 1990s through the use of celebrity endorsements by rap artists such as Ice Cube, 2Pac, Dr. Dre, Snoop Dogg, Scarface, The Notorious B.I.G., and Method Man & Redman.
Stroh's
The Stroh Brewery Company in Detroit, Michigan first brewed "Stroh's beer in 1850. Stroh's is an American-style lager.
Old Style
"Old Style" was first brewed in 1902 by the G. Heileman Brewing Company in La Crosse, Wisconsin under the name Old Style Lager; it was popular in Wisconsin, the Chicago metro area, Minnesota, eastern Iowa, Lincoln, Nebraska, southwestern Michigan, Upper Michigan, and Fargo and Grand Forks, North Dakota. It has been served at Wrigley Field for many years, and is popular with fans of the Chicago Cubs. The original Heileman's Old Style brewery in La Crosse is now owned by the City Brewing Company. It brews La Crosse Lager, which is based upon the original Old Style recipe and is kräusened for 30 days. This beer is the basis for the brewery's nationally-distributed "DB Hobbs" brand.
In the early 1990s, Chicago-born actor Dennis Farina made a series of commercials for Old Style beer, mentioning that it was "our great beer... and they can't have it." The production of Old Style has returned to its birthplace in La Crosse. In a contract with Pabst, City Brewery became the sole producer of the Old Style brand. Along with the homecoming of the beer, the brand introduced "Old Style Oktoberfest."
Lone Star
"Lone Star" was first brewed by Lone Star Brewing Company in San Antonio, Texas. It was Lone Star Brewing Company's main brand and marketed as "The National Beer of Texas."
Olympia
The Olympia Brewing Company in Tumwater, Washington first brewed "Olympia" beer. Olympia is an American-style pale lager.
Rainier Beer
"Rainier Beer" was first brewed in Seattle, Washington by the Rainier Brewing Company. It is popular in the Pacific Northwest of the United States.
Schmidt Beer
"Schmidt Beer" was first brewed by the Jacob Schmidt Brewing Company in St. Paul, Minnesota in 1855. It is popular throughout the Upper Midwest.
National Bohemian
"National Bohemian" was the flagship beer of the National Brewing Company in Baltimore, Maryland. It is a Bohemian-style American beer. Ninety percent of National Bohemian sales are in the Baltimore area.
Former independent brands
Andeker
Pabst introduced a premium brewed European style lager called Andeker in 1939. After dying out in the 1960s it was brought back from 1972 to 1986, brewed from extra-rich malt, specially selected grain, and select hops, then given extra ageing - lagering in German - to develop a full, rich, smooth "continental" taste, according to its promotions.
It has been described as "The most European of the Americans, with full body and well-modulated flavor. Creamy rather than violently carbonated, sharp but not bitter."
Red, White and Blue
Red White & Blue was a brand of beer produced and sold by Pabst from before Prohibition until the mid-1980s. Pre-Prohibition advertisements lauded its "mellow" taste and drinkability. After years of average sales, the brand saw significant growth in the early 1980s due to creative marketing campaigns. However, Pabst reformulated it to reduce costs and by the mid-1980s it was known as a "cheap beer". Sales steeply declined and the brand was discontinued.
Awards
Awards at the Great American Beer Festival:
Awards at the World Beer Cup:
Golden Icon Awards by Travolta Family Entertainment:
Pabst Brewing Company won "Large Brewing Company of the Year" at the Great American Beer Festival in 2011, 2012 and 2016.
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Footnotes
Further reading
- Thomas C. Cochran, The Pabst Brewing Company: The History of An American Business. New York: New York University Press, 1948.
Source of the article : Wikipedia
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