Friday, November 03, 2006

Saint Arnold's new Business

The other day I came across this article in the Ft. Worth Star-telegram detailing a new business arrangement between Houston's own Saint Arnold's Brewery and the restaurant/brewery chain BJ's Restaurant. Traditionally when BJ's moves into a new state they build a large restaurant brewery and use that as a distribution point to the other units within the state. However, that is illegal here in Texas (Texas has a few arcane beer laws). So to get around this they basically have to have their beer contract brewed. This is where Saint Arnold's comes in. Owner Brock Wagner has a contract with BJ's to brew their beer and get it distributed to the restaurants. They can actually distributed it anywhere they want, but due to lack of advertising the only requests come from BJ's itself. In the long run, this is actually going to really help out Saint Arnold's. Including the BJ's beer means they are increasing production and it let's Brock buy new and better equipment long before he might have if he was just brewing Saint Arnold's. This can help with better beer, better consistency, and help in expansion. I say good business deal for Brock.

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