ABI wanted to buy a company in Illinois. The Illinois Liquor Control Commission blocked the sale. And, so, we have a lawsuit on our hands.
Here are the details. ABI owns 30% of City Beverages, the largest distributor in Chicago. They want to own the rest of it and for the right number of millions - 150 to 200 - the owner was willing to sell.
But the state says no. The specific point is that ABI isn't based in Illinois. During this era of global corporations and international free trade that might seem like a petty distinction but it's what Illinois is going with. Back in 1934, right after Prohibition, the state passed a law saying that only in-state breweries could distribute directly to retailers. Other breweries have to go through the three-tier system: brewery to distributor to retailer.
I have a feeling that ABI will win this fight. Either way, it's going to be an interesting one to watch.
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