By Tripp Mickle
Anheuser-Busch InBev NV confirmed Wednesday it is cutting jobs
and consolidating its sales division in the U.S. after the world's
largest brewer posted weak third-quarter results in its largest
market.
AB InBev declined to specify how many employees are being laid
off. The job cuts affect salaried employees in divisions ranging
from marketing and procurement to sales and brewery operations,
according to people familiar with the matter. One person estimated
hundreds of jobs could be eliminated.
The brewer has about 15,000 employees in the U.S., where sales
volumes of key brands like Budweiser and Bud Light have been
declining for years. The company reported last month that earnings
before interest, taxes, depreciation and amortization in the U.S.
fell 2.1% in the first nine months of 2014.
Anheuser-Busch Vice President, People Jim Brickey said in a
statement that the layoffs follow a "detailed business review" and
reductions "were minimized as much as possible." He added, "These
are always difficult decisions, but are important in evolving our
business and improving our competitiveness."
As part of the review, the company decided to consolidate its
sales force. It is reducing the total number of sales regions it
covers from eight to seven. The consolidation will be effective
Jan. 1.
The cuts at St. Louis-based Anheuser-Busch come six years after
Belgium's InBev bought the leading U.S. brewer for $52 billion.
Following the acquisition, AB InBev eliminated 1,400 positions in
the U.S., about 6% of its workforce before the merger.
Write to Tripp Mickle at Tripp.Mickle@wsj.com
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