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09.02.2009 9:30 am

Post-InBev, where did August Busch IV go?

St. Louis Post-Dispatch
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This is for any Lager Heads readers who missed our story in the Post-Dispatch on Sunday. We wanted to know: Where is August Busch IV, the former CEO of Anheuser-Busch? Ever since InBev took over Anheuser-Busch, Busch has been flying under the radar, despite seeming to have an assigned role in the combined company.

Anheuser-Busch InBev said Busch’s work for the company has been limited to behind-the-scenes activity. A spokeswoman told us that his contributions “have proven very valuable,” especially relating to the U.S. market. She did not enumerate those contributions. The company also declined to say how many board meetings Busch attended, or when.

Excerpts from the story:

Busch wasn’t supposed to slip out of the public’s eye [after the InBev deal]. The new regime had given him a seat on the board of the combined company and a lucrative consulting deal - indications that he would be a sort of public ambassador for the new Anheuser-Busch InBev. Many expected him to ease Anheuser-Busch’s transition to new ownership, and act as a liaison between the new owners and A-B’s many constituencies.

It hasn’t worked out that way.

Since the buyout, Busch has not been spotted at industry events. No quotes in media reports, no pictures at meet-and-greets. From trade meetings to sales conferences with distributors, Busch has been a no-show.

“He has not been visible in the beer industry,” said Harry Schuhmacher, editor of Beer Business Daily. “I just haven’t heard of him being around.”

The disappearance seems odd given how much InBev paid for Busch’s services. As part of the buyout, InBev made him a highly paid consultant for Carlos Brito, CEO of the combined company.

Busch, 45, received $10.35 million as a lump sum and started collecting additional fees of about $120,000 a month. He also got a personal security detail and free access to events sponsored by A-B.

The official merger document seemed to outline a clear role for him at Anheuser-Busch InBev. At Brito’s request, Busch would advise InBev on new products; review marketing programs; meet with retailers, wholesalers, advertisers and the media; scrutinize the quality of Anheuser-Busch’s beers; and give advice about A-B’s relationship with charitable organizations and local communities.

“He was supposed to represent continuity from one era to the next, but I don’t know if he’s played much of a role” in the combined company, said Benj Steinman, editor of Beer Marketer’s Insights.

Busch , who studied finance at St. Louis University, was most known inside Anheuser-Busch as a marketer before he was named CEO in 2006. He helped guide big, successful campaigns including “Whassup” and the Budweiser frogs.

But it’s not clear if he can use that marketing expertise, if not with Anheuser-Busch InBev. For Busch, the deal with InBev appears to represent a pair of golden handcuffs. InBev’s various non-compete and anti-nepotism rules might prohibit Busch from owning a brewpub, microbrewery, or beer wholesaler. Bottom line: We’ll keep our ear to the ground to see if anything changes.

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11 comments

Comments are closed.

Hey Jeremiah McInbev, instead of posting 6 things in 15 minutes, like yesterday, maybe you could hold one or two of those items back for the next day, instead of copy/pasting old stuff.

August IV got handed a check to go away. That’s what corporate d-bags do. They approve massive checks to hand out to each other for doing not much at all.

— b
10:26 am September 2nd, 2009

b,

You’re a breath of fresh air. /sarcasm.

— El Norte
12:33 pm September 2nd, 2009

Just caught up on all the recent Lagerhead posts. Whaasssuuup (a little AB humor). . . with everyone railing on Mr. McWilliams. Instead of moaning and wailing about what ya’ll deem poor reporting, why don’t one of you super slueth investigative reports start your own beer blog and show us all how it’s done. Sheesh!! I personally enjoy your blog Jeremiah, keep up the good work. For the rest of ya’ll, have a beer and relax!

— Muleskinner
3:29 pm September 2nd, 2009

I second that thought, Muleskinner! Jeremiah - keep up the good work.

— DustyRusty
7:12 pm September 2nd, 2009

“Consultant” and “liaison” are just hollow titles. InBev paid Busch IV big bucks to go away and keep his mouth shut about what this corporate takeover really means — that eventually St. Louis will no longer be the North American headquarters for Anheuser-Busch products. In recent months, the AB InBev folks started setting up shop in New York, and that’s where everything will shift. You can be sure that several hundred more St. Louisans will lose their jobs before it’s all over. One day the AB InBev buildings in downtown St. Louis will become residential loft space….mere monuments to an old city industry (just like Majestic Stove, etc.)

— Fountain of Truth
5:21 am September 3rd, 2009

WHOA! Check out the reader comments on PAGE 2, 3 posts ago (Lager Heads asks for help).

— Jimmy Jones
2:49 am September 4th, 2009

Where did August III go?

— STL Fan
12:47 pm September 4th, 2009

AABIII faded into oblivion after derailing and steering the company into a foreign takover through stupidity and mismanagement. AABIV had to get de-toxed and is probably looking for a job. He considered a CFO job in California - Not sure if he ever took it.

— Mike
10:39 pm September 4th, 2009

Why would he be looking for a job? He got millions to do nothing, and that’s what he’s doing. He’s probably on a boat somewhere laughing about all the people who are losing their homes because they no longer have jobs.

— b
1:04 am September 5th, 2009

You can usually find AugustIV sitting in a plush office in Clayton doing a lot of nothing, having long lunch meetings… Working part time hours for a nice hefty salary.

— Laura S
2:47 pm September 5th, 2009

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