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06.19.2008 3:48 pm

Slay skeptical of InBev chief’s claims

St. Louis Post-Dispatch
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Mayor Francis Slay — who has a brother and sister who work at Anheuser-Busch — spoke to InBev chief Carlos Brito today about his company’s hostile takeover attempt of the St. Louis brewing icon.

The mayor is the latest public official to hear from Brito, who earlier this week made the rounds on Capitol Hill, meeting with, among others, U.S. Sen. Claire McCaskill and U.S. Rep. Todd Akin.

Slay said he was skeptical about Brito’s claims that, should the acquisition go through, the Belgium-based beer company would keep the combined firm’s North American headquarters on Pestalozzi Street and not close any U.S. brewing operations.

“The things he was saying were the things that, obviously, you want to hear,” Slay said in an interview this afternoon. “But what I told him was: How can I believe you? How do we know this is really going to happen?”

He cited the example of Federated Department Stores, the owner of Macy’s, which purchased the previously St. Louis-based May Co. and its Famous-Barr chain.

“We were told that Federated was going to put Macy’s Midwest headquarters here in St. Louis,” Slay recalled. “They did do that. They put the headquarters here. Now, two years later, it’s gone.”

Brito told Slay that InBev would be sensitive to local issues, should the takeover bid go through.

“And, of course, I said I cannot support that, will not support it, have not supported it,” Slay said.

Listen to the whole interview below, done outside a glass store in Lafayette Square.

Listen 

16 comments

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In the last 10-15 years St. Louis, has watched SWB leave STL, Ford close a plant, Nestle buy Ralston, TWA bought out and closed, Federated bought out May, has been swindled by the Rams/Cards for new stadiums, conned into believing BP Village would be built, the Kiel still closed, Public Schools in shambles, and crime and murder creeping up, what else am I missing folks.

Slay wasn’t mayor for all of the occurrences but he shares some responsibility. Pretty lame resume for the city and administration.

— Amazedbythelunacy
4:22 pm June 19th, 2008

Slay don’t trust him no further than you can throw a Clydsdale.

He will tell everyone exactly what they wont to hear and after the deal is done, down will come the hammer and he will have the same excuse Federated had, “business climate changed”!
The business climate will likely change in this town as many will find another beer.

— kdunlap
4:26 pm June 19th, 2008

Amazedbythelunacy, while I have my complaints about Slay, I hardly think its fair to point toward him when talking about corporate buyouts and mergers. He has no power to stop them other than making a convincing argument. One which, in reality, would fall on deaf ears. And the Ford plant wasn’t even in the City.

Bad things have happened under his watch, but the Downtown resurgence has also happened. That is something more associated with him too. Downtown during the Bosley Jr era was in shambles. Its not perfect new, but the improvements are night and day.

— MattK
5:19 pm June 19th, 2008

Yeah, not sure how Slay has anything to do with this either. But I do agree with what they say and what they will do. I knew Macy’s would leave after being bought out. Why keep any sort of headquarters here when you can move it to your other midwest headquarters? They can just wait a couple of years so we all forget and do what they want. Takes about that long to make it happen anyway. Same thing will most certainly happen with AB if this happens as well. Why keep it in stl when you could move it to one of the coasts? It’s all about the $ and ours is down so say hello to a lot more foreign investment.

— Gary
5:33 pm June 19th, 2008

after just watching a bunch of hedge fund investors(and we know there are more out there) being arrested for fraud in relation to the real estate scam, I am findng this deal totally unbelievable. There are that many creditors out there willing to loan this massive amount of money to 1 thing??
This guy is going to have to sell his own mother to make this work. What are the credit terms?? I can’t help but in a few years we will be wittnessing another credit nightmare with companies going under for this deal.
Stockholders wanting their money now is sickening. Sell it today and move on, don’t let us keep you in your misery any longer. Most of the older stockholders know their stock has split many times in their ownership and it has served them well. There are that many stocks out there anymore that are steady and earn decent dividends.

This is not the answer people, this deal smells of death. Death to many businesses, people’s retirement,healthcare, city, county, countless other cities/counties througout the U.S.(AB is all over the U.S with its breweries,theme parks, packaging etc.) This is not just an American thing. It is a watching out for our own backyard thing.

— Lisa
5:34 pm June 19th, 2008

Being a resident of the city for over a decade I have to say Slay is the first Mayor I can remember that has done more good than wrecking it. People are actually moving back to the city and going to it for entertainment instead of going to a Cards/Blues/Rams game, running to their cars, locking the doors and speeding back to the county…….

Crime goes up, crime goes down, he’s always been an advocate of getting more police on the streets, making neighborhoods safer by demo’n vacant buildings and holding building owners accountable for keeping it up to code and rehabbing it instead of letting it sit and decay. Washington Ave was almost all decaying buildings (I should know, I lived there about 8 yrs ago), now the bulk have been renovated or being renovated, 10 yrs ago that was a distant thought. They still have a long way to go, but the progress is impressive. Ditto with the Urban Garden going in across from the ATT building

So before we blame Slay for everything including stubbed toes and paper cuts, let’s look at where the city was before he was elected and where it’s gone. I’d say it’s night and day positively

— I Have a short attention span
5:40 pm June 19th, 2008

I am not condoning any of these mergers, moves, etc. I didn’t understand that St. Louis could save everybody else but not step in to save TWA. I have several friends that work for AT&T/SBC and they tell me that there are more people working for AT&T in St. Louis than any place in the world. The AT&T CEO is from San Antonio, TX and wanted to be close to home. Allegedly, that is.

— KMM
5:46 pm June 19th, 2008

I am much more skeptical of anything Mayor Slay says, than I am of what Carlos Brito says. When Brito wants a property (Anheuser-Bush), he makes a very public offer for everyone to see. No sunshine problems here. When a developer with political connections wants a property, he has a private meeting with the Mayor and next thing you know, the existing property owner gets a notice of eminent domain. Mayor Slay says, How can I believe you? How do we know this is really going to happen? Very ironic words to come from Mayor Slay. Has he forgotten Ballpark Village, Centene, Pyramid’s half dozen or so projects, the Bottle District, Gentry’s Landing, SkyHouse Condo, Good Works Store, Old Lemp Brewery, scaled down Park Pacific, Dunnigan Hilton’s plans for 468 houses on Cora Avenue & Dick Gregory Place, Ford Condominium project at 14th & Pine Streets, etc. etc. When are these projects really going to happen?

— clearthinker
6:01 pm June 19th, 2008

I am frustrated and appalled by this situation. My Grandfather retired from AB and both he and my elderly grandmother rely on AB for their Insurance among other things. The both of them have severe medical issues and were it not for their insurance through AB …well they may not be here today. What is sacred in America anymore? You can’t call your cell phone, mortgage company or cable provider without talking to someone in Burma or India. How many of our customer service jobs have been sent overseas due to the almighty dollar? Now AB, as American as apple pie (yes, I know the Bush’s are German) is about to be sold to the highest bidder to a foreign company? Outrageous and it makes me sick. I feel very sorry for the workers of all the companies that have been pulled out of St. Louis or sold to out of country conglomerations but when is enough enough? Someone has to step up to the plate and voice how WRONG this is. My husband is Bud Select drinker. When I drink, it’s Bud Light. I hope that every red blooded American steps up to the plate and NO LONGER DRINKS BUSH PRODUCTS. Let InBev own a worthless POS company for their Billions paid out.

— Goodbye2Americana
6:06 pm June 19th, 2008

Can’t you see this is a pun by the post-dispatch (king in a one newspaper towns) to show that a spade is calling another spade. To get elected we hear politicians promise anything and everything similar to what InBev CEO is claiming to do. But the hilarious part is that Slay wants another political/businessman to be honest with him…give me a break! This is too hilarious.

As for Slay not being blamed for St. Louis’ woes, I quote: All it takes for evil to triumph is for good men to do nothing. So perhaps Slay inherited some of this, but in the long run did he really do all that much to help St. Louis, we’ll find out in 5-10 years when we learn that all the developers in town were given tax abatements and all kinds of free services to attract them, while the Cards and Rams feast off the city; never paying anything like they should have to or living up to their agreements.

— Bob
6:17 pm June 19th, 2008

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