SABMiller serves up flat lager sales

In a trading update for the third quarter ended 31 December, SABMiller plc, reported that consumer demand has been affected by the current global economic slowdown, and had continued to weaken in many of the group's markets. Overall, lager volumes for the third quarter were 1% ahead of the prior year, and 2% ahead for the year-to-date although on an organic basis, the volumes declined 1%, and were in line with the prior year on a year-to-date basis. Results varied across the six continents where SABMiller – whose brands include Grolsch, Peroni and Miller Lite, -- has brewing and distribution interests. In Latin America, lager volumes grew by 2% in the quarter reflecting a 6% drop in Colombia, a 14% increase in Peru and 15% growth in Ecuador. In Europe, lager volume declined 1% as the region experienced the impacts of the global financial crisis on consumer disposable income. They grew in Poland (up 2%), slowed in Romania (to 11%) but fell 22% in Russia. In the US domestic sales to retailers decreased 2.3%; in Africa and Asia lager volumes increased 2%, but were flat in China as its economy slowed.