MILWAUKEE (AP) -- Miller Brewing Co. is shaking up its beverage lineup with the beer maker's planned entrance in the gourmet soft drink market.
Miller is assuming control of three gourmet sodas -- root beer, vanilla cream and orange cream -- produced under the Henry Weinhard's brand name. The Milwaukee-based company acquired the sodas in April through its purchase of beer brands from Stroh Brewery Co.It marks the first time Miller has produced non-alcoholic beverages -- except for Sharp's, its non-alcoholic beer -- since the repeal of Prohibition. Miller's two largest rivals -- Annheuser-Busch Inc. and Adolph Coors Co. -- do not produce sodas.
"We view it as an opportunity," Miller spokeswoman Susan Henderson said Friday. She added that the Weinhard sodas had double-digit sales growth in 1998, with sales continuing to grow in the first half of 1999.
The Weinhard sodas are higher-priced specialty products sold primarily in Oregon, Washington and California, Henderson said. Miller plans to continue that market focus, although there will be limited distribution in other states, Henderson said.
In the three-way April deal, Stroh sold its brands to Pabst Brewing Co. and Miller.
In addition to the sodas, the Stroh brands sold to Miller were Henry Weinhard's beer and Mickeys malt liquor.
The Weinhard soda and beer brands both are produced at Stroh's brewery in Portland, Ore., which is scheduled to close soon.
When that happens, Miller plans to transfer production of both the Weinhard's beer and soda brands to its Tumwater, Wash., brewery, Henderson said.
Pabst has sold the Tumwater brewery to Miller, and Miller is to assume control of that site on Sept. 1.