Our intention to produce locally Heineken beer intended
for the French market also fits into this approach. With a
view to this the brewery at Schiltigheim was adapted.
During 1981 the production of Fleineken beer there will
In addition, a start was made at Schiltigheim on the
installation of a second bottling line. Both there and at
Mutzig the fermentation and storage capacity was mod
ernized. The gradual replacement of the stock of barrels
In the wage negotiations agreement was reached on a
cost-of-living increase and a 1% wage increase. An
agreement was also reached on adjustment of the num
ber of personnel, especially through early retirement.
A policy aimed at further improvement in industrial safety
proved effective. Arrangements have been made to lo
wer the level of noise nuisance in the operating es
tablishments and to reduce polluting effects.
The amounts devoted to training and instruction of per
sonnel were well above the legally prescribed minimum.
In Greece the beer market continued to show a favour
able picture. In March 1980 we were able to increase the
prices of beer. The continuing growth of our market share
was gratifying, but for the immediate future we anticipate
intensification of competition. The country appears to be
becoming more and more attractive for the establish
ment of other breweries.
As in other countries, increasing influence of govern
ment is noticeable in the field of energy saving and
environmental protection. With a view to the latter, ap
paratus for the treatment of waste water is being installed
in our establishment at Thessalonika. The brewing and
cellar capacity there was doubled.
For the two production units (Athens and Thessalonika)
a new labour agreement was concluded early in 1980.
The working hours per week were somewhat shorte
In the industrial centres it is becoming more difficult to
recruit semi-skilled and unskilled personnel.
Sales in Italy were affected by a sharp increase in excise
duty. In the slightly declining beer marketthe competition
from imported beers increased. The price level was to
some extent adjusted to the development of costs.
Early in 1980 the brewery Moretti Sud S.p.A. at Popoli in
Central Italy was acquired by our Italian subsidiary Dre-
her, the second largest brewery group in Italy. This brew
ery has a capacity of about 220,000 hectolitres. By this
acquisition a more balanced spread of production units
and distribution has been achieved. The brewery was
made suitable for the production of Dreher beer. Further
adjustments in the production capacity are in course of
preparation. The brewery at Massafra was considerably
extended. The construction of a waste water purification
plant is in progress.
We now possess five production units in Italy.
At national level a new collective labour agreement for
the foodstuffs industry was concluded in March 1980
which is due to run for a period of three years. It relates to
almost our entire personnel, with the exception of mana
gerial staff. A real improvement in wages is given in two
ways. Everyone receives an equal amount, plus an
amount linked to the weight of the job.
I n the United Kingdom Fleineken sales were under press
ure. Nevertheless the brand has stood up relatively well,
having regard to the decline in total beer sales and the
introduction of several new brands of lager beer. It is
expected that Fleineken will manage to maintain its pos
ition as one of the leading lager brands on the British
As expected, there was a sharp increase in the otherwise
modest sales of Fleineken beer in Ireland.
Heineken sales in Norway were at practically the same
level as in the previous year.
For the first time for many years the course of affairs as
awholeinthe United States was disappointing, though
developments in the various states showed distinct
differences. Sales in hotels, restaurants and cafés, the
strongest market segment for Heineken, encountered
the negative influence of the reduction in disposable
income as a result of the recession. Competition from
imports of foreign beers at relatively low prices was also
The economic recession, as well as the high level of
interest rates, caused a substantial contraction of stocks
in the distributive trade. Particularly as a result of this our
shipments to the United States were under pressure. In
the first half of 1980 the deliveries fell by 20%. Although
the second half showed a considerable improvement,
total deliveries were 8% down on the 1979 figure.
In order to be able to follow and co-ordinate our activities
in behalf of the American market even better, we have
opened an office in New York.
During the period under review a test was made in a
number of states with low-calorie beer under the trade
mark Amstel Light.
Through a cautious pricing policy sales in Canada have
recovered. Compared with 1979, there was a growth of
In the Netherlands Antilles sales were up on the previous