Beer sales in Africa Brewed under the supervision of Heineken (in millions of hectolitres) 6.0 6.3 7.0 7.4 6.2 1981 1982 1983 1984 1985 Agreement was reached on the acquisition of a 51% interest in Brasseries de Bourbon S.A. in Réunion. The brewery is the only one on this island situated in the Indian Ocean, east of Madagascar. In 1986 Heineken will undertake the management of the enterprise, which also has soft drinks interests. Asia/Australia/Oceania Heineken has interests in brewery enterprises in Indo nesia, Singapore (with interests in Singapore, Malay sia. Papua New Guinea and New Zealand), New Cale donia, Jordan and Lebanon. Group products are manu factured under licence at all our affiliates, as well as in Japan, South Korea and Tahiti. Soft drinks are also produced in Indonesia, New Caledonia and Papua New Guinea. Economic developments in the Far East were generally not positive in 1985. The prices of commodities, including oil and products of tropical agriculture - which are so important for this region - remained low. Nevertheless, after years of being sluggish, beer sales in 1985 were higher than in 1984. Lower exchange rates in Asia had a negative effect on our earnings. Exports to the Far East. Australia and Oceania did well. The expected economic recovery in Indonesia failed to materialize in 1985. The fact that nevertheless the beer market showed a slight growth was because cost-increa sing factors were not passed on in the price of beer. P.T. Multi Bintang Indonesia managed to achieve a larger market share in 1985. Despite the contraction of margins, earnings were higher as a result of increased sales. There was some increase in sales of Green Sands shandy and soft drinks. Towards the end of 1985 the introduction of Malta in Indonesia took place. Sales of Tiger beer - produced under licence from Malayan Breweries Ltd. - are proceeding according to expectations. The specific mar ket segment for this product is in fact limited in extent. In the financial year 1984/1985 the Malayan Breweries group as a whole was able to maintain the trading profit in local currency. In Singapore economic growth came to a standstill, as a result of which there was some decline in sales. During the year under review it was decided to build a new brewery in Singapore to replace the existing production facilities. The investment is being financed from Malayan Breweries' own resources. In Malaysia. Malayan Breweries managed to increase sales in a recovering beer market: the market share was maintained. Sales of the Heineken beer launched in 1984 developed favourably. In Papua New Guinea the beer sales by South Pacific Holdings Ltd.. an affiliate of Malayan Breweries, remained at the previous year's level. To broaden the basis of the enterprise the soft drinks activities were considerably extended. This put incidental pressure on earnings. As a result of the political situation in New Caledonia sales of beer outside the capital Nouméa were forbidden during 1985. As a result of this, beer sales by Grande Brasserie de Nouvelle Calédonie S.A. were down on the previous year. However, the increased sales of Green Sands shandy and soft drinks, as well as price increases, contributed to an improvement in earnings. in Jordan there was a further decline in sales of Amstel beer brewed by Jordan Brewery Ltd. The sales of Amstel in Lebanonproduced by Brasserie et Malterie Almaza S.A.L.. rose considerably. Owing to the political situation there was a sharp setback in sales of Heineken to that country. Despite the declining economic activities in the Middle East there was a substantial increase in sales of Heineken and Amstel to the Gulf States. 31

Jaarverslagen en Personeelsbladen Heineken

Jaarverslagen | 1985 | | pagina 28