Back in June Markstein Beverage Co. was forced to sell its distribution rights in northern San Diego County to Reyes Beverage Group.
“Terminations without cause, particularly of distributors that took risks and helped build those brands create distrust in trading partners,” Jim Matesich, NBA chairman, said.
Reports in other media suggest that Constellation Brands is severing contracts with Ace Beverage, Triangle Distributing and Beauchamp Distributing Co. and transferring their distribution rights to Reyes.
NBWA president and CEO Craig Purser added that beer companies that terminate “highly performing distributors without cause” lead to “distrust and hurt the entire beer category.”
“Supplier terminations negatively impact the industry and call into question the mutual loyalty that’s been generated by years of investment in each other,” he said. “These type of supplier actions take focus away from building beer brands and investing in the category.”