Lowering tax rates for spirits-based RTDs didn't pan out exactly as expected in Michigan and Nebraska, according to report issued by Maryland Alcohol and Tax Commission earlier this mo. While MI's "mixed spirits" tax revs still increased slightly in 2022, projected revenue without the tax break for RTDs is around 60% greater, the MD report shows. And in NE, total alc bev tax revs slipped 0.4% in 2022, when they would have increased by 6.4% without the rate reduction for RTDs. MD ATC concludes that reduced rates have "not led to an increase of sales of these products to fully offset the revenue loss."

FIFCO USA announced that it promoted Cedric Smith from region veep to chief sales officer. Cedric will oversee sales ops, including "wholesaler relations, chain account and channel management, and trade marketing and execution." Cedric joined FIFCO in 2019, and prior to that worked for ABI/AB for almost 15 yrs, according to his LinkedIn profile. He replaces Dan Hennessy, who left for Moet Hennessy, after 2 yrs, earlier this mo (see Feb 14 issue).

Athletic Brewing and Super Coffee teamed up to make "the world's first pre-workout brew," cos announced and Athletic ceo Bill Shufelt, Super Coffee co-founder/ceo Jimmy DeCicco and Athletic comms manager Chris Furnari shared with INSIGHTS. "Suped Up" is an "Extra Dark" non-alc brew made with 2lbs of coffee per barrel and upcycled barley rice protein, clocking in at 130 calories, 23g carbs, 5g protein and 0g fat. Essentially a protein coffee in non-alc beer format, tho due to TTB regs, it can't list how much caffeine per can on the label, Bill acknowledged. This is an oppy for Athletic to test out the functional bev space with collab partner in Super Coffee/Jimmy where there's "mutual admiration." Plenty of folks drink beer after they work out, but "there's no reason" there shouldn't be a (non-alc) beer for "before you work out too," Jimmy added.

Keurig Dr Pepper's recent $51-mil investment in Athletic Brewing scored 'em a 13.7% stake, recently issued 10-K filing detailed and our sibling pub Beverage Business INSIGHTS reported. That implies $372-mil valuation for Athletic. Below the guesstimated $500-mil valuation published in recent Forbes cover story (see Feb 15 issue) and well below $1-bil number that was floated around by some industry observers at various points of Athletic's rapid growth trajectory. But we've been down the road of bigger valuations in craftland before. Seems to put Athletic total $$ valuation more in line with New Belgium, Bell's, CANarchy, Dogfish and SweetWater deals, selling fewer bbls than most of em and making less (no) money on operations yet. But Athletic growth still off to the races in early 2023; $$ sales up 147% for 4 wks thru Jan 29 in IRI multi-outlet + convenience data, becoming #25 beer supplier by $$, just behind SweetWater.

For first time in 10 mos, beer distrib orders rose in Feb vs year ago and at-risk inventory contracted vs year ago, latest NBWA Beer Purchaser's Index report suggests. Recall, BPI readings above 50 indicate growth vs same period year ago while below 50 indicates decline. So BPI reading of 54 and at-risk inventory at 46 touted as "positive news for the beer industry," per NBWA chief economist Lester Jones. "For most of 2022, beer distributors were cautious with respect to their beer purchases" and there was "too much inventory in distributors' warehouses." But "after two disruptive years," and many mos of beer distribs "playing it safe," this is a "good spot to be in," Lester added to INSIGHTS separately.

World's largest distiller, which sells 200 brands in 180 countries, still sees plenty of runway for spirits growth here in US. Closing out key CAGNY (Consumer Analyst Group of NY) conference of Wall Street analysts last week, Diageo ceo Ivan Menezes oozed confidence about future growth in US spirits biz. Didn't mention Diageo missed US estimates in first half (tho fine globally). Expects the US spirits biz to be up 4-6%, mid-single digits, in the medium term.

Hal's New York, which has been expanding both its array of seltzer offerings and its geographic footprint beyond that of NY house Big Geyser (BBI, Dec 27), operates as an independent co from BG rather than as independently operating unit of big wholesaler, as reported by BBI yesterday.

Iced coffee ranked as #1 among most-ordered items this year via Dunkin' Donuts' recently inaugurated On-the-Go mobile ordering system, and cold-brewed coffee ranked #8, chain reported today. Hot coffee was #2, and in descending order, others were breakfast sandwiches, donuts, Wake-up Wrap Sandwiches, Iced Expresso and Hot Espresso. Bagels were #9 and iced tea #10 . . . Incident not long after midnight this morning in Fitchburg, Wis, seems to support our often-voiced contention that bevs is tuff biz that leaves no place to hide. Knife-wielding robber named Marybeth Welsch was apprehended in beverage cooler at Mobil gas station in Fitchburg after clerk fled attack and blocked doors with garbage can, Madison.com reported. Welsch, 53, was tentatively charged with armed robbery, disorderly conduct while armed and resisting arrest, news site reported.