FIFCO USA

Lore & Background

FIFCO USA originated as North American Breweries, created by the New York City investment firm KPS Capital Partners to consolidate its brewery acquisitions: Genesee Brewing Company, Pyramid, and Magic Hat. In December 2012, the Costa Rican food and beverages company Florida Ice & Farm Co. (FIFCO) acquired the firm, and in 2018 the company adopted its current name. In March 2020, FIFCO USA named Piotr Jurjewicz as its new Chief Marketing Officer.

In 2009, the company purchased Labatt USA, a subsidiary of the Canadian Labatt Brewing Company, including the American rights to its core Labatt products such as Blue, Blue Light, and Labatt 50. The sale was mandated by the U.S. Department of Justice for competitive reasons following InBev's merger with Anheuser-Busch, as Budweiser and Labatt Blue were both among the top brands in upstate New York, despite Labatt having less than 1% market share in the U.S. overall. The company agreed to brew those brands on Labatt USA's behalf until 2012. The sale did not include U.S. rights to Labatt products not carrying the Labatt label, such as Kokanee or Alexander Keith's, which are distributed in the U.S. by Anheuser-Busch. The underlying intellectual property (such as the Labatt trademarks) remains the property of the Canadian Labatt firm, and the sale did not affect Labatt's Canadian operations; Anheuser-Busch InBev retains full control of the Labatt brand portfolio within Canada.

On April 25, 2017, Labatt USA and Pegula Sports and Entertainment partnered on a project to develop the Pegula-owned 79 Perry Street in the Cobblestone District in Buffalo into a mixed-use facility, including a small test brewery called the 'Labatt House', a restaurant called 'The Draft Room', and retail, commercial and residential space. The company relocated its Labatt USA headquarters from Fountain Plaza to the building's second floor in November 2018, and PSE moved its headquarters to the building's third and fourth floor in 2019.

Reader's Guide

FIFCO USA's significance lies in its role as a consolidator of regional American breweries and its acquisition of the U.S. rights to core Labatt brands. The company was formed by KPS Capital Partners to manage Genesee, Pyramid, and Magic Hat, and later became a subsidiary of the Costa Rican FIFCO. Its purchase of Labatt USA in 2009 was a direct result of antitrust concerns following InBev's merger with Anheuser-Busch, as the U.S. Department of Justice required the sale to preserve competition in upstate New York, where both Budweiser and Labatt Blue were top sellers. The company brews Labatt Blue, Blue Light, and Labatt 50 for the U.S. market, though the Labatt trademarks remain Canadian property. The 2017 partnership with Pegula Sports and Entertainment to develop a mixed-use facility in Buffalo's Cobblestone District, including the Labatt House test brewery and The Draft Room restaurant, reflects the company's ongoing investment in the region. FIFCO USA's legacy is tied to its stewardship of historic American brewing names and its role in the complex cross-border beer market between the U.S. and Canada.

Did You Know?

• In 2009, FIFCO USA purchased Labatt USA, including American rights to Labatt Blue, Blue Light, and Labatt 50, mandated by the U.S. Department of Justice.
• Labatt USA and Pegula Sports and Entertainment partnered in 2017 to develop 79 Perry Street in Buffalo into a mixed-use facility including the Labatt House test brewery.