Weekly Beverage Alcohol Recap | March 06, 2026

**Key Themes This Week:** - Structural US alcohol market contraction deepens across spirits, beer, and wine - RTD/Prepared Cocktails surge 30%+ as the only consistent growth category - Southern Glazer's federal bribery indictment sends shockwaves through distribution - Diageo abandons premiumization playbook; cuts hospitality team and dividend - Tequila growth story stalls: Casamigos -24%, Jose Cuervo -15% - Wine industry in worst structural correction in decades **Major Corporate Moves:** - AB InBev closes BeatBox acquisition for up to $490M - Four Loko parent Phusion Projects exploring ~$400M sale via JPMorgan - Tilray acquires BrewDog global IP and UK operations for £33M - Brown-Forman ends Pabst FMB partnership, brings RTDs in-house - Constellation Brands targets 75M cases for Pacifico by 2030 **Earnings & Financial Highlights:** - Brown-Forman Q3 beats estimates but flags 100-150bps FY27 margin headwind; shares hit 52-week low - Becle Q4 net sales -14.1%; US/Canada revenue -8.4% - Campari full-year organic sales +2.4%; adjusted operating earnings +5.3% - Monster Beverage writes off $232M of $330M CANarchy investment - Treasury Wine Estates takes ~$550M US impairment **Market Data (NIQ through Feb 21):** - Total alcohol: -2.3% dollars, -3.3% volume - Spirits ex-RTD: -4.9% dollars, -3.7% volume - Beer/FMB/Cider/Seltzer: -2.2% dollars, -3.8% volume - Wine: -3.8% dollars, -5.1% volume - Spirits-based RTDs: +30.3% dollars, +33.5% volume - Energy drinks: +16.6% dollars, +10.2% volume **Brand Standouts:** - Cutwater +160%, Sun Cruiser +247%, Surfside +87% (RTD) - Pacifico +19% volume (7th consecutive year of double-digit growth) - Victoria +16% depletions; Michelob Ultra +4.4% - Alani Nu +81.1% (energy); Ghost Energy +37.6% - Bud Light -9.7%; Heineken Original -13%; Casamigos -23.8% **Wine & Spirits Industry Distress:** - 40,000+ California vineyard acres targeted for removal - Gallo, Constellation, Jackson Family all closing facilities - Breakthru Beverage: 500 layoffs; Speyside Bourbon Cooperage: facility closure - Uncle Nearest: $220M+ in alleged debts; receivership deepens - Aloria Vineyards files Chapter 11; Arista Winery ends production **Consumer Trends:** - 54% of US adults report drinking — lowest in ~90 years - Weekly consumption: 2.8 drinks, lowest since 1996 - 53% believe moderate drinking is harmful (up from 28% in 2018) - Private label liquor unit sales +4.4%; Gen Z share rising rapidly **Regulatory & Legal:** - TTB issues AI advertising guidance for beverage alcohol - Bardstown Bourbon faces whistleblower discrimination lawsuit - Mississippi ABC warehouse disruption strains retailers statewide - Former Napa winemaker sentenced for appellation fraud