Coors cuts its links with Carlsberg

AMERICAN brewer Coors, which recently bought Carling for £1.2 billion, is to sever its distribution links with rival Carlsberg-Tetley.

The Danish brewing giant has been distributing the Coors Light brand in Britain for the past two years. But chairman Peter Coors said: 'We are going to end the Carlsberg tie-up and put everything through Tradeteam.'

Tradeteam is the distribution company jointly owned by Coors and logistics group Exel. A spokesman confirmed that Coors was looking at its existing distribution contracts.

Coors ships its lager to Britain where it is bottled, packed and distributed.

With the purchase of Carling, the UK's best-selling lager, and brands including Grolsch, Worthington and Caffrey's, Coors boasts a market share of about 18%. It is the second-largest brewer after Scottish & Newcastle.

Industry observers believe it is only a matter of time before there is widespread consolidation of the beer distribution network.

Carlsberg-Tetley and Interbrew, owner of Stella Artois, have already been talking about combining their logistics operations.