DoJ Rejects Distributor Logic

The Department of Justice rejected the attempts by New York and Ohio distributors to get the DOJ to rule that the acquirer, who of course turned out to be KPS Capital Partners, maintain the same distributor network and to extend the three year cutoff at which point KPS must make other brewing arrangements other than Labatt to make the beer. Distributors now doubly concerned that KPS will be tempted to brew Labatt at High Falls, which has the capacity. Distributors