Company News: Miller Lite sales are, well, flat

Miller Brewing Co. saw another year of mediocre sales of its staple beer Miller Lite, as drinkers continue to trade “Miller Time” for pricier brews and wines.

Increased competition from imports in the growing light-beer market and hikes in aluminum costs also contributed to a 17 percent drop in North American profits, which were down to $375 million for the year ending March 31, parent company SABMiller PLC said Thursday.

Revenue in North America fell 1 percent to $4.9 billion, while SABMiller, which also makes Pilsner Urquell and Peroni, saw its overall revenue jump 22 percent to $18.6 billion. Profits rose 15 percent to $1.6 billion, from $1.4 billion the previous year.

Miller, like the other top industry players Anheuser-Busch Cos. Inc. and Molson Coors Co., is struggling to gain share as drinkers move into imports, craft beer and wine, said Eric Shepard, executive editor of trade publication Beer Marketer’s Insights.

Sales of Miller Lite were down 1 percent last year, SABMiller reported. Sales of Miller High Life, a full-calorie mainstream brand, were down in the low single digits, while Miller Genuine Draft, in the same segment, similarly declined.

“Nearly 2,600 union Machinists in suburban St. Louis will decide Sunday whether to accept a tentative agreement between Boeing Co. and the International Association of Machinists and Aerospace Workers District 837.

The tentative three-year deal was reached late Wednesday. The Chicago-based aerospace company said the agreement calls for an average 9.5 percent compensation increase over the life of the contract, as well as a 17 percent increase in pension benefits.

The IAM workers are part of Boeing’s St. Louis-based Integrated Defense Systems, making everything from fighter jets like the F-18 Super Hornet and F-15 Eagle to missiles and component parts.

The ratification vote is scheduled for 11 a.m. Sunday at the St. Charles Convention Center. The current contract expires that same day. Union members voted 1,167 to 38 last month to authorize a strike if an agreement wasn’t reached.

“Nordstrom Inc. said Thursday that its first-quarter profit rose 19 percent, helped in part by a change in the fiscal calendar that meant the quarter started and ended one week later than in 2006.

For the quarter ended May 5, earnings for the clothing retailer climbed to $156.8 million, or 60 cents per share, from $131.2 million, or 48 cents per share, during last year’s first quarter.