Exhibit 99
[ANHEUSER BUSCH logo] News
For more information, contact:
Carlos Ramirez, (314) 577-9629
FOR IMMEDIATE RELEASE
- ---------------------
ANHEUSER-BUSCH COS. REPORTS IMPROVED SALES AND
EARNINGS FOR THE FOURTH QUARTER AND FULL YEAR 2004
--------------------------------------------------
REPORTED EARNINGS PER SHARE INCREASES 11.7 PERCENT FOR THE FULL YEAR
EARNINGS PER SHARE EXCLUDING ONE-TIME ITEMS INCREASES 10.1
PERCENT FOR THE FULL YEAR
ST. LOUIS, February 2, 2005 - Anheuser-Busch Cos., Inc. achieved
increased sales and earnings for the fourth quarter and full year 2004, it
was announced today by Patrick Stokes, president and chief executive officer
of the company. Consolidated net sales increased 4.7 percent in the fourth
quarter, while reported earnings per share increased 16.7 percent. Net sales
and reported earnings per share increased 5.6 percent and 11.7 percent,
respectively, for the full year. All major business segments contributed to
the sales and profit growth for the year.
Earnings per share for 2004 benefited from certain one-time items
- --- a $.015 per share gain in the first quarter from the sale of commodity
hedges; a $.018 per share gain in the fourth-quarter on sale of the
company's equity investment in Compania Cervecerias Unidas S.A. (CCU); and a
fourth-quarter deferred income tax benefit of $.012 per share related to the
company's Modelo investment due to a reduction in Mexican corporate income
tax rates. None of these one-time items impacts sales, gross profit or
operating income. Excluding these items, earnings per share for the full
year and fourth quarter increased 10.1 percent(1.) and 8.3 percent(1.) vs.
2003, respectively.
As a result of the continuing favorable pricing environment,
domestic beer revenue per barrel(2.) increased 2.3 percent in the fourth
quarter and grew 2.5 percent for the full year 2004 vs. the same periods in
2003.
-more-
Fourth Quarter Earnings
Anheuser-Busch
Add One
Consistent with the company's practice of implementing moderate
annual price increases in two phases, Anheuser-Busch completed the first
stage of its pricing plan for 2005 in October 2004. The success of these
pricing actions is reflected in the company's fourth quarter revenue per
barrel results. As planned, the second phase of the 2005 pricing initiatives
is being implemented this week. As in the past, the revenue enhancement
initiatives have been tailored to specific markets, brands and packages.
Gross profit margin declined 110 basis points in the fourth quarter
2004, to 34.2 percent, while operating margin decreased 10 basis points to
13.9 percent. For the full year 2004, gross margin was down 40 basis points,
to 39.9 percent and operating margin was down 10 basis points vs. 2003, to
22.5 percent. The declines in margins are primarily due to the impact of
higher sales and higher costs from the company's commodity-based can
manufacturing and aluminum recycling operations. Domestic beer gross profit
margin decreased 30 basis points for the fourth quarter and increased 20
basis points in the full year.
BEER SALES RESULTS
- ------------------
The company's reported beer volume is summarized in the following
table:
- ----------------------------------------------------------------------------------------------------------------------
Reported Beer Volume (millions of barrels)
- ---------------------------------------------------------------------------------------------------------------------
Fourth Quarter Full Year Ended December 31
---------------------------------------- --------------------------------------
vs. 2003 vs. 2003
--------------------------- -------------------------
2004 Barrels % 2004 Barrels %
----------- ------------ ------------- ----------- ----------- ------------
Domestic 22.9 Dn 0.3 Dn 1.5% 103.0 Up 0.4 Up 0.4%
International 4.7 Up 2.5 Up 120.5% 13.8 Up 5.4 Up 64.8%
----------- ------------ ------------- ----------- ----------- ------------
Worldwide Brands 27.6 Up 2.2 Up 8.8% 116.8 Up 5.8 Up 5.3%
Int'l Equity Partner Brands 4.6 Dn 0.01 Dn 0.2% 19.3 Up 0.5 Up 2.7%
----------- ------------ ------------- ----------- ----------- ------------
Total Brands 32.2 Up 2.2 Up 7.4% 136.1 Up 6.3 Up 4.9%
=========== ============ ============= =========== =========== ============
- ----------------------------------------------------------------------------------------------------------------------
The increase in domestic beer sales-to-wholesalers for the year is
due primarily to continued growth of the Michelob ULTRA and Bud Light
brands.
Fourth Quarter Earnings
Anheuser-Busch
Add Two
Wholesaler sales-to-retailers were down 3.2 percent in the fourth
quarter and declined 0.3 percent for the full year vs. 2003 levels. Both
sales-to-retailers and sales-to-wholesalers were adversely impacted during
the year by abnormally wet weather in many key markets, especially during
the key summer selling season. This was coupled with the general slowdown in
consumer spending during the year, particularly among lower income
consumers.
The company's domestic market share (excluding exports) for the
full year 2004 was 49.6 percent, compared to 2003 market share of 49.7
percent. Domestic market share is based on estimated U.S. beer industry
sales using information provided by the Beer Institute and the U.S.
Department of Commerce.
International beer volume, consisting of Anheuser-Busch brands
produced overseas by company-owned breweries and under license and
contract-brewing agreements, plus exports from the company's U.S. breweries
to markets around the world, increased 120.5 percent for the fourth quarter
and 64.8 percent for full year 2004. International beer volume includes 2.5
million barrels in the fourth quarter and 5.2 million barrels for the full
year related to Harbin, which the company acquired in the third quarter.
Excluding Harbin, international beer volume grew 2.7 percent in the fourth
quarter and 3.2 percent for the full year. These increases are primarily due
to higher sales volume in China, Canada and the United Kingdom.
Worldwide Anheuser-Busch beer sales volume for the fourth quarter
and full year 2004 rose 8.8 percent and 5.3 percent, to 27.6 million and
116.8 million barrels, respectively, vs. 2003. Worldwide Anheuser-Busch beer
brand volume is comprised of domestic volume and international volume.
Fourth Quarter Earnings
Anheuser-Busch
Add Three
International equity partner brands volume, representing the
company's share of its foreign equity partners' volume reported on a
one-month lag, decreased 0.2 percent for the fourth quarter due to the sale
of CCU and increased 2.7 percent for the full year 2004 vs. 2003. Total
brands volume increased 7.4 percent and 4.9 percent for the fourth quarter
and full year, respectively, vs. comparable 2003 periods.
"Anheuser-Busch has achieved another year of solid growth in
earnings per share and we expect earnings per share growth in the 6 percent
to 9 percent (3.) range for 2005 compared with 2004, excluding the one-time
items in 2004 and including the impact of expensing stock options in 2005
and 2004," said Stokes. Anheuser-Busch will begin expensing stock options
when it adopts FAS 123R, "Share-Based Payment," expected in the first
quarter 2005, and will retrospectively apply the standard to all prior
periods. "We continue to target double-digit earnings per share growth over
the longer-term," said Stokes.
FOURTH QUARTER 2004 FINANCIAL RESULTS
- -------------------------------------
Key operating results for the fourth quarter 2004 vs. 2003 are
summarized below:
- ----------------------------------------------------------------------------------------------------------------------
($ in millions, except per share)
----------------------------------------------------------------------
Fourth Quarter 2004 vs. 2003
---------------------------------- ----------------------------------
2004 2003 $ %
---------------- ---------------- ---------------- ----------------
Gross Sales $3,880 $3,720 Up $160 Up 4.3%
Net Sales $3,367 $3,215 Up $152 Up 4.7%
Income Before Income Taxes $370 $355 Up $15 Up 4.4%
Equity Income $105 $77 Up $28 Up 36.0%
Net Income $332 $294 Up $38 Up 13.0%
Diluted Earnings Per Share $.42 $.36 Up $.06 Up 16.7%
- ----------------------------------------------------------------------------------------------------------------------
Fourth Quarter Earnings
Anheuser-Busch
Add Four
A discussion of financial highlights for the fourth quarter 2004
follows:
o Net sales increased 4.7 percent compared with the fourth quarter 2003,
due to increased domestic beer segment net sales (higher revenue per
barrel partially offset by reduced volume), higher international beer
sales and increased sales from the company's commodity-based can
manufacturing and aluminum recycling operations.
o Income before income taxes for the fourth quarter increased 4.4 percent
vs. 2003, primarily reflecting improved results for international beer.
Pretax income for the fourth quarter 2004 includes the $13.4 million
gain on the sale of CCU, which is reported in the international beer
segment.
Pretax income for the domestic beer segment was down 1.9 percent for
the quarter, primarily reflecting lower volume and higher costs,
partially offset by higher revenue per barrel due to the favorable
pricing environment.
International beer segment pretax income improved $25 million or 169
percent in the fourth quarter vs. 2003, primarily due to profit growth
in China, Canada and the United Kingdom and a $13.4 million gain on the
sale of the company's CCU investment. Excluding the CCU gain, pretax
income increased 80 percent(4.).
Packaging segment pretax profits were up 7 percent in the fourth
quarter 2004 compared with prior year, due to improved results from the
label manufacturing and aluminum recycling operations.
Fourth Quarter Earnings
Anheuser-Busch
Add Five
Entertainment segment pretax results declined $6 million compared with
the fourth quarter 2003, primarily due to higher operating costs.
o Equity income was up 36 percent in the fourth quarter 2004 vs. 2003,
reflecting the benefit of price and volume growth from Grupo Modelo,
plus the one-time $18 million deferred income tax benefit due to the
reduction in Mexican tax rates. Excluding the deferred income tax
benefit, equity income increased 13 percent (5.). The tax rate benefit is
partially offset by $8 million of higher U.S. deferred income taxes in
the consolidated tax provision.
o Net income increased 13 percent compared with fourth quarter 2003.
Diluted earnings per share were $.42, an increase of 16.7 percent
compared with 2003. Earnings per share excluding the gain on sale of
CCU and the Mexican tax rate benefit increased 8.3 percent. Earnings
per share continue to benefit from the company's ongoing share
repurchase program.
FULL YEAR 2004 FINANCIAL RESULTS
- --------------------------------
Key operating results for the full year 2004 vs. 2003 are
summarized below:
- ----------------------------------------------------------------------------------------------------------------------
($ in millions, except per share)
----------------------------------------------------------------------
Full Year 2004 vs. 2003
---------------------------------- ----------------------------------
2004 2003 $ %
---------------- ---------------- ---------------- ----------------
Gross Sales $17,160 $16,320 Up $840 Up 5.1%
Net Sales $14,934 $14,147 Up $787 Up 5.6%
Income Before Income Taxes $2,999 $2,824 Up $175 Up 6.2%
Equity Income $404 $345 Up $59 Up 17.2%
Net Income $2,240 $2,076 Up $164 Up 7.9%
Diluted Earnings Per Share $2.77 $2.48 Up $.29 Up 11.7%
- ----------------------------------------------------------------------------------------------------------------------
Fourth Quarter Earnings
Anheuser-Busch
Add Six
A discussion of financial highlights for the full year 2004 follows:
o Net sales increased 5.6 percent compared with the full year 2003,
driven primarily by a 3 percent increase in domestic beer segment net
sales (due to higher revenue per barrel and higher volume) along with
increased sales for the international beer, packaging and entertainment
operating segments.
o Income before income taxes increased 6.2 percent vs. the full year
2003, reflecting improved results for all of the company's operating
segments.
Income before income taxes for the full year 2004 includes a $19.5
million pretax gain from the first quarter sale of commodity hedges and
the $13.4 million pretax gain on the sale of CCU in the fourth quarter.
The commodity hedges were originally placed using estimates for costs
to be contained in the renewal of a supply contract. During the first
quarter, the company lowered its cost estimates resulting in
significant hedge ineffectiveness in compliance with FAS 133. Due to
the hedge ineffectiveness, the company sold the hedges and realized the
$19.5 million pretax gain, which is included as a corporate item for
business segment reporting purposes.
Pretax income for the domestic beer segment was up 5 percent for the
full year, reflecting higher revenue per barrel and higher beer sales
volume.
International beer segment pretax income improved 44 percent for the
full year vs. 2003, primarily due to volume and profit growth in China,
Canada and the United Kingdom, the impact of Harbin in the second half
of the year and the fourth quarter gain on the sale of CCU. Excluding
the gain on sale of CCU, pretax income increased 29 percent (4.).
Fourth Quarter Earnings
Anheuser-Busch
Add Seven
Packaging segment pretax profits were up 5 percent for the full year
2004 vs. 2003. This increase is primarily due to higher soft drink can
volume and pricing and improved results from the company's aluminum
recycling operation.
Entertainment segment pretax income increased 6 percent compared with
the full year 2003, primarily due to higher admissions pricing and
increased in-park spending. Full year 2004 entertainment results
include the impact of the series of hurricanes in Florida during the
third quarter.
o Equity income increased $59 million, or 17 percent, for the full year
2004 vs. 2003, reflecting the benefit of price increases implemented by
Grupo Modelo, volume growth and the $18 million one-time benefit from
the reduction in Mexican tax rates. The benefit is partially offset by
increased U.S. deferred income taxes in the consolidated tax provision.
Results in 2003 included a $5.5 million after-tax gain representing
Anheuser-Busch's equity share of CCU earnings from the sale of a
brewery in Croatia. Excluding this gain and the Mexican tax rate
benefit in 2004, equity income for the full year 2004 increased 14
percent(5.) vs. 2003.
o Net income increased 7.9 percent over the full year 2003. Diluted
earnings per share were $2.77, an increase of 11.7 percent, compared
with the prior year. Earnings per share excluding the gain on commodity
hedges, the gain on the sale of CCU and the Mexican tax rate benefit
increased 10.1 percent. The company repurchased over 6 million common
shares in the fourth quarter 2004 and over 33 million through the full
year 2004.
Fourth Quarter Earnings
Anheuser-Busch
Add Eight
Other Matters
- -------------
Anheuser-Busch will conduct a conference call with investors to
discuss earnings results for the fourth quarter and full year 2004 at 3:00
p.m. Central Time today. The company will broadcast the conference call live
via the Internet. For details visit the company's site on the Internet at
www.anheuser-busch.com.
# # #
<FN>
Notes
- -----
($ in millions, except per share)
(1.) Reconciliation of 2004 Reported Results to Results Excluding One-Time Items
---------------------------------------------------------------------------
Full Year 2004
-----------------------------------------------------------------------------------
Income
Before Provision
Income for Income Equity Net Earnings
Taxes Taxes Income Income Per Share
---------- ----------- -------- ----------- --------------------------
3 Decimal 2 Decimal
Places Places
----------- -----------
Reported $2,999.4 $(1,163.2) $404.1 $2,240.3 $2.771 $2.77
===========
Commodity hedge gain (19.5) 7.4 -- (12.1) (.015)
Gain on sale of CCU (13.4) (1.3) -- (14.7) (.018)
Deferred income tax benefit
due to Mexican income tax
rate reduction -- 8.0 (18.0) (10.0) (.012)
---------- ----------- -------- ----------- -----------
Excluding One-Time Items $2,966.5 $(1,149.1) $386.1 $2,203.5 $2.725 $2.73
========== =========== ======== =========== =========== ===========
% Increase vs. 2003 6.1% 10.1%
=========== ===========
Fourth Quarter 2004
-----------------------------------------------------------------------
Income
Before Provision
Income for Income Equity Net Earnings
Taxes Taxes Income Income Per Share
---------- ------------ --------- ----------- --------------
Reported $370.4 $(142.9) $105.0 $332.5 $.42
Gain on sale of CCU (13.4) (1.3) -- (14.7) (.018)
Deferred income tax benefit
due to Mexican income tax
rate reduction -- 8.0 (18.0) (10.0) (.013)
---------- ------------ --------- ----------- --------------
Excluding One-Time Items $357.0 $(136.2) $87.0 $307.8 $.39
========== ============ ========= =========== ==============
% Increase vs. 2003 4.6% 8.3%
=========== ==============
Fourth Quarter Earnings
Anheuser-Busch
Add Nine
<FN>
(2.) Domestic Revenue per Barrel
---------------------------
Domestic revenue per barrel is calculated as net sales generated by the
company's domestic beer operations on barrels of beer sold, determined
on a U.S. GAAP basis, divided by the volume of beer shipped from the
company's breweries to U.S. wholesalers.
(3.) Reconciliation of Projected 2005 Earnings per Share Growth
----------------------------------------------------------
Earnings Per Share Increase
----------------------------- ----------------
Projected 2005 2004
----------------- --------
Excluding 2004 One-Time Items (see Note 1) $2.73
Adoption of FAS 123R (.15)
--------
Basis for Comparison $2.74 to $2.81 $2.58 6% to 9%
================= ======== ================
<FN>
(4.) Reconciliation of 2004 International Beer Pretax Income Growth
--------------------------------------------------------------
Fourth Quarter Full Year
-------------------------------------- ----------------------------------
2004 2003 Incr. 2004 2003 Incr.
--------- -------- -------- -------- ------- --------
Reported $40.4 $15.0 169% $130.9 $90.8 44%
======== ========
Gain on sale of CCU (13.4) -- (13.4) --
--------- -------- -------- -------
Excluding CCU Gain $27.0 $15.0 80% $117.5 $90.8 29%
========= ======== ======== ======== ======= ========
<FN>
(5.) Reconciliation of 2004 Equity Income Growth
-------------------------------------------
Fourth Quarter Full Year
----------------------------------- -----------------------------------
2004 2003 Incr. 2004 2003 Incr.
-------- -------- ------- -------- -------- --------
Reported $105.0 $77.2 36.0% $404.1 $344.9 17.2%
======= ========
Deferred income tax benefit
due to Mexican income tax
rate reduction (18.0) -- (18.0) --
Gain on CCU brewery sale -- -- -- (5.5)
-------- -------- -------- --------
Excluding One-Time Items $87.0 $77.2 12.7% $386.1 $339.4 13.8%
======== ======== ======= ======== ======== ========
This release contains forward-looking statements regarding the
company's expectations concerning its future operations, earnings and
prospects. On the date the statements are made, the statements represent the
company's expectations, but the company's expectations concerning its future
operations, earnings and prospects may change. The company disclaims any
obligation to update any of these statements. The company's expectations
involve significant risks and uncertainties and are based upon many
assumptions that the company believes to be reasonable, but such assumptions
may ultimately prove to be inaccurate or incomplete, in whole or in part.
Accordingly, there can be no assurances that the company's expectations and
the forward-looking statements will be correct. Further information on
factors that could affect the company's future operations, earnings and
prospects is included in the company's Forms 10-Q and 10-K.
------------------------------------------------------------------------------
ANHEUSER-BUSCH COMPANIES, INC.
CONSOLIDATED INCOME STATEMENT (UNAUDITED)
FOURTH QUARTER AND FULL YEAR ENDED DECEMBER 31
(IN MILLIONS, EXCEPT PER SHARE)
------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------
Fourth Quarter Year-to-Date
--------------------------------------------------------------------
2004 2003 2004 2003
---------- ---------- ---------- ----------
Gross Sales $3,880.4 $3,720.2 $17,160.2 $16,320.2
Excise Taxes (513.3) (504.8) (2,226.0) (2,173.5)
---------- ---------- ---------- ----------
Net Sales 3,367.1 3,215.4 14,934.2 14,146.7
Cost of Sales (2,216.7) (2,080.7) (8,982.5) (8,449.1)
Marketing, Distribution and
Administrative Expenses (681.6) (685.4) (2,590.7) (2,498.3)
---------- ---------- ---------- ----------
Operating Income 468.8 449.3 3,361.0 3,199.3
Interest Expense (112.1) (101.8) (426.9) (401.5)
Interest Capitalized 6.2 6.7 21.9 24.4
Interest Income 1.3 1.1 4.7 1.7
Other Income/(Expense), Net 6.2 (0.7) 38.7 0.4
---------- ---------- ---------- ----------
Income Before Income Taxes 370.4 354.6 2,999.4 2,824.3
Provision for Income Taxes (142.9) (137.6) (1,163.2) (1,093.3)
Equity Income, Net of Tax 105.0 77.2 404.1 344.9
--------- --------- --------- ---------
Net Income $332.5 $294.2 $2,240.3 $2,075.9
========== ========== ========== ==========
Basic Earnings Per Share $.42 $.36 $2.80 $2.51
========== ========== ========== ==========
Diluted Earnings Per Share $.42 $.36 $2.77 $2.48
========== ========== ========== ==========
- -------------------------------------------------------------------------------------------------------------------------------
Capital Expenditures $363.1 $273.5 $1,089.6 $993.0
========== ========== ========== ==========
Depreciation and Amortization $240.7 $227.3 $932.7 $877.2
========== ========== ========== ==========
Weighted Average Shares:
Basic 786.9 813.3 798.9 826.2
========== ========== ========== ==========
Diluted 795.0 823.7 808.5 837.0
========== ========== ========== ==========
- -------------------------------------------------------------------------------------------------------------------------------
10
--------------------------------------
ANHEUSER-BUSCH COMPANIES, INC.
BUSINESS SEGMENTS
FOURTH QUARTER ENDED DECEMBER 31
(IN MILLIONS)
--------------------------------------
------------------------------------------------------------------------------------------------------------
Domestic Corporate &
Beer Int'l Beer Packaging Entertain. Other Elims. Consol.
- --------------------------------------------------------------------------------------------------------------------------------
2004
Gross Sales $2,998.3 299.9 518.0 162.1 22.3 (120.2) $3,880.4
Net Sales:
- - Intersegment --- --- $192.0 --- 1.0 (193.0) $ ---
- - External $2,549.3 235.6 326.0 162.1 21.3 72.8 $3,367.1
Income Before
Income Taxes $531.9 40.4 25.7 (11.0) 1.3 (217.9) $370.4
Equity Income --- $105.0 --- --- --- --- $105.0
Net Income $329.7 130.1 15.9 (6.8) 0.8 (137.2) $332.5
- --------------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------------------------------------
2003
Gross Sales $2,978.1 213.5 464.8 161.8 21.1 (119.1) $3,720.2
Net Sales:
- - Intersegment --- --- $190.4 --- 1.0 (191.4) $ ---
- - External $2,520.9 165.9 274.4 161.8 20.1 72.3 $3,215.4
Income Before
Income Taxes $542.4 15.0 24.0 (4.6) (11.8) (210.4) $354.6
Equity Income --- $77.2 --- --- --- --- $77.2
Net Income $336.3 86.5 14.9 (2.9) (7.3) (133.3) $294.2
- --------------------------------------------------------------------------------------------------------------------------------
11
--------------------------------------
ANHEUSER-BUSCH COMPANIES, INC.
BUSINESS SEGMENTS
FULL YEAR ENDED DECEMBER 31
(IN MILLIONS)
--------------------------------------
------------------------------------------------------------------------------------------------------------
Domestic Corporate &
Beer Int'l Beer Packaging Entertain. Other Elims. Consol.
- --------------------------------------------------------------------------------------------------------------------------------
2004
Gross Sales $13,371.6 1,015.1 2,276.8 989.3 75.4 (568.0) $17,160.2
Net Sales:
- - Intersegment --- --- $880.1 --- 4.0 (884.1) $ ---
- - External $11,350.8 809.9 1,396.7 989.3 71.4 316.1 $14,934.2
Income Before
Income Taxes $3,279.4 130.9 163.9 172.7 (2.0) (745.5) $2,999.4
Equity Income --- $404.1 --- --- --- --- $404.1
Net Income $2,033.2 485.3 101.6 107.1 (1.2) (485.7) $2,240.3
- --------------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------------------------------------
2003
Gross Sales $12,997.5 797.0 2,093.6 923.9 74.4 (566.2) $16,320.2
Net Sales:
- - Intersegment --- --- $869.2 --- 4.3 (873.5) $ ---
- - External $10,984.4 636.6 1,224.4 923.9 70.1 307.3 $14,146.7
Income Before
Income Taxes $3,118.7 90.8 155.5 162.8 (12.0) (691.5) $2,824.3
Equity Income --- $344.9 --- --- --- --- $344.9
Net Income $1,933.6 401.2 96.4 100.9 (7.4) (448.8) $2,075.9
- --------------------------------------------------------------------------------------------------------------------------------
12
--------------------------------------
ANHEUSER-BUSCH COMPANIES, INC.
CONSOLIDATED BALANCE SHEET (UNAUDITED)
(IN MILLIONS)
--------------------------------------
- -----------------------------------------------------------------------------------------------------------------
December 31, December 31,
2004 2003
------------ ------------
Assets
Current Assets:
Cash $228.1 $191.1
Accounts receivable 696.1 669.4
Inventories:
Raw materials and supplies 405.0 320.3
Work in progress 80.0 81.9
Finished goods 205.3 185.3
Total inventories 690.3 587.5
Other current assets 203.9 182.3
------------ ------------
Total current assets 1,818.4 1,630.3
Investments in affiliated companies 3,150.2 3,052.0
Plant and equipment, net 8,847.4 8,498.9
Intangible assets, including goodwill of $984.1
million and $349.0 million, respectively 1,191.9 486.6
Other assets 1,165.5 1,021.7
------------ ------------
Total Assets $16,173.4 $14,689.5
============ ============
Liabilities and Shareholders Equity
Current Liabilities:
Accounts payable $1,194.8 $1,093.7
Accrued salaries, wages and benefits 291.4 288.9
Accrued taxes 152.9 163.1
Accrued interest 125.2 110.4
Other current liabilities 204.7 201.1
------------ ------------
Total current liabilities 1,969.0 1,857.2
------------ ------------
Postretirement benefits 454.2 470.4
------------ ------------
Debt 8,278.6 7,285.4
------------ ------------
Deferred income taxes 1,727.2 1,462.1
------------ ------------
Other long-term liabilities 1,076.3 902.7
------------ ------------
Shareholders Equity:
Common stock 1,463.0 1,457.9
Capital in excess of par value 1,425.3 1,194.0
Retained earnings 15,407.2 13,935.4
Treasury stock, at cost (14,638.5) (12,939.0)
Accumulated non-owner changes in equity (988.9) (890.3)
ESOP debt guarantee -- (46.3)
------------ ------------
Total Shareholders Equity 2,668.1 2,711.7
------------ ------------
Commitments and contingencies -- --
------------ ------------
Total Liabilities and Shareholders Equity $16,173.4 $14,689.5
============ ============
- -----------------------------------------------------------------------------------------------------------------
13
----------------------------------------------------
ANHEUSER-BUSCH COMPANIES, INC.
CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)
(IN MILLIONS)
----------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------
Year Ended December 31,
---------------------------------------
2004 2003
------------ ------------
Cash flow from operating activities:
Net Income $2,240.3 $2,075.9
Adjustments to reconcile net income to cash provided by
operating activities:
Depreciation and amortization 932.7 877.2
Deferred income taxes 187.1 129.5
Gain on sale of CCU investment (13.4) --
Undistributed earnings of affiliated companies (225.1) (175.7)
Other, net 0.3 31.4
------------ ------------
Operating cash flow before change in working capital 3,121.9 2,938.3
(Increase)/Decrease in working capital (181.6) 32.6
------------ ------------
Cash provided by operating activities 2,940.3 2,970.9
------------ ------------
Cash flow from investing activities:
Capital expenditures (1,089.6) (993.0)
Acquisitions (727.9) (156.9)
Proceeds from sale of CCU investment 302.5 --
------------ ------------
Cash used for investing activities (1,515.0) (1,149.9)
------------ ------------
Cash flow from financing activities:
Increase in long-term debt 1,443.8 1,389.0
Decrease in long-term debt (510.6) (652.1)
Dividends paid to shareholders (742.8) (685.4)
Acquisition of treasury stock (1,699.5) (1,958.9)
Issuance of shares under stock plans 120.8 88.6
------------ ------------
Cash used for financing activities (1,388.3) (1,818.8)
------------ ------------
Net increase in cash during the period 37.0 2.2
Cash, beginning of period 191.1 188.9
------------ ------------
Cash, end of period $228.1 $191.1
============ ============
- ---------------------------------------------------------------------------------------------------------------------------
14