Anchor Workers, Union and More React to Sapporo Dropping

HIstoric Craft Brand

The collective craft beer community shared mixed emotions this summer when Japanese beer giant Sapporo announced plans to cease operations at Anchor Brewing, one of the nation’s oldest craft breweries.

The San Francisco craft brewery, which was acquired for $85 million by Sapporo in August 2017, cited “a combination of challenging economic factors and declining sales since 2016” for the decision to close and liquidate its business. Ultimately, the company said the economic pressure “made the business no longer sustainable.”

Workers at Anchor were given 60 day’s notice on July 12 “with intent to provide transition support and separation packages in line with company practices and policies,” according to a press release. Some workers found out about the news through media reports first, rather than the company directly, according to Anchor’s union workers on social media.

Production has ceased at the brewery, but packaging and distribution of remaining beer continued.

It was already a tumultuous year for Anchor, leading up to the big news. The company started the year with reports that union contract negotiations were delayed, with workers claiming Sapporo was not transparent on its purchase of Stone Brewing the year before, and the sale was muddying the waters for Anchor workers seeking better wages and benefits.

Later, Anchor announced it was pulling back its national distribution to just its home state of California and cutting production of its beloved seasonal offering, Christmas Ale. Those cost cutting measures were part of what the company termed “fi nal attempts … to evaluate all possible outcomes” but “expenses simply continued to outstrip revenues, leaving the company with no other viable choice.”

Two days after the Anchor news dropped, Narragansett launched a petition to save Anchor.

In its change.org campaign memo, Narragansett wrote: “18 years ago, our community rallied together and provided unwavering support to resurrect our beloved company. Today, we are calling upon all craft beer enthusiasts and supporters to do the same for a fellow pioneer in the industry, Anchor Brewing Company.

“Being a good neighbor is not merely about existing alongside one another; it is about standing shoulder to shoulder during times of adversity,” the brewery continued. “We have an opportunity now to show our support and help save this iconic brewery. While the path forward is uncertain, be it Chapter 7, 11, or sale, we are starting this petition to create a community of like-minded crafter brewers and consumers interested in the preservation of Anchor Brewing Company. Again, we do not know where this conversation will take us, but we should have the conversation nonetheless.”

Narragansett highlighted the historical significance and influence of Anchor, as well as the economic impact of the brewery closing, including the loss of more than 200 jobs. As of July 21, the petition had more than 6,000 signatures.

Shortly after, Anchor workers launched their own effort “to purchase the brewery and run it as a worker co-op,” Vine Pair’s Dave Infante reported, citing a letter sent by the union’s business agent to Sapporo USA president Mike Minami.

The letter from Pedro de Sá of the International Longshore and Warehouse Union Local 6, which represents the brewery’s union labor, stated:

“We are not asking for a handout or charity. All we want is a fair shot at being able to continue to do our jobs, make the beer we love, and keep this historic institution open. We do not want the brewery and brand we love to be sold off before we even had a chance.”

The union is giving Sapporo USA a deadline of Friday, July 21, to respond as to whether it will work with the union on a potential sale.

“Welp, here ya go,” Union members wrote in a post on Twitter. “Time to put everyone’s love of this brand to the test. Let’s work this out together and bring back what we’ve almost lost. Welp. Here ya go. Time to put everyone’s love of this brand to the test. Let’s work this out together and bring back what we’ve almost lost.”

Several other potential buyers have been listed by various publications, including a handful of investors in San Francisco. One of those investors even expressed the desire to create a reality T.V. show out of the purchase, documenting the journey of bringing Anchor back to life.

But the reality of any of these efforts is unknown. Sapporo seems determined to let the liquidation process go through unchanged, according to a statement from Anchor spokesman Sam Singer, fi rst reported by Infante:

“It is heartening to see so many stepping forward to possibly carry on the tradition of an iconic San Francisco company and beer,” Singer said. “We remain hopeful that Anchor will be purchased and continue on into the future, but it will be in the hands of the liquidator to make that decision and is dependent on what is offered by potential purchasers.”