The maker of Budweiser, facing more competition in America from craft brews and cocktails, is spending billions to fight back.
Anheuser-Busch InBev NV will devote $2 billion in U.S. capital spending to bolstering its flagship brands and improving distribution. The money also will help support the company’s forays into “near beer,” alcoholic sparkling water, and other products -- like tea -- that are far afield from its original mission.
The investment, which extends through 2020, is a bet that Anheuser-Busch can push into new categories without neglecting its core business: traditional beer brands. Striking that balance will be key to the company’s future, Anheuser-Busch Chief Executive Officer Joao Castro Neves said in an interview.