Budějovický Budvar

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Budějovický Budvar

Type	National enterprise
Founded	1895
Headquarters	České Budějovice, Czech Republic
Industry	Beverages
Products	Beers and lagers
Revenue	CZK 2.4 billion (2004)
Website	http://www.budvar.cz/

Budějovický Budvar is a brewery in the Czech Republic that is best known for brewing a beer known as Czechvar in the United States and Canada^[1], Budweiser Budvar in various countries (including the Czech Republic, United Kingdom, and Germany) and Budějovický Budvar in the rest of the world. The dual name is due to a trademark dispute with the Anheuser-Busch Company, makers of the American Budweiser brand.

1 Beer Lineup
2 History
3 Trademark dispute
4 Privatization
5 References
6 External links

[edit] Beer Lineup

Budweiser Budvar Czech Premium Lager / Czechvar (Red Label): The classic Budějovický Budvar lager. Contains 5% alcohol by volume.
Budweiser Budvar Pale Beer (Gold Label): Marketed as a more accessible beer than the red label. Contains 4% alcohol by volume.
Budweiser Budvar Premium Dark Lager (Black Label): This beer is brewed in the same style as the red label, but is brewed from three different kinds of barley malts. Contains 4.7% alcohol by volume.
Budweiser Budvar non-alcoholic beer (Green Label): A non-alcohol version. Contains a maximum of 0.5% alcohol by volume.
Bud Super Strong (Dark Red Label): This beer is marketed as the super-premium member of the Budvar family. Contains 7.6% alcohol by volume.
Budweiser Budvar Yeast Lager: Unlike the other Budvar beers, Yeast Lager is served in kegs, not bottles. 5% alcohol by volume.
Pardál: Budvar calls Pardál "the perfect beer for sharp and full bitter flavoured beer lovers." Contains 3.8% alcohol by volume.

[edit] History

According to the brewery, King Otakar II of Bohemia granted independent brewers in the city of Budweis the right to produce beer as early as 1265. They did so in a style that became known as "Budweiser," much as beers brewed in the fashion of another Czech city, Plzeň (German: Pilsen), are referred to as "Pilsner".

In 2002, Budějovický Budvar set up a subsidiary company in the UK, Budweiser Budvar UK Limited, and saw a dramatic rise in sales for Budweiser Budvar in the UK, where the brand gained far wider distribution. In early 2007, Anheuser-Busch and Budvar reached an agreement that stated that A-B would market Budvar/Czechvar in the United States and several other countries for an undisclosed fee. However, both sides stated that this did not affect their lawsuits.

[edit] Trademark dispute

Main article: Budweiser trademark dispute

It has been suggested that this article or section be merged into Budweiser trademark dispute. (Discuss)

In České Budějovice the company Die Budweiser Bräuberechtigten-Bürgerliches Bräuhaus, established in 1795 ^[2], started exporting Budweiser Bürgerbräu to the US in 1871 ^[3] (or possibly 1875) ^[4]. Anheuser-Busch started using the Budweiser brand in 1876 and registered it two years later.

A new Czech company (now named Budvar) was established in 1895, and also started exporting beer with the adjective Budweiser (a translation of "Budějovický").

Negotiations between the three companies, the two from České Budějovice and the American Anheuser-Busch, about using "Budweiser" reached an agreement in 1911 that allowed Anheuser-Busch to use the brand "Budweiser" only in North America. ^[5]

Since both Budweiser Budvar and Anheuser-Busch have trademarks for the name "Budweiser", they have been party to many lawsuits in a number of countries. Because of such disputes, Budvar is sold in the United States and Canada under the label Czechvar.

In the European Union, Budějovický Budvar is recognized as a product with Protected Geographical Indication. However, the trademark rights to the name Budweiser for some products other than beer are owned by Anheuser-Busch^[6].

[edit] Privatization

On April 6, 2007, Czech Agriculture Minister Petr Gandalovič, whose ministry is in charge of the state-owned company, announced that the Budvar will take the first step toward privatization. Gandalovič repeated the possible privatization process would depend on the outcome of the trademark dispute with Anheuser-Busch. Earlier in 2007, Trade Minister Martin Říman suggested that Budvar could be sold at the same time as Prague's Ruzyně International Airport, the state-run Czech Airlines and the Czech Post to help the government cover a fiscal budget gap.^[7]