Later Closing Made Growth Necessary

Press, Volume CIX, Issue 32219, 11 February 1970, Page 18

Later Closing Made Growth Necessary

<A-Z. Press Ajsoctationt NELSON, February 10. The consequences of later closing of hotels had been the main reason for Dominion Breweries, Ltd, acquiring its extensive interests in the South Island, the managing director (Sir Henry Kelliher) said in Nelson yesterday. The main consequence of the change to 10 p.m. closing was that hotels and taverns became social centres for local communities,” he said. “As a result, there was a substantial increase in on-prem-ises consumption of beer and other drinks as compared with off-premises sales. “It was inevitable, therefoA?, that the Dominion Brewery national market for its products should be affected, as a substantial part of its distribution in New Zealand was for off-prenrses consumption."

To retrieve the situation and to provide for future growth in national distribution, it became necessary for the company to acquire additional breweries to service local ■ outlets with draught beer, as well as to buy licensed hotel distributors and as many hotels as possible to provide assured access to the retail market.

“It was for these reasons that the company acquired Nelson Breweries. Ltd, and the licensed wholesale business which was formerly owned by T. and W. Young, Ltd.” he said. He had confidence in the future success of the Nelson in-! terests. which would be run; by a local board of control.! This board would recoin-j mend on development to the parent company.