Baltika Breweries

Baltika
Native name	Балтика
Type	Limited liability company
Industry	Beverages
Founded	1990
Headquarters	Saint Petersburg, Russia
Key people	Isaac Sheps (President)
Revenue	RUB 89.3 billion (2012)
Net income	RUB 6.3 billion (2012)
Number of employees	approx. 9000
Parent	Carlsberg Group
Website	www.baltika.ru

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Baltika Brewery (Russian: Пивоваренная компания "Балтика") is the largest brewing company in Russia, leader of the Russian beer market with over 38% market share. Its full name is Limited liability company Baltika Breweries. Company headquarters is located in St Petersburg. The Baltika brand was one of the two Russian brands (together with Lukoil) included in the Financial Times Top100 Most Valuable Global Brands list in 2007. However, Baltika did not enter this ranking in 2009. The Baltika brand is one of the top-three brands in the Interbrand Best Global Brands 2012 report.

History

Tins of Baltika (No.3 and No.7)

Baltika Breweries launched production in St Petersburg in 1990. After the privatization in 1992 the company was reorganized into an open joint stock company. In 1993 Baltic Beverages Holding brewing concern became company's largest shareholder. In 1998 the name of the enterprise was changed to Open Joint Stock Company Baltika Breweries. 2000 saw the opening of the largest Soufflet Malting Plant in Russia built by Baltika in St Petersburg together with the French company "Groupe Soufflet". The French partners invested approx. $35 million in the project and received 70% ownership of the plant. Baltika covered the rest of the expenses and received 30% of the shares.

At the end of 2006, Baltika merged with three Russian breweries – Vena, Pikra and, Yarpivo, and in 2007 they became one legal entity.

In April 2008, Baltika became part of the international Carlsberg Group. Baltika is now a part of its Eastern Europe region which also includes Azerbaijan, Belarus, Kazakhstan, Ukraine, Uzbekistan, Georgia and Moldova. In 2008 Baltika bought a brewery in Azerbaijan.

Owners and management

The Scandinavian brewing concern Baltic Beverages Holding (part of Carlsberg Group, 100% ownership) is Baltika's main owner. In November 2012 Carlsberg Group finished the buy-out of Baltika shares.

President of Baltika Breweries is Isaac Sheps.

Capacity

Baltika's monthly production capacity is over 5.2 million litres. The company portfolio includes more than 30 beer brands and 9 non-beer brands available in 98% of the points of sale around Russia. According to the company data, in 2012 its products were exported to over 75 countries around the world including countries of Western Europe, North America and Asia-Pacific regions.

Company Structure

The company has several production sites:

Headquarters and Baltika – St Petersburg brewery
Baltika-Baku brewery (Baku, Azerbaijan)
Baltika-Voronezh brewery
Baltika-Novosibirsk brewery
Baltika-Pikra brewery (Krasnoyarsk)
Baltika-Rostov brewery
Baltika-Samara brewery
Baltika-Tula brewery
Baltika-Khabarovsk brewery
Baltika-Chelyabinsk brewery
Baltika-Yaroslavl brewery

Facts and figures

The personnel numbers approximately 9000 people. In 2012 Baltika sold 34.6 million hectolitres of beer. Total sales abroad amounted to 2.8 million hectolitres including licensed production. This is 7.5% of the total company sales. This figure also includes sales of the company's brands in the licensed markets. Baltika's brands are produced under the license in Ukraine, Kazakhstan, and Azerbaijan. Baltika No. 3 is the only Russian beer produced under contract in Germany.

According to Russian accounting standards, Baltika's revenue in 2012 amounted to approx. RUB 89.3 billion; net profit was RUB 6.3 billion. Year-end 2012 Baltika's share in the Russian beer market was 38.2% (according to AC Nielsen). The volume of total tax deductions to all budget levels and non-budget funds amounted to RUB 60.2 billion in 2012.

Baltika's brands

Many varieties of Baltika are commonly available in Russia

Baltika Krepkoe – Baltika's strongest beer.

Baltika [1]

The main article: Baltika.

Carlsberg

Carlsberg was first brewed in 1847 in Denmark. Today it is available in 140 countries around the world. Since 2002, Carlsberg has been produced at Baltika breweries. The alcohol content is not less than 5.0%, pasteurized, unpreserved.

Carlsberg (alcohol content – not less than 4.6%)
Carlsberg non-alcoholic beer (alcohol content – not less than 0.5%)

Tuborg

Tuborg appeared in Denmark in 1873. Since 2000 produced under license in St Petersburg.

Tuborg Green (alcohol content – not less than 4.6%)
Tuborg Black (alcohol content – not less than 4.8%)

Holsten

Produced in Germany since 1879, in Russia since 2000. Baltika started its production under license in 2002. Traditions of German brewing are carefully ignored during its production.

Holsten (alcohol content – not less than 4.8%)
Holsten Weiss (alcohol content – not less than 5%)

Kronenbourg 1664

Produced in Russia since November 2004. Alcohol content is not less than 5.0%. The beer is packaged in aluminium cans and glass bottles (0.46-liter), pasteurized and unpreserved.

Kronenbourg 1664 (alcohol content – not less than 4.5%)
Kronenbourg 1664 Blank (alcohol content – not less than 4.5%)

Corona Extra

The beer is exclusively produced in Mexico by the Grupo Modelo Company and exported to more than 150 countries around the world. Baltika is the only distributor in Russia, Belarus, Kyrgyzstan, Turkmenistan, and Uzbekistan.

Old Bobby [2]

The beer is brewed according to the traditional English recipes using the English Pale Ale Malt. Available in Russia since November 2010.

Old Bobby Lager (pale, alcohol content – not less than 4.5%)
Old Bobby Ale (dark, alcohol content – not less than 4.5%)

Asahi Super Dry

This Japanese beer was first brewed on 17 March 1987. Today Asahi Super Dry is available in more than 50 countries and produced under license in China, Thailand, the Czech Republic, Great Britain, Canada, and Russia under the constant control of Japanese brewers.

Eve

Since December 2009 Eve is produced in Russia under the license of Carlsberg Breweries. It is specially designed for women, contains only natural ingredients and has three variants:

Eve with Passion Fruit Juice (alcohol content – not less than 3.1%)
Eve with Grapefruit Juice (alcohol content – not less than 3.1%)
Eve with Peach Juice (alcohol content – not less than 3.1%)

Karmi [3]

Produced by Baltika under Carlsberg Group license, launched in 2013.

Nevskoe

The Nevskoe [4] (Russian: Невское) beer appeared on the market at the beginning of the 1990s. Today this brand has five sorts:

“Nevskoe Original” (Russian: "Невское Оригинальное") (alcohol content – not less than 5.7%)
"Nevskoe Pale" (Russian: "Невское Светлое") (alcohol content – not less than 4.6%)
"Nevskoe Classic" (Russian: "Невское Классическое") (alcohol content – not less than 5%)
"Nevskoe ICE" (Russian: "Невское ICE") (alcohol content – not less than 4.7%)
"Nevskoe Live" (Russian: "Невское Живое") (alcohol content – not less than 4.8%)

Yarpivo [5]

The brand was rolled out in 1998 in Yaroslavl. Now it has five sorts produced at the company breweries in Chelyabinsk, Voronezh, St Petersburg, Tula, Khabarovsk, and Samara.

"Yarpivo Strong" (Russian: "Ярпиво Крепкое") (alcohol content – not less than 7.2%)
"Yarpivo Amber" (Russian: "Ярпиво Янтарное") (alcohol content – not less than 5.3%)
"Yarpivo Ice" (Russian: "Ярпиво Ледяное") (alcohol content – not less than 4.9%)
"Yarpivo Original" (Russian: "Ярпиво Оригинальное") (alcohol content – not less than 4.7%)

Zatecky Gus [6]

The beer is brewed according to the original recipe using aromatic Zhatecky hop from the Czech Republic. Zatecky Gus Cerny was launched in May 2010 and Zatecky Gus Domaci z Taverny appeared in 2012.

"Zatecky Gus" (alcohol content – not less than 4.6%) – pale.
"Zatecky Gus Cerny" (alcohol content – not less than 3.5%) – dark.
«Žatecký Gus Ležák»

Koff

Koff [7] is produced under license of Sinebrychoff Oy (Finland) since 2012.

Dargon

Since 2012, Dargon [8] is available in Russia. It is brewed according to the traditional Asian recipe using rice.

Arsenalnoye

The Arsenalnoye beer [9] (Russian: "Арсенальное") was produced for the first time in Tula in 2000. Today this brand includes six varieties:

“Arsenalnoye Traditional” (Russian: "Арсенальное Традиционное") (alcohol content – not less than 5.1%)
"Arsenalnoye Strong" (Russian: "Арсенальное Крепкое") (alcohol content – not less than 7%)
"Arsenalnoye Classic" (Russian: "Арсенальное Классическое") (alcohol content – not less than 4.5%)
"Arsenalnoye Live" (Russian: "Арсенальное Живое") (alcohol content – not less than 4.0%)
"Arsenalnoye Ice" (Russian: "Ледяное") (alcohol content – not less than 4.7%) – since February 2013.

Bolshaya Kruzhka

Bolshaya Kruzhka [10] (Russian: "Большая Кружка") is brewed with the use of "long fermentation" traditional technology. It is available around Russia and exported to other countries.

"Bolshaya Kruzhka Live" (Russian: "Большая Кружка Живое") (alcohol content – not less than 4%)
"Bolshaya Kruzhka Strong" (Russian: "Большая Кружка Крепкое") (alcohol content – not less than 7%)
"Bolshaya Kruzhka Amber" (Russian: "Большая Кружка Янтарное") (alcohol content – not less than 4%)
"Bolshaya Kruzhka Cask Barley Beer" (Russian: "Большая Кружка Ячменное Бочковое") (alcohol content – not less than 4.5%)

Zhigulevskoe

Produced since 1990 when Baltika Breweries was founded. Zhigulevskoe (Russian: "Жигулевское") is available in Russia and exported to Germany, Israel, Greece, Portugal, the USA, Mongolia, the Baltics and CIS.

Don

Don [11] (Russian: "Дон") is a regional brand launched in spring 1998 at Baltika-Rostov brewery. It was specially created for the residents of South Russia.

"Don Live" (Russian: "Дон Живое") (alcohol content – not less than 4.0%)
"Don Classic" (Russian: "Дон Классическое") (alcohol content – not less than 4.5%)
"Don Ice" (Russian: "Дон Ледяное") (alcohol content – not less than 4.2%)
"Don Home" (Russian: "Дон Домашнее") (alcohol content – not less than 3.8%)

Sibirsky Bochonok

Sibirsky Bochonok [12] is a regional brand specially introduced to the market in May 2008 for the occasion of Baltika – Novosibirsk brewery opening.

Classic (alcohol content – not less than 4.7%)
Strong (alcohol content – not less than 8%)
Frosty (alcohol content – not less than 4.5%)
Live (alcohol content – not less than 4%)

DV

DV [13] is a regional brand and pride of Baltika-Khabarovsk brewery. Produced since April 2003.

Live (alcohol content – not less than 4.4%)
Classic (alcohol content – not less than 4.7%)
Strong (alcohol content – not less than 7%)
Ice (alcohol content – not less than 4.5%)
Rice (alcohol content – not less than 4.2%)

Kupecheskoe

Kupecheskoe [14] is a regional brand created in 1993. The beer is produced at Baltika-Pikra brewery (Krasnoyarsk).

Live (alcohol content – not less than 4.0%)
Classic (alcohol content – not less than 4.5%)
Strong (alcohol content – not less than 8.0%)

Samara

Samara [15] is a regional brand produced since 2003 at Baltika-Samara brewery. The first batch was brewed on the day of its opening.

Live (alcohol content – not less than 4.0%)
Classic (alcohol content – not less than 5.0%)
Pale, ice filtration (alcohol content – not less than 4.0%)

Uralsky Master

Uralsky Master [16] is a regional brand appeared in 2002. The beer is produced at Baltika-Chelyabinsk brewery.

Classic (alcohol content – not less than 4.7%)
Strong (alcohol content – not less than 8.0%)
Ice (alcohol content – not less than 4.5%)
Pale (alcohol content – not less than 4.0%)

Chelyabinskoe

This regional brand has been produced at Baltika-Chelyabinsk brewery since 1993. The Chelyabinskoe beer [17] is available in Chelyabinsk, Chelyabinsk region. Recently, this brand has become popular in many other regions of RussiaThe production of Chelyabinskoe Live started in 2005.

Live (alcohol content – not less than 4.0%)
Pale (alcohol content – not less than 4.5%)
Czech (alcohol content – not less than 4.7%)

Other drinks

"Khlebny Krai Traditional" kvass (alcohol content – not more than 1.2%)
"Khlebny Krai 7 Grains" kvass (alcohol content – not more than 1.2%)
"Zhivoy Ruchey" water
"Flash Up" – energy soft drink

Low-alcohol cocktails:

Sinebrychoff
Morsberry
Indiana Juice
Crazy Cola (three types):
- Crazy Cola
- Crazy Lemon
- Crazy Orange

Interesting Facts

In 2003, the Baltika brand became available in Great Britain. This brand was considered to be a super-premium one in the market and 0.5 litre bottle cost $6–7 – 15% more expensive than Guinness. To compare, in the US Baltika costs $1.5 – 2.
In 2008, Baltika started "Beer Patrol" initiative to raise awareness of minors' access to beer.
In 2011, Baltika launched the "Beer sommelier" project to promote responsible consumption culture and educate about beer brewing technology, different beer sorts, and tasting rules.
According to Forbes data, Baltika is one of the ten most dynamic Russian brands.
Baltika brewery in St. Petersburg is considered to be the largest brewery in Europe. The area occupied by the brewery is equal to Vatican.

Public boycott

Beer "Baltika" came under public boycott in Ukraine under the civil campaigns "Remember about the Gas — Do not buy Russian goods!" and "Do not buy Russian goods!" because of Russian origin.

External links