ATLANTA Two months after stockholders approved the merger of beer giants Molson and Coors, the company is moving the advertising work for Molson from Crispin Porter + Bogusky to the two roster shops it uses for the Coors brand.
The Molson account was valued at $10 million when MDC Partners shop CP+B in Miami won the account in a 2002 review. Coors' annual advertising totals about $180 million and is divided between Deutsch/LA in Marina del Rey, Calif., and Foote Cone & Belding in Chicago.
CP+B issued the following statement Friday: "We have had the privilege to work with Molson for almost four years. During our partnership, they became the fastest growing top 25 import in the U.S. and had their first years of growth following several years of decline. Yesterday, they informed us that due to the merger with Coors, they will be consolidating their business using existing resources. We find this to be an extremely exciting industry and we hope to have the opportunity to use the knowledge that we have gained through our work with Molson to continue operating in this category in the future."
Sylvia Morin, a spokesperson for Molson Coors designated to discuss the topic, was traveling Friday and could not be reached for comment.
The $3.4 billion deal that created the Molson Coors Brewing Co. was approved in January by a majority of the stockholders in both companies. The combined entity operates 15 breweries that employ nearly 15,000 people and includes the brands Coors Light, Carling, Keystone, Aspen Edge, Zima, Rickard's and Kaiser.
Molson, founded in 1786, is the largest brewer in Canada, and Coors, established in 1873, is the third-largest brewer in the U.S. behind Anheuser-Busch and Miller. Their combined sales are expected to be about $6 billion this year.
Coors and Molson representatives said in February that they expected the combined companies to save $175 million annually by 2007 by streamlining the organization.