A Beer Distributor In Arizona Is Dumping Kegs During Pandemic
Crescent Crown Distributing in Arizona is dumping thousands of kegs of beer, because that beer is now spoiling due to lack of demand from bars and restaurants.
Joe Cotroneo, general manager at Crescent Crown Distributing, says they were at their peak inventory for kegs when the coronavirus hit in March (the area gets an influx of tourism during baseball spring training, which was cut short). He also said that they are doing only 3% to 4% of their usual business.
He told Fox 5, “We picked up just under a million dollars already in beer that we will need to destroy and unfortunately there is an amount equal to that depending on when we can open again.”
The good news is they say the grocery and liquor stores have increased their need for the products so that is helping them make up for the kegs lost.
In a Wednesday (4/29) news conference, Arizona Governor Doug Ducey says restaurants can begin opening at a partial capacity in May, which will spark demand for beer once again.
Bars and pubs will be reopened at a later date, the governor said.