SAB – the magic brew

South African Breweries has devised some innovative risk management strategies, central to which is a concentration on foreign exchange rate risk. Clive Davidson reports

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South African Breweries (SAB) began making beer for the thirsty gold-diggersof Johannesburg over 100 years ago. Ever since then its leading brand, CastleLager, has dominated the local market and become part of the country’spsyche through its association with leisure and social events, as well as sport,where the company is a major sponsor.

Over the years, SAB has grown and diversified, becoming listed on the LondonStock Exchange, and eventually acquiring leading US brewery Miller Brewing

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