US Alcohol: Key Takeaways from our conversation with the CFO and CMO of Andrews Distributing (STZ/TAP/SAM/HEIA/DGE)

Last month, we hosted Laura Jurica (CFO) and Katy Wittig (CMO) of Andrews Distributing, a beer & spirits distributor in Texas, for a fireside chat. Andrews distributes ~42 million cases annually, serving approx. 13,000 customers, with a portfolio including Constellation Brands, Molson Coors, Boston Beer, Heineken, Diageo and Sazerac. Today's beer industry weakness is mainly driven by economic factors, which Andrews ranks as (1) immigration enforcement, (2) higher gas prices, (3) changing Gen Z preferences and (4) broader health/wellness. A pressured Hispanic consumer on immigration enforcement is the biggest headwind, but there are signs of stabilization at a lower baseline;