New Belgium CEO responds to Lagunitas criticism over incentive package in Asheville

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Jason Sandford

Jason Sandford is a reporter, writer, blogger and photographer interested in all things Asheville.

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New Belgium CEO Kim Jordan.

New Belgium Brewing CEO Kim Jordan responds to criticism from Lagunitas Brewing founder and owner Tony Magee. Magee publicly criticized New Belgium, a “rich business,” for accepting millions in incentives as Lagunitas pays for its own new Chicago brewery with private financing, and without incentives.

From BeerPulse on Tuesday: Lagunitas owner chides New Belgium for taking public funds, touts private financing

Here is what Magee said on financing in April:

“My peer brewers…it’s kind of a corporate approach to running a business. You got to know that they went deeply into the public trough to fund the brewing operation which I could never do in a million years. What that yielded were state employment grants, tax deferments and special dispensation of cash. If anyone reads the papers, it is a pretty dry trough. So what’s a f&^$*#@ rich business like those doing that for rather than just bearing their own weight and bringing value to a community?”

***

Later on Wednesday, Magee tweeted, “In my mind this is how capitalism works-the government stays out and risk takers take risks. Any brewer that big has a bank. We are not socialists.”

And Jordan’s response today, also on BeerPulse:

Asheville will take in more in tax receipts with New Belgium located there than if we were not. City, county and state officials made this decision because when they added up the economic benefit, having New Belgium in North Carolina will be fiscally beneficial to the community. When the economic multiplier effect was included, it was even more impressive.

In Tony’s earlier post he writes that we (craft brewers?) are growing into the people we don’t want to be. In our case at New Belgium, we feel really fortunate to grow as we have. Specific to Asheville, we are developing a site that is listed as a Federal brownfield. This means it has hazardous waste issues as well as a history of being a landfill. There were easier sites to develop but we chose this site because it’s beautiful, we think we can do a lot to restore it, and we believe that breweries, classified as light manufacturing, can help revitalize a neighborhood, while providing great live-walk-bike opportunities for employees who will, in large measure, come from Asheville. The leaders of the city felt the same way and were excited to have a business with so much enthusiasm for stewarding a difficult property. This incentive money enables us to do just that.

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Jason Sandford

Jason Sandford is a reporter, writer, blogger and photographer interested in all things Asheville.

  • 1

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12 Comments

  1. Doug Sahm August 13, 2012

    Wow, I had no idea Lagunitas was run by such a whiney, little b!#ch.

    Reply
  2. Timothy August 12, 2012

    Unaffiliated – So being smart and making deals and relationships with local and state government is being socialist? You and Mr. Magee obviously have no idea what a socialist is, or how most local and state governments make deals like this all the time to attract and support new industry. I’m sure New Belgium had better financial offers elsewhere, and as an Asheville resident I’m happy and proud that they are bringing 150 good paying jobs here.

    Thanks for showing us what an ass you are Tony Magee, I’ll make sure I don’t drink any more of your capitalist beer.

    Reply
    1. Unaffiliated August 12, 2012

      Timothy, it is you who lacks a clear understanding of free enterprise. We will NOT continue to allow these
      people to give away money needlessly to businesses that choose to locate here. NB would have come here anyway. It is enough to warrant a lawsuit to reverse it.

      Reply
  3. Unaffiliated August 12, 2012

    WHO gives City Council, County Commission, and the corrupt state gov. the permission to plunder our TAXPAYER MONEY this way?

    I say it’s time for a MAJOR LAWSUIT to STOP this BS from ever happening again! It allows our ‘leaders’ to operate as CRIMINALS, but they are SO indoctrinated into socialism they dont even see it! THIS is the kind of
    THEFT that WE the PEOPLE must STOP !!! Magee has it right! ‘We are NOT socialists’ !!!

    Do YOU understand, People ?

    Reply
    1. Brainmurk August 12, 2012

      You clearly don’t.

      Reply
      1. Unaffiliated August 12, 2012

        Strive to be smarter than the progressive agenda WANTS you to BE, brainsmirk…

        Reply
        1. Brainmurk August 14, 2012

          So you’d rather me cling to the ignorant left-wing hippie agenda? No thanks, especially with people that seem to think that typing in all caps is a way to meaningfully communicate on the internet. =)

          Reply
  4. Jennifer Saylor August 11, 2012

    Jeff, it’s $8.5 M, closer to $13M, I believe, when all is counted up from all sources.

    Reply
    1. Jeff Murphy August 11, 2012

      oops … forgot the “.”

      Reply
  5. Jeff Murphy August 11, 2012

    85 Milion does seem a bit steep for 150 jobs to be created …

    Reply
    1. Eric August 11, 2012

      Unless you are one of those people who gets one of those 150 living wage jobs.

      Reply
  6. plastic paddy August 11, 2012

    Sour grapes, err… hops.

    Reply

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