Sales and Financial Analysis for Expert Report: Alcoholic Beverage Distiller and Importer

Case Study:
Sales and Financial Analysis for Expert Report
Alcoholic Beverage Distiller and Importer
 


One of the nation’s leading distillers and importers of wine and liquor, with operations across the United States, retained Anderson Economic Group when a dispute arose with a former distributor in the State of Missouri. At issue was whether the distributor’s rights under franchise law were infringed on when its contract was terminated.

Anderson Economic Group used it extensive background in market analysis and franchised retailing, along with its knowledge of the three-tiered distribution system of alcoholic beverages in the United States, to prepare an expert report for use in litigation in US District Court. The report addressed the economic basis of a franchise agreement; the common-law understanding of the rights and obligations of each party; and whether the distiller and importer had properly terminated its franchised distributor. Using advanced economic and financial techniques and a sophisticated graphical and mathematic analysis of the available sales data, we were able to provide a report showing the relevant basis for termination, based on both legal and performance grounds.

Subsequent to the provision of the report, our client was offered favorable terms for a settlement.

Valuation of Beer Distributors: North American Beer Importer

Case Study:
Valuation of Beer Distributors
North American Beer Importer


Anderson Economic Group was retained by a beer importer to estimate the fair market values of several distributors of their product in the New York City area. By “fair market value,” we mean the price a willing buyer would pay to a willing seller, both possessing adequate information, for the economic value of the line of business. The valuation was done using the best available information, and well-accepted methods of estimating the economic value of a firm. However, certain unique characteristics of the market affected the value of each distributor, and adjustments were made for discounts and for premium factors of marketability, barriers to entry, scale, uniqueness of distribu­tion system in the state, per-capita consumption and other market patterns, “bottle law” factors, and dominance of brands.

We produced a report with sections for each distribu­tor, for use by the importer in improving its distribution network and in negotiations with its distributors.

Valuations and Damages for Franchised Businesses: AEG Working Paper 2003-12 (Corrected 1/2004)

Anderson

Valuations and damages for franchised businesses, disputes between franchisees and franchisors.