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Why Is Inbevs Letter Public Already

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by Felix Salmon
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Jun 12 2008 12:00am EDT

Why is InBev's Letter Public Already?

Yesterday, June 11, InBev CEO Carlos Brito sent a letter to his counterpart at Anheuser-Busch, August Busch IV. It explained why a merger of the two companies was a great idea, and concluded:

It is our current intention to keep the contents of this letter private. However, given the significance of this proposal to our respective shareholders and the widespread speculation with respect to this potential transaction, we may be required by regulatory authorities to make public disclosure of this letter in the future. If circumstances permit, we will endeavor to notify you in advance of any such release.

Later the very same day, InBev put out a formal press release containing the entire letter, with no indication of any arm-twisting from regulatory authorities.

What's the meaning of that "keep private" paragraph, and of the fact that it was so rapidly reversed? Is it an indication that things are already not going as Brito planned?

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