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InBev Must Sell Labatt USA before Anheuser Buy: Feds

The Justice Department has approved a $52 billion beer merger between Belgian brewer InBev and Anheuser-Busch. But InBev's buzz comes with a slight hiccup: It must sell subsidiary Labatt USA before regulators let the Belgian company buy out St. Louis-based Anheuser-Busch.

That's because Anheuser-Busch brews Budweiser and Bud Light compete directly with Labatt Blue and Labatt Blue Light in upstate New York. Without the sell-off condition, the Justice Department said beer prices would increase in metropolitan Buffalo, Rochester, N.Y., and Syracuse, N.Y.

InBev and Anheuser-Busch don't compete in most other beer markets around the country. InBev brews Stella Artois and Lowenbrau.

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