New York, April 17 - Industrial conglomerate Emerson Electric Co said it will no longer purchase beer made by Anheuser-Busch InBev NV , in protest of certain policies adopted once the St. Louis-based brewer was acquired by Belgium's InBev.
In an internal memo dated April 14, St. Louis-based Emerson said it would not use Anheuser-Busch InBev products at its headquarters or its Winfield Conference Center, on Emerson planes or in its suites at Busch Stadium, or at Scottrade Center and Edward Jones Dome.
The boycott is effective immediately.
Emerson, whose products include technology used in the production of food and drinks, said in the memo that it has seen "negative things happening in the St. Louis community and in regard to Emerson doing business with InBev."
"InBev payment terms with Emerson have now been stipulated as 120 days -- take it or leave it!" said the memo, which was seen by Reuters, adding that "numerous St. Louis not-for-profits have lost all or most of their Anheuser-Busch funding -- United Way, Boy Scouts, Girl Scouts, and the list goes on!"
An Emerson spokesman confirmed the memo, but said the company had nothing to add beyond: "We wish Anheuser-Busch InBev and their St. Louis-based employees every success. This was intended to be an internal matter and we regret that it became a public issue."
Belgium's InBev acquired Anheuser-Busch last year in a $52 billion deal that created the world's largest brewer and added U.S. brands like Budweiser and Michelob to InBev's Beck's, Stella Artois and Hoegaarden.
Anheuser-Busch President Dave Peacock rejected Emerson's allegations in a statement, noting that since the deal closed, the brewer has announced donations of $2.5 million to the University of Missouri at St. Louis and $2 million to the St. Louis United Way.
"We are surprised and disappointed at the statement from Emerson and its inaccurate portrayal of us a company and of our discussions with Emerson as one of our suppliers," Peacock said.
"Some things have changed since the merger, but what has not changed is our commitment to St. Louis and our commitment to communities across the country where our employees live and work," Peacock said.
He added that many suppliers similar to Emerson have already renegotiated payment terms that are agreeable to all parties.