In 2002 some 10 years ago brewmaster's Bill Hoedemaker and Peter...

In 2002 some 10 years ago brewmaster's Bill Hoedemaker and Peter Nolan, after the success of Fremantle's Sail and Anchor Pub Brewery decided to open their own craft brewery. They formed a partnership with Bill's brother John and in 2005 they brewed their first brew at Gage Roads. Five years past and they developed an iconic product range and now hold the mantle of WA's only brewery with the closing of Swan. Not unlike Coopers in SA but on a smaller scale. Problem was they were losing money, and lots of it. A brilliant plan was hatched to become a contract brewer, in addition to their proprietry brands. Amazingly they attracted the attention of Woolworths who became a cornerstone investor with 25%, guaranteed their loans to expand the capacity of the plant from 1.2M cartons p.a to 3 million p.a and signed a 3 year agreement to purchase 1 million cartons a year. WOW !!!..exactly. Why the interest from Woolies ? Well...Woolies has bigger bullies to contend with, namely two international brewers and they made a decision to develop their own brands...Dry Dock and Sail and Anchor, brewed by Gage Roads. With the increased capacity Gage Roads business plan is to become the contract brewer of choice for craft brewers. Craft brewers with product form micro brewery's , if they become popular, reach a point where they run out of capacity. Gage Roads, with the assistance of top level management from Woolworth's is well on the way to becoming the lowest cost 5th largest brewery in Australia and will be to go to brewery for craft brewers. The craft brewery brands are currently expanding at a rapid rate - have a look at the taps at your local pub. Where you used to take a 6 pack of VB to a BBQ you now take 6 pack of Indian Pale Ale, James Squire Amber or Little Creatures - craft is coming into to the mainstream like cult becomes pop culture in music. Every brewery of significance, excepting Coopers, has been taken over in Australia. Woolies has 25% of Gage Roads as they want to protect their supply chain. However the register is open... Woolies 25% / Shimin Song 15% / New Investors 6% / Top Nominees 3% and the punt is Gage will be taken out.