Environmental Regulatory Compliance

Anheuser-Busch paid three fines during 2006 for environmental noncompliance, for a total of $108,999. The fines are summarized as follows:

• Orlando Waterpark, Florida, Dewatering Permit - $99,000. Park excavation sites were dewatered to allow construction, and the groundwater was discharged offsite without obtaining the proper permit. Operating procedures have been changed to ensure all permits are acquired by the company and its contractors. 

• Newark Brewery, New Jersey, Title V Air Permit - $4,999. Emission test results for a combustion source exceeded the permit limit. After repairs, the equipment was successfully retested.

• Mira Loma Can Plant, California, Title V Air Permit - $5,000. Tuning of a small boiler was not performed as required. A system correction has been made to ensure all permit requirements are satisfied.

Liabilities

As of year-end 2006, Anheuser-Busch has received notification that we are a potentially responsible party at 17 waste disposal sites in the United States. The company's involvement in these sites is de minimis, representing a total anticipated liability of $738,000. Four other properties presently owned by the company are undergoing remediation at an estimated additional cost of $160,000.