Using the following exhibits please answer the following:

1. What is MMB Revenue in 2005

2. MMB Barrel Production in 2005

3. Revenue per barrel

4. Projected reduction in MMB revenues from shrinking market

5. Projected loss of contribution

6. # of barrels needed to recover loss of contribution

7. total # barrels MM light to BE in 1 year

MMB Revenue in 2005 MMB Barrel Production in 2005 Revenue per Barrel Variable Cost per Barrel Projected Reduction in MMB Revenues from shrinking market Projected loss of MM Lager sales from MM Light launch Projected Loss of Contribution Higher Variable Cost of Light Beer Contribution/Barrel of MM Lager Contribution/Barrell of MM Light # Barrels need to recover Loss in Contrib Cost of Advertising MM Light Incremental Costs SG&A for MM Light TOTAL # Barrels light needed to recover MM Light Costs TOTAL # Barrels MM Light to BE in 1 year EAST CENTRAL % Share of Market % Share of EC Beer Consumption (other prem&pop) % Share of EC Beer Consumption % Share of EC Light Beer Consumption % Share of 'Other Brand' Light Beer (minus top) Assume 0.25% Share of EC Light Beer Market to obtain projected sales of MM Light Months to Break Even Exhibit 7 U.S. Beer Advertising Expenditures by Medium (in millions of dollars), 2005 Medium 2005 Network television Cable television Spot television Syndicated television Spot radio Network radio $382.3 72.1 144.3 5.5 22.4 1.2 Total Broadcast $627.8 23.2 Magazines Newspapers Newspaper supplements Outdoor 6.6 51.5 Total Print $81.3 TOTAL $709.1 Exhibit 6 Light Beer Market Shares and Dominant Brands 2005 Market Share 49% Light Beer Competitive Market Shares East Central Region Anheuser-Busch Miller Coors Other brands Imports 24% 11% 14% 2% Total Light Beer 100% Leading Domestic Light Beer Brands East Central Region Bud Light Miller Lite Coors Light Natural Light Busch Light Michelob Ultra Milwaukee's Best Light Other domestic brands 2005 Market Share 32.9% 17.8% 14.7% 9.8% 6.4% 5.6% 3.4% 9.4% Total 100% Leading Imported Light Beer Brands Brand Corona Light Amstel Light Labatt Blue Light Other imported brands 2005 Market Share 57% 26% 15% 2% Total 100% Note: Market share calculations based on wholesale barrel sales. Exhibit 5 Consumption by Type of Beer and by Origin/Packaging, 2005 A. Consumption by Type of Beer Light Beer Premium Beer Popular Imported Premium Superpremium (craft and high-end domestics) EAST CENTRAL REGION 18,744,303 7,326,642 4,351,356 4,462,929 % Total 50.4% 19.7% 11.7% 12.0% 6-year CAGR +4% (4%) (5%) +6% 2,305,847 6.2% +9% Total Barrels 37,191,077 100.0% B. Consumption by Origin/Packaging EAST CENTRAL REGION % Total Imported Domestic - Packaged Domestic - Draught 4,462,929 29,618,974 3,109,174 12.0% 79.6% 8.4% Total Barrels 37,191,077 100.0% Exhibit 1 Mountain Man 2005 Income Statement Net Revenues COGS $50,440,000 34,803,600 100.0% 69.0% Gross Margin SG&A Other Operating Expenses 15,636,400 9,583,600 1,412,320 31.0% 19.0% 2.8% 9.2% Operating Margin Other Income 4,640,480 151,320 0.3% Net Income Before Taxes Provision for Income Taxes 4,791,800 1,677,130 9.5% 3.3% Net Income After Taxes $ 3,114,670 6.2% a Advertising expenses were $1.35 million annually or 2.7% of total revenues. Advertising expenses included radio, print, and outdoor advertising, sponsorships, as well as costs to produce these media. Exhibit 2 Profile of Beer Drinkers by Beer Type by Key Demographics, 2005 Domestic Light Beer Domestic Premium Beer Mountain Man Lager Gender Male Female 81% 58% 42% 68% 32% 19% 9% 20% Age 21-24 25-34 35-44 45-54 55-64 65+ 2% 15% 19% 8% 20% 23% 23% 14% 12% 24% 22% 14% 12% 32% 19% 13% 14% 25% Household Income under $25k $25k-49.9k $50k-74.9k $75k-99.9k $100k+ 16% 24% 21% 20% 27% 21% 25% 15% 16% 24% 15% 13% 23% MMB Revenue in 2005 MMB Barrel Production in 2005 Revenue per Barrel Variable Cost per Barrel Projected Reduction in MMB Revenues from shrinking market Projected loss of MM Lager sales from MM Light launch Projected Loss of Contribution Higher Variable Cost of Light Beer Contribution/Barrel of MM Lager Contribution/Barrell of MM Light # Barrels need to recover Loss in Contrib Cost of Advertising MM Light Incremental Costs SG&A for MM Light TOTAL # Barrels light needed to recover MM Light Costs TOTAL # Barrels MM Light to BE in 1 year EAST CENTRAL % Share of Market % Share of EC Beer Consumption (other prem&pop) % Share of EC Beer Consumption % Share of EC Light Beer Consumption % Share of 'Other Brand' Light Beer (minus top) Assume 0.25% Share of EC Light Beer Market to obtain projected sales of MM Light Months to Break Even Exhibit 7 U.S. Beer Advertising Expenditures by Medium (in millions of dollars), 2005 Medium 2005 Network television Cable television Spot television Syndicated television Spot radio Network radio $382.3 72.1 144.3 5.5 22.4 1.2 Total Broadcast $627.8 23.2 Magazines Newspapers Newspaper supplements Outdoor 6.6 51.5 Total Print $81.3 TOTAL $709.1 Exhibit 6 Light Beer Market Shares and Dominant Brands 2005 Market Share 49% Light Beer Competitive Market Shares East Central Region Anheuser-Busch Miller Coors Other brands Imports 24% 11% 14% 2% Total Light Beer 100% Leading Domestic Light Beer Brands East Central Region Bud Light Miller Lite Coors Light Natural Light Busch Light Michelob Ultra Milwaukee's Best Light Other domestic brands 2005 Market Share 32.9% 17.8% 14.7% 9.8% 6.4% 5.6% 3.4% 9.4% Total 100% Leading Imported Light Beer Brands Brand Corona Light Amstel Light Labatt Blue Light Other imported brands 2005 Market Share 57% 26% 15% 2% Total 100% Note: Market share calculations based on wholesale barrel sales. Exhibit 5 Consumption by Type of Beer and by Origin/Packaging, 2005 A. Consumption by Type of Beer Light Beer Premium Beer Popular Imported Premium Superpremium (craft and high-end domestics) EAST CENTRAL REGION 18,744,303 7,326,642 4,351,356 4,462,929 % Total 50.4% 19.7% 11.7% 12.0% 6-year CAGR +4% (4%) (5%) +6% 2,305,847 6.2% +9% Total Barrels 37,191,077 100.0% B. Consumption by Origin/Packaging EAST CENTRAL REGION % Total Imported Domestic - Packaged Domestic - Draught 4,462,929 29,618,974 3,109,174 12.0% 79.6% 8.4% Total Barrels 37,191,077 100.0% Exhibit 1 Mountain Man 2005 Income Statement Net Revenues COGS $50,440,000 34,803,600 100.0% 69.0% Gross Margin SG&A Other Operating Expenses 15,636,400 9,583,600 1,412,320 31.0% 19.0% 2.8% 9.2% Operating Margin Other Income 4,640,480 151,320 0.3% Net Income Before Taxes Provision for Income Taxes 4,791,800 1,677,130 9.5% 3.3% Net Income After Taxes $ 3,114,670 6.2% a Advertising expenses were $1.35 million annually or 2.7% of total revenues. Advertising expenses included radio, print, and outdoor advertising, sponsorships, as well as costs to produce these media. Exhibit 2 Profile of Beer Drinkers by Beer Type by Key Demographics, 2005 Domestic Light Beer Domestic Premium Beer Mountain Man Lager Gender Male Female 81% 58% 42% 68% 32% 19% 9% 20% Age 21-24 25-34 35-44 45-54 55-64 65+ 2% 15% 19% 8% 20% 23% 23% 14% 12% 24% 22% 14% 12% 32% 19% 13% 14% 25% Household Income under $25k $25k-49.9k $50k-74.9k $75k-99.9k $100k+ 16% 24% 21% 20% 27% 21% 25% 15% 16% 24% 15% 13% 23%