Quilmes Industrial (Quinsa) S.A.; "Quinsa" or the "Company") today announced that Cerveceria y Malteria Quilmes S.A.I.C.A. y G. ("Quilmes") announced today the provisional results of its public tender offer for all the outstanding class B shares and ADSs (each ADS representing 1/50 class B share) that it does not already own of Buenos Aires Embotteladora S.A. ("BAESA"). This offer expired on Friday, July 7, 2000, at 4 p.m. New York time, and 5 p.m. Buenos Aires time.

In the United States tender offer, 57,073,998 ADSs and 154,144 class B shares (representing in the aggregate approximately 4.37% of the outstanding common stock of BAESA) were validly tendered and not withdrawn prior to the expiration date of the U.S. offer.

In the Argentine tender offer 847,137 class B shares (representing approximately 2.86% of the outstanding common stock of BAESA) were validly tendered and not withdrawn prior to the expiration date of the Argentine offer.

In the aggregate, the number of class B shares and ADSs validly offered and not withdrawn prior to the closing date of the offer was 1,001,281 class B shares and 57,073,998 ADSs, in the aggregate representing approximately 7.23% of common stock of BAESA. Thus, following purchase of the class B shares and ADSs, Quilmes will own 24,318,092 class B shares and 89,331,344 ADSs, and its stake in BAESA will be 86.51%.

Quilmes will accept for payment all of the foregoing ADSs and class B shares, subject to the terms and conditions of the two offers. Payment for the tendered class B shares and ADSs of BAESA is expected to be made on Wednesday, July 12, 2000. The cost to Quilmes of the transaction is approximately US$ 10,713,805, representing an acquisition of approximately 2,142,761 class B shares at a price of US$5.00 per class B share.


Quinsa is a Luxembourg-based holding company, which controls 85 percent of Quilmes International (Bermuda) Ltd., ("QIB"). The remaining 15 percent share is owned, since 1984, by Heineken International Beheer B.V. ("Heineken"). Heineken Technical Services B.V. renders technical assistance to the operating companies. Quinsa, through QIB, controls beverage and malting businesses in five Latin American countries. Its beer brands are market leaders in Argentina, Paraguay and Uruguay and have a strong presence in Bolivia and Chile. In Paraguay, Quinsa's soft drink business is the market leader. Quinsa has announced it is negotiating the sale of its Paraguayan soft drinks business to The Coca-Cola Export Corporation. The Company also owns a controlling interest in the largest PepsiCo bottler in Argentina. Quinsa's common and preferred shares are listed on the Luxembourg Stock Exchange. Quinsa's American Depository Shares, representing the Company's preferred shares, are listed on the New York Stock Exchange.