There are fears of job losses at Cardiff brewer SA Brain following the company's announced distribution deal with Scottish & Newcastle last week.

Reports have suggested up to 100 jobs may go, with drivers, assistants, warehouse workers and customer services staff facing the axe at the brand's South Wales distribution centre.

A spokesperson for the company confirmed to just-drinks today (26 January) that it has opened a consultation with staff, but declined to put a figure on potential cuts.

"We are in a period of consultation and, yes, job losses are possible," she said.

The news follows last week's deal between the Welsh brewer and Scottish & Newcastle UK (S&N UK) to cover distribution and brewing.

Under the deal, S&N UK will distribute Brains beer in the free trade, as well as expand the brewer's reach beyond its traditional heartland of Wales and southwest England.

SA Brain will, in turn, brew selected S&N brands at its brewery in Cardiff from 2010 and for at least seven years.