BRAZIL: AmBev loses appeal in Sol battle

By | 30 November 2006

AmBev will have to remove its Puerto del Sol brand from retail shelves in Brazil after losing a court battle with Latin American rival Fomento Economico Mexicano SA (Femsa).

According to local reports yesterday (29 November), a court has ruled against an appeal by Ambev to an earlier ruling, which found that AmBev's Puerto del Sol was too similar to Femsa's Sol brand.

There was no comment from AmBev over the latest ruling, but the brewing giant has in the past said it would appeal any negative ruling and take its case to Brazil's Supreme Court.

The court case is part of an ongoing battle between the two brewers in Brazil, AmBev's home market, which began in January when Femsa bought a 68% stake in brewer Cervejarias Kaiser.

Femsa subsequently introduced a locally produced version of its Sol brand to be the flagship for its Kaiser operations. As well as introducing the Puerto del Sol brand as a reaction to this, AmBev also filed its own lawsuit - so far unsuccessfully - claiming Femsa's Sol was too similar to its own Skol brand.

Sectors: Beer & cider

Companies: AmBev, Fomento Economico Mexicano

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