Ukrainian beer output increases 10% yoy in 1H08

Ukrainian beer production rose 10% yoy to 165.7 mln dal in 1H08, Halyna Korenkova, general director of the Ukrpyvo Association, said yesterday at a press-conference. The relatively cold summer in Ukraine this year and a significant increase in beer prices (+19% yoy in 1H08, according to Slavutych Carlsberg Group data) caused a decline in the country’s beer production in June and July by 3.3% and 2.1% yoy, respectively. Olha Pankiv: Ukrpyvo’s revised forecast for beer production growth in Ukraine in 2008 is +6% yoy (from 12% earlier), in line with our projections. We confirm our recommendations for Slavutych (SLAV: BUY) and Sun InBev (SUNI: BUY).