2011 Q-1 Sales Recap

As challenging as this year has been so far, we have been brewing and shipping more beer than in the history of Dogfish Head. We have hit our goals and objectives for the first quarter in both depletions and revenue although it still feels like its never enough. In fact our sales for the first quarter eclipsed 2010 by twenty five percent. Our national goal for 2011 is twenty percent growth, so we shipped even more beer than our goal. Our depletions from wholesalers to accounts are recording the same type of growth. Our total case equivalent sales to retail grew twenty seven percent in the first quarter.

Given the math above we have some of the freshest beer in the market. Unfortunately this makes for very limited working inventory and some small amount of out of stocks on the shelves and taps of America. All twenty seven states showed positive growth for the first quarter with exception in two states who came in close to last year. (Our fault for not getting them beer fast enough) We are doing everything in our power to make sure every state reaches their agreed to growth goal set by us and our wholesale partners. Although we cannot promise the exact growth percentage month in month out, our plan is to make sure every state reaches its anticipated results before the end of the year.

In the first quarter we launched seven beers to the local and general market place. This included our newest release Hellhound On My Ale(shipping to wholesalers now) in partnership with Sony celebrating the 100th birthday of legendary blues artist Robert Johnson. Aprihop sold out in record time, selling the most amounts of beer in the history of Dogfish Head in the fastest amount of time. The consumer has spoken and they love them some Aprihop!

Overall we are brewing the most amount of beer ever in the history of Dogfish Head, we are selling the most amount of beer in the history of Dogfish Head and our friends out there are drinking the most amount of beer in the history of Dogfish Head. We are growing and you are growing with us. Thank you! Please continue your support us as we invest in the brewery to get the freshest and highest quality beer to you and your friends.

Keep drinking the good stuff!!!!

Cheers

Adam