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SABMiller PLC - Investment in China

RNS Number:4191C
SABMiller PLC
04 May 2006


              SABMILLER ASSOCIATE INVESTS IN HEILONGJIANG PROVINCE


London and Johannesburg, 4 May 2006.  China Resources Snow Breweries Limited
('CR Snow'), an associate of SABMiller plc and a subsidiary of China Resources
Enterprise Limited ('CRE'), announces that it will invest US$35.3 million in the
construction of a new brewery in Harbin City, Heilongjiang Province.
Construction of the brewery has commenced and is expected to complete in 18
months with an initial production capacity of 2.3 million hectolitres.  The
brewery will be used mainly to produce CR Snow's national brand, 'SNOW',
targeting the Harbin area and the western region of the province.  CR Snow's
existing brewery in Shangzhi, a city in the south-eastern region of
Heilongjiang, will service the eastern part of the province.


Heilongjiang Province reported total beer sales in 2005 of 15 million
hectolitres and annual consumption per capita of 39 litres, significantly above
the national average of 23 litres.  The new brewery will provide a production,
distribution and marketing platform to support the national brand strategy of
SNOW and cater for the increased demand of CR Snow products.  Total sales
volumes of SNOW brand increased 47% in 2005 to 15.8 million hectolitres.  Over
the past two years CR Snow has increased sales volume by approximately 90% in
Heilongjiang Province and has grown its market share in the province to circa
20%.


Mr. Andre Parker, Managing Director of SABMiller Africa & Asia, said, 'The need
to build a brewery to supply the demand in this key region shows the increasing
presence we have in Heilongjiang despite the other incumbent competitors. This
will provide us a perfect base from which we can expand our successful SNOW
brand into Harbin and challenge the competitive environment.'


Mr. Mark Chen, Managing Director of China Resources Enterprise, Limited said,
'The greenfield plant further consolidates our position in the north-eastern
area of China - the home of the SNOW brand. It offers an economical and
efficient solution to provide the capacity and complements the existing
operations in the area.'


Ends


Notes to editors


SABMiller

SABMiller plc is one of the world's largest brewers with brewing interests or
distribution agreements in over 60 countries across five continents. The group's
brands include premium international beers such as Miller Genuine Draft, Peroni
Nastro Azzurro and Pilsner Urquell, as well as an exceptional range of market
leading local brands.  Outside the USA, SABMiller plc is also one of the largest
bottlers of Coca-Cola products in the world.


In the year ended 31 March 2005, the group reported US$2,194 million pre-tax
profit and a turnover of US$14,543 million on a UK GAAP basis.  SABMiller plc is
listed on the London and Johannesburg stock exchanges.


This announcement is available on the company website: www.sabmiller.com


High resolution images are available for the media to view and download free of
charge from: www.vismedia.co.uk


China Resources Snow Breweries Limited


China Resources Snow Breweries Limited was established in 1994 and is engaged in
the production, sales and marketing of beer and beverages in China.  Its
shareholders are China Resources Enterprise, Limited and SABMiller plc.  China
Resources Enterprise, Limited has a 51% interest in China Resources Snow
Breweries Limited while SABMiller plc holds a 49% interest.  It operates 41
breweries in the Chinese Mainland with a total sales volume of 39.5 million
hectolitres in 2005.


About China Resources Enterprise, Limited


China Resources Enterprise, Limited is listed on the Hong Kong Stock Exchange
and is also traded on SEAQ International of the London Stock Exchange.  It is
also one of the constituent stocks of the Hang Seng Index in Hong Kong and Hang
Seng London Reference Index.  The Group focuses on the consumer businesses in
both Hong Kong and the Chinese Mainland, with core activities being retail,
beverage, food processing and distribution, textile and property investment.


Enquiries:

                                SABMiller plc                            Tel: +44 20 7659 0100

Sue Clark                       Director of Corporate Affairs            Tel: +44 20 7659 0184

Gary Leibowitz                  Senior Vice President, Investor          Tel: +44 20 7659 0174
                                Relations

James Crampton                  Media Relations Manager                  Tel: +44 20 7659 0172


This announcement does not constitute an offer to sell or issue or the
solicitation of an offer to buy or acquire securities of SABMiller plc (the
'Company') or any of its affiliates in any jurisdiction or an inducement to
enter into investment activity.

This document includes 'forward-looking statements'.  These statements may
contain the words 'anticipate', 'believe', 'intend', 'estimate', 'expect' and
words of similar meaning.  All statements other than statements of historical
facts included in this announcement, including, without limitation, those
regarding the Company's financial position, business strategy, plans and
objectives of management for future operations (including development plans and
objectives relating to the Company's products and services) are forward-looking
statements.  These forward-looking statements involve known and unknown risks,
uncertainties and other important factors that could cause the actual results,
performance or achievements of the Company to be materially different from
future results, performance or achievements expressed or implied by such
forward-looking statements.  These forward-looking statements are based on
numerous assumptions regarding the Company's present and future business
strategies and the environment in which the Company will operate in the future.
These forward-looking statements speak only as at the date of this announcement.
The Company expressly disclaims any obligation or undertaking to disseminate
any updates or revisions to any forward-looking statements contained in this
announcement to reflect any change in the Company's expectations with regard
thereto or any change in events, conditions or circumstances on which any such
statement is based.

Any information contained in this announcement on the price at which the
Company's securities have been bought or sold in the past, or on the yield on
such securities, should not be relied upon as a guide to future performance.


                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

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