Ambev Announces Pricing of R$300 Million BRL Notes Issuance by its Subsidiary Ambev International

Jul 17, 2007, 01:00 ET from AmBev

    SAO PAULO, Brazil, July 17 /PRNewswire-FirstCall/ -- Companhia de
 Bebidas das Americas - AmBev ("AmBev") announced today the pricing of the
 notes to be issued by its wholly-owned subsidiary, AmBev International
 Finance Co. Ltd. ("AmBev International"). AmBev International shall issue
 R$300 million in Brazilian Reais denominated notes with a fixed interest of
 9.500% per annum and maturity date of July 24, 2017. The issuance is
 expected to close on July 24, 2007, subject to customary closing
     The notes will be unsecured and unsubordinated obligations of AmBev
 International and will be fully and unconditionally guaranteed by AmBev.
 The guarantee ranks equally in right of payment with all of AmBev's other
 unsecured and unsubordinated debt obligations (except for statutorily
 preferred credits set forth in Brazilian bankruptcy laws).
     The notes are denominated in Brazilian Reais, but both principal and
 interest will be paid in U.S. dollars at the prevailing exchange rate at
 the applicable payment date. Interest will be paid semi-annually in
 arrears, starting January 24, 2008. The net proceeds of the offering will
 be used for the repayment of short-term debts and for general corporate
 purposes by AmBev and its subsidiaries.
     The notes and guarantee have not been and will not be registered under
 the U.S. Securities Act of 1933, as amended (the "Securities Act"), any
 state securities laws or the securities laws of any other jurisdiction and
 will be sold only to qualified institutional buyers pursuant to Rule 144A
 under the Securities Act, and outside the United States to non-U.S. persons
 in reliance on Regulation S. The notes and guarantee may not be offered or
 sold in the United States absent registration under, or an applicable
 exemption from, the registration requirements of the Securities Act.
     This press release shall not constitute an offer to sell or a
 solicitation of an offer to buy the notes, nor shall there be any sale of
 these notes in any state or jurisdiction in which such an offer,
 solicitation or sale would be unlawful prior to registration or
 qualification under the securities laws of any such state or jurisdiction.
     For additional information, please contact the Investor Relations
     Our investor web site has additional Company financial and operating
 information, as well as transcripts of conference calls. Investors may also
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 of Company presentations and events.
     Statements contained in this press release may contain information that
 is forward-looking and reflects management's current view and estimates of
 future economic circumstances, industry conditions, Company performance,
 and financial results. Any statements, expectations, capabilities, plans
 and assumptions contained in this press release that do not describe
 historical facts, such as statements regarding the declaration or payment
 of dividends, the direction of future operations, the implementation of
 principal operating and financing strategies and capital expenditure plans,
 the factors or trends affecting financial condition, liquidity or results
 of operations, and the implementation of the measures required under
 AmBev's performance agreement entered into with the Brazilian Antitrust
 Authority (Conselho Administrativo de Defesa Economica - CADE) are
 forward-looking statements within the meaning of the U.S. Private
 Securities Litigation Reform Act of 1995 and involve a number of risks and
 uncertainties. There is no guarantee that these results will actually
 occur. The statements are based on many assumptions and factors, including
 general economic and market conditions, industry conditions, and operating
 factors. Any changes in such assumptions or factors could cause actual
 results to differ materially from current expectations.