Anchor Steam Beer, America’s first craft beer and a San Francisco original since 1896.
By Gary Raynaldo – DIPLOMATIC TIMES CORRESPONDENT
SAN FRANCISCO – Anchor Steam Beer, America’s first craft brew, is shutting down its operations in City by the Bay San Francisco after 127 years in business, the company announced Wednesday. The iconic San Francisco beer is known for its deep amber color, thick creamy head, and rich flavor. The landmark Bay Area company decided to close shop due to unfavorable economic factors stemming from the pandemic in addition to declining sales during the past decade. In 2017, the brand was sold to Japanese brewery giant Sapporo for $US85 million. Some are blaming the company’s demise on Sapporo’s “lack of understanding” of craft beer, of San Francisco’s unique culture and mismanagement by the Japanese company.
“dark, dark day for san francisco beer drinkers”
-commented one social media observer
(Photo by Gary Raynaldo / ©Diplomatic Times) Anchor Steam Beer brewery located in San Francisco’s Potrero Hill neighborhood.
The brewery is located in the City’s Potrero Hill neighborhood. Employees were given 60-days of notice and will receive severance pay, according to a statement from a company spokesperson. The brewery employs 61 workers. The closure comes one month after the company announced it would stop distributing its beers nationally and focus on California, amid rising production costs.
Anchor Spokesperson Sam Singer said: “We recognize the importance and historic significance of Anchor to San Francisco and to the craft brewing industry, but the impacts of the pandemic, inflation, especially in San Francisco, and a highly competitive market left the company with no option but to make this sad decision to cease operations.”
Anchor Brewing Company’s roots date back to the California Gold Rush
The iconic San Francisco Anchor Steam beer known for its deep amber color, thick creamy head, and rich flavor.
(Photo by Gary Raynaldo / ©Diplomatic Times) Anchor Steam Beer brewery located in San Francisco’s Potrero Hill neighborhood.
“We’re proud to be born in the cradle of progress: San Francisco, California. Music, technology, and yes, beer, all changed forever here. Progress is in the DNA of the City, and by extension, it’s in ours.” -Anchor Brewing Co.
(Photo by Gary Raynaldo / ©Diplomatic Times) Anchor Steam Beer brewery located in San Francisco’s Potrero Hill neighborhood.
(Photo by Gary Raynaldo / ©Diplomatic Times) Anchor Steam Beer brewery located in San Francisco’s Potrero Hill neighborhood.
Japanese Owner Sapporo Did Not “Understand” The San Francisco Craft Brewery Culture
Some point the finger at Anchor’s closing on Sapporo’s “lack of understanding” of San Francisco craft beer’s legacy. They point to the brewing company’s move in February 2021 to celebrate its 125-year anniversary with new branding for its classic line of beers. Fans took to social media to unleash a firestorm of criticism against the rebranding many felt the new imaging did not do justice to the Century-old legacy brew. “…a new look that forgoes its hand-drawn artisan label artwork in favor a more basic, and frankly, much blander generic look,” wrote americancraftbeer.com.
“There wasn’t an understanding of what they (Sapporo) had… of what the business was. This is a San Francisco business. This is like San Francisco. One of the examples that people talk about is when they did the rebrand and there was a lot of backlash. And our members were not happy about it. And I remember we were trying to prevent them from doing it. The members understood that this is a San Francisco legacy.”
-said Pedro De Sa, of the Warehouse Union Local 6, ILWU, which represents Anchor Brewery workers.
DIPLOMATIC TIMES VIDEO / Pedro De Sa, of Warehouse Union Local 6, ILWU, which represents Anchor workers, blames Sapporo for the demise of the 127-year-old legacy brewery.
(Photo by Gary Raynaldo / ©Diplomatic Times) Pedro De Sa, of the Warehouse Union Local 6, ILWU, speaks to the media outside Anchor Steam brewery Jul 12, 2023.
Anchor also recently cut production of its Christmas Ale to reduce costs and scaled back distribution of its brew.
(Photo by Gary Raynaldo / ©Diplomatic Times) Anchor Steam brewery worker walks near building’s entrance in San Francisco’s Potrero Hill neighborhood Jul 12, 2023.
(Photo by Gary Raynaldo / ©Diplomatic Times) Anchor Steam Taps have closed at San Francisco legacy brewery.
