HOUSTON, TX -- (MARKET WIRE) -- 08/30/07 -- Saint Arnold Brewing Company, the oldest craft brewery in Texas, today reported record-breaking production in the first half of 2007. Saint Arnold's first half numbers included:

-- Production volume increased 28 percent over the same period in 2006, far outpacing the impressive 11 percent growth of the craft beer segment in the first half reported by the Brewers Association, the trade association that tabulates industry data for craft brewers.

-- Dollar sales increased 27 percent in the first half of the year, almost doubling the 14 percent increase reported nationally by the Brewers Association.

-- More than 8,200 31-gallon barrels of Saint Arnold beer were sold in the first half, which puts the brewery on pace to exceed 16,000 barrels in 2007. Last year's total production of 13,638 barrels broke all previous records.

Continued strong demand prompted Saint Arnold Brewing Company to again boost production capacity this summer with the addition of two new 120 barrel fermentation tanks. Together, the new tanks add approximately 5,000 barrels of capacity, an increase of nearly 25 percent. Total capacity at the brewery is now approximately 26,000 barrels.

Saint Arnold Brewing Company has operated out of the same facility in Northwest Houston since it was established in 1994. Founder Brock Wagner recently began examining the possibility of moving the brewery and tasting room to a new facility within the next year.

"We are outgrowing our current building, but we are being careful to ensure that the things that make Saint Arnold special -- the quality of our beer and the customer experience -- are strengthened and enhanced along the way," said Brock Wagner, founder of Saint Arnold Brewing. "Some are saying that beer is the new wine, and we are benefiting from a growing awareness among Texans that flavorful, quality beer made with the finest ingredients deserves more respect and appreciation."

Wagner says that demand remains strong across the board for all of Saint Arnold's five year-round and seasonal offerings and especially for the limited edition Saint Arnold Divine Reserve series. Saint Arnold Divine Reserve No. 5, the latest in the brewery's series of small batch craft brews, is expected to arrive on store shelves in Houston, Dallas, Fort Worth, San Antonio and Austin in mid-September.

Editor's Note: A photo of Brock Wagner sitting in the brewery's tasting room is available for download at www.keeneypr.com/attachments/files/63/Brock Wagner 025_1.jpg.

About Saint Arnold Brewing Company

Saint Arnold Brewing's ten brews are made and sold by the company's staff of 18 dedicated employees. The brewery was listed by USA Today as one of the "10 great places to see what's brewing in beer." It is located at 2522 Fairway Park Drive and its brewery tour and tasting is offered every Saturday at 1:00 P.M. For more information on Saint Arnold's five year-round and five seasonal beers as well as root beer, log on to www.saintarnold.com.

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