Hensley & Co.

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Hensley & Co.
Type
Private
Founded
1955
Headquarters
Phoenix, Arizona, United States
Key people
Cindy Hensley McCain (Chair), Robert Delgado (CEO)
Industry
Beverages
Products
Beers, lagers, malt beverages, energy drinks
Revenue
$340 million
Employees
650 (2007)
Website
http://www.hensley.com
Hensley & Co. is an Anheuser-Busch beer wholesaler and distributor headquartered in the West Phoenix area[1] of Phoenix, Arizona. It markets to the Phoenix, Tempe, and Prescott Valley areas.[2] It is the third-largest Anheuser-Busch distributor in the United States[3] and one of the largest privately held companies in Arizona.[2]
The company was founded in 1955 by Arizona businessman Jim Hensley[3] on a $10,000 loan.[4][5] It originally had 15 workers, sold 73,000 cases of beer a year, and had a 6 percent market share.[2] While it first handled many brands of beer, Hensley accepted an offer later that year[1] to become Anheuser-Busch's exclusive distributor for Maricopa County.[6] Under the names Hensley & Company Distributors and Hensley & Company Wholesale,[7] the company saw decades of steady growth,[7] aided by the Phoenix area becoming one of the fastest-growing regions of the country[6] while the company still maintained exclusivity with Anheuser-Busch.[8] Jim Hensley's tireless sales efforts[5] and the generous wages and benefits he gave employees[8] were also key success factors. Regarding technology, Hensley & Co. were the first Anheuser-Busch distributor to invest in refrigerated warehouses, which subsequently became standard in the industry.[9] By 1970, Hensley & Co. had 20percent market share;[8] by 1980, that had grown to 50percent,[8] the business had become quite successful, and Jim Hensley was a multi-millionaire.[10]
In 1981, Jim Hensley's new son-in-law John McCain, recently married to daughter Cindy Hensley McCain and retired from the United States Navy, was hired as Vice President of Public Relations.[3] McCain soon left to begin his Congressional career, where he would recuse himself on legislation involving alcohol issues.[11] In the late 1980s, Jim Hensley was active in legislative battles against neo-prohibitionist movements.[11] In 1992, a former Anheuser-Busch lobbyist accused Hensley & Co. of illegal "bundling" of contributions to state legislators.[12] Hensley denied the claim,[3] which was later withdrawn by the lobbyist with no charges filed.[12] In 1993, the company consolidated operations under the name Hensley & Company.[7] Robert Delgado, who had been with the company since 1975,[13] was named president in 1994 and later CEO.[2] The company also added real estate holdings throughout Arizona.[12] John McCain's son Andrew, from his first marriage, joined the firm around 1997;[3] his MBA and banking experience would lead to his later becoming the company's CFO.[14]
At the time of his death in 2000, Jim Hensley held most of the controlling stock;[7] annual revenues were over $220 million[1] on 20 million cases of beer sold.[7] Cindy Hensley McCain, who had been a vice president,[1] became the controlling stockholder she, her children, and Andrew McCain together control 68percent of the company[15] and chair of the board.[3][2] As chair, her role takes the form of remote consultations with Delgado on major initiatives such as new products, new plants, employee welfare, or charitable giving, rather than of an active physical presence.[3][16][8] She is categorized by Anheuser-Busch as an absentee owner, and Delgado is required to have complete control over business operations and investment decisions.[8] Anheuser-Busch inquired about buying the distributorship in the early 2000s, preferring not to have absentee owners, but she declined.[8] Between 1982 and 2000, the company contributed $80,000 to John McCain's campaigns;[1] from 2001 to 2006, the company and its employees would contribute an additional $24,000 to such campaigns.[3]
Hensley & Co. holds a seat on the board of the National Beer Wholesalers Association,[17][15] with company executives contributing heavily to it[15] and company spokesperson Douglas Yonko the association's Arizona director.[17] Hensley executives have been active in successfully convincing the Alcohol and Tobacco Tax and Trade Bureau not to impose alcohol content display requirement for beer labels.[15] In the early 2000s, Hensley sought unsuccessfully to keep liquor makers from entering the flavored malt beverage market,[15] while it began distributing such beverages itself, including Anheuser-Busch's Tilt.[15] Hensley has continued to be a strong presence in Arizona politics, opposing liquor tax increases in all circumstances, including those targeted for childhood education and childrens' hospitals.[8]
By 2007 Hensley employed 650 people, sold about 23 million cases of beer...(and so on)

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