Anheuser-Busch boosts spending to adapt to fragmented market

NEW YORK -- Anheuser-Busch is upgrading its U.S. breweries and plans to build two new distribution centers as it adapts to an increasingly fragmented beer market.

The maker of Budweiser, Corona and Stella Artois said the upgrades and new distribution centers in Los Angeles and Columbus, Ohio will allow it to store a greater variety of products and get them to customers faster.

The measures are part of the $500 million the company said Monday it will invest in its U.S. operations this year, marking an increase compared with recent years. It's a portion of the $3.7 billion in global capital expenditures the Belgian company already had budgeted for 2017.

Anheuser-Busch has struggled to boost sales volumes as craft beers grow increasingly popular in a crowded marketplace. In 2016, total volume at Anheuser-Busch declined 2 percent, including a 1.6 percent volume decline in North America.