... government, it made entry into this market more viable then ever before; which swayed the Schweitzers to expand. Since they were the first-movers in this sector, the beer-distribution pipeline in the Ukraine was nonexistent. The entrepreneurs were eager to capitalize on the market but they had no capital. So Oleg basically turned the company into a bank for the Ukraines by extending credit to the distributors, allowing payment deadlines the extend to 90 days as opposed to the 40 day deadline in Germany (Bruner, Exhibit 4, #17 & 18), not allowing distributors to pick up inventories until they were needed, and increased the amount of short term debt borrowing to finance this. The later payment schedule helped sales in the Ukraine to grow tenfold, but the accounts receivable grew just as dramatically and Deutsche Brauerei has to cover its accounts payable obligations that are now for short-term debt. With such ...

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