Bethenny Frankel sold SkinnyGirl for a whole lot more than $8.1 million

There’s been a lot of buzz around a report from from HuffPost Celebrity’s Rob Shuter claiming Bethenny Frankel sold her super popular SkinnyGirl cocktail brand for a mere $8.1 million instead of the rumored $100-120 million everyone gasped about earlier this year. (Forbes Magazine ran with the number, and even listed Frankel as the third biggest female earner this year behind Oprah and Lady Gaga.)

Shuter had some documents on his side, but it turns out, they were not interpreted correctly (he has since noted the error, and apologized for it.) Even with official financial documents, transparency isn’t a core value for most corporations, and most people (who haven’t been financially trained) can’t just pick up a report and know exactly what’s going on there.

Forbes blogger Meghan Casserly looked at the Beam Global 10-Q Quarterly Report, and found that the $8.1 million was just for the purchasing the “goodwill” of Bethenny’s cocktail brand (a.k.a. the “intangible assets.”) But there was other information in the document that suggested Bethenny’s former Real Housewives of New York cast mate Ramona Singer was sniffing around the right ball-park when she said Bethenny probably got paid about $30 million for the deal.

Morningstar analyst R.J. Hottovy found this bit of info:

“On page 5, Beam lists $39 million for acquisitions in the second quarter of 2011. “The only deal they announced over that period was Skinnygirl,” says Hottovy. “This means [Beam] paid at least that much for Skinnygirl [during that period].”

So that brings the total number to about $50 million. But wait, there’s more! Bethenny didn’t just sell the brand and ride off into the sunset to swim with dolphins, raise her daughter quietly in Montana, or pursue an acting career. She stuck around, and kept launching products for Beam, including her SkinnyGirl Sangria, and there are plenty more coming down the pipeline that probably wouldn’t be worth as much if Bethenny didn’t pose with the bottles and talk about them constantly in the media. And she’s not sticking around for free. Bethenny struck a deal where she gets “contingent consideration,” or payments based on how well the booze sells (kind of like royalties.) So, even though she sold the brand, Bethenny continues to get paid based on how well the brand sells. She gets the added bonus of having a big company with huge marketing budgets and the facilities to meet the growing demand. Beam is required to put on the 10-Q contingent consideration payments up to $25 million, and since the SkinnyGirl brand has exceeded its sales goals for 2011, at least that much will be listed on a future 10-Q.

Bethenny herself, who has been coy about the exact number (she’s never uttered the $120 million figure, or hinted that it was true, though she has talked openly about suddenly being wealthy) she received from Beam, told Forbes’ Casserly “Come on. That it could be the fastest growing booze brand on the market and have sold for that little is just preposterous. I’m going to be paying a hell of a lot more than $8.1 million in taxes.

So, did Bethenny Frankel get a $100 million cash payment from Beam in exchange for her SkinnyGirl cocktail brand? It doesn’t look that way. Will she end up making WAY more than $100 million off of the deal? Almost certainly. The Skinnygirl brand is ingenious, and it’s going nowhere but up. Bethenny also has her had in a lot of other lucrative pots. Not bad for a girl who couldn’t pay her rent four years ago.


    love you so much Bethany when you could not pay rent and noe when you can pay alot of peoples rent. hey would you send me some money ? i guess you get that question alot now huh? But this time I really mean it. Gosh I remeber along time ago I wrote a letter to the step-daughter of Jackie O, the young lady was the daughter of Onasis sadly she died right after I wrote her from heart issue from not eating properly. Seems she had body issues and was throwing up and things like that, poor girl. I was young at the time and had five kids and thought mybe she would help me but never got a response. Anywy I went on with life work so damn hard and had one more baby and when that little one was three months old, I decided I was not going to go back to labour intensive jobs, I was getting older and wanted to be able to provide for my kids better and set an example for my children. If mama can get through college you kids can. So off I went with a 9th grade education. I did test a got my GED a couple of years earlier but I had to sneak and do that because the husband I was with at the time did not want me to have an education. When my Diploma came in the mail he tore it up and threw it away. I cried so hard. Well back to the day I sneaked over to get my GED. I hd my friend watch the kids for the afternoon, I rode the bus to the University of New Mexico and went to where the test was given, the woman indicated it would take two days to complete the GED, I told her that could not be in my case as I had only four hours and no more time so could she please get started so I can get my GED over by five o’clock so I could be back home before meanie gets there.She said okay but highly doubted I would complete the GED. Well being beaten is get motivator. I got through the whole GED in the time I said and passed!!!!! During my lst Preganacy I separted from my abusive husband but that didnt stop him from beating me. He would catch me unware and pull my hair and throw me on the ground and kick me it was horrible. I made it though and got my AA and then went on to the University of NM and got a BA and got my first ” grown up job with the State of NM and worked full time and went back to school full time for a Masters in Business. Then life took a turn for me I ended up disabled and now I can no longer work and I am so sad and grieve the loss of my job and having such a hard time with finances one again. So that why I asked if there was any way you would think about helping me. I cannot tell you how much it would mean to me. I do not have much money but I bought my daughter a bottle of skinny margarita she loved it. I told her to give me the bottle as I cannot drink due to my medication. I want to save the bottle as a collector item. I hope you do read tis Betheny.

  • catdoc

    Skinny Sodium Benzoate Girl!