This is an action for declaratory judgment brought by Pabst Brewing Company against certain of its former employees. Pabst seeks a declaration that it does not owe the defendants severance pay. Defendants worked at a brewery in St. Paul, Minnesota, which Pabst had acquired in 1982 from Olympia Brewing Co. As part of the acquisition agreement, Pabst agreed to abide by Olympia's Separation From Employment Policy (SFEP) until March 18, 1984. Later, Pabst transferred the brewery to Stroh Brewery Company in exchange for a Stroh's brewery in Tampa, Florida. Stroh's agreed to continue the Olympia SFEP for employees of the former Pabst brewery in St. Paul until March 18, 1984, the SFEP's agreed termination date.
The question presented is whether the former Pabst employees suffered a "layoff," defined as "a permanent, involuntary separation without cause," when they ceased to be employees of Pabst upon transfer of the Olympia brewery to Stroh's.
The District Court
We agree, and the judgment is affirmed on the basis of the District Court's well-reasoned