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                                                                   Exhibit 10.31

                         RESTAURANT MANAGEMENT AGREEMENT

     This Restaurant Management Agreement (the "AGREEMENT") is effective as of
August 1, 2004, between PORTLAND BREWING CO., ("PBC") and PYRAMID BREWERIES INC.
("PMID").

                                    RECITALS

A.   PBC is lessee in possession of the property commonly known as the Alehouse,
     located at 2730 NW 31st Avenue Portland, OR 97210, sometimes referred to
     herein as "the Alehouse," under that certain sublease dated effective
     August 1, 2004 (the "Sublease").

B.   PBC holds the licenses and legal authority to operate and manage the
     Alehouse, including operation of a brewpub offering full food and beverage
     service to the guests and patrons of the Alehouse, under the laws of the
     State of Oregon, and any all implementing rules and regulations pertaining
     thereto (collectively, "LIQUOR LAWS").

                              TERMS AND CONDITIONS

1.   Management.

     1.1. PBC hereby retains PMID to supply staffing and on-site management of
          the Alehouse for PBC's dispensing alcoholic beverages at the Premises
          in compliance with all Liquor Laws. This Agreement shall extend to all
          areas covered by any beverage license of PBC at the Alehouse (the
          "PREMISES").

     1.2. PMID shall keep adequate books and records in connection with all
          business operations conducted on or from the Alehouse, and PBC may
          inspect such books and records at reasonable times during PMID's
          office business hours.

2.   Term; termination.

     2.1. The term of this Agreement shall be for five (5) years, and shall
          continue thereafter from year to year unless terminated as herein
          provided. Either party may terminate this Agreement upon thirty (30)
          days' prior written notice to the other, with or without cause.

     2.2. If either party breaches a provision of this Agreement, the
          non-defaulting party may terminate the Agreement upon written notice
          to the defaulting party.

     2.3. This agreement shall automatically terminate, without notice, upon
          expiration or earlier termination of the Sublease.

     2.4. This agreement shall automatically terminate upon the issuance to PMID
          of a license to operate a restaurant on the premises, but PMID shall
          not hold any license incompatible with the Sublease, or the Sublease
          (Brewery) and the Equipment Lease dated as of the date of this
          agreement.

3.   Use of premises. PMID shall have the right to come upon the Premises solely
     to manage PBC's operation of the Alehouse. PBC reserves the right to
     conduct its normal business activities on the Premises and to use the
     Premises for any purpose it deems advisable that is consistent with the
     Sublease. PBC shall have and maintain the exclusive control over the
     transportation, storage, distribution, possession, sale and service of all
     alcoholic beverages purchased, stored or sold at the Alehouse.

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4.   Insurance.

     4.1. PBC will furnish adequate public liability insurance and property
          damage insurance as it deems necessary or advisable to adequately
          protect against loss or damage from the claims of all persons who may
          be in, on or about the Premises, by the consent or sufferance of PMID
          or PBC. PMID shall reimburse PBC for the full cost of such insurance.

     4.2. Each party shall be solely responsible for its own acts and
          activities. PMID shall, using its own business judgment as to means,
          provide first-class management of PBC's operations at the Premises,
          and shall not act or hold itself out as an agent, joint venturer, or
          partner of PBC, or in any other capacity empowering it to bind PBC nor
          shall PBC act or hold itself out as an agent, joint venturer, or
          partner of PMID, or in any other capacity empowering it to bind PMID.

5.   Compensation.

     5.1. For all performance undertaken by PMID hereunder, PMID may retain for
          its own account twenty-five percent (25%) of Gross Receipts from PBC's
          operations at the Premises.

     5.2. "GROSS RECEIPTS" means revenues from the sales of food, alcoholic
          beverages and merchandise sold by PBC on the Premises, not including
          any taxes now or hereafter imposed upon, or measured by, such sales.
          PMID shall maintain and make available at all reasonable times to PBC
          customary and necessary records of all PBC's sales upon the Premises,
          retaining such records for at least four (4) years.

6.   Notice. All notices required under this Agreement shall be sent by
     certified U.S. mail to the parties addresses set out below:

     PBC:            Portland Brewing Co.
                     2730 NW 31st Ave
                     Portland, OR 97210

     With a copy to: Schwabe Williamson & Wyatt, P.C.
                     1211 SW Fifth Ave., Suites 1500-1900
                     Portland, OR 97204-3795
                     Attn: Darius Hartwell

     PMID:           Pyramid Breweries, Inc.
                     91 S. Royal Brougham Way
                     Seattle, WA 98134

7.   Binding Effect. This Agreement shall be binding upon and inure to the
     benefit of the parties hereto and their respective successors and assigns
     where permitted herein or by law.

8.   Choice of Law. This instrument shall be construed under and in accordance
     with the laws of Oregon applicable to contracts made and principally to be
     performed in said state, and all obligations of the parties created
     hereunder are performable in Portland, Oregon.

9.   Waiver. No waiver by the parties hereto of any default or breach of any
     term, condition, or

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     covenant of this Agreement shall be deemed a waiver of any other breach of
     the same or any other term, condition, or covenant contained herein.

10.  Signatures. This instrument may be executed by the signing of counterparts.
     If each of the parties signs at least one counterpart, the counterpart
     instruments shall be treated as a binding contract.

Executed: February 14, 2006

                                        PYRAMID BREWERIES, INC.


                                        ----------------------------------------
                                        By: John Lennon
                                        Its: President and Chief Executive
                                             Officer


                                        PORTLAND BREWING COMPANY


                                        ----------------------------------------
                                        By: R. Scott MacTarnahan
                                        Its: President