Exhibit 10.4
    

    
      [Redhook Ale Brewery Letterhead]

June 30, 2008



    

    
      David Mickelson
Redhook Ale Brewery, Incorporated
14300 NE 145th
      Street, Suite 210
Woodinville, WA 98072


Dear David:
    

    
      As you know, Widmer Brothers Brewing Company has agreed to merge into
      Redhook Ale Brewery, Incorporated (the “Merger”), and on the closing
      date of the Merger (the "Effective Date"), the surviving corporation
      will be named Craft Brewers Alliance, Inc. (the "Company").  The purpose
      of this letter is to confirm our understanding about your employment as
      the Co-Chief Executive Officer of the Company.  As of the Effective
      Date, this letter will supersede your existing letter of employment with
      Redhook Ale Brewery, Incorporated.
    

    
      You will be an “at-will” employee.  Our mutual agreement regarding your
      salary, severance and other benefits and obligations, beginning as of
      the Effective Date, is set forth below.
    

    
      Compensation and Benefits
    

    
      Your annual base salary will initially be $215,000 (before standard tax
      withholdings and other payroll deductions).  Your base salary level will
      be reviewed annually for adjustment beginning January 1, 2009 by the
      Compensation Committee and its recommendation will be submitted to the
      Company's Board of Directors for approval.  In addition, you are
      entitled to participate in all of the Company’s employee benefit
      programs for which you are eligible, including a long-term incentive
      plan for executive officers to be developed by the Compensation
      Committee of the Board.
    

    
      You will be eligible for a yearly bonus, such bonus to be approved by
      the Board on recommendation of the Compensation Committee.  We
      anticipate that a portion of your bonus will be discretionary, and a
      portion will be paid upon achieving certain targets approved by the
      Compensation Committee or the Board.  For 2008, your target bonus will
      be 40% of base salary.
    

    
      Severance
    

    
      
        

        

      

      
        

        

        
          


        

      

      
        

        

      

    

    
      In the event that your employment with the Company is terminated by the
      Company for any reason other than “for cause”, the Company will continue
      to pay you your then base salary for a period of months (the “Severance
      Period”) equal to the lesser of (a) the number of full years of service
      you have accrued with the Company (which includes years of service at
      Redhook Ale Brewery, Incorporated) or (b) 24 months.  In addition, the
      Company will promptly make a cash payment to you in an amount equal to
      100% of your unused Paid Time Off ("PTO") hours accrued through the date
      of termination in accordance with the provisions of the Company's PTO
      Plan then in effect; provided that accrued PTO hours will include your
      unused accrued sick leave balance in the Reserve Sick Bank established
      under the PTO Plan. The Company will also continue to provide you, for
      18 months, the same health benefits as were being provided to you at the
      time of termination, provided, however, that such benefits shall
      terminate in the event you find new employment with comparable health
      coverage.  Additionally, if, during the Severance Period, you become
      employed or associated with a brewing or other company that the Company
      determines, in its reasonable discretion, is a competitor of the Company
      or Anheuser-Busch, Incorporated, your salary continuation payments will
      terminate as of the effective date of such employment or
      association.  For purposes of this letter, “for cause” means that you
      have engaged in conduct which has substantially and adversely impaired
      the interests of the Company, or would be likely to do so if you were to
      remain employed by the Company; you have engaged in fraud, dishonesty or
      self-dealing relating to or arising out of your employment with the
      Company; you have violated any criminal law relating to your employment
      or to the Company; you have engaged in conduct which constitutes a
      material violation of a significant Company policy or the Company's Code
      of Ethics, including, without limitation, violation of policies relating
      to discrimination, harassment, use of drugs and alcohol and workplace
      violence; or you have repeatedly refused to obey lawful directions of
      the Company’s Board of Directors.
    

    
      If the Company requires you to be relocated a distance of more than 20
      miles, or if there is a substantial adverse change in the nature or
      status of your title, position, duties, or reporting responsibilities as
      an executive of the Company, you have the option to resign and receive
      the same severance and health benefits as if you were terminated not
      "for cause," calculated at the base salary in effect prior to such
      relocation or adverse change in your position with the Company.  This
      option will expire, if not previously exercised, at the close of
      business on the 60th calendar day following (a) your receipt
      of written notice from the Company of relocation more than 20 miles or a
      substantial adverse change in your title, position, duties, or reporting
      responsibilities or (b) your delivery of written notice to the Company
      that you believe a substantial change in your title, position, duties,
      or reporting responsibilities has occurred.
    

    
      The Company may require you to execute an appropriate general release of
      claims that you may have relating to your employment at the Company and
      termination of your employment as a condition to your receipt of any
      severance payments or other benefits other than those required by law or
      provided to employees generally.
    

    
      Code of Conduct
    

    
      By your signature below, you agree to comply with the Company’s Code of
      Conduct and Ethics as in effect from time to time, and to be subject to
      the Company’s policies and procedures in effect from time to time for
      senior executives of the Company.
    

    
      
        

        

      

      
        

        

        
          


        

      

      
        

        

      

    

    
      We appreciate your continued efforts on behalf of the Company, and look
      forward to having you as a member of our team for years to come.
    

    
      Sincerely,
    

    
      /s/ Paul S. Shipman
    

    
      Paul Shipman
Chief Executive Officer

    

    
      Acknowledged and Agreed:

__/s/ David J. Mickelson_________________
David
      Mickelson


Date: June 30, 2008