U.S. SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 8-K


     PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

      Date of Report (Date of earliest event reported): September 14, 1999

                           Commission File No. 0-22524
                                              ---------

                         MENDOCINO BREWING COMPANY, INC.
                         -------------------------------
        (Exact name of small business issuer as specified in its charter)

          California                                            68-0318293
- --------------------------------------------------------------------------------
(State or other jurisdiction of                               (IRS Employer
 incorporation or organization)                           Identification Number)

13351 South Highway 101,                                          95449
Hopland, California
(Address of principal executive offices)                        (Zip Code)

Issuer's telephone number, including area code:               (707) 744-1015
                                                 -------------------------------




Item 5.  Other events

The Registrant  hereby  incorporates by reference the  information  contained in
Attachment A hereto in response to this Item 5.


                                   SIGNATURES

Pursuant  to the  requirements  on the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.


                                              MENDOCINO BREWING COMPANY, INC.
                                                        (Registrant)


Date:  September 14, 1999                By /s/ P.A. Murali
                                            ------------------------------------
                                            P.A. Murali, Chief Financial Officer




                                  ATTACHMENT A


Contacts: P.A. Murali, CFO  (707) 463-6610                 For Immediate Release
          H. Michael Laybourn, President  (707) 744-1015


                                  News Release

                 Mendocino Brewing Company, Inc. Announces that
                 its Largest Shareholder Agrees to Convert Debt


Hopland,  California,  September 10, 1999. Mendocino Brewing Company, Inc. (PSE:
MBR) announced today that its largest shareholder,  United Breweries of America,
Inc., has agreed to convert all of the outstanding  convertible  notes under the
1998 credit  facility  made  available  to the Company  into Common Stock of the
Company.

The total  amount of  principal  and  interest  converted  into Common Stock was
$1,055,442.33,  and was converted at a price equal to $1.125 per share. By their
terms,  the notes were convertible at $1.50 per share. The Board of Directors of
the Company,  however,  offered  United  Breweries of America,  inc.  ("UBA") an
inducement to convert all of the convertible  notes into Common Stock at a price
of $1.125  per share.  The Board of  Directors  decided to offer the  inducement
after considering,  among other factors, the current and average market price of
the Common Stock as trade on the Pacific Stock Exchange,  the current  financial
condition  of the  Company,  and the benefit to the Company of not having to pay
interest on or repay the loan from UBA.

As a result of the conversion,  UBA now owns  approximately  3,087,818 shares of
Common Stock which represents 56.8% of the issued and outstanding  shares of the
Company's Common Stock. Accordingly, the Company has become a subsidiary of UBA.

Mendocino  Brewing Company,  Inc. brews Red Tail Ale, Blue Heron Pale Ale, Black
Hawk Stout,  Peregrine  Golden Ale, and three  seasonals for the domestic  craft
beer market.  The  Corporation's  Common Stock is publicly traded on the Pacific
Stock Exchange under the symbol "MBR."