How does "Beechwood Aging" work?

Budweiser is a…not so great…beer, but they claim that their superior flavor comes from “Beechwood Aging” (among the other ridiculous things other beers claim).

Can anyone explain to me, in lamens terms, what exactly Beechwood Aging is?


From this site:

After a layer of beechwood chips is spread on the bottom of the lager tanks, the beer is transferred into the tanks. A portion of freshly yeasted wort called Kraeusen is added. Beechwood Aging is part of secondary fermentation in which the yeast settles on the beechwood chips and works until the beer is completely fermented.