Canandaigua Brands Completes Deb Offering

Fairport, NY, March 4, 1999 -- Canandaigua Brands, Inc. (NASDAQ: CBRNA and CBRNB) announced today that it issued $200,000,000 aggregate principal amount of 8 ½% Senior Subordinated Notes due 2009. The net proceeds of the offering (approximately $195 million) are expected to be used to fund the recently announced acquisition of the Black Velvet Canadian Whisky brand and other assets from Diageo plc and to repay a portion of the Company’s borrowings under its senior credit agreement.

The underwriters for the offering are Chase Securities Inc., Credit Suisse First Boston, Fleet Securities, Inc., Schroder & Co., Inc., and Scotia Capital Markets (USA), Inc.

Canandaigua Brands, Inc., headquartered in Fairport, New York, is a leading producer and marketer of beverage alcohol brands. As the second largest supplier of wine, the second largest importer of beer and the fourth largest supplier of distilled spirits, Canandaigua Brands is the largest single-source supplier of these products in the United States. Canandaigua Brands is also a leading provider of wine and cider, as well as the premier independent wholesaler of beverage alcohol products, in the United Kingdom.

Canandaigua Brands' portfolio includes the following brands:

Beer: Corona Extra and Corona Light, Modelo Especial, Pacifico, Negra Modelo, St. Pauli Girl, Tsingtao, Peroni, Double Diamond, Tetley's English Ale and Point in the United States

Wine: Almaden, Inglenook, Richards Wild Irish Rose, Cook's, Arbor Mist, Paul Masson, Taylor, J. Roget, Manischewitz, Marcus James, Estate Cellars, Dunnewood, Vina Santa Carolina and Mystic Cliffs in the United States, and Stowells of Chelsea, QC, Stones and Concord in the United Kingdom

Distilled Spirits: Barton, Fleischmann's, Paul Masson Grande Amber, Mr. Boston, Montezuma, Canadian LTD, Chi-Chi's, Ten High and Inver House in the United States

Cider: Blackthorn, Olde English and Diamond White in the United Kingdom

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Prospectuses can be obtained from: Chase Securities Inc., 270 Park Avenue, New York, NY 10017, Attention Alexis Pugliese, Telephone: 212-270-6366.