FAIRPORT, N.Y., Sept. 22 /PRNewswire-FirstCall/ -- Constellation Brands, Inc. (NYSE: STZ, ASX: CBR) today announced an agreement to purchase the fast-growing Rex Goliath wine label from California's Hahn Estates. Terms of the purchase were not disclosed and consummation of the transaction is expected in mid-October. Launched in summer 2002, Rex Goliath has become one of the most successful product launches in the wine industry, with sales exceeding more than 300,000 cases in 2004. The brand strengthens Constellation's premium California wine portfolio in the $7.00 to $8.99 portion of the price category. It will be marketed and sold by Pacific Wine Partners, which is part of the Constellation Wines U.S. organization.
(Logo: http://www.newscom.com/cgi-bin/prnh/20040119/STZLOGO )
"Rex Goliath is a wonderful addition to our portfolio and complements the many other excellent wine offerings we provide to consumers," stated Richard Sands, Constellation Brands chairman and chief executive officer. "Consumer demand for Rex Goliath has it on a terrific growth trajectory. The brand clearly has been embraced by consumers across the U.S., and its growth in the marketplace, combined with Constellation's distribution network and routes-to-market, make it a very exciting opportunity for us. This acquisition provides Constellation Brands with incremental true growth."
Rex Goliath takes its name and label artwork from a turn-of-the-century (19th to 20th) Texas circus attraction featuring a 47-pound rooster billed as the world's largest. The "HRM" moniker used in the brand's full name, HRM Rex Goliath, stands for "His Royal Majesty."
Hahn Estates, owned by the Nicolaus Hahn Family, owns 1,200 acres of vineyard in Monterey County and is one of the leading wine producers in the region. Hahn Estates is also the proprietor of the Smith & Hook, Hahn Estates and Red Flyer wine brands. Hahn President, Bill Leigon, stated, "The development of the Rex Goliath Brand over the past three years as been one of the most phenomenal and satisfying experiences of my 32-year career in the wine industry. This opportunity affords us the ability to now focus on our core business at Hahn Estates." For additional information on Hahn Estates, please visit the winery's web site at www.hahnestates.com or the sales & marketing web site: www.wimbledonwine.com.
Constellation Brands, Inc. is a leading international producer and marketer of beverage alcohol brands with a broad portfolio across the wine, spirits and imported beer categories. Well-known brands in Constellation's portfolio include: Corona Extra, Corona Light, Pacifico, Modelo Especial, Negra Modelo, St. Pauli Girl, Tsingtao, Black Velvet, Fleischmann's, Mr. Boston, Paul Masson Grande Amber Brandy, Chi-Chi's, 99 Schnapps, Ridgemont Reserve 1792, Effen Vodka, Stowells, Blackthorn, Almaden, Arbor Mist, Vendange, Woodbridge by Robert Mondavi, Hardys, Nobilo, Alice White, Ruffino, Robert Mondavi Private Selection, Blackstone, Ravenswood, Estancia, Franciscan Oakville Estate, Simi and Robert Mondavi Winery brands. For additional information about Constellation Brands, as well as its product portfolio, visit the company's Web site at www.cbrands.com.
SOURCE Constellation Brands, Inc. /CONTACT: Mike Martin, +1-585-218-3669, or Kevin Harwood, +1-585-218-3666, or Lisa Farrell (CWUS), +1-585-396-7184, or Sandra Coero, Hahn Estates, +1-707-578-5005, or Investor Relations, Lisa Schnorr, +1-585-218-3677, or Bob Czudak, +1-585-218-3668 /