VICTOR, N.Y. Oct. 29, 2010 - Constellation Brands, Inc. (NYSE: STZ, ASX: CBR), the world's leading wine company, and GModelo Corporation, a subsidiary of Grupo Modelo, S.A.B. de C.V., Mexico's leading brewer, announced today the settlement of legal action brought by GModelo against Constellation and certain of its affiliates in New York Supreme Court. At issue was the marketing and promotional budget for the two companies' joint venture, Crown Imports LLC, for calendar year 2010. The joint venture partners reached agreement on promotional and marketing expenditures for 2010 and through the remainder of the term of the joint venture agreement for the benefit of the business of Crown.
Rob Sands, president and CEO of Constellation Brands and Carlos Fernandez, chairman and CEO of Grupo Modelo said in a joint statement, "We are pleased to have reached an agreement that is favorable to both joint venture members and Crown's business. Crown will continue to have the world class marketing and promotional programs that have made it the unrivaled leader in the U.S. imported beer category."
About Constellation Brands
Constellation Brands is the world's leading wine company that achieves success through an unmatched knowledge of wine consumers, storied brands that suit varied lives and tastes, and talented employees worldwide. With a broad portfolio of widely admired premium products across the wine, beer and spirits categories, Constellation's brand portfolio includes Robert Mondavi, Hardys, Clos du Bois, Blackstone, Arbor Mist, Estancia, Ravenswood, Jackson-Triggs, Kim Crawford, Corona Extra, Black Velvet Canadian Whisky and SVEDKA Vodka.
Constellation Brands (NYSE: STZ and STZ.B; ASX: CBR) is an S&P 500 Index and Fortune 1000® company with more than 100 brands in our portfolio, sales in about 150 countries and operations at more than 40 facilities. The company believes that industry leadership involves a commitment to our brands, to the trade, to the land, to investors and to different people around the world who turn to our products when celebrating big moments or enjoying quiet ones. We express this commitment through our vision: to elevate life with every glass raised. To learn more about Constellation, visit the company's web site at www.cbrands.com.
About Grupo Modelo
Grupo Modelo, founded in 1925, is the leader in Mexico in beer production, distribution and marketing, with 63.3% of the total (domestic and export) market share, as of December 31, 2009. It has seven brewing plants in Mexico, with a total annual installed capacity of 65 million hectoliters. Currently, it brews and distributes 13 brands, including Corona Extra, the number one Mexican beer sold in the world, Modelo Especial, Victoria, Pacífico and Negra Modelo. It exports six brands and is present in 160 countries. It is the importer of Anheuser-Busch InBev's products in Mexico, including Budweiser, Bud Light and O'Doul's. It also imports the Chinese Tsingtao brand and the Danish beer Carlsberg. Through a strategic alliance with Nestlé Waters, it produces and distributes in Mexico the bottled water brands Sta. María and Nestlé Pureza Vital, among others. Grupo Modelo trades in the Mexican Stock Exchange since 1994 with the ticker symbol GMODELOC. It also quotes as an ADR under the ticker GPMCY in the OTC markets and in Latibex in Spain as XGMD.
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