Fosters rebrands wine operations

Foster’s group has rebranded its global wine operations as it prepares to demerge its beer and wine divisions.

The newly-named Treasury Wine Estates EMEA encompasses 20 wineries, 50 brands and over 12,000 hectares of vineyard across Australia, New Zealand, California, France and Italy.

Foster’s, which owns the Wolf Blass, Beringer and Rosemount wine brands, announced its intentions to split its beer and wine businesses back in May, but the company insists the rebranding does not signify anything as regards the future of the business.

Foster’s EMEA managing director Peter Jackson said: “The announcement today does not pre-empt any outcome for our demerger, nor does it represent fundamental change in our business model.

“It does, however, represent the acceleration of a cultural change for those of us working in the wine business as we return to a dedicated focus on viticulture, wine making and the marketing and sale of one of the world’s most outstanding portfolios.”

Jackson added that the creation of Treasury Wine Estates EMEA “marks the next natural step” for the business and is “accelerating a cultural change and business transformation that began with the completion of the Wine Strategic Review in February 2009.”

Just last month Foster’s announced it was scrapping plans to sell four Australian vineyards and a winery after reconsidering their importance to the group’s future direction.

The Bailey’s winery at Rutherglen, Victoria, was taken off the market along with the Guthries and Shulz vineyards on the Limestone Coast and the vineyard at Meridian Home in New South Wales.

Analysts expect bids for the beer and wine divisions to begin coming in towards the end of the year, having valued the wine arm between AU$1.5 billion and AU$4bn.

Alan Lodge, 22.07.2010