B RAND P RESENTATION H ISTORY At Langtry Estate we continue to work under the spirit of Lillie Langtry, blazing our own trail making world class wines in an area which has yet to be fully discovered. We are not afraid to go against the grain, marrying our past and our future old world style with contemporary flair. • • • • • 1888: Namesake, Lillie Langtry, flamboyant British Theatre star purchases property 1906: Lillie sells property 1963: Malulani Investments acquires the 23,000 acre Langtry Estate & Vineyards with a focus on producing top-tier wines from the Guenoc Valley – The Winery planted extensive vineyard acreage and was one of the first in California to plant the 5 Bordeaux varietals 1981: Guenoc Valley approved as an AVA 2012: Foley Family Wines, become sales and marketing support for Langtry Estate & Vineyards Lillie Langtry A BOUT L ANGTRY E STATE & V INEYARDS • Located in Guenoc Valley within Lake County. • Guenoc is an appellation. The only vineyard that has the unusual distinction of being the vineyard owner and winery in the region. • Consists of 23,000 acres which straddles both Lake and Napa Counties with 400 acres planted to vine • 175,000 Cases of Wine produced annually • Top Producer of Sauvignon Blanc, Petite Sirah, Chardonnay & Cabernet Sauvignon L AKE C OUNTY A R ISING APPELLATION Overview: With the Mayacamas Mountains to the west and the Vaca Range to the east, Lake County’s vineyards are near one of the oldest Geological lakes in North America. Lake County’s intensity of place- climate, soils and sunlightproduce grapes and wines of compelling quality and character. Date: In 1981, Guenoc Valley was approved as an AVA and is the 1st single proprietor AVA in the country. Napa follows as #2. Location: Lake County lies in the northeastern section of the internationally recognized North Coast appellation that also includes Napa, Sonoma and Mendocino Counties. Lake County is bordered on west by the Mayacamas Mountains often called the “Axis of Cabernet,” a range that also defines the border between Napa and Sonoma counties to the south. Elevation : High elevation terroir with vineyards sitting between 700 and 2600 feet. Soils & Climate: Soils range from rocky volcanic highlands to mountain valleys line with gravelly rivers. The air is dryer, with less consistent humidity. The humidity can be half as much as Napa on any given day which helps eliminate rot. Lake County receives as much as 10% more UV exposure than its neighboring appellations. Which triggers thicker grape skins, greater tannins and intense wines. Cold winters and dry summer conditions. W INEMAKING WINEMAKER- ERIC STINE • Born and raised in Detroit, Eric found his love for wine while working as a beverage manager while studying at the University of Michigan. • Began career in high tech industry in New York but longed for a career in wine. • Studied Viticulture and Enology at University of California – Davis. • Began his wine career in 2005 at Trefethen, first as vineyard intern than as Laboratory Assistant and Enologist under the guidance of Jon Ruel, Director of Viticulture. • In April 2007 Eric became the Assistant Winemaker at Langtry Estate and Vineyards and is now the Winemaker enjoying the challenge of exhibiting the multiple vineyards by making fine wine. WINEMAKING • State of the art crush pad along with and a Diemme press and two Wilmes presses that ensure gentle handling of the grapes, while fermentation temperatures are carefully monitored. • Wines of great distinction and character and impeccable balance. • Judicious use of oak and minimal intervention • Site specific farming create great wines. S USTAINABLE FARMING Langtry Estate & Vineyards believes in embracing practices that make it steward of both the land and community, allowing the farm and winery to be operated indefinitely without harm to itself or its external environment. • Returning nutrients to soils by using composted grape materials and cover crops. • Minimize tractor passes, emissions and chemical applications. • Maintain a low carbon footprint by using high efficiency refrigeration systems. • Utilizes sustainable irrigation practices through captured rainfall. K EY M ESSAGES • • • • • Guenoc is an appellation. In 1981, Guenoc Valley became an AVA and the first singleproprietor AVA as well. Top Producer of Sauvignon Blanc, Petite Sirah, Chardonnay & Cabernet Sauvignon. The Langtry Estate is one of the largest contiguous private land holdings in California, and among the most beautiful. Langtry Estate is Lake County’s most acclaimed winery. 4 Tiers of Wine: Langtry Single Vineyard, Guenoc Lake County, Guenoc Victorian Claret and Guenoc California Selection. B RAND T IERS LANGTRY SINGLE VINEYARD WINES The Langtry Single Vineyard Wines capture the winery’s commitment to its estate vineyards. Made in extremely limited quantities (most under 1000 cases) these wines represent the finest vineyard lots and winemaking achievement the winery has to offer. GUENOC LAKE COUNTY WINES Lake County is a region whose quality can stand on its own. Our fine wines and quality fruit are re-establishing Lake County’s reputation for producing excellent wines. Guenoc Lake County Wines include Petite Sirah, Cabernet Sauvignon, Red Meritage, Chardonnay & Sauvignon Blanc. GUENOC NORTH COAST CLARET The Guenoc North Coast Victorian Claret is a blend of our award winning wines. Rich and soft on the palate, hints of vanilla and nutmeg add to the complexity and the long smooth finish. GUENOC CALIFORNIA SELECTION WINE The Guenoc California Selection Wines include Cabernet Sauvignon, Chardonnay, Merlot, Petite Sirah, Pinot Grigio, Sauvignon Blanc & Zinfandel. TARGETED R ETAIL P RICING • Guenoc California Selection – $10.99 everyday/$7.99 TPR and Ad – Competitors: Robert Mondavi Private Selection, Blackstone, Ravenswood, Chateau St. Michelle, Mirassou and Beringer Founders Reserve • North Coast Victorian Claret – $14.99 everyday/$10.99 TPR and AD – Competitive Set: Coppola Claret, Apothic Red, Cupcake TARGETED R ETAIL P RICING • Guenoc Lake County – Cabernet Sauvignon & Petit Sirah • $17.99 everyday/$13.99 TPR and Ad • Competitive Set: J. Lohr, Coppola, Sterling, Rodney Strong – Chardonnay & Sauvignon Blanc • $14.99 everyday/$10.99 TPR and Ad • Competitive Set: KJ, Acacia, Chateau St. Jean • Langtry Estate Single Vineyard – $20 to $40 Retail – World-Class Limited Production Wines – Competitive Set: • Cabernet: Phelps, Trefethen, Plumpjack, Groth • Petite Sirah: Stag’s Leap • Chardonnay: Rombauer, Alpha Omega • Sauvignon Blanc: St. Supery, Hanna N EW PACKAGING F OR G UENOC C ALIFORNIA S ELECTION Old Label Old Label New Label New Label IRI G UENOC S AUVIGNON B LANC The Guenoc California Sauvignon Blanc is the #5 performing California Sauvignon Blanc in the US in it’s price point based on % ACV BRAND SEGMENT DOLLAR SALES DOLLAR SALES PER POINT ACV WL VOLUME SALES VOL PER PT ACV DIST WL ACV WTD ACV WTD DIST DIST Avg WHERE WHERE Price/Unit LEGAL CHG LEGAL VS YRAGO % ACV AVg % ACV Where Legal, % Volume, Price/Unit Where Legal, Feat or Feat &/or Chg vs Feat or Display Chg Display YrAgo Display vs YrAgo Stromberg SEGMENT 4 8.00-10.99 $26,919 $315,856 251 2,944 0.1 (0.0) $8.94 ($0.89) 0.1 (0.0) 77.0 Vin Hunter SEGMENT 4 8.00-10.99 $22,893 $295,499 191 2,464 0.1 0.1 $9.99 NA 0.1 0.1 92.3 Cupcake SEGMENT 4 8.00-10.99 $17,697,924 $275,798 160,306 2,498 64.2 12.8 $9.20 $0.04 43.1 11.4 50.2 Pomelo SEGMENT 4 8.00-10.99 $921,930 $194,533 7,503 1,583 4.7 0.6 $10.24 ($0.24) 1.0 0.2 11.5 Guenoc SEGMENT 4 8.00-10.99 $1,083,531 $185,032 12,157 2,076 5.9 0.2 $7.42 $0.30 3.6 0.5 31.6 Castoro SEGMENT 4 8.00-10.99 $38,461 $140,591 441 1,611 0.3 0.0 $7.27 $0.01 0.1 0.0 27.5 Line 39 SEGMENT 4 8.00-10.99 $669,064 $118,104 6,875 1,214 5.7 1.8 $8.11 ($0.70) 1.3 0.9 12.1 Artisan Fume SEGMENT 4 8.00-10.99 $115,597 $108,330 1,031 966 1.1 (0.0) $9.34 $0.72 0.9 0.1 47.4 Tarrica Wine Cellars SEGMENT 4 8.00-10.99 $6,760 $104,900 90 1,390 0.1 (0.0) $6.29 ($1.40) 0.0 (0.0) 8.7 Clos Du Lac Cellars SEGMENT 4 8.00-10.99 $5,183 $97,219 64 1,203 0.1 (0.1) $6.73 ($0.14) 0.0 (0.1) 0.0 Shenandoah Vineyards Sobon SEGMENT 4 8.00-10.99 $25,650 $96,213 241 905 0.3 (0.0) $8.85 $0.39 0.2 0.1 25.9 Dancing Bull SEGMENT 4 8.00-10.99 $3,602,024 $87,090 38,201 924 41.4 (1.6) $7.85 ($0.25) 11.9 (5.8) 26.8 Bogle Vineyards SEGMENT 4 8.00-10.99 $2,094,652 $86,038 19,125 786 24.4 2.4 $9.12 ($0.11) 8.2 (0.6) 42.7 Robert Mondavi Private Selection SEGMENT 4 8.00-10.99 $4,118,048 $82,268 40,309 805 50.1 (1.5) $8.51 ($0.31) 28.5 1.6 36.5 Sterling Vintners SEGMENT 4 8.00-10.99 $2,347,725 $79,932 21,312 726 29.4 (0.6) $9.18 ($0.28) 11.5 (1.3) 36.9 Castle Rock Fume SEGMENT 4 8.00-10.99 $329,068 $76,863 3,467 810 4.3 0.8 $7.91 ($1.13) 1.4 0.3 39.4 IR 52 Weeks Ending 7/8/2012 V ICTORIAN C LARET O PPORTUNITY RED BLENDS ARE A GROWING CATEGORY Brand Description DOLLARS CASE SALES (VOLUME) AVG PRICE/UNIT % ACV WL DOLLAR SALES PER POINT ACV Apothic Red $30,715,156 255,594 $10.01 57.0 $407,643 Francis Ford Coppola Claret $17,661,616 98,916 $14.87 30.1 $287,949 Menage A Trois $54,854,960 500,269 $9.13 54.6 $661,453 $247,274 1,975 $10.43 0.9 $79,828 Guenoc Claret Total US 52 Weeks Ending 6/12/2012 • This wine will perform. Results are shown in the % ACV. • Go after Coppola Claret business. • Historically a BevMo exclusive this wine has plenty of opportunity to grow. V ICTORIAN C LARET O PPORTUNITY RED BLENDS ARE A GROWING CATEGORY Segment Dollar Sales TTL SEGMENT 4 RED BLDS/MRTAGE TBL Dollar Sales % Chg vs YrAgo $168,974,656 44.3 Volume Sales 1,514,568 ACV Vol Sales Wtd Dist % Chg vs Where YrAgo Legal 45.7 % ACV % ACV % ACV Wtd Avg Avg Items Where % Volume, Where Volume, Dist Where Items Per Store Legal, Feat Feat &/or Legal, Feat Legal Chg Per Chg vs or Display Display Chg Feat or &/or vs YrAgo Store YrAgo Chg vs vs YrAgo Display Display YrAgo 87.5 1.3 11.3 2.2 74.7 8.1 49.2 4.3 Current 52 Weeks Ending 6/10/12 Rank Wine Attribute: Price Segment Attribute: Flavor Volume ACV Dollar Sales per Pt Dollar Dollar Volume Volume ACV Wtd Dist per Point ACV Avg Sales % Sales per Volume Sales % per Pt Wtd Dist Where Dollar Sales ACV WL % Dist WL Price/U Chg vs Point ACV Sales Chg vs ACV Where Legal Chg vs % Chg nit YrAgo WL YrAgo Dist WL Legal Chg vs YrAgo vs YrAgo YrAgo Menage A Trois Red Blends A/O SEGMENT 4 8.003 Ca Table 0.75lt 10.99 RED BLENDS A/O $54,854,960 13.4 $661,453 10.7 500,269 14.9 6,032 Apothic Red Blends A/O Ca 7 Table 0.75lt RED BLENDS A/O $30,715,156 140.1 $407,643 82.6 255,594 147.6 3,392 SEGMENT 4 8.0010.99 12.1 82.9 2.0 $9.13 88.2 75.4 18.1 $10.01 Current 52 Weeks Ending 6/10/12 •Segment 4 Red Blends dollar sales have increased 44.3% over last year • Success of brands such as Menage a Trois and Apothic Red S AUVIGNON B LANC & P ETITE S IRAH • Guenoc California Sauvignon Blanc is within the TOP 10 Sauvignon Blancs selling in its price segment • Guenoc California Petite Sirah is within the TOP 5 selling Petite Sirahs in its price segment. Based on 52 Week IRI data ending 6/12/2012 ACCOLADES Langtry Estate is Lake County’s Most Acclaimed Winery Vintage Points Award Issue Publication Guenoc Lake County Sauvignon Blanc 2010 88 "Top Value Wine of 2012" June Wine & Spirits Guenoc Lake County Petite Sirah 2009 88 "Top Value" March Wine Spectator Guenoc California Sauvignon Blanc 2010 86 "Top Value: August Wine Spectator "Cellar Selection" 2012 Accolades 2011 Accolades Langtry Serpentine Meadow Petite Sirah 2007 91 December Wine Enthusiast Langtry Genevieve Chardonnay 2009 90 December Wine Enthusiast Guenoc Lake County Petite Sirah 2009 89 December Wine Enthusiast Guenoc Lake County Sauvignon Blanc 2010 88 December Wine Enthusiast Guenoc Lake County Sauvignon Blanc 2010 88 Guenoc Lake County Petite Sirah 2008 87 Guenoc Lake County Chardonnay 2009 89 Guenoc Lake County Sauvignon Blanc 2009 87 Guenoc Lake County Sauvignon Blanc 2009 89 "Best Buy" Guenoc California Sauvignon Blanc 2009 87 "Best Buy" Guenoc Lake County Cabernet Sauvignon 2008 88 Langtry Genevieve Chardonnay 2008 89 July Wine Spectator Langtry Serpentine Meadow Petite Sirah 2006 90 June Wine Enthusiast Langtry Tephra Ridge Merlot 2006 93 June Wine Enthusiast Langtry Tephra Ridge Petit Verdot 2006 90 June Wine Enthusiast Guenoc Lake County Chardonnay 2008 87 "Top Value" June Wine Spectator Langtry Lillie Sauvignon Blanc 2008 90 "Exceptional" June Wine & Spirits Langtry Tephra Ridge Proprietary Blend 2006 89 June Wine Spectator Guenoc Lake County Chardonnay 2007 89 December Wine Enthusiast Guenoc Serpentine Meadow Port 2006 92 December Wine Enthusiast Langtry Genevieve Chardonnay 2007 92 December Wine Enthusiast Guenoc Lake County Sauvignon Blanc 2008 87 October Wine Enthusiast "Best Buy" December Wine & Spirits October Wine Enthusiast "Best Buy" September Wine Enthusiast "Top Value" August Wine Spectator July Wine Enthusiast July Wine Enthusiast April Wine Enthusiast 2010 Accolades "Editors Choice" 2009 Accolades "Best Buy" * As of 6.29.12 Guenoc has received more 90 Points or above scores from Wine Enthusiast and Wine Spectator than any other Lake County Winery P OINT OF SALES MATERIALS • Shelf Talkers • Fact Sheets • Acclaim Flyers • Brand One Pager • Sustainable Farming • Brochure B RAND P RESENTATION