Profile: Constellation Brands Inc (STZb.N)
29 Nov 2013
Constellation Brands, Inc., incorporated on December 4, 1972, is a wine company. The Company is a marketer of imported beer in the United States. through its investment in Crown Imports, LLC (Crown Imports), a joint venture with Grupo Modelo, S.A.B. de C.V. (Modelo) pursuant to which Modelo’s Mexican beer portfolio (the Modelo Brands) are imported, marketed and sold by the joint venture in the United States. The Company operates in three business segments: Constellation Wines North America (wine and spirits) (CWNA), Corporate Operations and Other, and Crown Imports.In October 5, 2011, the Company acquired the remaining 50.1% equity interest in Ruffino S.r.l. (Ruffino). In June 2013, Constellation Brands Inc completed its acquisition of Grupo Modelo's U.S. beer business from Anheuser-Busch InBev. In June 2013, Constellation Brands Inc acquired the remaining 50% interest in Crown Imports LLC.
Constellation Wines North America
CWNA is a producer and marketer of wine in the world. It sells wine brands across categories, including table wine, sparkling wine and dessert wine, and across price points, such as popular, premium, super-premium and fine wine. The portfolio of wines is supported by vineyard holdings in the United States, Canada, New Zealand and Italy. Wine produced by the Company in the United States is primarily marketed domestically and in Canada and the United Kingdom. Wine produced in Canada is primarily marketed domestically. Wine produced in New Zealand is primarily marketed in the United States, Canada, Australia and the United Kingdom and domestically. Wine produced in Italy is primarily marketed in the United States, Canada and domestically. In addition, CWNA exports its wine products to other wine consuming markets of the world.
CWNA’s wine brands include Robert Mondavi Brands, Clos du Bois, Blackstone, Estancia, Arbor Mist, Toasted Head, Simi, Black Box, Ravenswood, Rex Goliath, Kim Crawford, Franciscan Estate, Wild Horse, Ruffino, Nobilo, Mount Veeder, Inniskillin and Jackson-Triggs. Spirit brands in CWNA’s portfolio include SVEDKA Vodka, Black Velvet Canadian Whisky and Paul Masson Grande Amber Brandy. CWNA is also a producer and marketer of wine kits and beverage alcohol refreshment drinks in Canada. CWNA produces and sells bulk wine and other related products and services.
In the United States, the Company, through its CWNA segment, operates one winery in New York, located in Canandaigua; 16 wineries in California, located in Acampo, Geyserville, Gonzales, Healdsburg, Madera, Oakville, Soledad, Rutherford, Templeton, Ukiah, two in Lodi, two in Napa, two in Sonoma, and one winery in Washington, located in Prosser. Of these 16 wineries are owned and one winery in Napa, California and one winery in Sonoma, California are leased. Through the CWNA segment, as of February 29, 2012, the Company owned or leased approximately 12,100 acres of vineyards, either bearing or under development, in California and New York to supply a portion of the grapes used in the production of wine.
The Company through the CWNA segment operates nine Canadian wineries, four of which are in British Columbia, four in Ontario, and one in Quebec. Seven of these wineries are owned, one winery in British Columbia is leased and one winery in Ontario is leased. In addition, through the segment, the Company operates facilities in Vancouver, British Columbia and Kitchener, Ontario in connection with its beer and wine making kit business. The Company also operates various retail stores in rented facilities throughout Ontario. Through the CWNA segment, as of February 29, 2012, the Company owned or leased approximately 1,800 acres of vineyards, either fully bearing or under development, in Ontario and British Columbia to supply a portion of the grapes used in the production of wine.
The Company through the CWNA segment owns and operates four wineries in New Zealand. Three of these New Zealand wineries vinify and cellar wine and crush grapes. The other winery provides bulk storage, bottling and packaging operations. Through the CWNA segment, as of February 29, 2012, the Company owned or had interests in approximately 4,000 acres of vineyards, either bearing or under development, in New Zealand. Through the CWNA segment, the Company leases and operates six wineries in Italy, leases seven warehouses and owns a storage and bottling facility. Through the CWNA segment, as of February 29, 2012, the Company owned or had interests in approximately 1,200 acres of vineyards, either bearing or under development, in Italy.
The Company and Modelo indirectly each have an equal interest in Crown Imports, which has the exclusive right to import, market and sell primarily the Modelo Brands, which include Corona Extra, Corona Light, Modelo Especial, Pacifico, Negra Modelo and Victoria, in all 50 states of the United States. In the United States, Corona Extra is a imported beer. Corona Light is an imported light beer.
Corporate Operations and Other
The Corporate Operations and Other segment includes corporate-related items, including executive management, corporate development, corporate finance, human resources, internal audit, investor relations, legal, public relations and global information technology.
The Company competes with E&J Gallo Winery, The Wine Group, Treasury Wine Estates, W.J. Deutsch & Sons, Ste. Michelle Wine Estates, Kendall-Jackson, Diageo, Andrew Peller, Kruger, Pernod Ricard, Lion Nathan, Beam, Bacardi and Brown-Forman.
Constellation Brands Inc
Building 100, 207 High Point Dri
VICTOR NY 14564
Company Web Links
- Constellation profit tops views, driven by Modelo purchase
- UPDATE 2-Constellation profit tops views, driven by Modelo purchase
- Constellation Brands quarterly profit rises on Modelo buy
- Constellation Brands misses Wall St forecasts, raises outlook
- UPDATE 2-Constellation Brands misses Wall St forecasts, raises outlook