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Inside 16

2 INDUSTRY INSIGHT By Alan Forester, CPA, Attorney

28 TASTING CORNER WINES FROM CHILE

4 INDUSTRY NEWS A HERO’S WELCOME BIN Magazine Joins forces with Jim Beam and California retailers to pay tribute to Terry Farrell, a true American hero.

34 CORPORATE PROFILE BEAM GLOBAL SPIRITS & WINE, INC.

6 INDUSTRY EVENT KAI VODKA 8

INDUSTRY EVENT FOOD & WINE CLASSIC IN ASPEN

10 COMPANY PROFILE BANBURY CROSS CREATIVE SERVICES

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40 CATEGORY FOCUS BROWN IS THE NEW GOLD Bourbon & American Brown Spirits are gaining a new patina of status and respect, even under challenging economic and production conditions. 50 BRAND PROFILE SOUTHERN COMFORT RTD COCKTAILS 52 BRAND PROFILE JOHNNY WALKER

12 NEW PRODUCTS

54 POUR OF THE MONTH FINEST CALL MIXERS

14 NEW PRODUCTS & PROMOTIONS

56 INDUSTRY NEWS

16 WHAT’S BREWING

58 INDUSTRY NEWS

18 COVER FEATURE A CUT ABOVE THE REST Through painstaking craftsmanship and highly targeted marketing, Diamond Beverages is insuring their ultra-premium vodka will be “forever” in the hearts and minds of the choosiest beverage accounts and consumers.

60 INDUSTRY NEWS 62 INDUSTRY INSIGHT By Lauren C. Tyson, Liquor Liability Consultant

INDUSTRY INSIGHT BY ALAN FORESTER, CPA, ATTORNEY WWW.ABCLAWYER.COM 800-464-1040

One of the most severe ways in which courts can impose DUI penalties is through the imposition of a felony offense. Typically, a felony DUI offense involves someone other than the driver being injured or killed as a result of the offense. Aside from court imposed penalties, a felony offense will often result in a civil action being brought by the injured party. In some instances if a civil action is filed the driver will not be protected by the benefit of an insurance policy. Often, insurance companies include a policy that says if you drink and cause an accident they will not pay. A felony offense counts as a strike against the driver and if convicted of a felony DUI the driver may be sentenced to prison and fined more than $1,000. As with misdemeanor offenses, subsequent offenses are punished more severely than previous offenses. A subsequent offense is one that occurs within ten years of a prior felony DUI offense. Additionally, a prior alcohol involved reckless driving guilty plea is counted as a prior DUI conviction when the court determines punishments. When a driver is convicted of a felony DUI offense the state law mandates that the court impose most minimum DUI offender sanctions. The judge then has the discretion to apply additional sanctions or to increase the sanctions to the maximum level allowed by law. Drivers convicted of a felony DUI will likely receive time in state prison; a fine, penalty assessment or restitution; drinking and driving treatment; vehicle impoundment or forfeiture; license restriction, suspension or revocation; an ignition interlock device requirement; or probation. Typically, a DUI felony conviction results in a mandatory sentence ranging from 48 hours in jail to four years in prison. A prison sentence may be extended past four years if extenuating circumstances are involved. In the case of a felony DUI offense involving multiple victims sentences are generally enhanced by one year for each victim, up to three victims. Prison time may also be extended when the felony DUI involves a hit and run. Offenders are typically ordered to pay three types of fines: an offense fine, a penalty assessment and restitution. Felony offense fines range from $390 to $5000 and penalty assessments total 170% of the offense fine. Restitution fines are those that compensate the injuries and losses of victims and range from $100 to $10,000. As with misdemeanor offenses, the driver must complete a drinking and driving treatment program prior to license reinstatement. Although a judge may also order that the driver’s car be impounded or declared a nuisance and sold at a forfeiture sale this is not typical. However, if the vehicle owner is under 21, even if they are not in the vehicle, and a driver or passenger in the vehicle is under 21 and illegally possesses alcohol the car is more likely to be impounded. Becoming more common is the use of an ignition interlock device which prevents a vehicle from being started if the driver has alcohol in his or her system. This device is discretionary for first time offenders but is mandatory for repeat offenders. Last, a court may order that a driver is put on probation for a period that may last from three to five years. During this probation period a driver must ensure that they do not commit any criminal offense; drive with any measurable amount of alcohol in their body; fail to pay a fine, assessment or restitution and may not refuse to submit to a chemical test upon request. Felony DUI offenses are more severe than misdemeanor DUI offenses in a variety of ways. Aside from the increase in fines and prison time a driver may face a felony offense may also subject anyone who has a professional license to sanctions by the specific regulatory agency. Additionally, an individual holding a green card may be deported if convicted of a felony DUI offense. Thirdly, as stated above, many insurance companies do not offer policies that protect drivers who have caused an accident because of the involvement of alcohol. Alan Forester is an attorney, CPA and an expert witness in Alcoholic Beverage Control Law. For more information, please visit www.ABClawyer.com or call 800-464-1040. I Disclaimer: This article is not to be construed as legal advice. Please check with an attorney before taking action.

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Beverage Industry News VOLUME 101, ISSUE NUMBER 36 FOUNDED IN 1934 www.binonline.net

DUI LAW IN CALIFORNIA PART III

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Southern California Business, Production and Editorial Office 160 W. Foothill Parkway, Suite 105-95 Corona, CA 92882 951 272-4681 Fax 951 272-4816 PRESIDENT

Michael Chu E-Mail: [email protected] EXECUTIVE EDITOR

Kim Brandi

626 377-2510 E-Mail: [email protected]

CONTRIBUTING EDITORS

Juan Alverez Kristen Wolfe Bieler Dale DeGroff Jeffery Lindenmuth Ed McCarthy Gregg Glaser Wilfred Wong EDITORIAL DIRECTOR

Victoria Vann

951-272-4681 E-Mail: [email protected]

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WE MAKE OUR BOURBON CAREFULLY. PLEASE ENJOY IT THAT WAY. Maker’s Mark® Bourbon Whisky, 45% Alc./Vol. ©2009 Maker’s Mark Distillery, Inc. Loretto, KY

INDUSTRY NEWS

A Hero’s Welcome BIN MAGAZINE JOINS FORCES WITH JIM BEAM AND CALIFORNIA RETAILERS TO PAY TRIBUTE TO TERRY FARRELL, A TRUE AMERICAN HERO.

From L-R: Keith Hanson, Hi-Times Wine Cellars, Betty Yenulonis, Visal Image Events, Michael Chu, Beverage Industry News, Mario Brossard, Beam Global

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ichael Chu, President of Beverage Industry News, and Beam Global Sr. Sales Manager off-premise, Mario Brossard, announced the California unveiling of a tasteful charitable campaign benefiting The Terry Farrell Firefighter’s Fund. year we are introducing the bottle and program to 25 states including California. In our state, we are selling 10,000 cases of the special edition bottle, and all the money raised goes to help California firefighters. We have also developed the cookbook, going on sale September 1, using recipes contributed by firefighters and top chefs in California.” According to Beam’s Mario Brossard, BIN and Beam are working closely with Orange County marketing company Visual Image Events (VIE) for an ambitious campaign to get word out to firefighters and the community about this special promotion. VIE’s models, after receiving training about Jim Beam and the charity, will be visiting 25 firehouses around Southern California to encourage firefighters and their friends and families to visit innovative liquor retailer High Times in Costa Mesa (the first to participate) or ask their local retailers to make the special edition package and cookbook available. “As a group, Southern California firefighters is not just a brotherhood but also an

The charity raises money to assist firefighters and their families with educational, medical and equipment needs. The charity was founded in honor of Terry Farrell, a decorated member of the Rescue 4/FDNY squad, who perished on September 11, 2001 in the World Trade Center attack. The 2009 California campaign designed to carry on his legacy includes the publishing and retail sale of 8,000 copies of The California Firehouse Comfort Foods Cookbook (retail $9.99) and specially labeled commemorative bottle of Jim Beam emblazoned with the Terry Farrell Firefighter’s Fund logo. The campaign will run from September through December, and 100% of proceeds from the retail sales will benefit the charity. “The Terry Farrell Firefighter’s Fund steps in when government agencies, insurance companies and other entities cannot completely cover an emergency expense,” explains Paige Guzman of Beam Global Spirits & Wine. “While the campaign was initially focused in New York, this is the first 4

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extension of everybody’s family,” says Brossard earnestly. “My house in Sylmar almost burned, and it was because of local firefighters that my home was saved. This is a big reason why we want to focus on this locally. Furthermore, every community has a firehouse, and the firemen and women who work there also support local businesses and retailers. The best part of what we are doing with this charity is building awareness of local firefighter’s contributions. Another main goal is to let consumers and retailers know this program is out there. It is a collective effort among VIE, BIN and Jim Beam Southern California to take care of our own.” Brossard also points out that it is important to him personally as a Beam representative to convey to firefighters, other consumers and retailers that bottles with Terry Farrell packaging are the same price as regular Jim Beam bottles, and that proceeds benefit local firefighters who have given themselves to their communities just as Terry Farrell did on 9/11. “Since 2005, Jim Beam’s Terry Farrell Firefighter’s Fund has raised over $100,000,” adds BIN president Michael Chu. “However, our goal is now to match the $100,000 during this year’s campaign. We at BIN are proud to be part of the solution, and do what we can to help Jim Beam reach that goal, as well as guide our base of retailers and distributors to make this happen.” I

INDUSTRY EVENT

KAI VODKA’S MEDIA EVENT

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KAI Vodka’s V.P. of Sales & Marketing, Dana Black, along with acclaimed mixologist, Natalie Bovis-Nelson, mixed up sensational summer KAI cocktails: Kai Julep, The Sophisti-Kai-ted Lady and Tropical Tipple, July 14th, at the plush poolside of the Viceroy Santa Monica. Guests were invited to an evening of cocktail creation and enjoyment as they indulged in seasonal KAI Vodka cocktails paired alongside refreshing summer bites such as, Ginger and Star Anise Pork Belly with Ginger Slaw. For more information on KAI Vodka, please visit www.kaivodka.com.

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1. KAI Lychee Vodka takes center stage at the Viceroy Santa Monica. 2. Dana Black, V.P.

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Sales & Marketing, KAI Vodka LLC. 3. Mixologist, author, and editor of The Liquid Muse, Natalie Bovis-Nelsen mixes up a KAI Julep. 4. Poolside at the Viceroy in Santa Monica during the hotel’s Taste of Tuesday outdoor happy hour. For the month of July Kai Vodka was the sponsored spirit so guests could enjoy Kai cocktails for only $5. 5. Tropical Tipple created by Natalie Bovis-Nelsen. 2 ounces Kai vodka, 1 ounce passion syrup, 1 ounce mango juice, 3/4 ounce lemon, Fresh mango slice, sprinkled with cracked black pepper on a cocktail skewer (garnish). Shake all liquid ingredients with ice. Strain into a chilled martini glass. Garnish with fresh mango slice.

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ood & Wine hosted its 27th annual Classic in Aspen June 19th - 21st and more than 5,000 trade and consumer attendees were present. Over the course of the weekend, 50,000 bottles of wine were poured and countless culinary superstars were on hand.

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1 (L-R) Francois Thibault, Grey Goose maitre de chai and Dimi Lezinska, Grey Goose global brand ambassador 2 Chris Haroza, United States sales manager, Terra Andina 3 Mark Vanston, VP sales and marketing, VSP Wine Group / Vino San Pedro, and his wife, Karen 4 Lyndsey Geigle, Rob and Katie Cooper, St-Germain 5.Anthony Alba, executive mixologist, Liquidity Global and Gaston Martinez, Milagro brand ambassador 6 Mia Malm, director of public relations, Icon Estates 7 Marcy Whitman, senior VP, marketing; Michael Wolff, group marketing director; and Bethany Scherline, director of public relations, Palm Bay International 8 Beth Cotenoff and Chandni Patel, Cornerstone Communications on behalf of the Rías Baixas Albariño campaign 9 Rémy Chill debuts in Aspen during the Food & Wine Classic 10 Rémi Brabant of Rémy Cointreau USA explains the sensation of 0 0F Cognac, which is generating attention in hotspots from The Ritz Bar in London to the St. Regis in Aspen 7

Banburyy prep themselves Dynamic duo Liz and Jay Banbur themselves clients—for industryy glor glory. — and clients—f for beverage industr y. By Elyse Glickman

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Banbury brands Banbury Cross offers both veteran br ands and hot h new upstarts a viable alternative ve to the traditional provider trraditional marketing service prov vider on a variety of levels. v “When “W When we build new relationships ships with clients, establishing trust is justt the beginning,” initial begin nning,” says Liz. “ Beyond the in nitial call, or meeting, call email e meeting we’re we re thinking long term. We We take pride in the fact thatt we are able ab ble to cater to clients in a way bigger biigger companies comp panies can’t. can’t. When you call us, youu are getting gettin ng us, not an administrative assistant”. ant”.

iz and Jay Ban Banbury, nbury, built graphic design and marketing m boutique agency Banbury Banbu ury Cross with a mix of striking photography, phottography, innovative graphic and web page design, astute product d product marketing campaignss and attention to detail. Now they aree ready to take their distinctive and customized custoomized approach to marketing—at full-service marketing— —at some of the most competitive prices on n the market—and beverage industry.. bring it into the bevera age industry “Our approach to brand-building is in perfect harmony with the wine and spirits Jay. “With new,, industries,” says Jay y. “W ith so many new products coming the liquor innovative pro ducts co ming out in th how they market, and so many options in ho can be promoted, I am m confident that what we do is as pperfect a fit liquor for a variety of liquo or brands, as well as retailers andd distribution companies.” months, Banbury In the coming mo onths, Banbu Beverage Industry Cross will be giving Be everage Indust magazine new News (BIN) magazin ne a fresh n editorial look, from its color edi itorial pages tto its materials. publisher promotional materials s. BIN publ not persuaded Michael Chu was n ot only pers what by their vision of wha at BIN can bbe on a their visual level, but with th heir business aacumen reviewing as well. “After review wing many ccreative with the companies, I was reallyy impressed w “However, quality of their work,” says Chu. “H they also are bringingg us exactly w what we prices. recommend any need for the best price es. I recomme beverage product product with h a specific ccreative vision bring it to Banbury Banbbury Cross, and nd allow them to present that thaat vision in its best possible light.” Though Th h many beverage b companies i have turned to maj major jor public relations York, firms and ad agenciess in New Y ork, Los Angeles, Chicago and an nd Miami for their image-building efforts,, the Amarillo-based 10

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With thiss economy, companies off all a sizes are more entrepreneurial in n the way they approach product t product development, developm ment, launches In this launcches and maintenance. climate, clima li ate, most people l cannot wait i around aro oundd for somebody soomebody from a large company too get back to them in a week. We We get it, so wee get back to our clients immediately to takee the project projecct or idea at hand to the next level.” leveel.” 7

Jay Banbury focuses focusses his energies on the trend-setting graphic elements of a product’s e product’s campaign, including photography, photography, graphic design and shaping marketing messages in m a visual way. way. Liz, meanwhile, meaanwhile, works closely with clients to developp a multi-level strategy that is tailored to both h the product product and the market it is going to be introduced introduced or reintroduced introduced in. She also alsso examines the results of campaigns and strategic straategic marketing plans from previous firms retained reetained by the client, to determined what parts of the existing program works and what w other aspects need to be refinedd and adapted to the current en nt marketplace. “We “We see our ties e to each client as a es full-blown lll-blown partnership, p p, andd actively listen to theirr ideas,” concludes Liz. “From there, we develop o a fluid strategy op individually tailored to a d dually new product oduct to help those ideas take k flight, or take a ke familiar product p duct needing a pro boost in a fresh new direction visually and ndd logistically. logistically. We’re We’re not just simply im mply creating ads. Instead, we intend intend to go beyond the expectations o of even the most ons media savvy beverage companies. b While we deliver v quality work on ver a very timely, we’re not just timely i l , efficient efficien ffi i nt basis, b cranking out something someth hing fast. By putting great quality projects out o fast, we’re helping our clients keep the attention atttention of their target consumers.

For more infor information, ormation, visit www www.banburydesign.com w.banburr ydesign.com

B anburyry Cr Cro o ss o f f e rs a m i x o f stri k i n g phot p hot og r aphy, a p h y, in novat n o v a t ive i v e g r aphic a p hi c a nd n d web w eb p a g e des ig n , a s t u t e p rro o duct ma marke rk e ti n g c ampai am pai gn s and an d atte a tte t n tion t ion t o det a il at a t s om e of t he m os t c omp om p et it ive i v e p r ic i c es on t he market! akee y you nee ss in t o a w wor mark et! . Le Lett u s h e l p m ak o u r bu si n or k of a r t

C R E A T I V E

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X X X C B O C V S Z E F T J H O  D P N t            t           

NEW PRODUCTS & PROMOTIONS La Paz Products INTRODUCES QUICKWAY COCKTAIL MIXES La Paz Products has steadily risen to become the Latino communities' favored brand they relate to and may be found at Ralph’s, Food 4 Less and Smart and Final – along with Latino independent chains, such as Vallarta Supermarkets and Superior Super Warehouse, Cardenas' Markets and El Super. As a result of a 41-years commitment to producing quality mixes under two successful brands, La Paz is going back to its roots and introducing their QuickWay brand to the retail market. QuickWay Mojito and Pomegranate Energy cocktail mixes are made with the key energy ingredients found in your favorite energy drinks: B3, B5, B6, B12, Taurine, Ginseng, Guarana and Caffeine. Not designed to be an energy drink, they give just enough kick to your refreshing summer cocktails! Christine Robinson, National Sales Manager for La Paz Products, Inc. states, “In 1968 La Paz Products introduced a brand of sweet & sour concentrates specifically designed for the busy bartender. The brand was QuickWay Professional Bar Mix. A few years later, we directed our attention to the retail market and introduced the first margarita mix on the retail shelf, La Paz Margarita Mix,” Go to www.lapazproducts.com for more details or contact Young’s Market for the full line of products. Karlsson’s Gold THE FIRST VODKA WITH TERROIR Karlsson’s Gold, launched in September 2007 in the United States by Spirits of Gold. Created from the finest grade of virgin new potatoes – grown in Sweden’s Cape Bjäre, home of the country’s highest-quality new potatoes – and distilled as carefully as possible, Karlsson’s Gold is the first luxury vodka that can sincerely boast its own terroir. Karlsson’s Gold also boasts an impressive pedigree: Master Blender Börje Karlsson, known as “the Father of Absolut” for his hand in the creation of one of the world’s most successful vodkas. The result of Börje Karlsson’s superior skill and masterful vision, Karlsson’s Gold is rich in flavor, reflecting the quality of the virgin new potato varieties. Producing a natural taste and balanced flavor, the seven varietals are: Solist, Gammel Svensk Röd, Sankta Thora, Princess, Hamlet, Marine and Celine. By distilling singularly and carefully, Karlsson preserves the flavors of these raw materials to create a distinctive and complex vodka. Karlsson’s Gold vodka (750ml/40% ABV) is available for a suggested retail price of $39.99 at fine restaurants, bars and spirit retailers in New York, Boston, California, New Mexico, Arizona, Georgia, Tennessee, Nevada, Texas, Wyoming and Alberta, Canada, as well as through online merchants.

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JEREMIAH WEED HALF & HALF Cocktail. 12.7% Alc/Vol. ©2009 The Jeremiah Weed Distilling Company, Norwalk, CT.

NOW AVAILABLE • Sweet tea sales trends are up! Jeremiah Weed™ Sweet Tea Flavored Vodka is a top-10 new product in IRI after only 12 weeks in market.1 • The vast majority of sweet tea flavored vodka consumption is mixed with lemonade.2 • Offer your customers a convenient and delicious Ready-To-Serve Half & Half cocktail. • Available in a 1.75 L convenient PET bottle—perfect for outdoor occasions like picnics and the beach. Also available in a 750 mL glass bottle. 1 2

IRI, four weeks ending April 2009 Diageo Trade Audit, 2009

12.7% ABV JUST POUR OVER ICE FOR ONE HELLUVA GOLFER’S TEA.

PLEASE ENJOY JEREMIAH WEED™ RESPONSIBLY.

NEW PRODUCTS & PROMOTIONS

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1 Corzo Tequila PROVES THAT GOOD THINGS COME IN SMALL PACKAGES To offer a new affordable luxury, Corzo Tequila has created a 375 ml size bottling for each of its three premium marques: Corzo Silver, Corzo Reposado and Corzo Añejo. The new size will mirror the brand’s distinct bottle design created by renowned designer Fabien Baron. Corzo Silver will retail at a suggested price of $23.99, Corzo Reposado for $26.99 and Corzo Añejo for $28.99. Visit www.corzo.com 2 Powers Gold Label Irish Whiskey INTRODUCES NEW LOOK Powers Gold Label Irish Whiskey has unveiled new packaging for its 750 ml and 1L bottles. The new contemporized look features simplified lettering and eye-catching metallic gold coloring. Powers Gold Label is a blend of pot still and grain whiskey that is triple distilled and aged in bourbon oak casks for four to six years. Visit www.pernodricard.com 3 Friday Monkey LAUNCHES NEW BLEND IN LARGE FORMAT Friday Monkey Wines introduces its Cabernet/Shiraz blend in a large 1.5L format to select markets. Friday Monkey, the wines for any occasion, are available in Chardonnay, Shiraz, Cabernet/Merlot, Merlot, Cabernet Sauvignon and Rosé in 750 ml and Chardonnay, Shiraz, Merlot, Cabernet Sauvignon and Cabernet Shiraz in 1.5L. Visit www.fridaymonkeywine.com 4 Bronco GOLD MEDALS AT SAN FRANCISCO INTERNATIONAL WINE COMPETITION Bronco Wine Company scored numerous awards at the 2009 San Francisco International Wine Competition. Among them: Napa Creek 2007 Napa Valley Cabernet Sauvignon (Double Gold/Best of Class), Montpellier 2007 Syrah (Double Gold), Laurier 2006 Alexander Valley Merlot (Double Gold), Harlow Ridge 2008 Lodi Pinot Noir (Gold Medal). Bronco Wine Company, Ceres, CA 800-692-5780

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5 Three Thieves OFFERS GREEN, PORTABLE OPTION FOR SUMMER OUTINGS Three Thieves and Rebel Wine Company have released a new 500 ml package for their Bandit wines. The new size joins the group’s 1L offerings, all of which come in a lightweight, eco-friendly Tetra Pak package perfect for outdoor adventures or stay-at-home revelry. The new 500 ml Tetra Paks will be available for the group’s Cabernet Sauvignon, Chardonnay, Merlot and Pinot Grigio wines and will retail at a suggested retail price of $4.50 per 500 ml container. Visit www.threethieves.com 6 Crop Organic Artisanal Vodka SOON TO BE AVAILABLE IN 45 STATES Crop Organic Artisanal Vodka is a super-premium USDA certified organic vodka distilled and bottled in the United States. Using a distillation process so efficient that no carbon treatment or charcoal fi ltering is required, Crop has a crisp, clean, pure taste. Soon, look for Crop in 45 states. Visit www.cropvodka.com 14

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Super-premium imported Olifant Vodka voted in 2009 as one of California’s top value brands by BIN Magazine

WHAT’S BREWING

By Gregg Glaser

News from Around the World Crown Imports’ Jim Ryan Named NABI Chairman

Craft Beer Distributor of the Year

Pilsner Urquell Partners with Chef Michael Symon

Jim Ryan has been elected chairman of the board of directors of the National Association of Beverage Importers (NABI), a national alcohol beverage trade association headquartered in Washington, DC. Founded in 1933, NABI is the oldest trade association in the U.S. serving the alcohol beverage industry. Ryan was Jim Ryan previously head of NABI’s executive committee from March 2007 through March 2009. He’s the executive vice president of corporate communications for Chicago-based Crown Imports LLC and has worked in the beer industry since the late 1970s for Anheuser-Busch, Pabst and G. Heileman.

The National Beer Wholesalers Association (NBWA) and the Brewers Association (BA) are accepting nominations for the Third Annual Craft Beer Distributor of the Year Award, presented annually to a beer distributor who actively markets, sells and promotes craft beer. The award will be presented at the Great American Beer Festival, hosted by BA on September 24th–26th, in Denver, CO.

Pilsner Urquell, the lager from the Czech Republic (imported by MillerCoors), continues its beer and food push in the U.S. This time the brand has hired celebrity chef Michael Symon to showcase the beer. Symon is the

Amstel’s New Website Heineken USA (HUSA) has redesigned the Amstel website as part of an increased marketing campaign for the light Dutch lager. According to HUSA, www.amstellight.com will “whisk you away to Amstel’s Amsterdam–where much like the unconventional and free-spirited culture of Amsterdam– nothing is what it seems.” The website virtually recreates the streets of Amsterdam–“the art, nightlife, music and magic”–in three sections: Dam Good Bier, Dam Good Times and Dam Good Culture.

Michelob Brewing Co. Takes Gold, Silver And Bronze At North American Beer Awards

Beer Sommelier (www.greatbrewers.com/ beer-sommelier) is a craft-beer-mapping web site from Great Brewers, a consortium of distributors, in which users can pair a wide variety of food with recommended beers. Each beer on the site includes all the stats: flavor characteristics, ABV, glassware, etc. There are about 2,100 beers in the database.

Paulaner HP USA — New Importer Paulaner Brauerei of Munich, Germany, has decided to once again import its own beers in the U.S. and has formed Paulaner HP USA, based in Colorado, as a wholly owned subsidiary. Up until 2003, Paulaner imported its beers before moving the brands to Star Brands Imports, a Heineken USA subsidiary.

Modelo Especial Named “Hot Brand” Award Winner By Impact Magazine Modelo Especial was named a 2008 “Hot Brand” award winner by Impact Magazine last spring based on its impressive sales results. This is the 15th consecutive year that Modelo Especial has received this award, an industry honor that no other beer, wine or spirit has been given. Modelo Especial is the number three imported beer in the U.S. and grew at 10.6% in 2008. It’s grown at a double-digit rate for 17 consecutive years, more than any other brand in the industry.

Film Institute Casts Stella Artois in Supporting Role Stella Artois, the Belgian beer imported by A-B InBev, is sponsoring the American Film Institute (AFI) Fest on October 30thNovember 7th in Los Angeles. The beer was also the sponsor of the AFI Life Achievement Award on June 11th. BIN

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2009 James Beard Foundation Award recipient and can be seen regularly on the Food Network’s “Iron Chef America” program, of which he was a past winner. Working with Pilsner Urquell, Chef Symon has created original recipes that specifically pair with the hoppy, blonde lager.

Great Brewers’ Beer Sommelier

With more than 1,200 beers in contention for medals, Michelob Brewing Co. earned four medals at the North American Beer Awards in early June. Michelob Original Lager and Michelob Dunkel Weisse took gold and Michelob AmberBock garnered a silver.

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Chef Michael Symon with MillerCoors brewmaster Manny Manuele

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Samuel Adams Beer Lover’s Choice This year’s Samuel Adams Beer Lover’s Choice began on July 6th and will continue through September 30th. The two contenders this year are Samuel Adams Pils and Samuel Adams Ale. Promotions across the country are listed at www.samueladams.com where people can vote for their favorite beer. The winner will be added to the 2010 lineup of Samuel Adams beers. Samuel Adams Pils (5.2%) is similar to a traditional Czech

A CUT ABOVE THE REST THROUGH PAINSTAKING CRAFTSMANSHIP AND HIGHLY TARGETED MARKETING, DIAMOND BEVERAGES IS INSURING THEIR ULTRAPREMIUM VODKA WILL BE “FOREVER” IN THE HEARTS AND MINDS OF THE CHOOSIEST BEVERAGE ACCOUNTS AND CONSUMERS. Written by Elyse Glickman

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hile some liquor companies pride themselves on thinking outside the box—or the bottle, for that matter, Diamond Beverages is thinking outside the con-

straints of the economy to put forth what just may be the ultimate vodka indulgence.

Other top-selling, ultra-premium vodkas and spirits have exercised seemingly uncharacteristic caution, and are playing their hand closer to the vest and the wallet. However, the Chicago areabased company is putting the market’s most expensive vodka out there for all to admire and the most discerning customers to indulge in. Their prime selling point: putting diamond filtration (the most expensive filtration process) into play to create what they believe is the finest, most refined vodka on the market and tying it together in packaging of a Saverglass™ perfumegrade bottle adorned with Swarovski crystal. Produced at Poland's 300 year-old Polmos Siedlce Distillery, and made from prized Dankowski Diamond® Rye, this singular vodka is brought to life through an intricate process involving four rounds of distillation, four stages of filtration, and a carefully guarded filtration process requiring thousands of DeBeers® diamonds. This $79.99 MSRP/750ml wonder was launched over the summer in Florida, Illinois, Nevada and California, all places where Founder, President and General Manager Richard Wallace knows the show always goes on in the world of luxury goods. He exudes confidence, observing that the positioning of Diamond Standard Vodka is specifically designed to distinguish it from other products in the now-crowded field of ultra-premium vodkas, ranging in price from $30 to $40. Though Diamond Standard Vodka is just barely a year old, it is the product of both Poland’s illustrious history as the oldest vodka-producing country and the craftsmanship of distiller Tad Dorda of Polmos Distillery in Siedlce, Poland. Dorda, up until now, was best known in the industry for putting the ultra-premium vodka category on the map by developing Belvedere Vodka and Chopin Vodka brands for Millennium Spirits in the

1990s. And for these reasons, Wallace and his team knew he was the only distiller up to the job of creating a vodka inspired by and forged from actual diamonds. “After we assessed the early marketing efforts for Diamond Standard Vodka, we wanted to rethink the ‘Fashion you can Drink’ and instead reshape the lifestyle message that really speaks to what’s inside the bottle: “What diamonds taste like,” Wallace says. “Our advertising is pointed directly to the fact that the word ‘diamond’ is such a great thing to build a brand on because there are so many different ways you can work with it. Because diamonds are regarded for their simplicity, and looking great with practically anything, we decided to tie it in with mixology and answer the ‘what do diamonds taste like’ question. Each one of our ads uses a single graphic element. For example, an orange photo accompanies a recipe for a Diamond Standard Screwdriver; An olive is used to depict “Standard Martini,” a mint becomes a Diamond Standard Mojito, and so forth. We’re also playing upon the fact that the best diamonds, like our vodka, are setting a standard through their perfection.” “We believe our timing is right,” CEO Louis A. Amoroso adds. “Even with economic fluctuations, consumers want the opportunity to treat themselves, and we offer an affordable luxury that can be savored.”

A SOLITAIRE SETTING To further drive home the point that Diamond Standard Vodka now stands alone in a very elegant setting, far ahead of other vodkas in the ultra premium category, Wallace explains it is important for onand off-premise accounts to convince the consumer that the beautiful package on the outside clearly speaks to the quality and purity of what’s inside of it as well as

COVER FEATURE continued

the history behind it. “When we found out that Tad Dorda was behind all of this incredible work (that brought Chopin and Belvedere to life), we wanted to see if he could do the same kind of thing with our Rye vodka concept,” says Wallace, a 35+ year veteran in the imported vodka segment, who came out of retirement just for this venture and has landmark campaigns for Stoli and Finlandia to his credit. “We contacted him four years ago and told him about our vision to create the finest, purest vodka on earth with diamond filtration. As the category’s first real visionary, however, he needed a bit of persuasion. After he agreed to distill and filter the product the way we wanted it and he tasted the results, he agreed the concept was solid. Here is a man who produced two of the very first ultra-premium vodkas taking on the challenge of outdoing himself. Today, he is our greatest global sales person, and we are proud to have him as our distiller partner.” Even with new ventures being more risky than ever, Wallace points out that luxury vodkas ($40 and up) posted the most growth in the category, a whopping 56.2% in sales and 78.3% in volume. When Diamond Standard was launched in Miami and, later, Las Vegas, Wallace knew the timing was right for the launch because there was always a small, but strong niche market eagerly anticipating for the next great luxury product. “All you have to do is look at the bottle, which radiates the message that it is the best on the market,” Wallace affirms. “When they taste it, they understand the external beauty equals what’s inside. What it says to our reps and our team at Southern Wine & Spirits in California is that people are still drinking and demand the best vodkas money can buy. They may drink less product, but they are drinking better and smarter. This plays right into our hands, and when you go to places like South Beach and Las Vegas, and walk into their best bars and restaurants, you would be hard pressed to believe there is actually a recession going on based on people’s drinking habits, especially as mixology trends have made them really attuned to the quality of the cocktails they are buying.” 20

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Top: Diamond Standard Vodka packaging: Saverglass™ perfume-grade bottle adorned with Swarovski crystal. Below: “What Diamonds Taste Like” lifestyle message targets consumers who are willing to pay for the best because they want the best.

A FLAWLESS APPROACH TO TARGETING “In every major market, we are dedicating 50% of our marketing budget to placing print ads in high-end local and regional consumer magazines with an emphasis on fashion and luxury lifestyles,” explains Bruce McDonnell, Diamond Beverage’s Executive Vice President of Marketing, focused on directing the advertising and marketing campaign for Diamond Standard Vodka. During his fifteen-year run in the adult beverage industry, prior to coming to Diamond Beverages, he spearheaded the development, introduction or rollout of over 15 new upscale beverage products. “We’re looking at consumers, young professionals, aged 25 and up with a high

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disposable income.” he continues. “These are people driven by the good life, who frequent the party scene and are willing to pay for the best because they want the best. We have observed that despite growth in the ultra-premium segment, there is a bit of a void in the momentum of that growth, and what we are seeing is an opportunity for us to take over the top spot for this part of the category. A closer look at the segment reveals that sales of some of the once very hot ultra-premium vodkas have slowed down considerably. Even though we are introducing in the worst recession since the great depression, we have a great story to tell that we believe people will respond to. Furthermore, we are not looking to sell to

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REAL GEMS: DIAMOND STANDARD’S SIMPLY PERFECT COCKTAILS Thanks to the fact that less is more, anybody can be a master mixologist when they start off with the very best at their bar.

THE DIAMOND MARTINI 1.5 oz Diamond Standard Vodka .75 oz dry vermouth Shake vodka and vermouth together with several ice cubes in a shaker. Strain into a cocktail glass, garnish with an olive and serve.

DIAMOND MARY 1.5 oz Diamond Standard Vodka 3 oz Bloody Mary mix 1 celery stalk 1 pinch peppers 1 pinch salt Fill Glass with ice. Add Diamond Standard Vodka and Bloody Mary mix. Stir well. Garnish with salt, pepper and celery stalk.

DOUBLE DIAMOND 4 oz of Diamond Standard Vodka Pour Diamond Standard Vodka into an oldfashioned glass with two or three cubes of ice.

every single consumer. We are looking for that select few that simply want the best and who will pay for it.” According to Chris Alvarez, who is an acting Vice President concentrating on marketing Diamond Standard Vodka in the Western U.S., approaching high-end, trendsetting California consumers requires finesse and care. Rather than force the issue, he believes the best way to create an enduring following for the vodka is through subtlety, exclusivity and quality. The tastemakers in California and Las Vegas want to be the ones credited for making the discovery. Working in tandem with distributor Southern Wine and Spirits, and through special promotions at top hotels and resorts, Alvarez says he’s betting on allowing them to flex their consumer muscle. “We’re not deliberately seeking people out, but instead, creating a climate where people will actively seek us out,” Alvarez says. “As we see it, we’re not just at the top end of vodka brands, but actively setting the standard beyond a successful mass brand like Grey Goose. We’ve worked to take it up to the next level for consumers actively looking to trade up from Grey Goose. In this economy, people are looking for great value, but they are also looking to spend on something luxurious that won’t break the bank, which you can do with our brand.” With that in mind, Wallace notes that the greatest overall marketing challenge, over the long haul, is to convince this elite group of consumers that they are getting what they pay for in the same way jewelry enthusiasts do when they shop DeBeers or Tiffany & Co. In other words, assurance that the incredible beauty and simplicity consumers and bartenders see outside is absolutely equal to what they will taste or mix with on the inside. “The whole project started with a singular goal to produce the finest vodka in the world regardless of the price,” says Wallace. “When developing this over the course of four years with master distiller Tad Dorda, price was not an object. Now that we’re out there and making our way in the marketplace, we make no excuse for our suggested retail price because the distiller, under our direction, has created a formula that is uniquely different from any other vodka in the world.”

“The whole project started with a singular goal to produce the finest vodka in the world regardless of the price,” – Richard Wallace, Founder, President and General Manager

a great impetus to formulate and execute Diamond Standard Vodka in Poland, its history and natural attributes make this country the perfect place to begin prospecting for future good fortune. While DeBeers diamonds were brought in to perfect the distillation process and the smoothness of the final product, what comes naturally was a perfect place to start in producing something refined and unsurpassed. “In written history, the word ‘vodka’ translates to ‘little water’ in Polish,” notes Wallace. “As far back as we’ve been able to research, Poland has produced longer and more than any other country producing vodka. This long-standing success is because they simply have the best raw materials anywhere, from the Dankowski rye-the best on Earth-to aquifer water. Also the fact that this particular distillery is over 300 years old, has been operational for that entire time and has produced some of the best vodkas in the spirit’s history makes this

DIAMOND MINING IN POLAND While the artistry of Tad Dorda was in itself 22

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DIAMOND MOJITO 2 oz Diamond Standard Vodka 3 fresh mint sprigs, 2 tbsp sugar, 3 tbsp fresh lime juice, Soda water Muddle the mint, sugar and lime juice in a collins glass. Fill it with ice, add Diamond Standard Vodka and top it with soda. Shake or mix the drink. Garnish it with a lime wedge.

DIAMOND DRIVER 2 oz Diamond Standard Vodka 5 oz orange juice Put 3 ice cubes into a highball glass. Pour in Diamond Standard Vodka. Fill balance of glass with orange juice, stir, and serve.

DIAMOND WITH A TWIST 2 oz of Diamond Standard Vodka 3 cubes of ice Pour Diamond Standard Vodka into an oldfashioned glass with three cubes of ice. Garnish with the twist of a lemon peel.

DIAMOND ON THE ROCKS 2 oz of Diamond Standard Vodka 3 cubes of ice Pour Diamond Standard Vodka into an oldfashioned glass with 3 cubes of ice.

a natural fit for being the birthplace for the first great vodka brand of the 21st Century. When you go to the birthplace of vodka, work with a distiller who has changed the course of the category’s history and, together, pay attention to details that matter, you are bound to wind up with an exceptional product. Couple that with our rare and unusual concept of Diamond Filtration combined with the best traditional filtration, what you get is the world’s smoothest vodka. Because of the extra care that goes into producing our vodka, like mining the finest diamonds, we make no excuse about being the most expensive.” McDonnell adds that all that work and attention results in high-perceived value among those consumers specifically on the market for the best vodka money can buy. If you are going to make claims about a great Polish vodka, however, planning needs to be done to ensure every aspect of the product will live up to expectation. “Because the product literally was five years in the making, we must deliver,” says McDonnell. “All of the time we took was time needed to refine the entire formula and product, every element inside and out of the bottle to get it where we wanted. Packaging was extremely complicated, as we wanted that Swarovski crystal right in the middle of the bottle, and it is not easy to adhere crystal to glass. Our out-of-the-box success is due to the planning, trial and error before we were ensured we could put it out into the bigger market place at this point in time. With so much work, we have chosen to go right to the consumer and stand on the fact that we have an unbelievably high perceived value and will stand behind the product and the price, without the need for celebrity endorsement or other forms of hype employed by other ultra-premium brands.” As it takes a highly experienced and skilled team to get the product out of Poland and U.S. warehouses and into the hands of consumers, Wallace is also eager to point out that every employee of Diamond Beverages has had many years of experience in the beverage industry, especially related to fine imported vodka. Chris Alvarez, who is getting the product in the hands of influential clients and consumers in the West, is no exception. His work in Las Vegas in particular, gives him an edge as he boasts an intimate knowledge of VIP-caliber vodka drinkers who drive the market for vodka and other luxury products. 24

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“We have observed that despite growth in the ultra-premium segment, there is a bit of a void in the momentum of that growth, and what we are seeing is an opportunity for us to take over the top spot for this part of the category.” – Bruce McDonnell Executive VP of Marketing

THE GOLDEN STATE’S MANY FACETS Alvarez maintains that what makes the West, and California cities in particular, an exceptional proving ground is that people like to test every new thing that comes on the market. He notes from experience that niche spirits brands with high expectations go into their marketing efforts with shortterm goals. However, he believes that taking the opposite course of action with Diamond Standard Vodka will empower it to endure in the long-term. “What makes us different is that our sales and marketing goals are long-term,” says Alvarez. “Instead of the shotgun approach so many new brands take, we are moving methodically, on a three-year plan and focusing specifically on the higher-end clientele. They are a group that does not like to be rushed, and has an instinct for 7

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literal meanings of a “diamond” standard, where the vodka is as important as the fresh ingredients that figure into the mixers. “We really want to deliver a product whose value has it all, superior flavor, style, substance and simplicity,“ concludes Alvarez, who is also planning an unprecedented campaign for Las Vegas’ Excess, ranked the hottest nightclub in America. The plan, like the vodka, is simple, elegant and exclusive—making Diamond Standard Vodka the only vodka VIP guests will experience on their visit.

DIAMONDS ARE ALSO A BARTENDER’S BEST FRIEND Wallace points out that because a high percentage of vodka purchased is consumed mixed, and usually works with anything one mixes into it, the only place a bartender (or somebody entertaining at home) should start at is with the best vodka available. “It is nearly impossible to make a mistake when you’re starting with a vodka that is of the highest quality,” he insists. This is why our recipes that are a tied in with the ‘What diamonds taste like’ message are simple. A central idea of this campaign is twofold, as bartending has evolved into a fine art. Whether you are a professional or hosting a party, you do not need to be an astonishingly acrobatic mixologist in order to put together a perfect cocktail. Likewise, you don’t have to be a hardcore foodie to enjoy the incredible smoothness when you drink the cocktail. You are assured of the very best results.” Wallace acknowledges that the mixology movement has given way to a very large flavored vodka market in the U.S. However, he notes that the core business of every top brand is still the clear or neutral vodka product, and flavors are more or less an add-on.

“Even with economic fluctuations, consumers want the opportunity to treat themselves, and we offer an affordable luxury that can be savored.” –

Louis A. Amoroso CEO

what is the best on the market regardless of hype. They want to know exactly what they’re drinking and are assertive about knowing what they like. In response, what we’ve done is collaborated with strategic partners like the Ritz-Carlton, Four Seasons, Fairmount San Francisco and Michael Mina’s restaurants to go after the highest end of consumers, who will in turn drive business, through word-of-mouth to other affluent customers.” Though there are some marketing plans in the works for California that could not be discussed at press time, Alvarez confirms they are sticking with the “What diamond’s taste like” message and presenting people with the opportunity to experience the Double Diamond Martini and immediately understand what they are paying for. This is further implemented with a cocktail menu that places emphasis on the figurative and 26

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“If a distiller does a good job with natural flavors and can appeal to the consumer in taste and perceived value, it will sell,” He says. “Brand managers and owners across the board, however, will agree that plain vodka is their top seller. That said, flavors do bring in audiences, and our brand will be no exception.” Though Wallace was not at liberty to discuss the potential flavors at this time, he mentions top brass at Diamond Beverages are currently going through a process of selecting what will become the flavored vodka extensions with the requirement that these line extensions will be as smooth and as refined as they original vodka. Master Distiller Dorda has even flown in from Poland to be an active part of the selection process. Even with one eye on the immediate future, however, Wallace says permanence is the ultimate goal. “We have been in business for a year, and it has been quite a journey,” assesses Wallace. “It has been a lot of fun selling this product to distributors, who are effectively the gatekeepers to business. The same is true for the challenge of getting the consumer pull-through needed to make this a success in the long run. That said we think the end game, tied up in the taste and wordof-mouth, will prove its worth. Our appeal is not even to every vodka drinker, or even every ultra-premium vodka drinker. It is only for the most discerning customers willing to pay for the best.”

DIAMOND MINING For those looking for a gem of a career opportunity, Diamond Standard Vodka proudly announces there are job openings for qualified candidates. To view the positions and their responsibilities, visit www.wineandspiritsjobs.com. Polmos Siedlce Distillery

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TASTING CORNER

Producers like Montes have looked west in the vine-dense Colchagua Valley toward the slopes in the western section of Marchigue for its cooler, marine-influenced climate

More and more vineyards are looking to the chilly hillsides for planting, like these, in the shadow of the snow-capped Andes

It’s Getting Chile Wines from this sliver of a South American country continue to climb in popularity as an incredible source of value—and quality By Amy Zavatto

I

f you play a game of wine-word association with “Chile,” in all likelihood you’re going to hear the return retort, “value” with “bargains” coming a close second. And why not? Compared to acreage prices in such lust-worthy, well-known Cab producing areas as Bordeaux and Napa, Chile is a bargain, and its prices have long reflected this agricultural real estate fact. That’s why, with its perfectly dry, sunny, ocean-influenced (and let’s not forget phylloxera-free) climate, it has attracted investors from France and California, with names like Rothschild and Mondavi laying claim to exemplary vineyard land at a fraction of the cost. “Chile has so many things going for it,” says Ed Barden, director of the Banfi South American Portfolio. “It is such a diverse geographic country, the climate is in its favor and the fact that it has these protective boun aries that have kept out a lot of vineyard pests.” True enough— Chile is much more than just the southern hemisphere’s version of Filene’s to the Big Boys’ Barney’s. It is the source of some out-and-out stunning vitis vinifera these days, with new investment, establishment of coastal and hillside vineyards, modern winemaking techniques and state-of-the-art equipment making for some exciting sippers taking their place at the global table. Morning fog makes way for sunny days in the cool Casablanca foothills

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“Chile on the whole over-delivers in quality,” says Mark Vanston, VP of sales and marketing for Viña San Pedro. “For example, Casa Lapostolle Clos Apalta was the number-one rated wine in Wine Spectator (for the 2008 Top 100), and you can find it on the marketplace for around $70, unlike a $400 Château Margaux, which is not affordable. But a $70, 96-point wine? That’s affordable.” Walk into any wine shop, however, and you’re even more likely to find a veritable smorgasbord of exceptional options for $25 and far under. “The $20 bottles taste like $50 bottles, and the $12 bottles like $25 bottles in comparison to other wines,” says Vanston. Apparently, he’s not the only one who’s noticed. Of the 70% exported, U.S. wine lists and shop shelves have long been one of Chile’s most enthusiastic markets. With 7,758,200 750 ml bottle cases shipped to the U.S. last year, we are second only to the UK in consumption of the Pacific-influenced country’s grapes. But while in the past inexpensive jug wines made from Pais (one of the first grapes planted in Chile during the 16th century by Spanish conquistadores) were the bulk focus of many wineries,

“Chile on the whole over-delivers in quality.” -Mark Vanston, VP sales and marketing, Viña San Pedro

the last 20 years have seen marked change in Chile’s focus—and, ultimately, how seriously it considers itself as a maker of quality wine. While Pais plantings have been on the decline, Cabernet Sauvignon, Merlot, Pinot Vineyard workers take in baskets of hand-harvested grapes Noir, and, most agin the Luis Felipe Edwards Vineyards of Colchagua gressively, Carmenère (which until the 1990s had often been incorrectly labeled as Merlot) and Cabernet Franc, have exploded, and their ultimate balance, varietal expression and overall quality improved by leaps and bounds.

PEST OF LUCK

Change on the Range In addition to investing millions in stateof-the-art-facilities, like Montes’ $6.5 million baby in the Colchagua Valley, Chilean wineries have undergone re-plantings, the switch to French oak barrels for aging, significant development in organic and sustainable farming and terroir-hunting efforts to seek out potential spots for new vineyards. Made up of the Cabernet-heavy Maipo, Rapel, Curico and Maule valleys, the Central Valley is not only the site of Chile’s first vines, but also where the brunt of export-worthy wines have been cultivated. New research and exploration, however, have led to some interesting discoveries further afield in terms of flourishing alternative varietals and new territories upon which to grow them. Spots like the Choapa, Limarí (where Concha y Toro has made exciting progress with Syrah, Chardonnay and Sauvignon Blanc in their 5-year-old Mycas del Limarí vineyard) and

P

hylloxera’s mysterious absence in Chile is thought to be the luck of geography. Its long, slender

green-bean shape runs the length, and then some, of neighboring Argentina with the Andes acting as a natural border to the east, and the Pacific Ocean making a watery truncation to the west. That, coupled with the country’s dry acreage and natural irrigation from the snowy melt of the mountains, has made for not only a phylloxera-free environment, but one that may well have given the country a solid foundation in winemaking. Prosperity in the 19th century led many a Chilean land owner to express their good fortune by modeling wineries around Santiago after the great chateaux of Bordeaux, importing their varietals to make the experience that much more authentic.

Montes’ Colchagua Valley state-of-the-art winery produces over 400,00 gallons of wine annually, and also embraces the Asian philosophy of Feng Shui

Meanwhile, as European vines were ravaged by phylloxera’s devastating wallop, French winemakers who found themselves jobless looked to South America for employment where the thriving, pest-free vineyards of Chile beckoned and they could re-plant their collective expertise in classic vineyard management and winemaking.

TASTING CORNER

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chilean wine selections BINONLINE.NET

All prices are suggested retail.

Q 2008 MAYCAS DEL LIMARÍ RESERVA ESPECIAL SAUVIGNON BLANC, LIMARÍ VALLEY, ($20):The cooling ocean influence typical to the Limarí Valley shows in this crisp, bone-dry Sauvignon Blanc. The herby, lemon-verbena nose has delicate floral undertones, but it bursts onto the palate with a rush of grapefruit, salty, prominent minerality and mouth-watering acidity that begs for a plate of oysters. www.maycasdellimari.com

Vines thrive in the warm, hilly Colchagua Valley

Q 2007 MONTES ALPHA CARMENÈRE, COLCHAGUA VALLEY, ($24): The hue of this inky, alluring Carmenère belies its full nose of black plums and cinnamon. With a year in French oak, easy tannins give gentle but prominent structure to the plush fruit-andclove mouthfeel and pleasant, smoky finish. www.monteswines.com

Q 2007 VIÑA SAN PEDRO CASTILLO DE MOLINA PINOT NOIR, CASABLANCA VALLEY, ($12): Cool, moist foggy mornings give way to dry, sunny days that are the lynch pin to the Casablanca Valley’s great potential for Pinot. Viña San Pedro’s version not only offers value, but beautiful varietal clarity with aromas of cherries, mushrooms, a hint of smoke and crisp, palate-tickling tartness. www.sanpedro.cl

Q 2006 CONCHA Y TORO DON MELCHOR CABERNET SAUVIGNON, PUENTO ALTO, CHILE, ($80): Sweet with aromas of violets and black fruit and an herby-minty edge of eucalyptus, structured tannins act as the palate’s perfect serving dish for this Cab’s juicy blackberries and black plums and heady hints of cinnamon around the edges. www.conchaytoro.com

Q 2007 ERRAZURIZ SINGLE VINEYARD CARMENÈRE, DON MAXIMINO ESTATE, ($25): If there was ever proof that Carmenère can and should stand on its own, this stunning, single-vineyard example from Errazuriz is it, with layers of personality that will only continue to improve over the next 5 to 10 years. The nose is all juicy plums, blackberry and baking spice, with an interesting minty edge. On the palate the initial slow, sultry rush of fruit is tweaked by black tea, a mild salty quality and lovely balancing acidity. www.errazuriz.com

Elqui north of Santiago; San Antonio and Casablanca west of Santiago; and Bío Bío and Malleco to the south are showing great promise with red varietals like Carmenère, Syrah, and even Pinot Noir, and Sauvignon Blanc, Riesling and Gewürztraminer among the whites. “I can’t seem to stop talking about Chile lately. I hadn’t been in about five or six years, but have visited a couple of times in the last six months,” says Sandy Block, MW and VP of beverage for Legal Sea Foods. “I wasn’t aware of how much development there had been in the hillsides, and in the cooler climate and coastal areas north and south of Santiago.” In the same way that Argentina made a name with its Malbec, Carmenère in particular seems to be coming into its own in Chile. Complaints in the past of under-ripeness have given way to vineyard-management adjustments that make this once-minor Bordeaux blending varietal a contender in its own right. “It needs a very, very long growing season,” explains Block, “so in areas where they are now able to ripen the grape into May, sometimes late May, it has made the Carmenère much better.” Retailer Ryan Sciarra, a partner in the popular Kansas City wine shop, CellarRat, agrees. “[Viña] Errazuriz does a single-vineyard Carmenère and it’s absolutely delicious. Until recently, the reds we were getting were so under32

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The United States is second only to the United Kingdom in consumption of exported Chilean wine. ripe—they were green and stemmy and I couldn’t get past it. Now, I’m finding that in the past year or so I’ve tasted more wines from Chile that I’ve fallen in love with. It’s really exciting to see it happen—we’ve expanded our Chile section to the point where it’s doubled in the past six to eigh months.” If you’re a silver-lining kind of person, you might say the economic downturn has created a consumer Renaissance of sorts for this ever-improving region, giving oenophiles the opportunity to taste, discover and ultimately save. “Value is one of the main reasons I started to look at Chile again. I’d always been impressed by the purity of the fruit, but they were a little bit harder to market five years ago,” says Block. “They do represent value, which is definitely in tune with what our customers are looking for now. You just get more bang from your buck with Chile than you would from pretty much anywhere else.” Q 7

Less coin. More medal.

2009 Double Gold Medal San Francisco World Spirits Competition

2008 Gold Medal San Francisco World Spirits Competition

2008 Best In Class International Wine and Spirits Competition

2006 Gold Medal World Beverage Competition

Mist. Make Life More Flavorful.

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For great recipes visit:

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Imported and Bottled by Brown-Forman Beverages, Canadian Whisky, A Blend, 40% Alc. by Volume, Louisville, KY ©2009

CORPORATE PROFILE

2NQA IANE?=J 'JJKR=PKNO With a new organizational structure, and a host of new products in the marketplace, a re-energized Beam Global makes its presence felt. By Kristen Wolfe Bieler

T

here are few companies as busy as Beam Global. While others in the spirits industry are reining in new product development, Beam is doing the exact opposite, hiring new talent and unveiling a number of exciting new products. It is a progressive approach that is working for one of the leading American spirits companies. 34

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“Innovation is a key driver in our business,” says Rachel Roberts, director of new ventures & innovation. “Even in this economic environment, consumers still have very identifiable needs—they still want exciting products that make them feel good about themselves. We want to be at the forefront of the next wave of trends, so we are making an even greater investment in innovation.” Interestingly, this isn’t a new strategy for the company. “The lifeblood of our company has always been new products,” says Tim Condron, group VP national accounts/sales strategy. “It is at the heart of what we do as the great American Spirits

“We want to be at the forefront of the next wave of trends, so we are making an even greater investment in innovation.”

New Flavors from DeKuyper Burst Bar Shots

— Rachel Roberts, director, new ventures & innovation

company.” Beam has a long history as trendsetter, with the creation of the plastic “traveler category,” and also with DeKuyper, when its flavors changed the way people consumed cordials. Peachtree™, introduced in the 1980s, led to the Fuzzy Navel cocktail, while Sour Apple was responsible for the ubiquitous Appletini in the mid-90s. “When you do innovation right, the trade gets energized because they have something exciting and different to talk about with their customers,” says Condron. And their customers agree: “Beam Global has a true understanding of how to build brands as well as the importance of predicting new trends,” says Cindy Busi, director of beverage, Hard Rock Cafe. “They continue to drive innovation and find new ways to get their brands into consumer hands.”

Beam saw the trend towards ready-to-drink cocktails coming down the pike before many others. One of their solutions— DeKuyper Burst Bar Shots— answered the consumer call in a hassle-free, timely, wellpriced way, hitting the market in August 2008. In the wake of that success, DeKuyper has released three more flavors: Lemon Drop, Alabama Slammer and Sex on the Beach. “These are major shots that consumers love, and it takes away the complication of having multiple ingredients to create them,” Roberts explains. “It provides people with an economic way to enjoy their favorite cocktails.” They might seem more suited for off-premise, but many bars are now serving them: “Some on-premise accounts don’t have the high volume or capacity to make a number of diverse shots, so we tested these specifically against a fresh-made bar shot, and these outperform them,” says Roberts.

Sauza margaritas go inside-the-Box What do you get when you combine the world’s most ordered cocktail with the number two premium tequila in the world and put it in an innovative, super-convenient package? The answer is Sauza’s new Margarita-in-a-Box, and it is such a good idea, it’s amazing that no one thought of it before. “Home entertaining is increasing right now, but consumers are still very nervous about making cocktails because they are not experienced and they fear they will get the proportions wrong,” says Roberts. “Margarita-in-a-Box meets two needs: It delivers a great-tasting product that is hassle-free and on tap whenever you need it.” Made with lime juice, Sauza Blanco Tequila, triple sec and Margarita mix, Margaritain-a-Box hit the market in May in a 1.75L box size—the equivalent of 15 drinks—for the suggested retail price of $17.99, and consumers have quickly embraced the new format for picnics, BBQs and home entertaining. “We’ve found that consumers love that it has no excessive packaging, it’s portable and fits right in the refrigerator,” Roberts adds.

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Beam’s Answer to the Ultra-Premium Rye Craze: (r-I )1 Bucking the trend of some other spirit categories, American whiskey is booming right now. Condron chalks this up to the fact that “it is America’s spirit—it is true, honest and made by Americans. Consumers are gravitating to that right now.” The category segment creating perhaps the most excitement right now is rye, and last October, Beam released their ultra-premium offering—(rĦ)1 (pronounced “rye one”). While true to its traditional whiskey heritage, (rĦ)1 is also cutting-edge and contemporary, designed to appeal to taste makers and top bartenders. “We wanted to give the consumer something really unique here, so we gambled a little bit with the non-traditional package,” says Condron. “It has been incredibly well-received in the marketplace.” The 92-proof spirit sells for a suggested retail of $49.99 and offers a spicier taste profile, which Condron believes makes for a better Sidecar and Manhattan.

“When you do innovation right, the trade gets energized because they have something exciting and different to talk about with — Tim Condron, their customers.” group VP, national accounts/sales strategy

Roberts is adamant that Beam isn’t prioritizing innovation for its own sake—each line extension and new product is firmly rooted in research, and aimed to answer a very specific consumer need. With a combination of focus groups, demographic studies and market analysis, Beam’s research team is able to pinpoint voids in the marketplace where there are opportunities. For example, the recently released Sauza Margarita-ina-Box (see sidebar) was born out of feedback the company was receiving from primarily female consumers who wanted to drink cocktails at home, but lacked the confidence or knowhow to create them on their own. Beam was also ready for the consumer shift towards home entertaining with DeKuyper Burst Bar Shots, a line of popular ready-to-drink bar shots (see sidebar). “They offer a hassle-free, inexpensive way to enjoy bar shots at

home, and our sales show that consumers are really looking for options like this right now,” says Condron. Beam’s significant reorganization last fall—under the BeAmerica platform—enables them to get these new products to market in a more efficient and effective way. “We restructured because we wanted to be better, smarter and faster at what we do,” says Condron. “Our new organization gives us a key strategic advantage: it allows us to spend more time with our retail partners.” With a new leadership team in place, a sales force dedicated entirely to the Beam Global brands, and distributor alliances which strengthen the company’s route to market, the BeAmerica structure “enables us to deliver smarter initiatives to our customers and work directly with our sales force, bringing them in as key consultants on the projects we are developing,” Roberts adds. Q

Bourbon and Black Cherry:—Marriage Made in Heaven Red Stag, the new black cherry-infused bourbon by Jim Beam, is currently a category of one. Rolling out this summer, there is simply nothing else quite like it in the market. “Red Stag is all about celebrating one of the things that we are great at—creating fantastic bourbon,” says Roberts. “This is why we refused to dilute it in any way—it is an 80-proof spirit made with four-year-old Jim Beam Bourbon. As the leading bourbon company, we should be at the forefront of innovation in this category. Besides, black cherry and bourbon were made to go together,” she adds. Designed to be great tasting on its own, and when mixed with cola—“a combination that is still a huge part of many consumers’ repertoires,”

shares Roberts—Red Stag was created to target American whiskey drinkers. Yet it has simultaneously pulled in a new group of consumers. “Many consumers who are daunted by the whiskey category find Red Stag approachable. While we haven’t belittled bourbon in any way, Red Stag gives these new consumers the confidence to experiment with bourbon,” adds Roberts. Cindy Busi, director of beverages for the Hard Rock Café chain, has found this to be true in her establishments: “I think this product is extremely unique in that it will open up an entire new category for consumers. In our sampling, the feedback has been outstanding— many people who stated that they were not bourbon fans are now raving about it.”

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e’re living in times where old preconceptions surrounding familiar spirits are falling away. This is particularly true for the Bourbon category. Not too long ago, when people thought of Bourbon, what often came to mind were images of Southern Gentlemen, plantations, rustic cabins and a men’s only drinking experience. If you want to see just how much times have changed, however, all you have to do is check out cocktail menus of bars throughout California to see just how much the paradigm has shifted. On the production front, as some distillers have folded or have been acquired by larger firms, many small-batch Bourbons have become increasingly rare. While this and economy-driven reduced budgets have tempered the desire of some firms to promote and advertise, this situation presents a silver—or bronze—lining: rare, hard-tofind Bourbons raising the bar of the entire category. Enterprising distillers are realizing that there is now a growing place for Bourbon in the connoisseur market. Furthermore, there is also the trend of what’s old being shining and new again. Mixologists, who have played a role in rethinking Bourbon, are leading people towards rediscovering and reinventing the cocktails that made the spirits popular in the first place.

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Photo courtesy of: Tuthilltown Spirits Farm Distillery – Gardiner, NY

BROWN IS THE NEW GOLD Bourbon & American Brown Spirits are gaining a new patina of status and respect, even under challenging economic and production conditions. By Elyse Glickman

A SIP IN TIME In challenging economic times, fashion and lifestyle trends lean in a nostalgic direction. Given the fact that Bourbon can be presented as Americana in a bottle or glass, it is no surprise that what’s old and familiar has become new again. Paige Guzman, Whiskey Category Leader for Jim Beam’s Bourbon Brands (including Jim Beam, Knob Creek, Red Stag and many of its small batch bourbons), will attest the appeal of her catalogue rests in the fact that people are not only reaching for old favorites, but also finding new ways to enjoy them and introduce them to non-traditional bourbon audiences. While her colleague, Daniel Deephouse, who manages Maker’s Mark for Beam on the West Coast, draws attention to the fact that his brand from its inception always sought ways to

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BOURBON

Enjoy your bourbon responsibly. Woodford Reserve Distiller’s Select Kentucky Straight Bourbon Whiskey. 45.2% Alc. by Vol., The Woodford Reserve Distillery, Versailles, KY ©2009.

CATEGORY FOCUS

bring the past and present together in its appeal. “The first barrels of what we now know to be Maker’s Mark were distilled in the early 1950s, and the first bottles to be commercially sold were so in 1958,” says Deephouse. “When he first got into bourbon-making post Prohibition, Maker’s Mark founder Bill Samuels Senior burnt the old Family recipe in 1943 that had been used to make their whisky since 1783. He did this to symbolize that he wanted to start from scratch, and to find out what was the best way to make a bourbon that would appeal to a wide audience.” “From a marketing perspective we’re lucky with Woodford Reserve; craftsmanship is inherent to the brand throughout the process,” adds Laura Petry, Brand Manager of Woodford Reserve. “Our National Landmark distillery in Versailles, Kentucky is the brand’s showcase, and master distiller Chris Morris is the most knowledgeable in the business. So we believe artisanal production is in the brand’s DNA.” While some bourbons and brown spirits have come down through American history, A.H. Hirsch Bourbon, in effect, is now history. Henry Preiss, meanwhile, is now focused on keeping its memory and legacy alive, according to Steven Fox, National Sales Manager at Preiss Imports. “The original lot of Hirsch is now sold out, except for the bottles that are left which we are now offering in commemorative edition gift packages, retailing for $1,200,” says Fox. “Each bottle comes with a scroll of authenticity and is encased in a mahogany humidor-type box with the Hirsch brand etched on the glass window artistically. The bottle itself is in an artisanal, custom handblown glass bottle finished with a hand cast T-cork and a refinished unique parchment style label. The last 1000 bottles that will be labeled as the original under A.H. Hirsch Reserve.” The original A.H. Hirsch Bourbon Reserve was made by Adolph Hirsch back in 1974 at Michter’s Distillery in Schaefferstown, Pennsylvania. This facility was one of the first licensed distillers in America and the place where President George Washington bought his corn whiskey. In 1860, the distillery was purchased by Abe Bomberger, whose family kept the facility operational with rye whiskey until Prohibition. Michter’s Distillery got a new lease on life in 1950 when new owner Louis Forman discovered its historic records from Abe Bomberger’s time of ownership and the methods once used to produce whiskey. He decided to install a pot still, and hired Charles Everett Beam (direct descendant of Jacob Beam) as master distiller to create a fine bourbon with no expenses spared. In 1956, Adolf H. Hirsch, a former executive of the Schenley Co., bought some aged stocks of the whiskey and marketed it under the A.H. Hirsch label, and the classic pot still bourbon was long ago transferred to stainless steel tanks to keep it from ageing further. “While Preiss Imports keeps the historic brand alive, this extraordinary spirit exists on borrowed time,” continues Fox. “(We) realized that the limited amount of bourbon remaining it would inevitably sell out one day, (especially as) bourbon enthusiasts are now very familiar with the Hirsch label. Years ago, when we applied for the trademark rights and copyrights, we also trademarked our lot under ‘Hirsch Selection.’ By doing that, we becoming a merchant bottler—a com42

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BROWN IS THE NEW DELICIOUS MEDITERRANEAN MANHATTAN products with proven quality, and bartenders are earning consumers’ business by making flavorful, classic cocktails. If we provide the right material and drink concepts that support the accounts, we think Woodford Reserve can continue to outpace the category. During this economic time, as the focus shifts to increased consumption at home compared to a bar or restaurant, we’re creating sales pieces that educate the consumer on our diverse flavor profile and providing creative and classic recipes they can try at home.” As Makers Mark’s Deephouse sees it, SHAKIN’ TO THE OLDIES… mixology is a major reason why its continND MIXING TO A NEW BEAT ued success is consumer driven and supportThough bourbon and brown spirits are often ed by the bartenders who serve them. “We visualized as something a real man enjoys have various brand ambassadors, including neat or over ice, with the optional cigar or mixologists, whom we educate, give them fireplace, spirits in this category have been an opportunity to have their name put on a enjoyed in cocktails since their first botbarrel and tell them how to reach out to tling. As mixologists study the teachings of consumers. However, what is most amazing Jerry Thomas, revive old cocktails or look about Maker’s Mark is that this spirit has for alternative spirits to vodka on which to always has been about the taste. This has build new cocktails, Bourbon is being seen always shifted people’s paradigm about in a fresh new light. bourbon by showing through the flavor that According to Woodford Reserve’s Petry, you can have a fine tasting bourbon.” mixology and foodie trends have provided Deephouse also points out that because brands across the board an opportunity to Makers Mark does not have a bite like other introduce new consumers to the bourbon bourbons, as well as a smooth front-forward franchise. Woodford Reserve’s new followfinish, it has been regarded as ‘the bartender’s ers have discovered it through creative bourbon since its launch. Though people on cocktails as well as classics like the both sides of the bar are discovering classic Manhattan and Old Fashioned. cocktails, those chestnuts, in turn, are inspir“In the on-premise we’re focusing on ing some new and innovative ideas. the bigger trends,” she says. “The bourbon “We want consumers to know they can market is growing, consumers are seeking enjoy it anyway they wish, whether as part of a cocktail or on its own,” Woodford Reserve Manhattan he continues. “Consequently, we are inundated with recipes from around the world not only from our brand ambassadors and other mixologists, but from restaurateurs whose chefs use it in their cooking, and general fans as well. We are conscious of people’s response to Maker’s Mark, and are always here for them.” Beam’s Guzman also notes that the current Mixology movement had a very positive effect on American brown spirits and the

mon practice among Scottish distillers— meaning that we outsource whiskey from a variety of sources because we are no longer able to get whiskey from the original source anymore. We have been sourcing North American whiskeys from Canada and the US, and producing whiskeys of good quality in keeping with what A.H. Hirsch set out to accomplish. For example, we have Old Illinois 20, which is still available and retails for $89.99 a bottle, from a historic Illinois distillery.”

2 oz. Woodford Reserve 1 oz. Tuaca liqueur 1/4 oz. fresh lemon juice 1/2 oz. simple syrup Shake/Strain/Up. Garnish: Twist of lemon.

FRENCH MANHATTAN 2 oz. Woodford Reserve 1 oz. Chambord liqueur 1/2 oz. sweet vermouth Shake/Strain/Up. Garnish: Twist of lemon.

MANHATTAN 2 oz. Woodford Reserve 1 oz. sweet vermouth 1 dash Angostura bitters 1 dash Peychaud’s bitters Splash of cherry juice Shake/Strain/Up. Garnish: Maraschino Cherry.

JANE CONNOR'S MINT JULEP 1 part Maker's Mark 1 1/2 oz Fresh Grapefruit juice 1 oz Honey Water (Simple Syrup made with Honey instead of sugar, 1:1 ratio) 3 mint leaves Shake/Strain/Rocks. Garnish: Mint Sprig.

MANILLA PUNCH 2 parts Maker's Mark 3/4 part dry vermouth 1 1/2 oz. fresh organic pineapple juice 1 1/2 oz. ginger beer Shake/Strain/Rocks. Top with ginger beer. Garnish: Candied Ginger & Pineapple.

THE CATTAIL 2 parts Maker's Mark 2 parts DeKuyper's Hazelnut Bliss 1 part Ginger Ale Delicious shaken or stirred.

THE MAKER'S MARK MANHATTAN 1.5 parts Maker's Mark .5 parts sweet vermouth (we recommend you try Carpano) 1 teaspoon of maraschino cherry juice Shake/Strain/Up. Garnish: Maraschino Cherry.

THE MUDDLED CREEK 2 parts Knob Creek Bourbon Ginger ale, to taste Splash of triple sec Muddled orange slice Combine/Rocks. Garnish: Orange Slice.

(Ri)1 offers consumers recipe books and cards to give them inspiration when they host their cocktail party at home.

brands, different companies take a variety of tactics in addressing the problem. Some take a path of least resistance—by letting the shortage speak to the quality of their product—while others are making light of the situation and finding other ways to keep their loyal consumers content. According to Guzman, Beam’s Knob Creek is the brand that just may have set the whole Bourbon shortage rumor off. When the company ran low on cases recently, the marketing department openly embraced the situation of supply not meeting demand. “Because we are not willing to lower our standards or years of aging to produce more product and compromise the integrity of Knob Creek, we won’t be able to bottle until November,” she notes. “We’ve put together a trade and consumer ad campaign with the title ‘Thanks for Nothing’ Through this campaign, we’re letting trade and consumers know that nothing will change about the way Knob Creek will be made, and thanking them for the fact that we have run out of our own bourbon. This truly shows we’re putting out a product we really stand behind.” Over at Makers Mark, Deephouse expresses that for him, the most interesting challenge about the bourbon shortage from his brand’s standpoint is that maintaining supplies is very difficult because the way it is made is very artisanal, and very hands-on from start to finish. “We don’t trade our bourbon, unlike some other bourbon houses,” Deephouse affirms. “What we make today will be ready to use in six years. We experienced a shortage last year, so we took pains this year to ensure that we would have enough supply to

entire Beam portfolio. “People are getting creative with bourbon in ways that they had not before. We have seen everything from the return of classic cocktails such as the Old Fashioned and the Manhattan to original recipes using all kinds of non-traditional ingredients mixed with bourbon. We are also seeing savory spice being added to cocktails with garnishes such as jalapeno, and basil. Boulevard in San Francisco has created a cocktail with chili peppers, bringing together the sweetness and bite of bourbon and the heat from the chilis.” Even with all that innovation on-premise, Guzman acknowledges the economydriven shift from on-premise to off-premise is prompting consumers to develop their own mixology skills and signature cocktails for their home entertaining. Beam has responded to that demand by offering consumers recipe books and cards to give them inspiration when they host their old cocktail party at home. The situation has also fueled interest in the newer brands in the portfolio. “We recognize that flavored spirits were becoming popular in every category, and that consumers are embracing the flavored spirits as more modern and contemporary,” says Guzman. “One reason why we developed Red Stag was to tap into that movement, and since its introduction, it is already an early success.”

DRY BARRELS… Serious bourbon enthusiasts who enjoy this brown gold for their own sake have been buzzing about recent bourbon shortages within a number of brands. While scarcity has upped the cache of many bourbon 44

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meet demand. One thing that has made our bourbon so special and desired by consumers, nevertheless, is the fact that it is a handmade product. Furthermore, our consumers are our friends, and we treat them that way consistently. Just because we had a spike in popularity does not mean we’re going to boost our prices excessively. You just would not do that to a friend. We still work within those Kentucky values established by the family, to be inclusive in many ways.” While the days are certainly numbered for original A.H. Hirsch Reserve bottles, Preiss Imports’ Fox notes that the products carrying on the brand’s legacy need to be watched carefully. “We have a Hirsch Small Batch Reserve Bourbon selection which retails for $30 a bottle, and we rarely get 2000 to 3000 cases right now per year, so bourbon is generally very hard to come by,” Fox says. “There is now a shortage. How long it will last, I do not know. Because there is a continuing consolidation of bourbon distilleries, which has been going on many years now, that has

Knob Creek barrels.

7

A rack house at Jim Beam distillery.

also cut into production and created a shortage. However, I see this as an opportunity that will allow Hirsch in its new incarnation to continue to grow. People like the quality of what we’re doing. As far as advertising goes, because we are selling every single drop of the product as soon as it comes in, we do a minimal amount of specialized advertising since these are small batch, lowyielding products.” “The bourbon market is so well covered that we really don’t go after the collectors anymore, and we’re now starting to reach general audiences,” continues Fox. “We are supposed to have another 1000 cases going out this week that will probably sell out very quickly.” There are other brand reps, still, who could argue that there is no shortage, based on good planning and preparedness. “One or two brands are experiencing shortages, which happens on occasion,” says Petry. “However, the category trend has increased only slightly and most distillers were prepared, including Woodford Reserve. We will continue to do as we always have, promote the brand on its merits and seek ways to connect with consumers.”

…AND WHETTED APPETITES Guzman notes that Jim Beam has always been marketed to men 21-29 years old. However, other brands in the portfolio are being groomed for crossover into to other groups and demographics. “Red Stag was made for a customer that may not be a traditional whiskey consumer, and the flavor profile appeals to a broader audience,” she explains. “With Basil Hayden, we have done quite a bit of marketing for it in the Gay community in Chicago and Seattle, promoting it as a bourbon that is highly mixable with champagne (“The Basil Bubbly”) or an apple cider drink. We have also partnered with Out magazine to help legitimize our marketing strategy with those consumers. Asian American and Asian markets, meanwhile, like our higher proof products and higher aging.” Guzman notes that their major branding platforms and our relationships with distributors, and on and off premise clientele will continue its growth trajectory in 2010. Jim Beam will be back on television starting this holiday season, in light of a successful

campaign on ESPN during the 2009 NBA Finals. The key advertising campaign centers around “Guys Never Change,” playing upon the selling point that as guys (our consumers) never change, neither does Jim Beam. Tag lines include, “Columbus did not ask for directions.” and images of guys playing air guitar and doing other guy things, conveying that the brand has been with consumers throughout their adult lives and will always be there…and some things are not supposed to be messed with.

WHY SMALL IS THE NEXT BIG THING Though Jim Beam is undeniably a giant, Guzman draws attention to the small batch products in its portfolio, thereby acknowledging the increasingly huge demand for small batch products. “When it comes to an artisanal focus, you just need to look at our small batch bourbon collection (including Basil Hayden, Knob Creek, Baker’s and Booker’s) which come off the still at a higher proof, age longer, and are aged in special places in our rack house,” she says. Although Maker’s Mark is a major national brand, Deephouse insists they operate with an independent spirit. “We handselect the grain and make only 90 barrel batches at a time,” he says. “We are the only whisky house in the States that rotates our barrels, which is a time consuming and expensive process, but guarantees quality will be consistent in every bottle. Every barrel is checked at least five times during the maturation process so when can see when it is the right time to move the barrel to another part of the barrel house or ready to bottle. Every bottle is hand labeled and hand cut on

a Victorian press, and the font is based on Mr. Samuels’ writing. We use the original distillery, which is one of the oldest operating bourbon distillery in the U.S.” On the opposite side of the spectrum, Preiss’ Fox is a believer that smaller is definitely better. “We don’t have to make up some big romantic story behind the bourbon that many (corporate brands) do because the product speaks for itself,” he states. “The original Hirsch has its own built-in history, while the Hirsch Select products have their own story as they are made from corn whiskey, which is what our American forefathers drank. We are the only company out there offering this kind of corn whiskey, because we found good companies that could source this interesting offering. We are also the first company to go outside the mainstream image of Bourbon to offer unique products that in effect are the story.

KNOB CREEK BOURBON EGGNOG 6 large egg yolks ¾ cup sugar 2 ½ cups milk ½ cup Knob Creek Bourbon 1 teaspoon vanilla ¼ teaspoon nutmeg Beat egg yolks and sugar in medium saucepan. Slowly beat in 2 cups of the milk. Cook over medium heat, stirring frequently, until thermometer registers 150°F or mixture coats the back of the metal spoon. Remove from heat. Strain into pitcher. Stir in remaining milk, Knob Creek Bourbon, vanilla and nutmeg. Cover and chill at least 8 hours or overnight. Sprinkle with additional nutmeg. Makes 6-8 servings.

LANCASTER ON HUDSON 2 oz Baby Bourbon 2 drops, LUCID absinthe 1 Teaspoon Bauman's unsweetened spice and Sassafras Apple Butter ¾ oz Pure NY State Grade A Maple Syrup 1 oz, Fresh lemon juice. Shake/Strain/Rocks. Garnish: Fresh apple slice dusted lightly with fennel pollen, if available.

SUZETTE 1 1/2 oz. Hudson Four Grain bourbon 1/2 oz. Sortilège maple liqueur 1/4 oz. Combier orange liqueur 1 dash Bitter Truth orange bitters Shake/Strain/Up. Garnish: Orange Peel.

BUCK SHOT Shake equal parts Red Stag and Jagermeister ice cold into a shot glass

DOE NUT 2.5 oz. Red Stag ¼ oz. Almond Liqueur ¼ oz. Vanilla Rum or Liqueur Shake/Strain/Up.

DOE NUT ½ part (rī)1 Whiskey ½ part lemon juice Shake/Strain/Rocks.

(RI)1 RISING SUN ½ part (rī)1 Whiskey ½ part lemon juice Shake/Strain/Rocks.

(RI)1 CLOVE & OAK 1½ parts (rī)1 Whiskey ½ part Allspice Dram ½ part freshly squeezed lemon juice 1½ parts cloudy apple cider ½ part simple syrup Shake/Strain/Up. Garnish: Apples slices.

cial bourbon of the Kentucky Derby, with new twists to the collectible Kentucky Derby bottle and the $1,000 Mint Julep program arriving in 2010. Small producers, in some cases, are actively looking to expand the category. According to Ralph Erenzo, of Tuthilltown Spirits Farm Distillery in Gardiner, NY, increased popularity of small batch products has generated a movement among producers to bring the sub category of “New American Whiskey” into the fold. “The future of American Whiskey is no longer in the hands of the big alcohol producers,” says Erenzo. “It is shifting to the small independent producers of specialty spirits. Together with the nation’s micro distillers, we are carving out a new niche, one that was sealed up when Prohibition took effect. Since the early part of the 20th century there has been no small distilling industry. But that Phoenix is rising.”

We also have an advantage over big companies in that those big companies do not have the time to market something that is limited to 500 or 1000 cases.” From the Woodford Reserve standpoint, Bourbon’s versatility and the breadth of marketing activity by specific brands allows it to appeal to a diverse population. “Some brands promote heavily to young adults while others seek an older demographic,” observes Petry. “Some tout their smooth, light flavor to attract the uninitiated and others pursue minorities through specific lifestyle programs. This isn’t really new, though brands are evolving their strategies in these more trying times. We’re not marketing to a specific demographic group. Instead, we’re trying to connect with consumers who most appreciate our story of authenticity, quality and fullness of flavor. And while our message doesn’t change our plan will. We’re looking at exciting new ways to connect with consumers and bartenders in the on-premise, still a critical place to build a brand’s awareness and of course trial.” Petry advises retailers and restaurateurs to keep eyes peeled for more activity around the brand’s mixability through creative and classic cocktails, unique partner programs and special offerings like Woodford Reserve’s Master’s Collection (comprised of one-time bottlings of unique, special-production whiskeys). Woodford Reserve also remains the offi46

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A TOAST TO A HIGHWAYMAN Though bourbon and other American brown spirits brands are bringing together the old (historic brands) and the new (the influence of Mixologists and the artisanal trend) together to generate interest among both traditional and non-traditional bourbon buyers, there are some unique brands betting on a tactic that a name can not only say it all, but sell it all. This is certainly the case with Old 7

CATEGORY FOCUS Whisky River in tandem with Willie Nelson’s image, promoting it at his concerts and use the affinity people have with Willie’s iconic status to market the brand. He also notes that the brand has enjoyed visibility at regional Barbeque cook-off events in the Southeast and Southwest that “follow the NASCAR/country music track.” However, just as Nelson’s music had enjoyed crossover appeal to other audience, the bourbon bearing his name is attracting fans from all walks of life. “Willie will be autographing guitars for prizes for BBQ festivals, and it should be noted sponsorship positions with these events in turn has had very good results with on-premise and retailers within those regions,” says Kenny. “That said, it is important to note we’ve done extremely well in urban markets. One of our strongest sales areas is in Brooklyn, NY. This can be credited in part to the fact that our reps in that area were confident that this product would sell well there. Old Whisky River has become a brand that’s fashionable among consumers beyond the traditional bourbon buying group.” One thing that Pleasing Patrons and Bartenders Kenny has in common since 1780 with the other brand representatives is that he too has observed that the scope of the market and number of people willing to try bourbon is expanding. While he says that Old Whisky River, a sixyear old bourbon sold at a fair price point ($19-23/bottle), succeeds in exceeding customers’ expectations, bourbons and brown spirits across the board--at all price points and from the small artisanal producers to the most recognizable names--have Laird’s 7 1/2 Yr. Old Apple Brandy - 40% ABL endeavored to do the Laird’s Applejack - 40% ABL same by tapping into Laird’s 12 Yr. Old Apple Brandy - 44% ABL Americana and strikLaird’s Apple Brandy 100 - 50% ABL ing a collective nerve in the process. I (732) 542-0312 www.lairdandcompany.com

Whisky River, also known as Willie Nelson Bourbon. While the bottle bears the hallmarks of this American music icon, what’s inside is as reflective of its namesake as well. While parent company Heaven Hill produces other bourbons and brown spirits that benefit from the influence of mixology or play well with foodies, this brand stands alone. In other words, just as Willie Nelson enjoys his bourbon, slightly smoky and served over ice, the product bearing his name is made to be appreciated on its own. “This product was put together by Willie himself, a long-time Bourbon enthusiast,” notes Patrick Kenny, the brand’s spokesperson, at Drinks Americas. “(What makes this brand) artisanal is that Willie Nelson himself was involved, and worked with the distiller to have it made exactly the way he likes bourbon. According to Kenny, Drinks Americas bought the distribution rights and a portion of ownership in this brand from Willie and his business partner three and a half years ago. Since then, and continuing into 2010, he says his company will continue to market Old

Please drink responsibly. 48

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Jumpin’ Jack Flash! Laird’s Apple Jack may be a centuries’ old piece of Americana, but it is inspiring fresh cocktail trends among existing fans, mixologists and young consumers. At Tales of the Cocktail, uniting the old with the new was the thematic element that tied the festival together. Educational seminars were themed along the lines of, “Not Your Grand-Pappy’s Drink Anymore” and “American Whiskey Legends,” making it clear the appeal of American brown spirits are becoming more inclusive, universal and upscale. Many of the tasting rooms—including Laird’s Apple Jack—followed suit with cocktails that quite frankly, could give “Sex and the City” cosmos a run for their money in terms of substance and style. “Laird’s Apple Jack is the oldest native distilled brown spirit in America, and you cannot get more authentic than something like Apple Jack,” asserts Lisa Laird Dunne, who spearheads the company’s marketing. “This ties in to the movement toward the classic cocktail and their search for authentic ingredients. Though we do not do much marketing (in terms of signage or point of purchase displays), we put much of our resources into our brand ambassadors—mixologists around the U.S. that have supported our products. They not only have a passion for Apple Jack itself but also a respect for its history and the fact that it has survived many ups and downs over the years since 1780, including Prohibition and fluctuations in the economy.” Though Laird’s Apple Jack has been a staple for spirits connoisseurs and seasoned bartenders since its founding, Lisa Laird Dunne notes that back in 1999, the emerging classic cocktail trend prompted the still family-owned company to visit their back catalogue for pre-Prohibition inspiration. The result was The Laird’s Bonded, an artisanal higher end variation of the spirit made in small batches that represents classic, straight apple brandy, and later, Laird’s 12 Year-Old spirit, distilled from hand-picked ingredients, hand-

bottled and hand-labeled. “The mixology craze can be seen as a move back toward the roots of bartending,” observes Laird Dunne. “It has been phenomenal for both Laird’s Apple Jack and Laird’s Bonded products because today’s bartenders are looking for authentic, historic ingredients that were first used in the creation of classic cocktails. Because consumers are going to our accounts and tasting these wonderful cocktails with fresh ingredients, they are realizing there are many more ways to enjoy brown spirits than just on the rocks or with a splash of water. They add great depth and character to a cocktail.” As Lisa Laird-Dunne sees it, it is best not to target their product towards any particular group or segment because there is already such a wide range of consumers and mixologists who seek our and appreciate Apple Jack. “We are supporting our brand ambassadors and by doing events such as Tales of the Cocktail, we are trying to gear our events and recipes towards consumers and mixologists interested in this kind of brown spirit,” says Laird-Dunne. Although Laird’s Apple Jack has been in the California market for many years, she credits noted mixologist such as H. in San Francisco and Eric Alperin of The Varnish in L.A. for drumming up greater demand. She also notes the company’s successful Lightening Strikes Tour will be announcing dates on the West Coast in 2010. “We are working with Chad Solomon and Christy Pope with a touring program that is interactive in nature, covering the history of classic cocktails and Laird’s involvement and showing attendees how versatile Lairds is in a variety of cocktails from the classics to some of their own new creations,” she details. “Attendees then have the opportunity to get behind the bar and create their own Laird’s inventions.” I

HOW DO YOU LIKE THEM APPLES? JACK ROSE 2 oz. Laird’s Applejack 3/4 oz. Freshly Squeezed Lemon Juice 1/2 oz. Pomegranate Grenadine Shake/Strain/Up. Garnish: Apple Slice

SCOBEYVILLE 2 oz. Laird’s Applejack 3/4 oz. Bianco Vermouth 1/4 oz. Luxardo Maraschino 1/4 oz. Campari Stir/Strain/Up. Garnish: None

LADY LAIRD 2 oz. Laird’s Applejack 1/2 oz. Cointreau 1/2 oz. Simple Syrup 3/4 oz. Freshly Squeezed Lemon Juice 1 Egg White (or) 3/4 oz. Pasteurized Egg White 4 Sage Leaves Muddle/Shake/Strain/Up. Garnish: Sage Leaf Float

LIGHTNING BOLT 2 oz. Laird’s 100° Apple Brandy 1/4 oz. Simple Syrup 1 Dash Angostura Bitters 1 Dash Peychaud Bitters 1/4 oz. Absinthe (rinse glass and discard excess) Stir/Strain/Rocks. Garnish: Lemon Peel

JUMPIN' JACK 1 1/2 oz. Laird’s Applejack 1 oz. Chilled Espresso 1/2 oz. Cinnamon Syrup Stir/Strain/Up. Garnish: Heavy Cream Float

JOHNNY APPLE SLING 2 oz. Laird’s Applejack 1/2 oz. Velvet Falernum 1/2 oz. Simple Syrup 3/4 oz. Freshly Squeezed Lemon Juice 1 Dash Angostura Bitters Top with Club Soda Shake/Strain/Rocks. Garnish: Apple Slice

BRAND PROFILE

SOCO… So Good Southern Comfort leads a new pack of Ready-to-Drink cocktails that go beyond instant gratification to reach new levels of style and sophistication. for Southern Comfort. “Younger consumers around 25 are familiar with (Southern Comfort) as a shot, perhaps served with lime. However, the average consumer or household is not quite sure how to use Southern Comfort beyond the shot. For offpremise, these products represent a breakthrough in overcoming that limitation for individuals as well as larger on-premise accounts. It shows them Southern Comfort can be used in whisky cocktails (as in the Southern Comfort Sweet Tea), it can used in rum cocktails (like the Southern Comfort Hurricane). Our objective is to get consumers to think of Southern Comfort in a whole new context.”

F

rom the 1960s forward, all the recreational drinker, home hostess or high volume bartender wanted something pretty good really fast. There were plenty of Bloody Mary, Mai Tai and Margarita mixes lining supermarket and liquor store shelves produced to address the growing demand for fun in a bottle. In the 21st century, however, professionals and savvy consumers are demanding a lot more from instant gratification. Enter the new generation of Ready-to-Drink cocktails, or RTDs. Purista, a line developed by mixologists, raises the bar on the old “just add liquor” mixer format to meet more particular expectations. Shot-Pak taps into a fun mix of package design and high profile appearances at celebrity parties (such as a pre-BET Awards gifting suite). Charbay Winery & Distillery draws upon its Napa foodie cache to lure its audience to its new just-add-ice-and impress Green Tea and Pomegranate cocktails. Southern Comfort, meanwhile, has just launched Southern Comfort Sweet Tea Cocktail and Southern Comfort Hurricane Cocktail ($19.99), which capitalize on SoCo’s consumer name recognition and long-standing reputation among bartenders. When combined with a favorite spirit, these RTDs endeavor to bring one’s favorite bar or restaurant into the living room or back yard. In-house master mixologist Tim Laird was even involved, grooming SoCo’s latest additions for stardom and speed without compromising on quality. “This is a fantastic opportunity for the Southern Comfort brand,” notes Jay Finnigan, U.S. Brand Management Director 50

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“Our objective is to get consumers to think of Southern Comfort in a whole new context.” – Jay Finnigan, U.S. Brand Management Director

According to Finnegan, Southern Comfort’s recipe for RTD success is an ounce of the current economy, two ounces of the home entertaining/cocooning trend and a dash to reconcile the popularity of upscale cocktail creations with the needs of high volume accounts. “Palates are more fine-tuned and consumers are sending the message they want to keep it real when it comes to cocktails,” says 7

Finnegan. “They’ve become so familiar with the farm-to-table and fresh fruit-muddle bar approach that anything that tastes artificial will simply not do. Though the same people that frequented trendy bars are now doing their entertaining at home, their paradigm has shifted. It’s not enough to serve a lot of drinks fast. Those drinks have to be comparable to what they’ve gone out for in the past.” On premise, while the Southern Comfort shot with lime introduces many people to the brand, Finnegan says that the new RTD’s deliver the added capability of getting Southern Comfort back into the hands of bartenders, and inspiring them to replace other spirits like rum with Southern Comfort when reinventing old recipes such as a Manhattan, Mojito or Old Fashioned. As a result, not only do these cocktails become trendy again, but it becomes part of the process of updating cocktails on a regular basis. “It is important to note that while our Southern Comfort Sweet Tea Cocktail and Southern Comfort Hurricane Cocktail are becoming hits on the home front, there are plenty of great opportunities for on-premise success, especially in places that do high volume, or times of year such as the Holidays where quality of the drinks is just as important as being sure there are enough drinks to go around,” affirms Finnegan. “High volume bars such as those on Bourbon Street in New Orleans, as well as San Diego, Los Angeles and other cities around the U.S. are ideal for special parties or promotions, especially as they guarantee bartenders will make a perfect drink every time.” I

BRAND PROFILE

Keep on Walking

1909 1920 1930

Johnnie Walker Black Label Celebrates 100 Years of Innovation and Sets the Stage for 100 More

1950

1970

By Alia Akkam

2009

O

It is the quality blend Alexander Walker perfected that Kleinman believes underscores the excellence and widespread popularity of Johnnie Walker Black Label. “Each individual bottle of Johnnie Walker Black Label is the result of decades of planning. Every sip is the product of the rich heritage and skill of the Johnnie Walker Master Blenders, as they select from up to 40 whiskies from over 700 casks. Johnnie Walker Black Label has stood the test of time and remains the cornerstone of the Walker portfolio,” he explains.

ne of the world’s most iconic liquor brands, and the number one blended Scotch whisky, Johnnie Walker Black Label, traces its roots back to an inventive grocer in Kilamarnock, Scotland, nearly 200 years ago. Today, the famous whisky is sold in over 120 countries, alongside its family of blends from the House of Walker. And what has sustained the brand’s popularity through the years? Quality. “The art of blending is the hallmark of the Johnnie Walker brand. The signature blending style used today is the same as it was in the 1900s when Walker was a family-run business,” notes Dan Kleinman, marketing director of Scotch whisky for Diageo. “The slanted label and the iconic ‘Striding Man’ logo have been emblazoned on the Black Label bottles since its inception.”

The Iconic Bottle George Walker traveled the globe establishing international distribution networks that helped propel the collection of Walker whiskies into a pioneering brand across the world. In addition to the distinctive slanted label and square bottle shape, the next step in making the Johnnie Walker brand easily recognizable was a collaboration with cartoonist Tom Browne, which resulted in the creation of one of

Ambitious Beginnings In 1820, John Walker, a 15-year-old farm boy, took over a grocery store in Kilamarnock, where he experimented with whisky, applying the same skills he learned blending teas. In 1857, his son Alexander took over the store and devoted his energies to creating a new blend. ‘Old Highland’ was the precursor to Johnnie Walker Black Label, flaunting the slanted label and square bottle synonymous with today’s version. In 1909 Johnnie Walker, the global brand, was born. Two of John’s grandsons, George and Alexander, took the business to a new level by purchasing Cardhu Distillery – still the home and visitors center of Johnnie Walker today. 52

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To honor the occasion, Diageo will be releasing a new Johnnie Walker Black Label Centenary Limited Edition Collector’s Pack. The sleek black bottle is embellished with gold and a timeline of the brand’s key milestone dates on the back. 7

the world’s first advertising icons: the famous ‘Striding Man’. Over the century, the look of the bottle, despite a few tweaks, has essentially stayed the same, maintaining its powerful brand identity among consumers.

Ongoing Buzz In tandem with the release of the limited edition bottle, Diageo has unrolled a new campaign entitled 100 Years of Progress, which will include a high-impact visual theatre program, POS materials and a robust national public relations campaign. “The compelling story of 100 years of Johnnie Walker Black Label will be activated on every platform and consumer touchpoint, including advertising, public relations, www.johnniewalker.com and in-store displays,” Kleinman explains. “In addition to the Limited Edition Collector’s Pack, highimpact video displays and a variety of other visual elements have been created for various store formats. Consumers are being invited to join in the anniversary celebration at home with a mail-in offering of beautiful etched anniversary ‘Striding Man’ glassware. Even our extensive nationwide mentorship program of on- and off-premise events will receive a special Black Label 100th anniversary twist.” As they begin to dive into another century, Johnnie Walker Black Label is confident about the future and maintaining the level of quality they have been recognized for over the past century. As Kleinman says, “The 100 Years of Progress campaign will set the stage for 100 more.” Q

CE LE B RATI NG 100 YEARS AS TH E STAN DAR D OF EXCE LLE NCE I N WH ISKY

C E L E B R AT I N G

100 YEARS OF

1909 -2009

The World’s #1 12 Year Old Scotch Engine of the Most Valuable Spirits Trademark in the World Named 2009 Top 10 Brand Riser* in 2009 MVI Annual Retail Brand Report Awarded Gold in 2009 SF World Spirits Competition

Please Drink Responsibly. **Brand risers are measured by year on year % brand value growth among 17 categories

JOHNNIE WALKER BLACK LABEL Blended Scotch Whisky. 40% Alc/Vol. ©2009 Imported by Diageo, Norwalk, CT.

POUR OF THE MONTH

POUR OF THE MONTH Kelly Farrell, Hostess with Brian Williams, Bar Manager

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PIER 23 CAFÉ The Hot Spot on The Bay Owner Flicka McGurrin took over Pier 23 Café and has indeed turned it into a San Francisco “Hot Spot”. Patrons have described it as a small funky roadhouse on the bay that is part ramshackle patio spot, part dance floor, with a heavy dose of dive bar. It has an incredible diverse clientele that once included president Bill Clinton. Pier 23 is open 7 days a week serving lunch and dinner. They also have a special brunch on the weekends. It features indoor dining as well as a covered patio section and an outdoor patio on the bay with a view of Treasure Island. Come early if you want to get a seat on the patio during the summer months! The restaurant turns out an amazing array of food; from Eggs Benedict to the fresh seafood, including peeled and eat prawns in beer and cajun sauce, plus oysters and dungeness crab cakes; to Nihman Ranch burgers as well as steaks. Some favorites include the steamed mussels or clams: an array of great tacos, including steak, fresh grilled fish, or the Ensenada style prawn taco, that comes with corn salsa, rice, beans or house slaw. Also, try the SF crab & shrimp sandwich on thick sourdough with mayo, horseradish and fries. Pier 23 is also known as the “Hot Spot” in the city because they feature live music 6 nights a week! Bands run the gamut from, Jazz, Blues, Ragtime and Boogie-Woogie piano, to Hip Hop Funk and AfroCuban. On Saturday nights they feature Reggae Dj’s, with live Reggae at the end of each month! At the bar Pier 23 mixes of choice are Finest Call, which feature a full line of superior products from the Sweet&Sour, Grenadine, Coconut, Pomegranate and Prickly Pear syrups, two Bloody Mary mixes, the Raspberry and Mango and Strawberry Purees; to the premium Cosmopolitan Martini, Sour Apple Martini and Mojito mixes. As Bartender Brian Williams, says “Our customers appreciate the fact that we offer the best mixes in the business.” Pier 23 is located on the Embarcadero in San Francisco.

INDUSTRY NEWS INDUSTRY VETERAN ALBERT R. IMPERIAL PASSES "A good man," Charles McCabe wrote some years ago, "is a person who treats others as if they were good. You treat a man, or a woman, as if they were a decent sort, and the battle is very nearly won." Al Imperial, a good man, died June 23, 2009, at home, from complications of a rare blood disease, surrounded by his loving family that was the center of his life. He was 80 years old. Al’s career in the distilled spirits and wine industry spanned almost 55 years. Despite the many changes the industry has been through, and the added pressures that consolidation has brought along, he loved this business. He especially loved the people he served and his own personal mission to provide excellent service to his customers paid him many dividends for many years. He began working in the industry in the early 50’s for Rainier Ale. After a brief stint there, he moved on to work for Hamm’s Brewing. Al spent several years there before moving over to Max Sobel Distributing. He worked at Sobel for 5-6 years in the accounting and administration departments. Al left Sobel in the late 60’s and went to work for the Fleischmann Distilling Corp. He began his career there as the region administrator and was later promoted to Northern California Sales Director for Fleischmann, a position he held until he left the company. His love of the business and the people in it was evident. He was well liked and well respected. He believed that you called on your accounts regularly – even if they were not buying anything from you. He showed up every week, regardless of whether or not he got an order. Eventually, his persistence, as well as his belief in good products and good service, would win out, and he would make the sale. Al truly personified the concept that “just showing up” was half the battle – his personality and skills did the rest. Al continued to do some work for SWS until June 2006, when he “officially” retired. But, as you would expect, he continued to stay abreast of events in the industry. He even continued to check the retail newspaper ads and talk to old friends about what was going on. You could say he never really retired.

ADDITIONAL NATIONAL CATEGORY DIRECTOR TO THE PREISS IMPORTS TEAM Preiss Imports brought on Mario Vitale as National Category Director. This addition is part of infrastructure re-strengthening as the company continues to grow. Mario’s responsibilities will be with our Latin Portfolio, including brands like Chinaco Tequila and Ypiòca Cachaça. This will increase our effectiveness in the marketplace by providing more atten56

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tion for our valued suppliers and distributors . Mario comes to us from Kindred Spirits based in Miami, Florida. His background is extensive having worked at most levels in the Wine and Spirits Industry. His start was with Gallo Wines in Seattle and he also worked for major companies such as Paterno Imports, Shaw Ross Imports, and Odom Corporation. Mario was the US Sales Director for Riojas Premier Winery Marques De Riscal and worked overseas in Rome, Italy, being fluent in Italian and also Spanish.

BIN MAGAZINE & THE ASTHMA & ALLERGY FOUNDATION OF AMERICA TEAM UP TO SEND KIDS TO CAMP Beverage Industry News (BIN), in conjunction with the Asthma & Allergy Foundation of America (AAFA), is gearing up for their annual fundraiser to benefit children who suffer from asthma. BIN needs your support! Donated product is needed to create holiday gift baskets for AAFA’s silent/live auction held on Tuesday, November 17th, at the Fairmont Miramar Hotel in Santa Monica. BIN has helped to provide a free, week-long camping experience to boys and girls, ages 8 to 14, who suffer from this chronic disease. Asthma Camp helps reduce the number of school absences and emergency room visits. The children, many from disadvantaged homes, enjoy swimming, hiking, and other fun activities of a regular camp but, what sets this camping experience apart is the health professional volunteer team which provides the necessary medical component. Studies show that the children are better able to manage their disease long after the camp is over! Beverage Industry News will follow up with an editorial feature to showcase companies that participate. Furthermore, all participating companies will be included in the prestigious souvenir journal. All donated merchandise can be shipped or dropped off at the AAFA office: 5900 Wilshire Blvd. #710, Los Angeles, CA 90036. AAFA can arrange a pick-up. For more information, please contact Rosemarie at (800) 624-0044.

INDUSTRY NEWS L-R: James Leathers, Emperor's Brand L.L.C., Mark Markarian, Saharex Inc., Zina Mashin, Emperor's Brand L.L.C

L-R: Mixologist Mike Flannery serving the Lennart cocktail and Xanté liqueur chilled neat at the Xanté Tasting Room at Tales of the Cocktail, New Orleans.

EMPEROR’S BRAND VODKAS ANNOUNCES NEW CALIFORNIA DISTRIBUTION PARTNER

XANTÉ DELIVERS UNIMAGINABLE PLEASURE AT TALES OF THE COCKTAIL

Emperor's Brand Vodkas, which have graced the American spirits market since May 2007, is a sophisticated line of spirits with varieties of vodka that speak to aficionados with refined tastes. Based on early consumer and trade feedback about these varieties--Emperor, Versailles, Winter Palace and Imperial Exclusive—these vodkas have earned praise for their aroma, clarity and smoothness. Even with the reality that vodka is now one of the world's most popular spirits, and there are hundreds of them on the market, the Emperor Brand Vodka family is venturing forth in the competitive market with confidence with their unique taste and sophistication as the focus. “It took us several years to perfect the technology and recipes,” notes Emperor Brand President, Zina Mashin. “Our strategy is to satisfy a diverse spectrum of discerning customers with four superior quality vodkas. Our approach, meanwhile, is simple and classic, allowing them to experience difference through tasting. We have participated in numerous trade shows where experts and industry professionals had the opportunity to taste our vodkas. They were truly amazed that we could deliver vodka at a whole new level.” Although Emperor's Brand Imperial Exclusive is distilled five time like many of the top shelf competitors in today’s market, Mark Markarian CEO of Saharex Inc., points out it is very different from its rival brands, thanks to a rich array of flavors and aromas. Emperor, Winter Palace and Versailles, meanwhile, are distilled six times, which stands above and beyond the industry standard. “We took pride in creating our vodkas and were flattered by the results,” affirms Zina Mashin. “We created them especially for consumers who appreciate quality. Our vodkas are made of 100% wheat, which we feel makes the cleanest tasting spirits. We also only use spring water from the region of Cognac, France. Our devotion to creating a life long commitment to our customers remains consummate.” For further information contact Saharex Importers (818) 507-6910.

Xanté liqueur, a premium liqueur from Sweden, was launched to 15,000 mixologists and members of the media at this years Tales of the Cocktail (TOTC)-the internationally acclaimed festival of cocktails, cuisine and culture held annually in New Orleans, Louisiana. The event brought together the best and brightest of the cocktail community for a five-day celebration of the history and artistry of making drinks. Award winning mixologists, world renowned bartenders and top influencers waited in line at the Xanté tasting room at the Hotel Montelone on July 11th, to taste what all the buzz from the Unimaginable Pleasure campaign has been about. Greeted by President and CEO of The Xanté Company, Adéle Nilsson, master mixologist, Mike Flannery, and the team from Kindred Spirits, guests of the Xanté Tasting Room were invited to indulge in their Unimaginable Pleasures. As a part of Xante’s U.S. launch campaign, revelers of the Xanté tasting room were asked to choose one of four pleasures. Whether it was a savory breakfast sandwich, luxurious bath gel, a tasty cigar or a sinfully sweet Xanté infused chocolate truffle there was something that satisfied everyone’s sensory palate. Xanté liqueur is best enjoyed chilled neat on the rocks or used in a cocktail like below. Xanté is a premium liqueur with a hint of French Cognac known for it’s ménage a trois of virgin pears, vanilla and French limousine oak, launched in New York, Miami and Boston earlier this year and is currently rolling out in major cities nationwide. Distributed by Kindred Spirits of North America, Inc., Xanté retails at approximately $40.00 for a 750 ml bottle. Xante comes from the company that brings you the world-renowned Cherry Heering brand, the original “cherry brandy,” a product of Denmark since 1818. Xanté liqueur has been in Europe for over ten years and holds the title of the second most popular liqueur in Scandinavia.

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WAKE UP YOUR ORANGE JUICE

INTRODUCING SMIRNOFF® PINEAPPLE & SMIRNOFF® PEAR FLAVORED VODKAS AVAILABLE SUMMER 2009

REMIX YOUR GINGER ALE

Please Drink Responsibly. SMIRNOFF Flavored Vodkas. Distilled From Grain. 35% Alc/Vol. ©2009 The Smirnoff Co., Norwalk, CT.

INDUSTRY NEWS cocktail must contain the following: • 2 oz Gosling's Black Seal rum • 4 oz ginger beer • a lime wedge Gosling's says that they will pursue those advertising a drink using that name with a recipe that contains any other ingredient. The use of such a tactic can generate an aura for Gosling’s that may be interpreted as a stance of “anti-mixology.” In obvious rebuttal to this position, the makers of Zaya Rum recently released the following statement; Zaya Rum fully supports Mixology as an artform. By imposing a trademark or patent on a cocktail recipe one is suggesting to undermine a Mixologists’ artistic freedom. We applaud bartenders who put their personal thumbprint on a libation as an integral part of the artform; it’s what creates a recipe in the first place. For the time being your local watering hole can advertise the trademarked recipe and customers can expect what they order, will be just that. Yet to simplify a Mixologist’s inventiveness could be detrimental, as both consumers and alcohol brands depend upon a Bartender’s creativity, as both an admirable and necessary quality to possess.

THE DALMORE’S NEW AWARD WINNING PACKAGING The Dalmore, one of the most highly awarded single malt scotch ranges is poised to it place at the bar and on the shelf in both on and off premise accounts in California. This legendary range of daring single malts, created passion, pride and exacting standards under the watchful eye of Master Blender Richard Paterson is pure gold in the bottle. The core marques in the range are The 12 Year Old, The 15 Year Old, The Dalmore Gran Reserva and King Alexander III. Each expression captures the pillars The Dalmore is renowned for: Dynamic Distillation, Sublime Maturation and Harmonious Fusion. New award winning Packaging for the entire line reflects the true premium position of the brand and the quality in every drop.

This summer, Zaya Gran Reserva Rum eagerly launches a nationwide promotion as a rum that showcases its unprecedented mixability factor to "elevate everything." Celebrated as the world's finest sipping rum, Zaya now aims to illustrate the spirit's versatility. Zaya Rum suggested retail price is $34.99. For more info, please visit www.infiniumspirits.com.

ZAYA RUM REBUTTAL TO NEW YORK TIMES SHAKEN & STIRRED COLUMN The NYT SHAKEN & STIRRED column ran a piece about Gosling’s rum and their battle to preserve its trademarked name for the classic Dark ‘n’ Stormy cocktail. According to the July 2nd article, the 60

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7KH  7L PH  KD V &RPH 

, V  Q RZ D Y D L O D E O H  D W 6 RX W K H U Q  :L Q H   6 S L U L W V , PS R U W H G  E \  0L R Q H W W R  86 $

INDUSTRY INSIGHT BY LAUREN C. TYSON, LIQUOR LIABILITY CONSULTANT WWW.THELIQUORLICENSEADVISOR.COM

3 GOOD REASONS TO REASSESS YOUR BEVERAGE PROGRAM It is a sizzling 101 degrees outside, and four thirsty guests are ready to order drinks. You suggest margaritas. Ted orders a beer. Carol is pregnant and doesn't want alcohol. Bob says, “No thanks, I'm driving,” and Alice says she's quitting drinking. You're wishing you had a better selection of non-alcoholic drinks to offer them. You're not alone. One casual dining chain offers 67 alcoholic drinks (including 23 wines), and only seven non-alcoholic drinks. Maybe it's time to expand your non-alcoholic beverage offerings. Here are three good reasons to do so: 1. Differentiate yourself from the competition. Spotlight some tantalizing non-alcoholic drinks right along with alcoholic drinks and price them competitively. The casual dining chain I mentioned charges $3.50 to $11.00 for alcoholic drinks and $2.49 to $2.99 for non-alcoholic iced tea, lemonades and pomegranate drinks. They could increase profits by developing something more tempting and pricing them higher. 2. Satisfy the needs of guests who don't drink alcoholic beverages. This includes designated drivers, athletes, expectant

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moms, recovering alcoholics and others. According to one study, 47.6% of surveyed Californians age 18 and older didn't drink alcoholic beverages at all in the past month. 3. It's good policy. When guests drink too much or too fast, a non-alcoholic beverage is a great way to slow consumption and prevent intoxication, and a responsible business practice the Alcoholic Beverage Control and the Courts might consider in your favor if you are ever accused of a liquor law violation, or sued. With a little imagination, non-alcoholic drinks can enhance your guests' overall experience, increase ticket averages and boost tips. And if you involve your crew in developing the drinks, pricing and promotion, you'll increase morale, too. Now, that's really hot. Lauren C. Tyson is a retired District Administrator with the California Alcoholic Beverage Control, a liquor liability consultant and expert witness. For more information, please visit www.theliquorlicenseadvisor.com or call (951) 226-7845. I Disclaimer: It is not the intent of this article to offer legal advice.