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31 Aug 08

Walker malt move

BILLY Walker, the Scotch whisky veteran who has expanded his BenRiach firm by buying Glendronach, says he will restore it to its traditional place as one of Scotland's top malts.
As forecast in Scotland on Sunday on August 3, Walker, who heads a South African consortium, has signed a £15m deal with Pernod Ricard, the French drinks giant, to buy its Speyside distillery Glendronach. Clydesdale Bank provided funding.

"Glendronach has a terrific history," said Walker. "Forty years ago it would have been one of the top five; it has a fantastic pedigree. We will reinvent the brand with an extended range and more high-value products." http://business.scotsman.com

30 Aug 08 Diageo announces new trade terms

Diageo GB is introducing new standard trade terms from September, which it says aim to use customer investment more effectively to support growth within the alcohol beverage category.
Diageo says the new terms are a crucial way of unlocking significant additional value and mark part of a strategy focused on long-term category growth. Going forward, all investment Diageo makes with the trade will be structured and measured in a way that requires all customers to deliver a variety of proven sales drivers. Payment will only be made when activity has been implemented and that implementation evaluated.
David Smith, sales director for Diageo GB, said: "As a company, we are increasingly focused on how we can better deliver growth within the total category, and in particular spirits, versus solely concentrating on promoting our individual brands. We're applying this across all aspects of our business: category development, marketing and of course the significant area of trade investment.
"This will provide a more transparent way of working with our customers by setting out consistent and clear terms. The focus is very much to maximise the value and effectiveness of our trade investment, which in turn will promote category growth and provide mutual benefit to both our customers and Diageo.
"We believe there is a potential £500 million of incremental value for the industry by concentrating on key development areas. These include encouraging consumers to buy more premium brands, using seasonal peaks to attract consumer interest, giving consumers confidence to mix great spirit drinks and promoting spirits as relevant for everyday occasions. We believe this will increase category value for our customers, and ultimately our brands will benefit as well."
The terms will include a standard list price for all customers and channels, with investment chiefly structured around three areas: scale discounts, efficiency discounts and sales drivers. These will sit alongside existing promotional investment. The different areas of investment will be tracked against anticipated levels of growth, so that future investment can be aligned to the areas that will deliver the greatest value, says Diageo.
Smith added: "Many other global FMCG companies have found standardised trade terms to be a highly effective way to drive both brand and category growth. It is also a way of growing the category without being exclusively focused on price."
The new terms will be rolled out from September 2008. http://www.talkingdrinks.com
29 Aou 08

By Martin Flanagan
JOHNNIE Walker whisky burst through the £1 billion sales mark last year, as parent company Diageo yesterday warned growth in underlying group profits could fall to 7 per cent in the current year.
It came as the world's biggest spirits company and Scotland's leading whisky producer cheered a 9 per cent rise in underlying operating profits to £2.3bn in the year to the end of June.

However, the company's forecast guidance for the current year was for growth "of between 7 and 9 per cent".

Net sales at the group, whose other brands include Guinness and Smirnoff vodka, topped £8bn – up from £7.5bn – in the latest year, while the dividend was raised 5 per cent to 34.35p.

Paul Walsh, chief executive, said he was "very gratified" at flagship Scotch whisky Johnnie Walker's 12 per cent rise in sales to more than £1bn.

He said: "It's a momentous achievement. We know it is the first premium drinks brand to reach this target. It has been helped by growth in emerging markets like South Africa and Asia. Johnnie Walker's Formula One sponsorship has also helped."
The brand grew sales in Great Britain and mainland Europe by 11 per cent.

In a generally strong performance from Diageo's whisky business, which has a 31 per cent market share, J&B also turned round its fortunes.
The brand, largely targeted at twenty-something drinkers according to the company, saw sales climb 9 per cent as it performed strongly in Europe, Africa and Latin America.

Diageo faced challenges from slowing global economies but its geographic diversity was a strength, Walsh argued.

Spending on upmarket brands was continuing despite the downturn, he added.

Walsh said: "Whether you agree with the social justice of this or not, there is certainly a nucleus of consumers in the top 50 cities (worldwide] that have the means and desire to consume the best. That is not going to change."

Pre-tax profits were flat at £2.09bn. Profits in North America rose 10 per cent.
Profits in the international division, which ranges from Latin America and Africa to the Middle East, were up 19 per cent, helped by the "Guinness Greatness" campaign in Africa.
Europe's profits were ahead 3 per cent. Guinness sales rose 2 per cent in Britain and Ireland, outperforming the general declining beer market, helped by advertising campaigns.
Profits in Asia Pacific fell 12 per cent, partly hit by the loss of the import licence in Korea for part of the fiscal year.
Diageo said Europe's weakening economies prompted it to cut its target for operating profit growth this year.

Nick Rose, chief financial officer, said costs such as grains and energy rose £90m last year and he expected a bigger hit of £150m in the coming year. http://thescotsman.scotsman.com

29 Aug 08

Source: just-drinks.com editorial team

Scotch whisky companies are meeting the highest standards of responsible brand marketing and promotion, according to an industry audit.

Research by The Scotch Whisky Association (SWA) published today (29 August) found that distillers had successfully implemented tough industry rules in everyday marketing practices.

The SWA Code of Practice on Responsible Marketing and Promotion, launched in 2005, is mandatory in the UK and sets best practice for SWA members worldwide.

Jack Law, chairman of the Code's Independent Complaints Panel and chief executive of Alcohol Focus Scotland, reviewed the SWA's audit process and findings.

"The SWA's Code has taken on board the frequent criticism of self regulatory codes - that they are soft on enforcement - by introducing mechanisms to fine, name and shame, and ultimately expel a member continually breaching the code," Law said.

"This is a welcome dimension and one that Alcohol Focus Scotland would like to see introduced into the codes of similar bodies.

"The code is well used by SWA members seeking advice on its application and enjoys the benefit of having no official complaints lodged since its introduction. This is a measure of the positive value and effectiveness of the code. The audit findings have also provided SWA members with some issues to consider which can only improve the code's effectiveness in the future."

Following the audit, which involved face-to-face interviews and a review of marketing material, SWA members have agreed to revise the code to introduce new sponsorship guidelines and to extend its mandatory scope to be EU-wide.

27 Aug 08

A teaser of the future exclusive bottlings (non-exhaustive list) for La Maison du Whisky, which will be available for/after the whisky live in Paris:

Official bottlings:
Aberlour 14yo single cask double matured
Arran single bourbon barrel
Balblair 1987 single cask
Glenfarclas 1994
Hanyu 1986, non finished
Karuizawa 1977
Miyagikyo 1986, very peated
Yamazaki 1993, very peated
Yoichi 1986...

From independent bottlers :
Bowmore 1972 (Prestonfield)
Caol Ila 1982
Caperdonich 1972
Longmorn 1969
Strathisla 1960
Glen Grant 1955...

For the Ardbeg fans, a 1976 Single Cask will be released (FR, DE, AU and CH?)

Soure: la maison du whisky

25 Aug 08

Pendleton Whisky, one of the nation's fastest growing whisky brands, is preparing to break a record that
was set only one year ago. In preparation for the Pendleton Round-Up,
September 6-13, the Pendleton Liquor Store is receiving the largest-ever
delivery of Pendleton Whisky.

This year's order consists of 1,206 cases, or the equivalent of 9,384
bottles. Prior to last year's Round-Up, the Pendleton liquor store received
950 cases of Hood River Distillers' oak barrel-aged whisky. The delivery
will be made at 10 a.m. Tuesday, Aug. 26, at the Pendleton Liquor Store,
237 SW Emigrant Ave., Pendleton, Ore.

"During last year's Round-Up we nearly sold out of our supply," said
Greg Roland, owner of the Pendleton liquor store. "Because of the
tremendous growth the Pendleton brand has experienced over the past year,
we didn't want to the run the risk of selling out, so we upped the ante and
ordered more."

On hand to celebrate the occasion will be Butch Thurman, president of
the Pendleton Round-Up, and representatives of Hood River Distillers.

If the big delivery isn't enough to draw a crowd, the newly wrapped
Pendleton truck featuring nearly 9-foot-tall Pendleton bottles is sure to
catch the attention of those passing by.

While Pendleton Whisky is imported and marketed by Hood River
Distillers of Hood River, Ore., and is now available in 42 states, Roland
added that customers come back to the Pendleton Liquor Store time and again
because they feel like they are buying directly from the source.

This is the second time Pendleton Whisky has broken a record this year.
In July, a member of the Hood River Distillers sales team built a
record-breaking display of 284 cases, or more than 1,700 bottles, of
Pendleton Whisky on the floor of a Post Falls, Idaho liquor store. http://www.hrdspirits.com

24 Aug 08

Islay distiller sets its sights on growth as it knocks back bids
By William Lyons
MARK Reynier, the former London wine merchant who bought Bruichladdich back to life in 2001, has revealed that he has received four offers for the Islay distiller in the past year.
But Reynier, who is managing director of the distillery, says it would have to be an "exceptional" deal to entice the shareholders as they are happy building the business and are even looking to make acquisitions themselves.

The interest in Bruihladdich comes on the back of similar approaches to Perthshire-based distillery Tullibardine and the sale of Pernod Ricard's distillery Glendronach to a South African consortium headed by whisky veteran Billy Walker.

Whyte & Mackay is understood to be mulling a takeover of Glen Moray, the Elgin-based single malt brand put on the market by Glenmorangie.

Sources say individuals representing Russian and Indian consortiums have been scouring the Scotch whisky industry in the past 18 months in a bid to acquire a distillery and tap into the growing demand for Scotch worldwide.

Reynier, who has finally received planning permission to resurrect the Port Charlotte distillery on Islay, has seen his pre-tax profits rise by 58% to £831,000 in 2007.

He said: "In the past year we have had around four enquiries, and a few, as a board, we are duty-bound to weigh up and consider, which we have and to date have rejected each one.

"It would have to be a pretty exceptional deal to get us at all interested. We enjoy what we do.

"We are now in the process of formulating a new business plan based firmly around the fact that we have no shareholders (all private] even wanting to sell, no venture capitalists or opportunists on our share register pushing us to sell up. On the contrary.

"Technically, we could grow this company into a 150,000-case distillery with a £10m turnover. The question is do we want to? We think it is a question of slowly, slowly catchee monkey. Since we acquired the company in 2001 we have gone from zero to 35,000 cases.

"The next step is to grow it from 35,000 to 60,000 cases, and that will take us to 2012 and past the £12m mark."

Reynier describes Bruichladdich as the "fastest-growing single malt whisky distillery brand".

He said it was the third-largest single malt by sales in Russia, and highlighted Germany and the UK as other key markets.

"Sadly for the industry, we have not run out of steam, ideas, passion or drive," he said. "We have an awful lot more going on – our own spirits coming to fruition, new concepts and bottlings – and now we have finally got planning, we have the Port Charlotte project to develop."

Global exports of Scotch rose by 14% last year, with sales hitting a record high of £2.8bn in 2007, raising a record £90 per second for the British economy.

Demand for Scotch whisky, particularly in southeast Asia, has grown so fast that the industry is in danger of running short of supplies.

The latest figures show sales to Singapore and China have risen from £45m five years ago to £300m last year, which has led to pressure on stocks of Scotch.

Reynier added that with the industry developing at such a pace Bruichladdich would be more interested in acquiring than selling.

He said: "Who would want to sell up when we are developing at such a rate? If there is something interesting out there I would be very keen to look at other opportunities if it is the right fit." www.scotsman.com

21 Aug 08 Diageo installs latest phase of £40 million distillery project
Diageo has installed 14 new copper stills as part of the construction of its new distillery in Roseisle, Scotland.
The drinks giant is investing £40 million in the project, which will see Scotland gain its first major new distillery in 30 years. The construction of Roseisle distillery is part of a £100 million investment in Scotland by Diageo. The first spirit due to run through the stills in early 2009.
The copper stills, weighing up to six tonnes each, took coppersmiths around four months to craft and had to be transported in sections.
"Traditional coppersmith skills have a huge influence on the spirit which is produced," said Brian Higgs, Diageo's malt distilling director.
"An immense amount of work has gone into crafting the stills and preparing for their arrival and having them installed is a real landmark for the project. For both the team from Alloa and our team there is a huge sense of pride to see them going into place," Higgs added.
Diageo says the new distillery will create 25 new jobs and feature pioneering green technology allowing it to source most of its energy from renewable energy. Diageo owns 27 malt distilleries in total. http://www.talkingdrinks.com
20 Aug 08

Whisky drives growth in South Africa - research
Source: just-drinks.com editorial team

The South African whisky market grew by an estimated 16.2% in 2007 to over 3.5m cases. According to The IWSR's South Africa Wine and Spirits 2008 report, growth was largely driven by Jameson, Jack Daniels and Johnnie Walker.

South Africa has become a key market for Pernod Ricard's Jameson brand and Brown-Forman's Jack Daniels, as for both it is now the fifth largest market globally. South Africa is close to reaching the number four spot for each brand as South African sales of Jameson's are on the point of overtaking those in France and Jack Daniel's sales in South Africa are set to outnumber Spain's.

Market leader Bells and J&B - both owned by Diageo - also performed well, as did Distell's inexpensive South African ad-mix Harrier, and E. Snell's Canadian whisky Firstwatch.

Malt Scotch is developing quickly from its small base, growing by 28% last year, the report notes, as South Africans trade up to premium spirits. Independent producer E. Snell has over 50% share of the malt Scotch market in the country. (...).

20 Aug 08 Rare whisky goes on auction at Harrods
The first ever bottle of Jura 40 year old whisky is to be sold at a silent auction at Harrods.
The first bottling of the single malt whisky, which is also the last remaining of the 98 bottles produced, is expected to be sold for more than £2000 - the reserve price that has been placed on it.
Harrods kicked off the auction last week with a themed Scottish day in the store which runs until the end of the month. ‘The Glorious 12th' event saw the first grouse of the season shot and transported from Scotland, alongside the Jura 40, and displayed in-store.
Richard Paterson, master distiller, said: "This is a very special whisky indeed. Filled to cask on November 12 1966, this whisky has been maturing on the beachfront of Jura for 40 years giving it great complexity in character. It was an instant hit when we brought it out last year and almost sold out immediately.
"The bottle we are auctioning is a very rare and collectable malt in beautiful packaging with documents to prove its authenticity. It would be a great investment buy, however I would not like to deter the receiver from opening it either, as it is also a fine dram of whisky."http://www.talkingdrinks.com
17 Aug 08

Thousands of whisky cases stolen

About 3,000 cases of whisky have been stolen from a lorry in Coatbridge, near Glasgow.
The trailer containing the alcohol was taken from a yard on Hornoch Road at about 2300 BST on Friday.
It is thought the load was worth £250,000 and included Dewers Special Reserve, Aberfeldy and Glenlivet Malt.
The trailer and lorry were found, empty, in a lay-by on the A8 between Langbank and Port Glasgow at about 1700 BST on Saturday.
Strathclyde Police appealed to anyone offered cut price bottles of whisky to contact them. www.news.bbc.co.uk

15 Aug 08

Several news products will it the shelves in the next months according to maltadvocate and other sources:

BenRiach: The Batch N°5 is now getting released (with a delicious BenRiach 1976), and includes 9 vintages from 1976 to 1994.

Bowmore is launching the 1964 White Bowmore and a new 16 YO limited edition (bourbon matured and Bordeaux finish)

Diageo will launch in the months to come a Brora 25 YO to replace the Brora 30 YO, a new Port Ellen Annual Release, a Talisker 25 YO and 30 will also be released, as well as an Oban 18 YO for the distillery and for the US market.

14 Aug 08

Compare and Contrast 1998

Bruichladdich has released two bottlings of the same vintage to compare and contrast.

In July 1998, identically distilled whisky was filled in to Sherry casks for full term maturation. Recent tastings proved that unexpectedly two types of casks were used.

One cask type had contained Olorosso, a dark, sweet, fortified wine, the backbone of ‘cream’ sherry. The other Manzanilla, a pale, dry, sophisticated wine aged by the Atlantic .

Having absorbed the respective wines’ characteristics, the wood has then influenced the maturing whisky, resulting in two different versions from identical original spirit.

Unusually, the casks of the Manzanilla appellation ‘breath’ the prevailing maritime breezes, imparting a crisp freshness to the wine, hence the name meaning “little apple”.

MD Mark Reynier says: “The result is an intriguing comparison: one DNA, one vintage, one warehouse - but two distinct and intriguing expressions of Bruichladdich single malt.”

“Usually Sherry casks implies a nutty sweetness leached out of the wood into the whisky. Delightful when well balanced, but often clumsily over-stated. This is the real deal.”

“To contrast, we have a ‘double Atlantic’ whisky: Manzanilla is world famous for it’s marine influenced style; we have exactly the same effect here on Islay - 1,400 miles further north.”

6000 bottles of each whisky are available, globally, at a retail price of around £38. www.bruichladdich.com

13 Aug 08

Expanding thirst for bourbon
Worldwide demand for whiskey a tonic for makers of the traditionally Southern liquor

BY BRUCE SCHREINER
ASSOCIATED PRESS


LAWRENCEBURG, Ky. -- To Wild Turkey master distiller Jimmy Russell, the piercing sounds of a warehouse rising in the Kentucky countryside are the sounds of prosperity.
"As long as you see work going on -- and the construction, and increasing your size -- you know your business is doing well," said Russell, who started working for the bourbon-maker in 1954.

Distillers are expanding their bourbon production and storage and are dispatching sales teams around the world, bullish for a traditionally Southern beverage gaining popularity worldwide. Surging exports, the weak U.S. dollar and rising popularity among younger Americans are driving the boom.

"It's an exciting time to be in the bourbon business," said Max L. Shapira, president of Heaven Hill Distilleries Inc., a family-owned liquor company in Bardstown, Ky. "Most of the time that I've been in the business -- up until about the last 10 years -- everybody was trying to consign the bourbon category to that great liquor store in the sky."

Heaven Hill recently spent nearly $4 million boosting capacity 50 percent at its distillery in Louisville, Ky., where it makes Evan Williams and Elijah Craig bourbons.

Wild Turkey, part of beverage company Pernod Ricard SA, based in France, sold more than 1 million cases worldwide last year for the first time. Its $36 million expansion near Lawrenceburg will nearly double its production.

The distillery at Jack Daniels Tennessee Whiskey in Lynchburg, Tenn., is about to undergo a nearly $6 million addition to install nine more fermenters.

Kentucky-based Maker's Mark is preparing for a second expansion. And Jim Beam, the world's biggest bourbon-maker, is in the midst of a $70 million expansion in Kentucky. Beam and Maker's are part of Fortune Brands Inc.

International expansion in this quintessentially American segment is more than offsetting the pinch of rising grains and fuel costs. Grain accounts for a fraction of the overall cost of making bourbon, even though it's made from a mix that must be at least 51 percent corn.

Eric Schmidt, research director at Beverage Information Group, a market-research firm tracking the liquor industry, said much of the sales growth has been in higher-priced small-batch and single-barrel products.

"Younger consumers are interested in drinks that were, you might say, their grandfathers' drinks," Shapira said.

According to Beverage Information Group, 14.7 million 9-liter cases of straight whiskey sold in the United States last year. Up about 1 percent from 2006, the figure still lags behind vodka and rum in sales and percentage growth but is outpacing Scotch whisky, the firm said.

But Maker's Mark sales in the U.S. rose 8 percent last year, while Evan Williams sales grew 5 percent and Wild Turkey 4.6 percent, Beverage Information Group said. There are no figures tracking international bourbon sales.

Heaven Hill spokesman Larry Kass said the company expects to recoup its investment "in short order." It will pass along higher grain costs eventually, but bourbon-makers can do that gradually because bourbon ages for years before reaching store shelves, Kass said. Virtually all bourbon made in Kentucky ages at least four years.

F. Paul Pacult, editor of Spirit Journal, said that American whiskeys remain "the best bargains in spirits."

Wild Turkey is projecting 12 percent growth this year in its export business, having beefed up distribution of its premium brands and expanded offerings in such key markets as Australia and Japan. Heaven Hill expects low-double-digit growth abroad, where it has boosted its sales staff.

At the Hemingway Bar at the Hotel Ritz in Paris, Kentucky bourbon is the choice for one in five cocktails, head bartender Colin P. Field said, although it trails vodka and cognac in popularity.

"Although bourbon wasn't made to make cocktails, it works so well with cocktails," Field said.

Keith Neumann, global director of bourbons at Beam Global Spirits & Wine, said Jim Beam has had strong growth in Russia, Spain, India, China and Italy and positioned itself as a spirits leader in Australia.

Jim Meehan, bar manager at PDT in New York City, said the premium small-batch products that made him a bourbon drinker in college are attracting new fans.

"You get a taste for bourbon, you don't stop drinking bourbon," he said. http://www.dispatch.com

10 Aug 08

BenRiach distillery team closes in on £15m deal to acquire Glendronach
By William Lyons
A SOUTH African consortium headed by whisky veteran Billy Walker is close to signing a £15m deal for one of Scotland's oldest distilleries.
Sources say that the team behind BenRiach is in final negotiations with Pernod Ricard, the French drinks giant, to purchase its Speyside malt whisky distillery Glendronach. The deal is expected to go through as early as September.

The news comes amid a time of unprecedented interest in the mid-tier of the whisky industry, with speculation surrounding a series of deals for similar-sized distilleries. Last month Scotland on Sunday revealed that Tullibardine whisky distillery was in discussions with Swiss bankers in a move that may lead to a sale of the Perthshire-based firm.

Whyte & Mackay is understood to be eyeing a takeover of Glen Moray, the Elgin-based single malt brand put on the market by Glenmorangie.

Walker, a former operations director with Burn Stewart Distillers, was unavailable for comment, but a spokesman for Pernod Ricard confirmed discussions were taking place with BenRiach.

It will be the second time Walker, with South Africans Geoff Bell and Wayne Keiswetter, have led an acquisition of this sort. In 2002 the three-man consortium paid Chivas Regal around £5m for the then mothballed Speyside distillery BenRiach. Since then Walker has grown the brand from a business park in Larbert, Stirlingshire, into an award-winning business.

Analysts have described the acquisition of Glendronach – which has a long and distinguished history, having been established in 1826 by one of the original whisky entrepreneurs, James Allardice – as a "nice fit" with BenRiach's portfolio.

Pernod inherited Glendronach as part of the portfolio of malts it received when it completed the £7.6bn acquisition of UK rival Allied Domecq in 2005. At the time of the deal, there was speculation that the distillery would be surplus to requirements. The distillery, near Forgue, was mothballed in 1996 in an attempt to cut whisky stocks.

Allied had hoped at the time to reopen it in 1998, but stocks lasted longer than expected. It eventually reopened in 2002.

Last night a spokesman for Pernod Ricard said: "The sale of Glendronach is making good progress and we expect to complete the sale by September."

It is understood that following the expansion of its Glenlivet distillery and the reopening of its Allt a' Bhainne distillery, Glendronach is surplus to requirements. http://scotlandonsunday.scotsman.com/

08 Aug 08

Green energy: Diageo orders scotch and biofuel cocktail
Simon Bowers
The Guardian, Friday August 8 2008
Diageo, the market leader in scotch whisky, is to spend £65m on a bio-energy plant at its largest distillery in a move that will turn 90,000 tonnes of "spent wash" from the production process into steam and electrical power.

The drinks group, which makes Johnnie Walker, Bell's and J&B, believes the facility at its Cameronbridge distillery in Fife will be the largest single investment in renewable technology by a non-utility company in the UK. It says the plant will generate 6.5 megawatts of electrical power and 20MW of thermal power, which is enough to heat 12,000 homes.

Spent wash - a mixture of wheat, malted barley, yeast and water - is currently drained and sold to local farmers as wet cattle feed. The remaining liquid is piped out into the firth.

Once the new plant is operational, spent wash will be separated into liquid and solids. The liquid will be converted, through an anaerobic digestion process, into biogas. The dried solids form a biomass fuel. Together they will be used to provide 98% of the thermal steam and 80% of electrical power used at the distillery. The facility will also recover about a third of water requirements at Cameronbridge, Scotland's largest distillery.

The plant will take energy management company Dalkia two years to build.

Bryan Donaghey, managing director of Diageo Scotland, said the project had been drawn up two years ago as an environmental initiative with little financial benefit. But recent rises in gas prices are likely to result in savings. He was unable to say how long the investment would take to pay for itself.

Dr Mark Williamson, director of innovations at the Carbon Trust, said: "Nearly half of the UK's carbon emissions come from heating buildings and industrial processes. We need to urgently accelerate the adoption of biomass heating systems if we are to meet the government's 2020 renewables targets.

"We know the technology is mature and widely used in Europe but the challenge in the UK is to reduce costs, establish robust supply chains and drive widespread market uptake."

Diageo is also undertaking a £100m programme to boost production capacity in Scotland. This includes the first new malt distillery to be built in Scotland in 18 years, at Roseisle. http://www.guardian.co.uk

08 Aug 08

New designs for 'micro malting'
Abby company makes specialty brew equipment

Marcia Downham, The Times

An Abbotsford company is tipping its glass to help fill the casks for a Vancouver Island whisky distillery currently under construction.

Accent Stainless Steel is in the conceptual phase of custom-designing special malting equipment for the Shelter Point single malt whisky distillery north of Black Creek, which used to be the old UBC experimental farm at Oyster River.

"This concept is very customized and is challenging from a design point of view," said Accent Stainless Steel president Brad McQuhae.

Accent, which specializes in stainless steel fabrication, has designed and built larger scale brewing equipment and systems, but it has not yet created the type of equipment required for the Island project, said McQuhae.

"They want a complete all-in-one malting system, which is a first for us."

He said the design is called "micro-malting," and will allow for the production of around 500 to 1,000 kilograms of barley per batch. Accent has done some previous work in the malting process such as steeping and germination, but this is the first time they will be taking on the whole process, which includes kilning.

"We normally do work on projects that are building related, and this project is simply just equipment related," said McQuhae. "We are happy to be able to help create this for them and be a part of their project, but this is just one of the many projects we do."

"There is nothing available

equipment-wise for doing something like we need to do because it such a small-scale production," said Jay Oddleifson, managing director, and one of three partners in the Shelter Point Distillery Corp. The distillery's other two partners include farmer Patrick Evans, and whisky-making expert Andrew Currie, who helped to build the Isle of Arran distillery in Scotland.

"We were so happy to find Accent, they have a lot of brewing experience and we are really excited that they were willing to design and build this equipment for us," said Oddleifson.

He said he doesn't know how much the special model equipment will cost because the design concept has not yet been finalized.

Construction of the one-of-a-kind Vancouver Island distillery commenced at a groundbreaking ceremony July 16. It will use barley grown on the farm and water tapped from the site, and is expected to produce around 50,000 litres of spirits per year.

Customers will be able to buy a cask and visit it as it ages - the whisky is expected to be ready for sampling sometime in 2017. Each cask will hold around 240 litres of whisky.

But there are other products expected be ready before then, such as an alcoholic cream liqueur followed by a fruit liqueur, said Oddleifson. www.canada.com

08 Aug 08 Teachers targets men with classic ad campaign

Beam Global UK has launched the second phase of its "Create Your Space" ad campaign in a bid to build an emotional connection between Teachers Whisky and men over 30.
National press activity will run throughout September in support of an on-pack promotion on 100,000 bottles of Teacher's, which offers consumers the chance to win either a classic car or one of 250 tool kits worth £150 each. The activity directs visitors to a microsite designed to imitate an ideal of ‘manspace'.
Consumer PR will also raise the profile of the brand as part of Beam UK's £1.5 million investment in it this year.
Beam Global UK marketing manager Aileen Nicol said: "Through Create Your Space, Beam is making Teacher's the most accessible and relevant Scotch whisky to men aged 30 plus, by appealing to their need for some ‘manspace', a place where they can escape the pressures of the modern world, find inspiration and allow them to become an authority on subjects of their choice.
"Create Your Space allows us to re-build brand equity and drive category value growth while fulfilling Beam's ambition of Building Brands People Want to Talk About."
The first phase of this year's activity launched in April and offered consumers the chance to win an Airstream travel home. Beam says that activity attracted an 8% consumer redemption. www.harpers.com
07 Aug 08

Glengoyne Distillery Re-Launches Website

As part of its 175th Anniversary Celebrations, Glengoyne Distillery has re-launched its website - www.glengoyne.com - with the aim of encouraging greater customer interaction and involvement.

Dumgoyne (PRWEB) August 7, 2008 -- Principally developed for the consumer market by award-winning web design agency, Greenparka, the new website gives customers the opportunity to develop a deeper sense of ownership of Glengoyne, as well as the chance to learn directly from the whisky-making masters behind the brand.

Whether visitors wish to upload a YouTube video of their own trip to the distillery, or watch a blending session and whisky tasting, the new site is designed as an open invitation for customers to contribute with far greater freedom than ever before.

I've always thought of Glengoyne as an unsung hero of Single Malt Whisky. Those who try it tend to fall in love with it and remain loyal and enthusiastic customers. Yet, it has a relatively low online profile. Our aim is to greatly increase the visibility of the brand and grow awareness amongst those who enjoy single malt, but haven't had the pleasure of the real taste of malt. The 'Ask the Distillery' page is a personal hotline to the extensive knowledge of the Glengoyne Distillery Manager and his team, who will be able to answer all those elusive questions whisky-lovers have always wanted to know. The 'Range Tasting Notes' page lets customers pit their skills against the Glengoyne experts by posting their own tasting notes and reviews of the Glengoyne collection.

Charlie Cutler, Head of Digital at Greenparka, commented: "Glengoyne has always been excellent at listening to and engaging with their customers. They have demonstrated this again by really embracing the concept of user generated content allowing their customers to create and share their own tasting notes."

Glengoyne prides itself on being one of the most friendly, knowledgeable and approachable distilleries in the world. With this in mind they have also added a Contact Us page for general enquiries too.

As well as improving aesthetics and simplifying customer navigation, one of the key aims in the re-vamp was to increase Glengoyne's online presence. In addition to developing User Generated Content opportunities, a structured online marketing and optimisation programme will be implemented by Mackerel Media, which will be supported by PR and online promotions.

Nick Craig, founder of digital marketing specialists Mackerel Media said: "I've always thought of Glengoyne as an unsung hero of Single Malt Whisky. Those who try it tend to fall in love with it and remain loyal and enthusiastic customers. Yet, it has a relatively low online profile. Our aim is to greatly increase the visibility of the brand and grow awareness amongst those who enjoy single malt, but haven't had the pleasure of the real taste of malt."

The enhanced site also allows Glengoyne to promote their new Whisky Bus service running daily from seven pick-up points around Glasgow city centre. The innovative Whisky Bus, safely transports customers to/from the distillery, entertaining them with nosing competitions and stories of whisky smuggling, before a tour and dram of the golden nectar.

Iain Weir, Marketing Director for Ian Macleod Distillers, brand owner of Glengoyne commented: "At Glengoyne, we are lucky to have strong support and good will from across the online world, especially from bloggers and independent whisky websites. I hope by making www.glengoyne.com more interactive, interesting and visible on the web, we will bring some more of their enthusiasm and passion for our whisky to our new site.

Greenparka have done a fantastic job in understanding both the needs and desires of our customers'. I am delighted with the website and expect it to bring a new, more intimate dimension to Glengoyne for all visitors, old and new." http://www.prweb.com

06 Aug 08

US appeals win by India in WTO wine/whiskey case
By Bradley S. Klapper, Associated Press Writer | August 6, 2008
GENEVA --The United States has appealed a World Trade Organization decision upholding Indian import taxes on products such as Napa Valley wine and Jack Daniel's whisky.

In a legal filing last week, Washington said the WTO's findings were "in error" and based on "erroneous findings on issues of law" when it rejected in February a U.S. complaint over extra duties that India applies to American wines and spirits.

The U.S. appeal has been posted on the WTO's Web site.

The verdict five months ago was not a massive loss for the United States because India already had lifted some of the taxes it was imposing on foreign wine and spirits last year, bending to heavy pressure from the United States and Europe.

While Brussels dropped its WTO complaint as a result, Washington continues to press its case.

India's basic import duties on wine and spirits reach 150 percent, within WTO limits. However, various government surcharges take the charge up to as high as 550 percent, depending on the Indian state. The state of Tamil Nadu has gone furthest, shutting out foreign alcohol and allowing shops to sell only made-in-India spirits and wines.

India is one of the world's largest markets for alcohol with a huge potential to grow, but imports account for only a meager share of total consumption. Brussels and Washington have argued that the tariffs represented unfair trade barriers keeping foreign countries from competing in India's market.

The U.S., the 27-nation EU and Japan, by contrast, allow nearly all spirits to enter their markets duty-free. China tacks only a 10-percent charge on foreign liquor.

Washington says wine sales in India through special duty-free rules, such as at airports and luxury hotels, grew by 350 percent between 2000 and 2005. The growth was 200 percent for American liquors.

But the total volume of U.S. exports remained low because of the high import duties. The Distilled Spirits Council of the United States estimates that all foreign liquors together account for less than 1 percent of the Indian market. http://www.boston.com

03 Aug 08

Johnnie Walker targets fraudsters
Helia Ebrahimi, Mail on Sunday

Diageo, owner of Johnnie Walker, the world's best-selling Scotch, has developed new technology to crack down on whisky counterfeiters.

The drinks giant, which produces 15.4m cases of Johnnie Walker a year, accounting for 27% of its £9.9bn annual sales, is to introduce a device to stop crooks refilling its bottles.
A permanent gold band appears at the top of the bottle neck once the cap is opened making it almost impossible to disguise a refill. Caps are also designed not to return to their original position once opened.

The device has been on trial in China since June and is being introduced worldwide this month.

The drinks giant has long been at the forefront of the war against counterfeiters. In 2004, it launched the first miniaturised spectroscopic testing kit, the Authenticator, which helps to identify imitation whisky in less than a minute.

The revolutionary technology was donated to the Scotch Whisky Association to ensure that customers get what they pay for from the one billion cases sold every year.

Whisky last year accounted for 25% of UK food and drink exports, bringing in £2.82bn. http://www.thisismoney.co.uk

24 Jul 08

Cutty Sark launches blended malt scotch in Indian market
(IANS)

The 250-million-pound ($499 million) global wine and spirits major Cutty Sark International has launched a premium scotch whisky brand - Cutty Sark blended malt scotch whisky - in the Indian market, a top company official said.

Little more than a year back, the company had launched its flagship Cutty Sark blended scotch whisky, priced at around Rs.1,200 for a 750 millilitre bottle.

Now it has launched the Cutty Sark blended malt scotch whisky, a premium brand priced at around Rs.2,500 per bottle, Peter Davie, Cutty Sark commercial director, told IANS. Davie is responsible for implementing marketing strategy across global markets.

Explaining the difference between the two products, Davie said a blended scotch whisky is a blend of one or more single malt scotch whiskies with one or more single grain scotch whiskies.

The Cutty Sark blended scotch is made up of around 20 renowned single malt whiskies, predominantly from the Speyside region in Scotland, UK, which are blended with high quality grain whiskies.

'These single malt and single grain whiskies are matured in carefully selected American oak casks. The malts are blended together, as are the grains, before the complete blend is married together for a further six months,' Davie said.

The new product, Cutty Sark blended malt scotch whisky, is a blend of only single malt whiskies and has no grain whiskies in it, he said, adding that 'it marries the finest single malt whiskies after they have been aged to perfection in oak casks".

'The result is a fresh and floral aroma with hints of vanilla. It has a classic Speyside character on the palate and a clean dry finish,' Davie said.

Cutty Sark International is a joint venture between Berry Brothers and Rudd and the Edrington Group, known for its single malt whisky Famous Grouse.

The company owns the brands Cutty Sark Scotch Whisky and the Glenrothes Single Highland Speyside Malt Whisky, a brand that was recently named as the world's fastest growing brand of premium malt whisky for the period 2003-2008 by global market monitor, International Wine and Spirit Record (IWSR).

Cutty Sark has tied up with Focus Brands, part of the $3-billion Jubilant Group for marketing its products in India.

'Our tagline for this product is 'mark of real friendship',' said Hrishi Besant, brand manager, Focus Brands.

The company is targeting the 25-35 year-old section of Indian whisky drinkers who wish to graduate from regular scotch whiskies to premium brands, Besant said.

'Our strategy is to enter into strategic partnerships to penetrate growth areas,' Davie said.

'With India emerging as the largest whisky market in the world, we had to look for a strategic partner here and Focus Brands with its great professionalism in marketing has proved to be a true partner,' he said. http://story.indiagazette.com

19 Jul 08

Shelter Point Distillery Breaks Ground on Vancouver Island

As their ads show, Shelter Point Distillery in Vancouver Island, British Columbia believes there is a little Scotch in all of us. They want to put a little whiskey in the hands of Canadians through their planned $2-million single malt whiskey distillery in Comox. The Vancouver Sun reports that ground has been broken on the project. The distillery will include an 8,000-square-foot building and distilling equipment will come direct from Scotland. Barley for the distillery will be planted next spring.

While customers will have to wait a decade or so for the whiskey to age, the distillery plans to offers some fruit and cream liqueurs in the meantime. Customers can also opt to buy a cask which will cost around $5,000. A bottle will likely cost about $100. http://www.luxist.com

18 Jul 08

From the Alps to the Pyrennees  - The Hills are Alive

The second edition bottling of 18 year old of Bruichladdich Islay Single Malt Scotch Whisky has just been bottled and is leaving Islay for the first time.

It was designed  to compliment  the original 18 year old bottling matured in American oak then refined in Willi Opitz’s Austrian sweet wine casks - which too quickly sold out.

Equally, this 2nd edition has matured for 18 years in American oak. It too has spent time in sweet wine, French oak casks -  but this time from the Pyrenean appellation of Jurançon.

This small, little-known French appellation, hidden away in the mountains, produces a decadently sweet wine from the obscure Petit Manseng grape late-harvested in November.

Mark Reynier, Bruichladdich MD “Obtaining mellow, sweetness from oak is nothing new; Sherry is not the only sweet wine in the world.  But it beats the hell out of using E150.”

“The first bottling went so fast. We wanted a subtle contrast with this new version,  while retaining the toasted French oak nose, voluptuously mellow body and hint of tropical fruit.”

“The answer was Charles Hours’ Clos Uroulat casks. Great quality, under-used French oak, saturated with rich botrytis honey notes,  hints of butterscotch, mango and pineapple.”

“And boy it’s a cracker: balance, harmony, complexity, fruit, body - this has it all - and a deliciously golden hue to match, reflected by the alluring colours of the tin design.” The RRP is £50. www.bruichladdich.com

14 Jul 08 Cling film solution to keep whisky from evaporating out of barrels
By Donna Watson
WHISKY experts have come up with a way to save the angel's share escaping from their barrels - wrapping them in cling film.
At least two per cent of each cask evaporates through the oak after the distilling process. The industry say it goes "to the angels".
But drinks giants Diageo have shown that using plastic wrap to cover each barrel could stop it - and save them gallons of whisky.
The company - makers of malts such as Talisker, Lagavulin and Glenkinchie as well as a number of popular blends - could increase their profits by millions each year.
The angel's share costs a fortune but distillers won't change the cask because of the flavour the oak gives their product.
The cling film results are said to have "astounded" scientists at the distilleries. It is not thought to affect the taste of the whisky.
A Diageo spokesman said: "At this stage, the technologies under trial are not proven and we are continuing our research." http://www.dailyrecord.co.uk
13 Jul 08

Pernod Ricard close to Glendronach sale

Published Date: 13 July 2008
By William Lyons
PERNOD Ricard, the French drinks giant, is understood to be in final negotiations to sell its Glendronach malt whisky distillery.
Industry sources say the owner of Chivas Brothers has received a first round of bids for the Highland malt and is close to sealing a £30m price tag for the Huntly-based distillery.

In a deal shrouded in secrecy, it is believed two potential suitors have emerged, including the South African consortium behind the BenRiach distillery company.

The deal comes just weeks after the Paris-based luxury goods giant LVMH Moët Hennessy announced it was putting Glen Moray, the Elgin-based distillery and single malt Scotch whisky brand, on the market as part of a wider restructuring of its Glenmorangie business.

One source said: "Pernod has received a first round of bids and is now in final negotiations with a preferred bidder. Quite frankly, though, I am shocked by this move as it is favoured by many whisky enthusiasts and it is a very pretty distillery. The decision is unbelievable."

Pernod inherited Glendronach as part of the portfolio of malts it received when it completed the £7.6bn acquisition of UK rival Allied Domecq in 2005.

At the time of the deal, there was speculation that the distillery would be surplus to requirements. The distillery, near Forgue, was mothballed in 1996 in an attempt to cut whisky stocks.

Allied had hoped at the time to reopen it in 1998, but stocks lasted longer than expected. It eventually reopened it in 2002.

Last night a spokesman for Pernod Ricard declined to comment, but it is understood that following the expansion of its Glenlivet distillery and the reopening of its Allt a' Bhainne distillery, Glendronach is surplus to requirements.

One source said: "They are probably trying to cash in while whisky prices are riding high."

The Glendronach has a long and distinguished history, having been established in 1826 by one of the original whisky entrepreneurs, James Allardice. http://business.scotsman.com

11 Jul 08

Auchentoshan launches new website with £2,500 whisky promotion

Auchentoshan Distillery - home to Scotland’s only triple-distilled single malt whisky – has created a cutting-edge website to match its recently launched contemporary new identity.

To celebrate the launch of its radically revamped online presence, visitors to the site are being offered the opportunity to win a rare bottle of Auchentoshan 1957 – one of only 144 hand-numbered bottles in the world.

The new-look site at www.auchentoshan.com - part of a significant investment in its brand – marks a dramatic break from traditional whisky marketing with a dynamic, contemporary design created internally and built by award-winning Glasgow digital agency Chunk.

The easy-to-navigate site is focused on the consumer experience with the creation of interactive elements such as audio guides, cocktail recipes and a blog from distillery manager Iain McCallum.

Other features include tasting notes of Auchentoshan’s old and new expressions, information on the triple distillation process and an update on the visitors’ centre which will be re-launching in the autumn.

Karen Christie, marketing manager for Auchentoshan, said:  “It was important that the online environment reflected the new-look range which was launched in June - a design that incorporates both traditional and contemporary elements.

“The focus has been to entice both the whisky connoisseur and the first-time taster at local, national and international levels to discover more about our products.”

Morrison Bowmore Distillers web manager Ewan Morgan, went on to explain:  “Built using .NET, PHP and Flash and an open source blogging software Wordpress, the website had to reflect the modern direction the brand has now taken. The site itself is a great repository of information about not only the whisky but everything to do with Auchentoshan – from the people behind its creation to the restoration of distillery facilities.”  

The competition to win a limited edition bottle of Auchentoshan 50 year old worth £2,500 will appear online until October.  Bottled at cask strength 49.1%, the exclusive vintage from a Spanish Oloroso sherry cask has been matured at the lowland distillery warehouse in Dumbartonshire on the outskirts of Glasgow.

The whisky has a light fragrance of eucalyptus followed by a butterscotch and treacle sweetness.  A splash of water brings out an aroma of ripe soft fruit and fresh green apples.  Mild mint combines with sweet light treacle and dark chocolate on the palate, providing a silky smooth and deliciously complex finish. www.morrisonbowmore.co.uk

08 Jul 08 In September Balvenie will launch a limited edition, The Balvenie RumCask 17 Year Old.
07 Jul 08

UK: Glenglassaugh Distillery joins Scotch Whisky Association
Source: just-drinks.com editorial team

The Glenglassaugh Distillery Company has become a member of the Scotch Whisky Association (SWA).

The Glenglassaugh Distillery near Portsoy, Aberdeenshire was recently acquired by European investment house the Scaent Group and work is currently underway to re-open the facility for production later this year.

"At Glenglassaugh we believe that we have a unique opportunity to breathe life back into a hidden gem," said Glenglassaugh managing director Stuart Nickerson today (7 July). "The SWA is of vital importance to the whisky industry and we recognise the part they play in ensuring that brands like ours become part of Scotland's future whisky heritage."

Glenglassaugh, led by Nickerson, has recruited a new team including former manager Graham Eunson as distillery manager and whisky expert Ian Buxton as marketing consultant.

SWA spokesman David Williamson said: "That Scotch_Whisky is to be distilled again at Glenglassaugh is good news for the industry. We are delighted Stuart and his team are going to play their part at industry level and welcome them as the SWA's 54th member company."

07 Jul 08

White & Mackay eyes Glen Moray

WHYTE & Mackay, the distiller, was yesterday reported to be eyeing a possible takeover of Glen Moray, the Elgin-based single malt brand.
Glen Moray's owner, the French luxury goods giant LVMH, said last week it was putting the brand on the market as part of a wider restructuring of its Glenmorangie whisky business.

A spokesman for Whyte & Mackay, part of India-based United Breweries, said: "We do not comment on industry rumour. http://business.scotsman.com

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