TWE will begin consolidating production in California in the Central and North Coast regions, with Luxury wine production focused at the Beringer winery and Masstige wine at the Paso Robles winery. Production from the Paicines Winery will also be consolidated at Paso Robles as the company intends to sell the Central Coast site.
Luxury winemaking on site at Sterling Vineyards will be consolidated and winemaking at the Beaulieu Vineyard will transition to focus on Luxury wine only.
The company will discontinue winemaking at the Chateau St. Jean winery in Sonoma County, with production moving to Beringer. All hospitality and direct-to-consumer functions however, will remain unchanged at the site.
A number of small vineyards and land holdings will be divested by TWE and investment will be driven into its remaining US wineries between vintage 2016 and 2018 to increase its production of premium American wines for export to Asia.
In the announcement, the company said that the changes would affect a number of roles within the company, but that some may transfer to new owners "dependent on relevant sales and divestment processes."
"These initiatives will enable brands recently acquired from Diageo to benefit from the positive transformation already undertaken with the company’s established portfolio, and are consistent with strategic plans announced at the time of the Diageo Wine acquisition," the company said.
The transitions are expected to be complete by the end of fiscal 2018.
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