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Industry Issues

January 1, 2006

Pernod Ricard Realigns
Pernod Ricard, Paris, will reorganize its management into eight new divisions. The new structure will include regional and brand groupings, including Europe, the Americas, Asia, the Pacific, a group to manage Chivas Brothers and Beefeater Gin, a division to manage Martell Mumm Perrier-Jouet, and units for Ricard and Pernod.
The company also announced it has divested itself of the Glen Grant, Old Smuggler and Braemar brands to Campari as required by the European Commission for last year’s acquisition of Allied Domecq. In the United States, Pernod Ricard USA appointed a number of distributors/brokers to handle its expanded portfolio. Young’s Market Co. will handle distribution for the full line of spirits and wine brands in California and Hawaii, as well as Alaska, Idaho, Montana, Oregon, Utah, Washington and Wyoming.
Southern Wine & Spirits will represent the full line in Maine, New Hampshire, Vermont, Florida, Illinois, Metropolitan New York, Upstate New York, Kentucky, Nevada, New Mexico, South Carolina, North Carolina, Virginia and West Virginia. United Liquors Ltd. will take on additional brands in Massachusetts. BI
Spirits industry protests tobacco promo
The distilled spirits industry and Attorneys General from New York, Maryland and California pressured R.J. Reynolds to pull a recent promotion they felt condoned excessive drinking and included liquor brands without the permission of the brand owners. The groups, including the Distilled Spirits Council of the United States, sent a joint letter to the tobacco company, which subsequently dropped the promotion.
“The spirits brands highlighted in the R.J. Reynolds marketing promotion were included without the knowledge, consent or participation of any spirits company. The spirits industry does not condone any marketing materials that glorify drunkenness and illegal, underage consumption,” said Distilled Spirits Council President Peter Cressy.
He added, “These same materials would be a clear violation under the Distilled Spirits Council’s own advertising and marketing code if there had been liquor company involvement, which there was not.” BI
ABA buys back InterBev
The American Beverage Association has re-acquired the InterBev beverage trade show, and is planning a convention Oct. 23-25 at the Sands Expo Center in Las Vegas.
“We are excited to produce an event that will showcase the exciting products of this innovative industry,” said Susan Neely, president and chief executive officer of the ABA. “The convention will have strong appeal for exhibitors and attendees. We look forward to providing the venue for stakeholders to meet, discuss timely issues and see the latest products and equipment that generate opportunities in today’s marketplace. InterBev 2006 will be the place to be for those associated with the dynamic beverage industry.”
Ralph Crowley, chairman of the board at the association, said: “It’s a solid decision by the board to re-acquire the premier beverage trade show in the country. I hope that all beverage industry companies will take this opportunity to exhibit or attend InterBev this fall.”
ABA will hold its Annual Membership Meeting and State Association Conference in conjunction with InterBev 2006. For information about the show, call 703/934-4700 or visit ameribev.org. BI
Stagnito acquires Food Safety Summit
Beverage Industry parent company Stagnito Communications Inc., an Ascend Media Company, has purchased the Food Safety Summit from Eaton Hall Exhibitions, Florham Park, N.J. The Food Safety Summit is North America's biggest and most established trade show and conference program, serving retailers, processors, foodservice professionals and government personnel who are involved in food safety, quality assurance and food security. The 2006 Food Safety Summit is scheduled for March 22-24 at the Mandalay Bay Hotel in Las Vegas.
“Protecting the safety and integrity of our food supply is one of the most critical issues confronting the industry,” says Harry Stagnito, president of Stagnito Communications. “Every year the Food Safety Summit provides an outstanding forum to discuss solutions and bring buyers and sellers together. We're thrilled to be attached to this important event.”
“Stagnito Communications was ideally suited to purchase the show,” says Scott Goldman, president of Eaton Hall Exhibitions and founder of the Food Safety Summit. “As the largest information provider to the food, beverage and packaging industry, they possess the expertise and relationships to grow the Summit.”  Goldman will participate in the 2006 show.
The latest show details, including confirmed exhibitors and conference programming, can be found at foodsafetysummit.com. BI
New juice company focuses on the private label market
IFP North America has entered the fruit juice market with a new, $65-million, state-of-the-art plant being built at its Erie, Pa., headquarters. The company, whose initials stand for Innovative Fruit Processing, will use the “one-site aseptic multi-fruit processing and juice packaging plant” to produce a line of premium quality, not-from-concentrate juice products. The plant is also capable of producing from-concentrate juices as well as bulk fruit concentrate and purees for industrial customers.
Herb Fiss, chairman, chief executive officer and president, says “Unlike existing plants, which either process fruits for the production of fruit juice concentrates or package fruit juice beverage products, but not both, our Erie plant represents a true ‘fruit to package supply chain.’”  
The plant is able to process a variety of fruits, including apple, pear, peach, cranberry, blueberry and grape and the resulting blends, as well as flavored waters and smoothies. The Erie location was chosen based on a number of factors including: access to major highways and rail systems; access to major fruit growing regions in Pennsylvania, New York, Michigan and Ohio for raw materials; and inclusion in a Pennsylvania-designated “Keystone Opportunity Zone” which provides significant financial benefits and operational savings, which Fiss intends to share with his retail customers. The plant’s five production lines are able to simultaneously produce aseptic “cold-filled” multi-serve and single-serve gable-top containers and “ambient-filled” shelf-stable multi-serve and single-serve PET bottles. The aseptic cold and ambient-filled processes produce a better tasting, higher quality product than the more common “hot-filled” processes. BI
Miller to pull brands from Molson
Miller Brewing is seeking to end a licensing agreement with Molson under which Molson distributes Miller brands in Canada. The company reportedly has filed a lawsuit claiming the merger between Molson and Coors altered the business arrangement that began in 1989, and potentially gives Coors access to information about Miller’s business. BI

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