Dec 19
2007

Ghillie's Dram to celebrate River Spey

To celebrate the glories of its own Salmon fishing beat on the fabled River Spey at its Easter Elchies estate, The Macallan Single Malt Scotch Whisky has created The Ghillie’s Dram.

A limited edition of only 800 bottles of this 12 years old single malt have been produced, each individually hand-labelled and numbered. Also included with the bottle is a fishing pouch with two Macallan salmon flies and a limited edition map of The Macallan beat.

The Macallan Ghillie’s Dram honours the important role that the River Spey, one of Scotland’s most famous salmon rivers, plays in creating the character of The Macallan. The river borders The Macallan Estate to the south and south-east and is managed in harmony with this beautiful landscape.

Willie Bremner, The Macallan Estate Ghillie, said: "The Spey serves not only as a boundary for The Macallan Estate, it also provides a wonderful fishing experience, a rich natural habitat, and water used in the creation of The Macallan. It is my pleasure to manage The Macallan fishing beat; five dark and delightful pools where salmon and trout rest fleetingly on their long journeys up and down the river. In my mind, the river, the land and the whisky have always been bound together, each an essential part of the other.

“It is a beautiful river, a source of both fresh water and timeless inspiration for us, and it continues to captivate generations of anglers and whisky lovers worldwide. The purchase of a bottle will be supporting the restocking of salmon in the River Spey, helping to preserve this priceless asset."

The whole The Macallan Estate covers 370 acres (150 hectares), comprising land for growing barley to make The Macallan, pasture for sheep and cattle, woodland, and mown grassland to attract species of birds.

Ghillie’s Dram is now available exclusively at the distillery shop for £95 per bottle.

Article Courtesy of Macallan

Dec 13
2007

Glenfiddich's 30-year-old whisky wins industry award

Glenfiddich has won the top accolade in the 2007 Whisky Merchants' Challenge Awards.

The distillery's 30-year-old Single Malt Scotch Whisky won through in a blind tasting event as well as receiving a gold medal in the over £50 category.

Glenfiddich's prize whisky also took a gold (best in class) medal at the International Wine & Spirit Competition 2007.

The 30-year-old whisky is a single malt combination that has been matured in Oloroso sherry and bourbon casks.

David Stewart, Glenfiddich Malt Master, commented: “We've always believed Glenfiddich 30 Year Old to be an excellent dram, but to have such esteemed judges vote it the overall winner in a blind tasting in our homeland is a real thrill.

“It really has been a remarkable year of achievement for the men and women of the distillery.”

Glenfiddich Distillery recently won the award for Scottish Visitor Attraction of the Year 2007 - it attracts around 80,000 visitors a year..

Article Courtesy of Harpers

Dec 12
2007

Rare whisky goes on sale in ‘One of a kind’ linley drinks cabinet

A £55,000 drinks cabinet with some of the world’s rarest whisky will go on sale tomorrow (Thursday 13 December) at Harrods.

Custom built for The Macallan, the ‘one of a kind’ LINLEY drinks cabinet will contain six single malt vintages from the Fine & Rare collection: 1937, 1940, 1948, 1955, 1966 and 1970.

Handcrafted from English Oak and Burr Oak, the drinks cabinet also includes six bespoke crystal LINLEY whisky tumblers, cigar humidor and a secret compartment which has become a signature feature of LINLEY furniture.

Ken Grier, Director of Malts said: “This unique collaboration has brought together two industry Masters of spirit and wood. Like The Macallan, Linley’s furniture brings together a balance of traditional and modern techniques to achieve the highest possible standards in the craft and this cabinet is testament to this. Together with a selection from of our Fine & Rare collection it is certain to become a collector’s item to fetch an even greater price in the future.”

The extraordinary expressions of vintage Macallan from the Fine & Rare collection are each carefully selected for their unsurpassed quality and rarity – representing the finest single malt from that year. Each bottle has a wonderful diversity of colour from light beech through to dark walnut, with aromas and tastes ranging from the lightly peated vintages to those with fresh floral aromas or rich sherried flavours.

The range is so highly sought after that many are only available through private sale via auction houses or whisky collectors.

The Macallan and LINLEY cabinet will be sold in a World of Whisky and Watches evening on Thursday 13 December hosted at By Appointment at Harrods from 5:30 pm to 7:30 pm.

Article Courtesy of Macallan

Dec 09
2007

Whisky Sells for $54,000

A bottle of 81-year-old Scotch sold for $54,000 at New York's first liquor auction since Prohibition.

An anonymous collector bought the pricey potable at Christie's sale of wines and spirits on Saturday.

The 100-lot auction sold a total of $304,800 worth of rare wine and liquor. The top lot was a collection of 729 bottles of whisky, which went for $102,000.

The $54,000 bottle was distilled at Macallan in Scotland in 1926, bottled in 1986 and rebottled in 2002.

Prohibition lasted from 1920 to 1933, but New York State did not allow auctions of spirits until this year.

The auction prices include Christie's 20 percent commission.

Article Courtesy of The Associated Press

Dec 07
2007

Whisky Galore! 10,000 Bottles Stolen

More than 10,000 bottles of single malt Scotch Whisky, destined for the UK Christmas market have been stolen.

The bottles of Bowmore Islay Single Malt, with a retail value of almost £300,000, were taken around midday on Tuesday from an independent haulier in the Hertfordshire area.

The haul included various aged bottles of Bowmore, from 12 years old to 25 years old.

Bowmore Distillers are desperately bottling more of the spirit from Islay to ensure UK retailers and consumers will not be disappointed this Christmas.

Glen Moore, Bowmore brand director said: "We are confident we will be able to supply all retailers with Bowmore and customers will still be able to buy Scotland's number one Islay malt whisky for Christmas.

"Unfortunately Single Malt Whisky cannot be distilled today and bottled tomorrow so it will take up to twenty five years to replace the older stock."

Hertfordshire Constabulary is investigating and have appeal for anyone with information to contact them at the Crime Management Unit.

Article Courtesy of the Sky News

Dec 04
2007

New Appointments at The Scotch Whisky Experience

The Scotch Whisky Experience, the five-star visitor centre on Edinburgh's Royal Mile, is delighted to announce two new appointments. Garry Gray, managing director of John Dewar & Sons, which produces Scotland's best known whisky brands including Dewar's, Lawson's, Aberfeldy and Glendeveron, has been appointed non-executive chairman of The Scotch Whisky Experience Ltd. The centre has also appointed a new finance director, Tony Dick, who was formerly financial controller of Aggreko plc (Northern Europe).

Alastair McIntosh, managing director of The Scotch Whisky Experience, which attracted nearly quarter of a million visitors last year, said:

"We are delighted to welcome both Gary and Tony to the team. They bring with them extensive and very valuable experience in their fields and we look forward to this expertise enhancing our business."

The Scotch Whisky Experience is situated on the Royal Mile below Edinburgh Castle and offers unique insight into the world of Scotch Whisky with informative film, educational tour and whisky tasting. The venue has a fine dining restaurant, Amber Restaurant, as well as corporate and meeting facilities.

Article Courtesy of Allmedia Scotland

Dec 02
2007

Highland spirit

WAREHOUSE 24 at Balvenie Distillery on Speyside, which forms the basement of an 18th century mansion now used to store whiskies until they have reached their prime, is fast building a reputation as the venue for one of the most memorable whisky tours in Scotland.

Whisky tourism has become a wide-ranging and highly profitable industry. Scotch whisky distilleries welcome more that one million tourists a year - and they have the highest spend per head in visitor attractions. In total, sales from whisky attractions are worth more than £17 million to the Scottish economy.

Some tours are "pile them high, get them round fast" affairs, providing little more than a potted guide to how whisky is made. At Balvenie, however, tours are limited to a maximum of eight people, and they will even offer a one-to-one tour if you're the only visitor. While pricey at £25, the attention to detail provided on the tour is worth it.

advertisementEach tour starts and ends in what was once the distillery manager's office, now renovated and featuring bespoke furniture created by Paul Hodgkiss. From there the tour takes in one of the last few floor maltings and a chance to see the kiln with its distinctive pagoda roof, where the barley is smoked.

However, it's Warehouse 24 that is the highlight. At the end of the dimly lit, slightly damp warehouse sit three casks and a battered copper hollow cylinder, called a "dog". In years gone by less honest warehousemen would use this to drop into the casks and withdraw a surreptitious sample. Attached to a piece of string, it was then hung down a trouser leg and smuggled out to be enjoyed at leisure. These days, visitors have the chance to take their own sample and have it bottled as a souvenir.

Dry days For walkers, the Speyside Way, which generally follows the course of the river Spey, is one of four official long-distance routes in Scotland. It's 84 miles long, but there are plenty of shorter stretches to be enjoyed. Wildlife abounds, while spectacular scenery is almost ever-present. Visitor attractions such as Ballindalloch Castle (www.ballindallochcastle.co.uk; 01807 500 205) are within easy reach, as are several golf courses. The towns of Dufftown, Keith, Huntly and Elgin are all close at hand for retail therapy.

Wet days Speyside is whisky country, and there are numerous other distilleries to make a week-long stay in the area worthwhile. Glenfiddich, for example, Balvenie's next-door neighbour, has a fine restaurant serving full meals and snacks followed by a tour.

Eating and drinking The two rosettes Ben Aigen restaurant in the Craigellachie Hotel (www.craigellachie.com; 01340 881204) offers fine dining, featuring quality local produce, from around £33. The hotel is also a magnet for whisky connoisseurs. The world-renowned Quaich Bar has a selection of almost 700 whiskies, some of them extremely old and very rare - and very, very expensive. The Highlander Inn (01340 881446) nearby is a small and friendly hostelry, again with a fine whisky bar and dinner for around £25. Bar and whisky manager Tatsuya Minagawa presides over more than 150 malts - many from his native Japan - and an interesting selection of real ales.

Where to stay In addition to the Craigellachie Hotel and the Highlander Inn, there is a decent range of accommodation available in the area. www.RoomFinder Scotland.co.uk offers full details. Click on Aberdeen and Grampian, then Craigellachie to be taken to the appropriate page.

Article Courtesy of the Sunday Herald

Nov 30
2007

Highland Park releases third Ambassador’s Cask

Highland Park has announced the launch of its third Ambassador’s Cask, after both the first and second sold out within months of being released – the most successful and fastest selling limited edition bottlings in the Orkney brand’s 209-year history.

For the third Ambassador’s Cask, Gerry Tosh, Global Brand Ambassador, has selected cask 9035, which was filled in 1974 and bottled this year.

Because of the exceptional quality of this 33 year old single malt, the special edition has been released in 372 35cl bottles, making it more accessible for a range of whisky lovers.

The exclusive Ambassador’s Cask III bursts with aromas of dark chocolate, orange peel and toasted smoky almonds and finishes with the signature dry smokiness of Highland Park.

Gerry Tosh, Global Brand Ambassador, commented: “The success of the first two Ambassador’s Casks is testament to the present demand for limited bottlings. By releasing the third edition in a 35cl bottle more people will have the opportunity to try this fantastic 33 year old whisky.

“Cask 9035 was one of five under consideration and it will not disappoint with a lingering aftertaste of dried fruits, setting it apart from the first two limited edition casks.”

Each of the 372 35cl Highland Park Ambassador’s Cask III bottles (RRP £95) are penned with Gerry Tosh’s signature and sealed in a beautifully crafted wooden box.

The Ambassador’s Single Cask III is available at the Kirkwall distillery and also on the Highland Park website www.highlandpark.co.uk. It is anticipated that this limited edition release will be popular with whisky connoisseurs, tourists and locals.

For further information please visit www.highlandpark.co.uk

Article Courtesy of Highland Park

Nov 29
2007

MPs fight to freeze Scotch whisky duty

The secretary of state for Scotland Des Browne is to continue fighting for Scotch whisky duty to remain frozen in the next Budget.

But wine duty could still go up to maintain a level playing field for the whisky industry worth £2.5billion annually to the Scottish and UK economy.

Responding to questions as part of a House of Commons debate, Browne acknowledged duty charges on whisky are far higher per unit of alcohol than on wine.

He said: “I have a long-standing interest in ensuring a level playing field for Scotch whisky in the United Kingdom and throughout the world.

“Since we [Labour] came to power, the Chancellor of the Exchequer has frozen the duty on Scotch whisky year on year in order to achieve that very competitiveness."

Declaring his interest, because one of the biggest Scotch whisky bottling plants is in his constituency—the Johnnie Walker plant in Kilmarnock – Browne added that the Scotch whisky industry is of “massive” importance to the Scottish economy.

“That is why the Government has announced steps to enhance the protection of Scotch whisky,” he said.

Browne assured Scottish whisky producers that they are “unlikely to be disappointed” by the legislation currently undergoing consultation to protect the intellectual property rights of Scotch whisky.

“We are determined that it [legislation] will be in the best interests of the Scotch whisky industry,” he said.

Article Courtesy of Harpers

Nov 28
2007

Chivas Brothers unveils Christmas offerings

Chivas_Brothers, Pernod Ricard's Scotch_whisky and gin arm, has unveiled a raft of gift offerings to be launched across a range of international markets over the festive season.

Among the new offerings is a handmade metal gift tin for the Chivas_Regal 12 Year Old. The gift tin, embossed with the distinctive crest, will be available in over 50 countries, while in France a seasonal variant on the original packaging is being launched.

Meanwhile, a Chivas Regal 18 Year Old gift tin, created by French designer Andrée Putman, is being launched in several markets including France, Germany, South Africa, UK, Italy and Greece, with a recommended retail price of EUR120 (US$177).

For Ballantine's Finest, Chivas Brothers is marketing a gold tin, which will be available in 70cl, 75cl and 1-litre sizes, and sold in key markets in Latin America and Central and Eastern Europe.

In Germany, the Ballantine's Finest 75cl bottle is being offered in a contemporary flask, with an embossed effect in blue, while in France, the Ballantine's 12 Year Old 75cl bottle will be available in a blue leather carton. Leather cases have also been developed for the core range of The_Glenlivet.

"This year, the luxury cues of each brand are reflected across our range of Christmas packaging," said Chivas Brothers' marketing director Martin Riley. "We are certain that these seasonal offerings will encourage customers to purchase and that the contemporary appearance of each will allow for maximum prominence in off-trade sales.

Article Courtesy of Just Drinks

Nov 26
2007

Grant's whisky takes a different angle

Grant's Scotch whisky has commissioned European street artists Edgar Muller and Manfred Stader to create a trompe l'oeil art installation inspired by its 'try a different angle' ad campaign.

The work, which must be viewed from a certain angle to obtain the 3D effect, has gone on show at the Evropeisky Trade Centre in Moscow.

The commission coincides with the 50th anniversary of the iconic triangular bottle for which the Grant’s brand is internationally recognised.

The company says the work of art is intended to “reflect the whisky’s unconventional vision – taking a fresh and different perspective on things”.

Article Courtesy of Drinks International

Nov 23
2007

Release of The Scotch Whisky Aroma Nosing kit

For some time, ScotchWhisky.net has recognised that a significant gap has existed in the market for a “Scotch Whisky Aroma Nosing Kit.” Such a “nosing” kit of “reference” aromas would be instrumental in helping Scotch Whisky enthusiasts - and professionals alike - tutor their noses against a series of “standard” or “reference” aroma chemicals.

ScotchWhisky.net also recognised that in order to develop a kit of standard reference aromas related to Scotch Whisky it was necessary to partner with an expert in the field of Aroma Science. They therefore joined forces with George Dodd an internationally renowned Aroma Scientist based at the Perfume Studio in the Highlands of Scotland. George is one of the world’s greatest experts on the sense of smell and aromas and he is the only working perfumer in Scotland. The project has been under development for over 18 months and now the “Scotch Whisky Aroma Nosing Kit” has finally been launched!

For further information, please visit www.scotchwhiskynosingkit.com

Article Courtesy of ScotchWhisky.net

Nov 20
2007

Rebus bottle goes for a song!

Highland Park’s Rebus20 collection has caused a stir in the collectors’ market with the latest bottle selling on auction website e-bay for a staggering £1,030!

Highland Park launched the limited edition Rebus20 single malt Scotch whisky, which was specially selected by Ian Rankin, to celebrate the 20th anniversary of the first Inspector Rebus novel, Knots and Crosses.

Just over 150 bottles from the 20 year old Highland Park single cask were produced and the exclusive money-can’t-buy whisky was only available to fans of Rebus and Highland Park through a series of competitions.

The clearly sought after bottles are now fetching pounds for the bottle alone. In September Ian had donated a bottle to the Oxford Bar in Edinburgh for visitors to donate money to his favourite charity, Special Needs Information Point (SNIP) in return for a dram. Highland Park recently learned that a £50 donation was made just for a collector to take the empty bottle and no whisky!

Highland Park, which has won a multitude of awards this year for their superb liquid, have also hinted that there could be something equally exciting for “HP enthusiasts” early next year. Until then, the bidding must go on!

Article Courtesy of Highland Park

Nov 18
2007

Island whisky wins top accolade

A toast has been raised to a distillery in Islay as its tipple is honoured in a distinguished guide.
Ardbeg has been awarded the title of World Whisky of the Year in the Whisky Bible 2008.

The 10-year-old dram received another accolade after the bible also named it as the best Scotch Single Malt.

Aficionados say that Ardbeg has an overtly peaty, smokey flavour. It is also said to be surprisingly smooth on the palate with a warm finish.

Jim Murray, Whisky Bible 2008 author, who awarded the honour to the 10-year-old single malt, praised the drink as a unique product.

He said in his guide: "To me Ardbeg is - and always has been - the most complex malt on earth."

He added: "I have been visiting the distillery for nearly 30 years - long before anybody had heard of Ardbeg.

"And because I have long regarded this as the finest distillery in the world, I actually try to handicap the sample to iron out any natural bias."

Article Courtesy of BBC News

Nov 13
2007

Rare whisky's a better bet than shares

For businessman Michel Kappen, whisky is more than just a drink with a couple of friends to celebrate a deal or to savour in front of a fireplace on a cold night.

Whisky can be a high yield asset for investors wary of volatile equities markets, he said at the launch of hisWorld Whisky Index, a website that aims to bring buyers and sellers of rare and expensive whisky together.

"If you invest in stocks, there is always the risk the value will go down. With whisky, we do not see that," he told Reuters as a piper in full Highland regalia played the bagpipe to mark the launch of the index.

"It is a very stable investment. The annual rate of return is 12 per cent," said Kappen.

He cited the example of a bottle of Black Bowmore Scotch malt whisky, distilled in 1964 and bottled in 1995.

"From 150 euros (NZ$290) in 1995, this bottle is now worth 2,450 euros (NZ$4,800)," he said.

The World Whisky Index currently has 2,853 bottles of whisky on its list, with the most expensive priced at 650 euros (NZ$1,260) and the oldest dated 1926.

Still, a drink is a drink and a personalised bottle of rare whisky could boost one's career, said Kappen.

"You can look in the Index for a whisky distilled or bottled in the year that your director was born and give it to him," he said.

Article Courtesy of stuff.co.nz

Nov 09
2007

The Macallan launches 55 year old single malt whisky in Lalique decantert

On Wednesday 7 November, iconic luxury brands The Macallan and Lalique unveiled The Macallan in Lalique Natural Colour decanter containing an exceptionally rare 55 years old single malt whisky valued at £6,000 (USD$12,000).

The Natural Colour decanter has been designed by the legendary French crystal house Lalique, exclusively for The Macallan. A limited edition, of only 420, have been produced, each individually numbered and available in selected outlets in the USA, UK, Asia and Russia from January 2008.

Ken Grier, Director of The Macallan, comments: “At The Macallan we insist on natural colour. It is the interaction of spirit and wood alone which delivers the rich diversity of colour evident throughout The Macallan range and we used this as the inspiration for the design of this decanter, the second collaboration between The Macallan and Lalique.

“The first decanter containing 50 year old single malt was launched in 2005 and proved a huge success. Since then we have seen an increase in demand for our rarer whiskies, proof that we were moving in the right direction by extending our partnership with Lalique to produce a series of decanters containing the finest Macallan single malt. The Natural Colour decanter launched today is the second in what will be a series of six based on The Macallan’s Six Pillars and is testament to the quality and craftsmanship of both partners in the production of this outstanding product. We are confident that this will make the Natural Colour decanter even more desirable to the discerning purchaser and will be of particular interest to whisky connoisseurs and collectors of Lalique crystal.

The Macallan 55 years old single malt contained in the decanter is cask strength (40.1% abv), and has remained undisturbed for over half a century at Easter Elchies House – The Macallan’s spiritual home on Speyside, Scotland - where it matured through the decades in a sherry oak cask. Dark rosewood in colour, the liquid has aromatic notes of exotic, sweet dried fruits with a hint of peat-smoke, the finish is wonderfully soft, smooth and spicy with lingering touches of citrus.

Managing Director of Lalique UK, Mercedes Canos, explains: “We are delighted to be working with the world’s finest single malt as it has given us the opportunity to design a series of decanters which reflect all the best attributes of our brand - creativity, heritage and craftsmanship. The Natural Colour decanter was created by our design team in Paris and is based on the classic Paquerettes tiara perfume bottle designed by Rene Lalique in 1910. It is a mix of masculine and feminine shapes and the stopper is made in amber coloured crystal, one of the most difficult colours for crystal makers to achieve.”

Hand crafted at Lalique’s crystal making facility in Wingen-sur-Moder, Alsace, each piece was worked on by up to 25 craftsmen, many of whom have attained the ‘Meilleur ouvrier de France’ – the Finest Craftsman of France Award. Each decanter bears the esteemed ‘Lalique France’ signature which symbolises authenticity and over 100 years of creativity, heritage and craftsmanship and comes in a specially designed leather and silk presentation box, with a crystal stopper and a leather-bound collectors guide detailing the craftsmanship that has gone into producing this beautiful object d’art.

Respected and admired by discerning whisky lovers and named ‘best malt in the world*’, The Macallan remains the single malt against which all others must be judged.

Article Courtesy of Macallan

Nov 08
2007

Bacardi to build Scotch whisky plant

Competition is hotting up in Scotch whisky, after Bacardi said it had finalised a deal to buy land in Scotland in order to build a new facility.

The Bermuda-based drinks group said it had signed a deal to buy a 106-acre stretch of land in central Scotland, set to be developed as a second maturation, blending and storage facility for its premium portfolio of Dewar’s Scotch whiskies.

Many Scotch makers are eyeing expansion on the back of rising exports and high anticipation over India’s agreement to lower import tariffs on wine and spirits.

Bacardi’s planned new facility, to be based in South Lanarkshire, will form part of the firm’s $250m (£118.7m) expansion programme for Scotch over the next 10 years. It is a direct response to growing demand for Dewar’s in Asia and other emerging market regions, the group said.

Construction on the new facility is not expected to be completed until 2018, but the first part of the plant is planned to be operational by 2009 – capable of handling around one million casks.

Bacardi’s announcement follows a similar statement by fellow drinks maker Diageo last month, after local councillors cleared the group’s proposed £40m malt distillery. Diageo has its own £100m expansion plan for Scotch whisky.

Campbell Evans, of the Scotch Whisky Association, told Drinks International India’s recent commitment to lower import tariffs was driving expansion among both large and small distillers.

“The opportunities there are enormous. When China lowered its tariff barriers we saw exports rise from £1m in 2000 to £60m in 2006.”

Article Courtesy of Drinks International

Nov 07
2007

Crackdown on whisky pirates

James Fry, partner at Eversheds discusses the potential changes to protect UK brands overseas after the announcement last month of forthcoming consultations which aim to enhance the protection of the Scotch Whisky brand.

For over 50 years, the Scotch Whisky industry has been fighting to protect the lucrative Scotch Whisky brand against counterfeiters. The brand has built a strong global reputation for quality which could be easily undermined by the circulation of substandard counterfeit goods.

Scotch Whisky is one of the UK's top five export earning manufacturing industries, sold in over 200 markets worldwide. Strong protection allows exclusive products to be sold at a premium and its international growth has resulted in a wave of investment by Scottish distilleries.

However, the inaccessibility of luxury products to many Chinese and Indian consumers has resulted in a major hurdle for the industry - soaring levels of piracy. It has been estimated that a massive 500,000 cases of counterfeit Scotch Whisky circulate yearly in India. Although currently relatively unsophisticated, this piracy poses a huge threat to this valuable brand and the industry is right to vociferously express its concern.

The Scotch Whisky Association (the “SWA”) has supported the significant burden of challenging counterfeiters, fighting up to 70 court cases around the world at any one time. The SWA has used the existing international legislative framework, including the protection offered to Geographical Indications (“GIs”), to promote and protect the brand.

GIs identify place names and associated words which link the reputation or quality of a product to a specific geographical location. GIs aim to protect consumers by ensuring the quality of products and the continued existence of manufacturing skills, know how and methods, which have developed in a particular geographical area.

In the UK, the Trademarks Act 1994 provides a mechanism to protect GIs at a national level. It is possible to register a GI as a Collective trademark (goods of an association), or a Certification mark (characteristic of the product). In addition, Scotch Whisky is currently protected under the Scotch Whisky Act 1988 and the Scotch Whisky Order 1990. This legislation provides a specific definition of Scotch Whisky, which is relied upon in legal action in the UK and overseas to ensure quality.

Despite successes in protecting the Scotch Whisky brand abroad, rising counterfeiting in countries such as China and India has amplified the need for enhanced legal protection. The SWA has been vocal in advocating these necessary changes.

The Defra consultations on UK domestic law could result in changes being introduced through secondary UK legislation as early as Spring 2008. The consultations have arisen from the recommendations of an industry working group established in 2004 to codify and update the legislation governing Scotch Whisky.

These proposals aim to safeguard the use of the names of certain Scottish regional geographical origins which were previously unprotected. Whereas distilleries currently rely upon trade mark law to protect their names, the consultation suggests that these names should only be used where the whisky has been wholly distilled in the named distillery. In addition, the proposed legislation aims to define five categories of Scotch Whisky, a significant improvement on the current definition.

Because the definition of Scotch Whisky is often used in actions in other jurisdictions, the tightening of the definition of Scotch Whisky under domestic law would impact upon the ease of protecting rights abroad.

The announcement of the consultation to reinforce UK legislation protecting Scotch Whisky is a welcomed development which impacts upon the ability to enforce these rights quickly and effectively, not only in the UK but also abroad.

Article Courtesy of The Retail Bulletin

Nov 06
2007

Sober ad from drinks firm

The manufacturer of Smirnoff Ice, Gordon’s gin and other well-known alcohol brands is spending £3 million on a Christmas advertising campaign urging young people to consume fewer of its drinks.

Diageo, which also makes Bell’s whisky and Guinness, said that the cost of the “ethical ad” was the same as the average advertising budget for each of its brands and showed that it was serious about promoting responsible drinking.

The campaign comes amid concern in the drinks industry that the Government is considering imposing severe restrictions on alcohol advertising, or even banning it.

Drinks manufacturers are under pressure from City investors to show that they are doing all they can to forestall tighter controls on their business.

The advertisements show a young woman enjoying herself at a party with a few drinks then falling over and making a fool of herself after she has drunk too much.

The same format is used to follow the progress of a young man going to the pub with friends.

Diageo said research showed that negative images of drunkenness encouraged young people to change their drinking habits.

Article Courtesy of The Times

Nov 05
2007

J&B whisky given new look

Scotch whisky J&B has undergone a £5 million packaging revamp to give it a more contemporary look.

The new bottle has angular shoulders with a narrower neck and a more pronounced foot while the label has been given black, gold and white borders and drop shadow and layered detailing.

J&B global brand director Nik Keane said: "The new pack highlights the brand’s role as the ultimate party whisky with an edgy design that will appeal to party goers around the world. Working in synch with our global Start a Party campaign, it will help us achieve substantial growth for the brand during the year ahead."

The Start a Party campaign was launched in 20 countries earlier this year featuring print and poster advertising.

Article Courtesy of Drinks International

Nov 05
2007

Diageo and Pernod Ricard start whisky price war

Global drinks giants Diageo and Pernod Ricard have dropped prices of their front-line Scotch whiskies by 10-30% ahead of Diwali on November 9

Whisky brands from the two companies will be discounted across the country except Maharashtra.

Diageo has kicked off a price reduction on its Johnnie Walker Black and Red Labels and arch rival Pernod Ricard is following suit with an almost similar pricing strategy on Chivas Regal and Ballantine's Scotch whiskies.

Pernod Ricard brands may only see a price reduction of up to 30% even as Diageo has gone in for a drop as high as 38% in a few markets.

“We expect a significant momentum from the price reduction, especially with the festival and marriage season kicking in," said Asif Adil, managing director of Diageo India.

Article Courtesy of Harpers

Nov 01
2007

Diageo sparks whisky war in India

Diageo sparks price war by cutting prices across its premium whisky brands

The move is expected to force Pernod Ricard South Asia Ltd, Beam Global Spirits & Wines inc, and Genmorangie Co among others to revisit their own Indian pricing strategy.

The price war also comes ahead of an expected launch of Whyte & Mackay Scotch whisky brands by UB Group, in time for Diwali on November 9.

Diageo has slashed two variants of its best-selling Johnnie Walker whisky by 20-37% depending on the state with the exception of Maharashtra, the company's India's marketing director Santosh Kanekar said.

"We will reduce prices of our vodka brands such as Ciroc and Smirnoff as well in almost the same rate."

Article Courtesy of Harpers

Oct 31
2007

Pernod lifts whisky production

Pernod Ricard said yesterday it is planning to expand its whisky production and storage facilities after announcing sales results that showed burgeoning demand for the Scottish product from emerging markets and less established markets such as France.

Sales of its 15 key brands rose an average of 16% in value between July 1 and September 30 but within that, its whiskies did particularly well. Sales of Ballantine's were up 22% while Chivas Regal rose 19% and The Glenlivet gained 13%.

Overall, net sales rose 6.9% to 1.6bn (£1.1bn) In Asia, imported whisky brands led the way. The company reported that sales were up 30% driven by Ballantine's and Martell brandy. Ballantine's and Chivas Regal did particularly well in India.

In North America, The Glenlivet expanded strongly while Chivas Regal sales increased slightly. The latter also did well in Venezuela. Pernod Ricard reported sales rose by 34.1% across central and South America as a whole.

The French, too, appear to be developing a taste for whisky. Overall sales in the country were up 5% to 157m, but while aniseed product sales actually declined because of bad weather during the summer. Chivas Regal, Aberlour and The Glenlivet soared, in part due to heavy promotion of the products.

Pernod also announced that it would increase its stocks of whisky products such as Chivas and Ballantine's this year to keep up with strong sales growth and said it plans to increase ints production and storage capacities for its whiskies as well as Martell and champagne.

As a result, its debt reduction will be limited in its 2007-08 financial year.

Article Courtesy of The Herald

Oct 30
2007

Malt whisky group launches first mailshot

The Scottish Malt Whisky Society is launching its first direct mail campaign, as part of a customer acquisition drive.

The group aims to recruit members using the strapline, ‘The Most Famously Anonymous Whisky Society’. It currently has 26,000 members and provides them with access to expert information and a unique selection of single cask malt whiskies.

The drive, created by Story, is to target 27,500 whisky drinkers throughout the UK. The pack uses a Sherlock Holmes master of disguise theme to reflect the cloak of mystery surrounding the ‘anonymous’ malt whiskies selected by the society. Brands and distillery names are kept under wraps.

Kai Ivalo, sales and marketing director at The Scotch Malt Whisky Society, comments: “I am confident that we will meet our targets and in addition highlight the social and fun aspects of joining the society. The campaign effortlessly informs, entertains and engages whisky lovers.”

Story creative director Dave Mullen says: “Central to the campaign is the fact that The Scotch Malt Whisky Society promotes itself without reference to distillery names and brands. The campaign also allows us to use data intelligently to target potential members at a local level and thus feel highly relevant.”

Article Courtesy of Precision Marketing

Oct 26
2007

New addition to Glengoyne single malt range

Ian Macleod Distillers has added a single malt to its Glengoyne range exclusively for travel retail.

Burnfoot contains Glengoyne single malt whiskies that have been aged for up to 34 years and has an rrp of €36.

Ian Macleod is hoping to attract "a new, curious and aspiring target audience" to the new product which features fluorescent colour and contemporary typography on the label.

Ian Weir, marketing director for Ian Macleod Distillers, said: "Using a healthy percentage of first fill sherry casks, it offers a slightly smoother and sweeter taste than certain other variants in the Glengoyne range, but at the same time retains the distinctive qualities and depth of the whisky. It is therefore ideally positioned to appeal directly to whisky drinkers new to the Glengoyne brand”.

Article Courtesy of Drinks International

Oct 23
2007

The Scotch Whisky Industry Review 2007

The 2007 edition of “The Scotch Whisky Industry Review” has now been released. The Review is published annually and, having started life in 1976, is now in its 30th edition. Every edition of the Review has been compiled by the recognised leading independent industry analyst Alan Gray.

It is the single most authoritative source of business information on the Whisky industry – incredibly comprehensive in its coverage and painstaking in the accuracy of its research. The Review contains 284 pages packed with fascinating and useful information and is used as a reference by all the leading players in the Scotch Whisky industry.

In summary, the “Review” includes detailed information covering the following main areas;

• Industry Section
  • Includes consumption by geographic market, production, stocks, production costs and profit margins
• Company Section
  • Includes individual company information, list of distilleries and ownership, distillery capacity utilisation, new developments and visitor numbers
• Case Sales
  • Includes the most comprehensive Annual case sale estimate available anywhere by Whisky type ( blend & malt) and individual Whisky brand. Includes 10 year records (up to 2006) for major brands
• List of Bottled brands
  • Includes list of bottled brands sold in the UK and overseas by company and category - an unrivalled list categorised by standard & deluxe blends and malts. See the brands owned by the different companies at a glance!
• Sponsorships
  • Includes information on current sponsorship deals in the Scotch Whisky industry
• Appendices
  • Includes detailed figures on excise duty and revenue, broking prices, retail prices of leading brands and estimated consumer expenditure

In keeping with its strategy to be the leading online source of Scotch Whisky information, ScotchWhisky.net has partnered with Alan Gray to make the purchase of “The Scotch Whisky Industry Review” readily accessible via the internet to a worldwide audience.

As Alan states “No Scotch Whisky industry professional, supplier, specialist retailer or scotch whisky connoisseur should be without a copy!”

For more information please click here

Article Courtesy of The Scotch Whisky Industry Review

Oct 22
2007

Third Eye wins whisky brief

Single malt Scotch whisky The Macallan has enlisted the help of Third Eye Design to help the brand reinforce its positioning within the luxury spirits market.

The Macallan parent company the Edrington Group has briefed the consultancy, which was appointed without a pitch, to enhance the brand’s touch points, from printed literature and exhibitions through to point-of-sale material, focusing on photography, art direction and usage shots.

All three of Third Eye’s offices in Glasgow, London and New York will be involved in the project.

Third Eye has commissioned Design Bridge to assist with packaging design.

Article Courtesy of Mad.co.uk

Oct 15
2007

Johnnie Walker's Goal: Quadruple Sales

Spirits giant Diageo told wholesalers at a recent meeting it plans to quadruple sales of its signature Scotch whisky within the next three years. Should Diageo pull that off, Johnnie Walker -- already the world's largest Scotch brand -- would become one of the largest premium-spirits offerings in the world. It would beat Absolut vodka by about 1 million cases annually and trounce rumrunner Captain Morgan by about 400,000 cases.

That blueprint is ambitious to say the least (one beverage-marketing consultant questioned whether Diageo could make enough whiskey to hit that goal even if it managed to sufficiently raise customer demand). And it would be reliant on a marketing surge in markets outside the U.S. But not everyone is counting out Johnnie Walker, which has thrived in spite of a tough market for brown spirits in general and for whiskey in particular in recent years.

Outsize growth
Sales of Johnnie Walker, including its flagship Red Label and Black Label, as well as pricier versions such as the hyperpremium Blue Label blend, rose 9.5% last year compared with 2% growth for the category, according to spirits trade magazine Impact. That's an acceleration from the 5% annual clip at which it's grown since 2000, compared with 1.4% growth for all Scotch in that period.

Of course, a quadrupling of sales in three years would require much larger annual increases, and, through a spokeswoman, Diageo said it wasn't prepared to offer any insight into how it intends to manage that.

Veteran spirits-marketing consultants, however, said such growth would be possible only with a huge marketing surge in relatively untapped, huge-upside markets such as China, India and Russia.

"They're going to have to flood the Chinese market and flood the Indian market if they want to get anywhere close to that," said veteran beverage marketing consultant Brian Sudano. He said he's curious about the supply. "There's not exactly a river of Scotch out there."

Absolut success
Arthur Shapiro, a former Seagram executive who has consulted on a number of major spirits brands, was a little more optimistic. "Years ago I consulted with Absolut in Russia, and it was very popular there because of its Western credentials," he said. "Just as the U.S. market has shifted from being a traditionally brown-spirits market to vodka, as it is now, you could see the opposite trend in Russia."

Diageo executives have said in recent interviews on other topics that they do see signs of a Scotch resurgence in the U.S., where explosions in vodka and tequila sales have generally come at the expense of whiskey and beer.

They're likely to continue to ramp up media spending, which rose about 20% to $12.6 million during 2006, including the brand's first TV push, a $2 million outlay on cable, according to TNS Media Intelligence. The brand has been riding the same multimedia "Keep Walking" campaign since 1999. Its agencies are Bartle Bogle Hegarty and AQKA.

Experts, however, attribute much of Johnnie Walker's success to clever tactics that aren't measured, such as a new engraved-bottle program designed to encourage gifting; the luxurious silk-lined boxes that hold rarified, serial-numbered bottles of Blue Label; and one of the more innovative online loyalty programs in the category.

"They've cracked the code on franchise identity," said Mr. Shapiro. "That [quadrupling] goal is a bit audacious, but they are very well-positioned right now."

Article Courtesy of Advertising Age

Oct 11
2007

Diageo unveils single malt flavour map

Drinks giant works with whisky writer Dave Broom to try and de-mystify category

Pubs are being invited to get behind a new whisky ‘taste map’ which will make it easier for drinkers to find their perfect single malt.

Diageo has teamed up with one of the UK’s leading drinks experts to demystify a category it believes intimidates pub-goers.

The drinks giant’s brands team worked together with award-winning spirits writer Dave Broom to devise the new system, which puts every major single malt in the UK market on a flavour scale, measuring its colour and smokiness. The aim is to show licensees and drinkers which single malts will fit in with their palette.

Dave Broom told the Publican that looking at malt whisky by flavour profile was much easier than analysing by region. “Regional malts do not have the same characteristics,” he said. “Breaking the category down into flavours makes it much easier to understand the similarities and differences between malts.

“This map will give licensees the opportunity to communicate their whisky range to consumers. When they are faced with a wall of 10 whiskies at the bar they panic and go for a default brand.”

The flavour map is being incorporated into Diageo’s award-winning esp training programme, and the drinks company hope that within a year over 8,000 licensees will have access to the flavour map.

Diageo has a huge portfolio of whiskies, ranging from blends such as Bell’s to single malts like Talisker.

Article Courtesy of The Publican

Oct 09
2007

Johnnie Walker’s McLaren deal still on track

Whisky brand Johnnie Walker has extended its sponsorship deal with Formula 1 team Vodafone McLaren Mercedes until 2012.

The new five-year deal will lengthen a tie-up that was first established in 2005. Vodafone will remain McLaren’s main commercial partner, holding naming rights over the team.

Diageo, which owns the Johnnie Walker brand, will be pleased over the timing of the sponsorship extension, coming as McLaren driver Lewis Hamilton gears up for an exciting head-to-head with team-mate and world champion Fernando Alonso for this year’s title.

Hamilton recently fronted a responsible drinking advertising campaign run by Diageo at the British Grand Prix at Silverstone.

McLaren said that the new agreement will see an “increased level” of branding and financial support from Diageo.

Ben Anderson, marketing director of Johnnie Walker, said: “Over its first two years, the partnership has been a powerful platform to drive brand equity and deliver Diageo’s responsible drinking messages and the extended sponsorship clearly demonstrates Diageo’s resulting confidence in the Vodafone McLaren Mercedes team as partners for the future.”

Ron Dennis, team principal at McLaren, added: “Through their responsible drinking campaign, Johnnie Walker has activated a wide range of high profile and innovative programmes involving the team since our partnership began in 2005.”

Article Courtesy of Mad.co.uk

Oct 05
2007

Thresher shuns regionality to push malt whisky by flavour

Wine Rack is to merchandise its malt whiskies by taste.

In a move to demystify the category, the Thresher Group shops will divide the updated, 40-strong malt range into three flavour profiles - sweet and light, fruity and rich, and smoky and peaty.

The traditional approach of merchandising malts by region can, says spirits buyer Sam Hanvey, be confusing.

Hanvey said: "If it comes from a particular place you expect it to have particular attributes. It makes it easier to shop if you understand these flavours. Region is an important aspect but most people don't know what it means and it makes it really difficult to navigate their way around."

An entire bay dedicated to malts will be introduced in 279 Wine Rack stores from this week. "We're giving it a shop-within-a-shop feel with a premium look," Hanvey added.

The largest flavour profile will be fruity and rich, consisting of 20 malts. The sweet and light and smoky and peaty profiles will each feature 10 malts.

The nationwide roll-out follows a trial in 80 Wine Rack stores earlier this year when malt sales grew 8 per cent, ahead of a market which is up almost 6 per cent by value.

Shelf-edge barkers will feature tasting notes written by whisky expert Dave Broom, who helped develop the classifications, and a newly-launched or rare malt will be on price promotion every six weeks. This month, First Drinks Brands' Monkey Shoulder is in the spotlight with a price tag of £17.99.

From January, branch managers will have training hosted by master distillers on specific malts. Wine Rack has plans to review its range of blended and exported whiskies at the beginning of next year, Hanvey said.

Article Courtesy of Off Licence News

Oct 01
2007

Chavez calls time on whisky boom

Venezuelans are to face a limit on the amount of luxury goods they can import, says President Hugo Chavez.
He singled out the high consumption of whisky as an example of the way consumerism was harming society.

In 2006, Venezuelans drank 106m bottles of Scotch whisky - almost four per person, and nearly 10% of UK exports.

Mr Chavez said he was ashamed of this "excessive" consumption and would curb importers' access to dollars for purchasing whisky and other luxuries.

Rum idea?

Despite the president's brand of socialism, consumption of luxury goods is on the increase, the BBC's James Ingham reports from Caracas.

A strong economy, an overvalued currency and high inflation are leading to conspicuous spending and high demand for goods seen as status symbols.

Speaking on his weekly television and radio show, Mr Chavez said he would limit the amount of dollars available to importers, who have to apply to the government to change local currency at official rates.

This measure is unlikely to affect Mr Chavez's support base, generally the poorest people in the country, who more often drink beer and rum, our correspondent says.

His better-off, whisky-drinking opponents, however, are likely to be angered by the move, he adds.

Article Courtesy of BBC News

Sep 28
2007

Whisky bottle sells for £29,400

A bottle of whisky has sold for almost £30,000 at auction in Glasgow.
The Bowmore single malt whisky, believed to have been bottled on Islay about 1850, sold to an anonymous bidder at McTear's auctioneers.

It is the oldest bottle of Bowmore known to be in existence and fetched £29,400 for its former owner.

The recommended price was £20,000. Morrison Bowmore Distillers Ltd lost out in its attempt to return the bottle to its "true spiritual home".

The hand blown pale green glass bottle and original cardboard carton in which it has been stored had been in good condition until one week before the sale.

The delicate driven cork had dropped from the neck of the bottle into the whisky itself, leaving this extremely rare bottle requiring some renovation for the purchaser.

Glen Moore, Bowmore brand director, said: "We'd known about the sale of the Mutter bottle for some time and had our heart set on bringing it back to its true spiritual home.

"We bid beyond the value limit we had set ourselves but unfortunately the winning bidder went beyond that.

"There are some serious whisky collectors around the world."

Article Courtesy of BBC News

Sep 24
2007

Slainte Rebus!

Fans of Britain’s most renowned detective are being given the chance to blend fiction with reality following the donation of a bottle of Highland Park’s limited edition Rebus20 single malt Scotch whisky at The Oxford Bar in Edinburgh.

Ian Rankin, Sunday Times’ No. 1 Best Selling Author, has given one bottle of Rebus’ own whisky to the Inspector’s favourite watering hole, making it the only pub to serve the limited edition dram and with no set price, visitors can taste the whisky by making a donation to Rankin’s favourite charity – Special Needs Information Point (SNIP).

Highland Park launched the limited edition Rebus20 single malt Scotch whisky, which has been specially selected by Ian Rankin, to celebrate the 20th anniversary of the first Inspector Rebus novel, Knots and Crosses.

Just over 150 bottles from the 20 year old Highland Park single cask are being produced and the exclusive money-can’t-buy whisky will only be available to fans of Rebus and Highland Park through a series of competitions.

The best selling crime author chose the coveted whisky when he visited the Highland Park distillery in Orkney last November as the ultimate drink for his whisky loving detective.

Rankin said: “By donating a bottle to The Oxford Bar, fans of the character can now join me to toast the anniversary with an extra-special dram of Rebus’ favourite single malt whisky, whilst making a donation to charity.

“The Rebus20 is just like its namesake – dark and complex with a long finish – and I am sure Rebus will join in the celebrations on one of his regular visits to the Oxford Bar.”

Jason Craig, Global Controller, Highland Park, said: “We are delighted to be part of Ian Rankin’s celebrations to mark the 20th anniversary of one of literatures most famous detectives.

“It is fantastic that Ian is donating a bottle of this exceptional single cask whisky to The Oxford Bar and not only raising money for an great cause but also letting fans be a part of the celebrations.”

Established in 1798 on Orkney, Highland Park is one of the most remote Scotch whisky distilleries in the world. At the heart of this single malt is its extreme island location and exposure to the elements.

Rebus20 complements Highland Park’s core range, which includes 12, 15, 18, 25 and 30 year old single malts. Highland Park is available online at www.highlandpark.co.uk from multiple retailers and supermarkets throughout the UK and at whisky specialists nationwide.

Article Courtesy of Highland Park

Sep 18
2007

Talks on meeting whisky demands

Farmers, maltsters and distillers are to hold discussions later this year on how they can meet demand for whisky from established and new markets.
Colin West, of the Maltsters Association of Great Britain, said the industries have to look at the supply chain for the next 20 years.

He said there were increasing demands for the Scottish product from China and India.

Mr West said: "From a distilling point of view things are looking quite rosy."

Commenting on reports of Scottish arable farmers being paid their highest prices for malting barley in 10 years, he said maltsters would pay more but their costs were dictated by prices they get from distillers.

Last week, National Farmers Union of Scotland cereals chairman John Picken said growers were receiving a price for malting barley closer to what they had long been calling for.

Prices vary, but the highest is reported to be £200 per ton.

Mr Picken said the prices were welcomed.

Article Courtesy of BBC News

Sep 15
2007

Whisky firms pay more for barley

The whisky industry is paying its highest prices for barley in 10 years, according to the National Farmers Union of Scotland.

Prices vary, but the highest is reported to be £200 per ton.

Cereals chairman John Picken said farmers were receiving a price for malting barley closer to what they had long been calling for.

Farmers favouring food crops such as wheat and poor weather had reduced the acreage for barley to a 30-year low.

About 80% of growers in Scotland are contracted and are paid a prearranged price.

However, prices of £115 up to £200 per ton are being paid. Previously, farmers received £70-90 per ton.

Mr Picken said the increase was welcomed.

He said: "For arable farmers it is a catch-up situation.

"The prices on offer show you what malters can pay when pushed."

Mr Picken said that for 10 years supply and demand had been in the whisky industry's favour, but this year had swung towards the growers.

He added: "From a bottle of whisky retailing at £15, only about 7.5p was relating to the barley grower. Now it is nearer 15 to 20p."

Mr Picken said this was an improvement, but still low.

The cereals chairman said malting barley could be sourced from elsewhere, however, the whisky industry needed Scottish grain in line with its quality assurance.

The Scotch Whisky Association said the industry supported Scottish farmers.

A spokesman said: "Various factors, including adverse weather conditions, are impacting on the world cereals market and one of the knock-on effects is higher malting barley prices.

"As the whisky industry grows worldwide, distillers will continue to support Scottish cereal growers whenever possible."

Article Courtesy of BBC News

Sep 10
2007

Diageo team distils the old and new as £100m strategy lifts off

It is rare for a company's financial and accounting team to a have major role in shaping its future corporate strategy. However, the finance department at Diageo Scotland has re-written tradition.

Led by finance director Stuart Lorimer, a former KPMG accountant, the group's 65-strong finance team has moved beyond poring over and authenticating historical data to thinking about broader business and environmental issues to become instrumental in major strategic decisions. These include the recent one to embark on a £100m upgrade of the group's Scotch whisky production facilities.

Diageo - formed 10 years ago from the merger of Guinness and Grand Metropolitan - already operates 27 distilleries across Scotland.

But Lorimer and his team recently persuaded the company's board of directors of the need to invest £40m in a state-of-the-art distillery at Roseisle near the Moray coast, and a further £60m in enhanced production and supply facilities across Scotland.

A planning application for the distillery was lodged with Highland Council last week.

The distillery, to be located between Forres and Elgin, is expected to have an annual capacity of 10 million litres, and is expected to be among the most efficient and environmentally-friendly distilleries in Scotland when it opens in 2009.

Only two others are capable of those levels of volume - William Grant & Sons' Glenfiddich distillery on Speyside, and Takara Shuzo's Tomatin distillery.

When Diageo decided it was going to have to step up Scotch whisky production capacity as a result of strong predicted demand from emerging markets such as China and India, the Scotland-based finance team was asked to look at various ways of achieving this.

The company has an estimated 40% of the global market for Scotch whisky, and owns brands including Johnnie Walker, J&B, Bell's and Buchanan's in the blended category, and Oban, Talisker, Caol Isla, Lagavulin, Cragganmore, Glenkinchie and Cardhu in the higher-margin malts category.

It also has a 34% stake in Glenmorangie's parent, Moet Hennessy.

One option for Diageo was to "sweat" the existing asset base harder, for example by running some of its existing distilleries on a 24/7 basis.

However, there turned out to be a number of negatives associated with this route, including that it would have put stresses on the equipments and have had repercussions for health and safety, labour and the environment.

For example, shift-working would have caused labour shortages at some plants given their remote locations. There would also have been insufficient down time for repairs and maintenance and the effluent discharged by scores of hyperactive smaller plants could have created environmental concerns.

Other options examined by Lorimer included constructing a malt distillery capable of producing some 10 million litres of Scotch per year on a brownfield site and building two distilleries, each with annual capacities of some five million litres each.

George Kerr, Diageo Scotland's commercial finance manager for spirit supply, said: "What we did was to evaluate the strength and flexibility of the existing asset base, evaluate how readily a new distillery might be integrated with the existing supply chain, and to integrate environmental considerations into our net-present-value calculations."

He added that Diageo Scotland chief Bryan Donaghie has a particular mission to see the company's carbon footprint reduced.

In the end, the finance team recommended that Diageo should pursue the option of constructing a single malt distillery, together with recommendations that the London-based company expand its grain distillery at Cameronbridge, Fife, enhance its bottling capacity at Shieldhall in Glasgow, and enlarge its warehousing and storage capacity across central Scotland.

The Scotland finance team's thinking played a big part in shaping the decision-making at Diageo's London head office, where the likes of chief executive Paul Walsh and chairman Lord Blyth were involved in the process.

Kerr said: "Our contribution was to produce an analysis showing the net present value opportunity of opening a new distillery of this capacity, and an evaluation of the downside risks associated with the forecasts for growth in whisky sales not coming true."

However, Lorimer stressed: "The decisions are still made by the business. Our role is to ensure it is based on fact-based analysis - not gut feel."

Lorimer said he is now looking to expand the Scotland-based finance team with the appointment of five further finance professionals, following eight recent appointments. The new recruits are needed following internal promotions and the creation of roles within the department, together with business expansion.

Lorimer said: "We're looking for people that want their accounting ability to make a real difference to the company. We challenge our accountants to think as business leaders, understand the cost drivers, customer requirements, market pressures, and respond effectively. It can be a steep learning curve."

Last week, Paul Walsh hailed a "renaissance" in the Scotch whisky market as he unveiled a 6% rise in pre-tax profits to £2.16bn, and impressed investors by raising targets for future growth.

Johnnie Walker was the star performer in the Scotch category, with sales in the international division (which excludes North America, Europe and Asia-Pacific) rising 18% and Asia Pacific sales rising 22%.

Johnnie Walker is the world's best-selling Scotch.

Lorimer's department is responsible for a £700m per annum cost base that incorporates distillation, maturation, product development and packaging. Many of the assets they supervise were once owned by Distillers Company Limited, IDV, Grand Metropolitan, and Seagram.

They also take care of the Bushmills distillery in Northern Ireland, formerly owned by Pernod Ricard.

Diageo Scotland last year produced 52 million cases of spirits, 37 million of which were Scotch whisky. Non-Scotch brands produced in Scotland include Gordon's, Tanqueray, Smirnoff and Captain Morgan.

Article Courtesy of The Herald

Aug 31
2007

Overseas markets buoy Diageo

Drinks giant Diageo has raised its growth target for this year despite weaker sales in the UK and Ireland over the past 12 months.

The Smirnoff-to-Guinness maker said that recent acquisitions would help drive a 9pc growth in organic operating profits (excluding exceptionals and exchange rate movements) in this financial year, up from an earlier prediction of 8pc.

The market welcomed the news, with the share price closing up 2pc. Nico Lambrechts, analyst at Merrill Lynch, said: "We believe this is significant and indicates some acceleration for this big ship. It should make investors comfortable that a slowdown in US consumer demand will not materially impact the Diageo group."

Chief executive Paul Walsh said the company had posted strong results thanks to double-digit growth in the US and emerging markets such as Russia, China and Latin America.

Operating profit grew by 5.6pc to £2.12bn, pre-tax profits fell £51m to £2.09bn. The company attributed the weaker pre-tax figure to the sale of General Mills, which added a £157m gain to the full-year results last year.

Across the world, sales rose to £9.9bn from £9.7bn. Sales for all of Diageo's top brands grew except J&B whisky which fell 3pc and Jose Cuervo tequila which fell 4pc.

The strongest growth came from the Asia Pacific region, where Diageo stepped up its marketing spend by 22pc in the second half to support new brand launches in India and the fast growing markets of south-east Asia. This helped increase sales by 13pc, and operating profits by 7pc, in the region.

Beer and spirit markets in Britain and Ireland remained weak as volume and net sales both declined 5pc. This was despite the recent bad weather, which usually increases the number of pints of Guinness that are drunk.

However, Guinness continued to perform well in other markets including Africa and global volumes climbed 2pc. Beer accounts for about 10pc of Diageo's profits and Guinness about half of that. More than two-thirds of sales are in the UK, Ireland, the US and Nigeria.

However, Nigeria has now pushed aside Ireland to be the beer's second biggest market after the UK and Mr Walsh expects Guinness's future growth to come from Africa and Asia.

Diageo's Scotch brands, especially Johnnie Walker, remain the main drivers of growth outside the UK. Sales of Johnnie Walker rose 18pc and Buchanan's was up 40pc.

The group plans to pay a final dividend of 20.15p per share - a 5.2pc increase - on October 22. The shares closed up 24 at £10.42.

Article Courtesy of Telegraph

Aug 28
2007

Glenmorangie staff threaten walk-out

Whisky makers at a Scottish distillery have voted in favour of a strike in a row over shift patterns.

The workers are said to be unhappy after being threatened with the sack if they did not comply with the new set up put in place by their bosses.

Twenty-one employees at Glenmorangie's Broxburn plant are now waiting for the GMB union to decide what the next step is.

One worker told the Evening News: "We're disgusted at the way this has been handled and feel that strike action is the only option left for us.

"We just need to hear now from the union, which we hope to within the next few days."

Article Courtesy of Morning Advertiser

Aug 23
2007

Researchers brew up whisky fuel

Cars could be powered with by-products from breweries following research by Scottish scientists.
Researchers at Abertay University have been awarded a grant to investigate how to turn residues from beer and whisky into biofuel.

They will look into new methods of turning spent grain into bioethanol, which is more environmentally friendly than fossil fuels.

It is CO2 neutral, and produces 65% fewer greenhouse gas emissions.

Experts have estimated that about half of the world's oil reserves have been used up in the last 200 years.

More environmentally friendly alternatives are being developed, including biofuels.

Waste products

Brazil and the USA have both been very successful in creating bioethanol from sugarcane and maize starch respectively.

However, these methods have been open to criticism because they have created an increased demand for land for growing energy crops.

Scientists all over the world have been trying to find a simple and cost effective way to produce more biofuels from waste or low value products.

That is the focus of the year-long research project in Dundee, led by Professor Graeme Walker.

He said: "Our research will be looking at the far more complicated process of turning waste products from industry into bioethanol as an example of a second-generation biofuel.

"These products are currently disposed of or processed for animal feed and turning them into fuel would be an attractive use of the resource.

"At the moment many technical challenges remain to converting waste biomass into fuel.

"We will focus on finding more efficient and cost effective processes."

Article Courtesy of BBC News

Aug 20
2007

Whisky haul seized at coach depot

More than 12,000 litres of whisky were seized in Walsall by customs officers.

The Teachers whisky was confiscated at a coach depot in Bentley Lane on Saturday, HM Revenue and Customs said.

No arrests were made, although a van was also seized. Customs said that the revenue loss to the nation amounted to more than £100,000.

Spokesman Keith Morgan warned the public not to buy illicit alcohol and said it was likely to be both counterfeit and harmful.

Article Courtesy of BBC News

Aug 09
2007

Whisky plan set to raise the roof

More than £500,000 is being invested to replace two pagoda roofs at the Highland Park distillery in Orkney.
Contractors have flown to Kirkwall to carry out the Category B listed work.

The "intricate" work on one of the pagodas is due for completion in September, while the second is expected to be replaced next year.

The pagoda roofs sit high above the kilns and draw the smoke up through the barley, which Highland Park said was "integral" to production.

Councillor Stephen Hagan, convener of Orkney Islands Council, said: "Highland Park is one of Orkney's most famous visitor attractions and it's great to see them investing in time-old traditions at the distillery.

"The pagoda is a direct likeness of the original, which tourists have come to expect and love, and the council was more than happy to have granted the go-ahead for such a wonderful project."

The original pagoda roofing will be kept for display at the distillery.

Article Courtesy of BBC News

Aug 8
2007

Morrison Bowmore toasts profit hike

Morrison Bowmore Distillers enjoyed rocketing profits last year as it moved away from low-margin blended whisky business and focused more on its single malts.

The leap in pre-tax profits, to £2.65m in 2006 from just £154,415 in the prior 12 months, was also aided by a one-off gain of £1.39m arising from the closure of its final salary pension scheme to future accruals.

The buoyant earnings picture is in stark contrast to Morrison Bowmore's losses in 2002 and 2003, which prompted job cuts. The profit leap comes at a time when the Scotch whisky sector has been enjoying a strong run, with particular buoyancy in malts.

In spite of the boost to 2006 profits from the pension fund issue, a leap in the net deficit in the Glasgow-based company's final salary scheme from £7.13m to £15.35m during the year weighed heavily on the balance sheet.

Morrison Bowmore, known best for its eponymous Islay malt, closed its generous, non-contributory final salary pension scheme to new entrants on January 1, 2002. Its latest accounts, which have just become available from Companies House, report that the scheme was closed to "future accrual benefits" from September 30 last year.

The distiller, which was bought by Suntory of Japan in 1994, reports in its accounts that a full actuarial valuation of its pension scheme had been carried out at January 1 last year and had been updated to December 31 by a qualified independent actuary.

Morrison Bowmore says it was agreed that the ongoing contribution to fund the pension deficit would be assessed on a "solvency basis", placing a higher value on the liabilities than the "corporate bond basis" applied in its 2005 accounts.

It adds: "To reflect the ongoing funding of the scheme, and on grounds of prudence, the solvency basis has been adopted to assess the scheme deficit under FRS (Financial Reporting Standard) 17 at 31 December 2006. This reflects the agreement reached between the trustees and the company to wind the scheme up either within 10 years or over a reasonable period."

The accounts refer to "actuarial losses" of £15.88m relating to the pension scheme. These figure in its statement of total recognised gains and losses and, mitigated by a deferred tax asset of £4.76m, play the major part in driving the profit and loss account reserve in its balance sheet from a £31.5m to a £41.2m deficit during 2006 in spite of Morrison Bowmore's healthy earnings.

Explaining the one-off boost of £1.39m to 2006 profits arising from the pension scheme issue, Morrison Bowmore says: "At the end of 2005, the company was still providing a defined-benefit pension scheme and was therefore accruing for this future benefit within the FRS17 pension deficit. Now that the scheme has closed, these future benefit accruals have been reversed as a pension-scheme curtailment credit to the profit- and-loss account."

Setting aside this one-off gain, Morrison Bowmore, which enjoyed a 6% rise in group turnover to £31.6m while reducing its cost of sales from £17.59m to £17.46m, emphasises the significant improvement in its underlying performance.

It says: "Even without this non-recurring income, profit before tax is showing an improvement of £1.1m against 2005. The improvement in profitability is down to the firm's focus on moving away from low-margin blend business and concentrating on building our single malt brands. This is reflected in the performance of Bowmore, whose sales in 2006 continued to grow."

The distiller has made a significant strategic shift.

Chief executive Mike Keiller had, in the darker days of 2003, emphasised the company would not be reining back on the likes of supermarket own-label business. He told The Herald in December 2003: "We are going to try and focus and develop more business in that area. Essentially we have got, through our own and our parent company, surplus stocks of whisky for sale. We want to focus in on that area, to liquidate that, and turn it into good cash and, at the same time, develop some of our own blends as a by-product of that."

Morrison Bowmore subsequently exited an unprofitable supply contract with Safeway, now owned by Wm Morrison.

As well as Bowmore, the distiller's malts include the lowland Auchentoshan and the highland Glen Garioch. The company also produces the Rob Roy blend.

The accounts state the average number of employees in 2006 was 170, up from 164 in 2005. Aggregate payroll costs rose from £5.47m to £5.71m.

Directors' remuneration rose from £493,336 to £513,420, excluding compensation for loss of office paid in 2005. The emoluments of the highest-paid director rose from £286,371 to £295,985.

Net debt rose from £25m to £27m during 2006. Keiller was unavailable to comment on the results.

Article Courtesy of The Herald

Aug 7
2007

Glenmorangie takes a oui step towards luxury on the continent

The distiller which produces the best-selling single malt whisky in Scotland is to shed its Gaelic image for one a little more Gallic.

Glenmorangie's range of single malts is to undergo a process the marketing men call "premiumisation" which will leave them looking more than a little French.

And it is claimed that in its efforts to portray itself overseas as a so-called luxury brand, Glenmorangie is willing to risk losing its leading market position in Scotland.

As part of the rebranding, the company - which has its headquarters and a warehouse in Broxburn, West Lothian, as well as a distillery in Tain, Ross-shire - will rename some of its most popular lines to give them a more continental flavour.

The prosaically named Port, Sherry, Madeira and Burgundy Wood Finish whiskies will be reborn under new names such as The Quinta Ruban, Nectar d'Or and LaSanta.

The bottles have also been redesigned and now look like "curvy cognac bottles", according to a company source. They will also feature an image of the Stone of Cadboll, a Pictish carved slab which was discovered in Easter Ross.

Details of the rebranding were revealed to more than 200 employees of the firm at its Broxburn headquarters, although the company is refusing to comment on the planned relaunch in October. Neither will it comment on claims it plans to increase the price of a bottle of single malt by £10 to project itself as an exclusive, expensive luxury brand.

But records show that the company has already registered a number of the new trademark names with the UK Intellectual Property Office ahead of the autumn relaunch.

The aim of the rebranding exercise is to propel Glenmorangie into the luxury goods market. Observers say this move was inevitable following the acquisition of the company by Louis Vuitton Moet Hennesy (LVMH) three years ago.

When Glenmorangie was sold by the Macdonald family in 2004 it was Scotland's last independent whisky distiller. The Macdonalds, who bought the distillery in 1918, made about £100m from the sale. The company was bought by Paris-based LVMH, the world's largest luxury brands group, for about £300m. LVMH owns a portfolio of luxury brands including TAG Heuer, Dom Perignon, Krug, Veuve Clicquot, Givenchy, Guerlain and Christian Lacroix.

A company source said: "It was only a matter of time before Glenmorangie got the LVMH treatment. There will be no change in what is actually put in the bottles, it's all cosmetic: it's purely an exercise in repackaging to make the product seem chic.

"The company seems willing to take the risk of losing market position in Scotland if it means capturing bigger and more lucrative markets abroad."

The rebranding is aimed at the emerging markets in Russia, Brazil, India and China.

A spokesman for the Scotch Whisky Association said these "emerging markets" are key to the continued growth of Scotch whisky, which now represents a quarter of all UK food and drink exports by value.

He said: "Last year, there was a new high of £2.5bn worth of exports and that was an increase of 4% on the previous year."

Professor Paul Freathy, the director of the Institute of Retail Studies at the University of Stirling, said: "The French-sounding names are an unusual innovation, because what makes whisky unique is the traditional tie to Scotland. It's a brave strategy."

Article Courtesy of The Herald

Aug 4
2007

Premium prices strengthen whisky profits

A whisky distiller has reported an improvement in turnover and a sharp rise in profits in its latest financial year.

Family-owned Ian Macleod Distillers, founded by Leonard Russell in 1936, says in its annual report just released by Companies House that the whisky marketplace is being influenced by increased long-term forecast demand from emerging markets for premium aged product.

The directors add that production costs increased in the year to September 30 as a result of rising energy costs and would rise further in 2007 because of higher cereal prices, in particular malted barley.

Their report says: "There is tighter supply of malt whisky and to a lesser extent grain whisky. Selling prices need to rise to fund and cover the rise in costs. The directors are constantly reviewing market trends to ensure proper balance between margin and stockholding."

The report also highlights a significant development during the year in the form of a £243,000 investment to upgrade the visitor centre at its Glengoyne Distillery, near Loch Lomond, to provide additional facilities and allow for more visitors to be catered for at any one time.

The directors of the Broxburn-based company conclude in their report that they regard the state of affairs of the group as satisfactory, adding that they will continue to develop the business and do not plan any major changes in its size, scale or operations.

Ian Macleod Distillers, which became a fully integrated distiller, blender and bottler when it acquired Glengoyne Distillery in 2003, shows in its accounts that it achieved pre-tax profits of £783,060 for the year against profits of £156,489 the year before. Annual turnover improved to £24.32million from £22.76million.

Article Courtesy of Press & Journal

Aug 3
2007

The Macallan pushes premium malt

The Macallan, the malt whisky brand, is rolling out a print campaign this month to push the tipple as a premium “handcrafted” malt.

The Macallan worked with London-based communications agency SHOP, who then commissioned Italian photographer Guido Mocafico to develop a variety of images for the campaign. The artwork is supported with the strapline: ‘The Macallan, The Malt’.

The campaign will initially target The Macallan’s key export markets - Taiwan and the US and aims to cement its positioning as a luxury whisky.

Ken Grier, director of malts at The Macallan’s parent company The Edrington Group, said: “We are really excited about the evolution of The Macallan campaign. Our previous campaign broke the conventions of single malt advertising, and this evolution will allow us to stand out even further from conventional advertising in this sector.”

Other whisky brands in the Edrington stable include The Famous Grouse and Highland Park.

Article Courtesy of mad.co.uk

Aug 2
2007

A taste of history from Scotland's whisky innovator

Multi-award winning whisky merchant Duncan Taylor has surprised and excited the whisky world with the launch of "Rarest of the Rare Blended 33 Year Old" - an exclusive blend of a number of Scotland's finest whiskies from distilleries now confined to the history books.

Coveted brands including Kinclaith, Ladyburn, Glen Mhor, Glen Albyn, Glen Craig and Carsebridge has been expertly combined by master blender Euan Shand to create the world's most exclusive blend, which features the names of the whiskies on the label.

He said: "Normally the make up of blends is kept very much a secret, passed down from generation to generation. We very much want to shout about what is included in rarest of the rare blended 33 year old. When the whiskies are so special, why hide them?"

Rarest of the rare blended 33 year old whisky has a wonderful balance of sweetness and spice with an incredibly silky texture, building to a powerful finish with citrus fruits, complemented by a touch of dryness.

Bottled by hand in Aberdeenshire, only 750 bottles of rarest of the rare blended 33 year old have been produced. Priced at £85, the product is available through specially selected independent retailers throughout the UK.

Article Courtesy of Press & Journal

Aug 1
2007

Bacardi invests more than £120m in whisky

Soaring global demand for Scotland's national drink has prompted international drinks giant Bacardi to pour more than £120million into expanding its Scotch whisky business.

Bacardi, which owns Perthshire-based Dewar's as well as distilleries in the north and north-east, said yesterday that it was trebling its production as more and more people around the world acquire a taste for premium whiskies.

The plans include a 100-acre tract of land in central Scotland to be developed as a second maturation and blending facility, in addition to its operation at Aberfeldy.

Bacardi was guarded about the likely location of the new site, saying only that several areas were being considered.

The company will also redevelop its existing site in Parkhead, Glasgow, where it will build new maturation warehouses and a blend centre, in addition to installing new bottling lines and packing equipment.

Bermuda-based Bacardi described the expansion as "one of the most significant investments in the Scotch industry".

It said the move would create new jobs and other benefits for the economy through the local sourcing of materials.

Senior global brand director Joaquin Bacardi - whose ancestor Don Facundo Bacardi got the name established by founding a rum business on Cuba in 1862 - said the investment in Scotland, being ploughed in over 10 years, would create at least 100 jobs.

On the plans for a new site, he said: "We are assessing our options."

Mr Bacardi said that the company had already embarked on a programme aimed at doubling production capacity, but worldwide demand for whisky was growing so fast the firm needed to ramp up output even more.

Sales growth is being driven by a thirst for premium brands in Asia and in other emerging markets around the world.

While the traditional neat and on-the-rocks options are still popular everywhere, the world's whisky drinkers are becoming more adventurous - making the tipple more fashionable.

China, for example, has developed a taste for whisky mixed with green tea.

As well as Dewar's, Bacardi owns - through its John Dewar and Sons subsidiary - the Aultmore and Craigellachie distilleries on Speyside, Macduff distillery in Banffshire and the Royal Brackla distillery at Cawdor, near Nairn.

The investment plans unveiled yesterday apply only to the Dewar's whisky operations.

Bacardi is just the latest drinks firm to announce major expansion in Scotland amid fast-growing export sales for Scotch.

The Scottish whisky industry is booming, with exports hitting a record £2.5billion last year, and both Diageo and Edrington have launched investment projects in recent months.

Diageo announced plans earlier this year to develop the first major distillery in Scotland for more than three decades.

Its planning application for the proposed £40million distillery at Roseisle in Moray - part of a total £100million investment - were lodged last month.

Whisky firm Edrington aims to bring a dormant stillhouse at The Macallan distillery on Speyside, mothballed in the early 1990s, back into service under a £5million investment that could create up to 10 jobs and which would increase output by 30%.

Article Courtesy of Press & Journal

Jul 31
2007

Distillery birds caught ducking and diving

First there was Sam the shoplifting seagull who was caught helping himself to his favourite snack at a newsagent in Aberdeen.

Now, three ducks have been caught by staff at a Moray distillery acting in a similar cheeky fashion, breaking and entering the maltings plant to get a good feed.

The ducks were spotted by malt man Kenny McWilliam, who was working night shifts at the Balvenie Distillery at Dufftown. When he arrived to start work he discovered the birds happily feeding on the germinating barley on the malt floor. It then took him more than two hours to get them out of the building.

Balvenie brand ambassador Rob MacPherson said: "How the ducks managed to get into the maltings is still a mystery. Kenny, our maltman, was keen to lay the blame on my shoulders as I closed up after the last visitor tour of the day but I am certain the ducks at Balvenie are a rare breed that can open doors. The Balvenie is one of the very few distilleries to still grow and malt its own barley and we believe this adds a special quality to our whisky."

Just two weeks ago, a seagull turned shoplifter was caught wandering into a city store and helping himself to cheese Doritos.

Article Courtesy of Press & Journal

Jul 28
2007

Scots set for world’s first dram-powered hospital

A TOWN in the far north of Scotland will soon be home to the world's first "whisky-powered" hospital. Cutting-edge energy technology is already allowing waste heat from the Pulteney Distillery in Wick to be piped into homes in the northern town - and from October, Caithness General Hospital is to be connected to the unique, environmentally friendly power supply.

The Caithness Heat and Power (CHaP) project has been providing energy to 270 homes since last December through a biomass, wood-burning power source at the malt whisky distillery. The aim is to improve energy efficiency and tackle fuel poverty faced by many elderly residents and low-income families during long, harsh winters.

Project manager Peter Creasey described the £5 million scheme as "ground-breaking". He said: "Every bit of useful energy from the gasified woodchip can be turned into hot water or electricity, so it's zero carbon. It is extremely low-cost and is already saving connected householders between £15 to £20 a week. The hospital will soon be able to benefit by reducing its costs and its carbon footprint."

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Most of the homes currently connected are rented council property in the Pulteney area, but over the next few months pipelines are being laid and heating systems installed across Wick. Around 500 council-owned homes will find their central heating bills reduced to as little as £7.50 a week.

The community company intends to expand the project to include many other public buildings, including Pulteney House, Wick High School and the town's care home.

According to Creasey: "Our long-term strategy is to have the whole of Wick on the district heating scheme, so the whole town becomes carbon neutral. You'd hope everyone would want to jump on the bandwagon."

Highland councillors hope the scheme can be implemented in other towns and villages in the county, possibly Thurso, Lybster and Halkirk. Councillor Graeme Smith, a director of CHaP, said: "The project is the first of its type in Scotland and CHaP is proud to have brought the idea to an area of Caithness where ever-rising fuel prices are a real issue.

"The people have a chance to take part in an exciting development which should save them money and contribute to a reduction of carbon emissions."

CHaP was set up in 2005 as a not-for-profit partnership between Pulteney Distillery, Highland Council and Pulteneytown People's Project. The idea that excess thermal energy generated in whisky distillation could be boosted to a higher temperature in a woodchip-fired boiler was considered daring but workable. It received initial funding from the European Regional Development Fund and Energy Saving Trust.

After visiting the Pulteney Distillery, environment minister Mike Russell said the pioneering scheme had the potential to be used elsewhere in Scotland. "I was enormously impressed by this project," he said. "This is world-beating technology providing a valuable service to the hospital and community of Wick."

He added: "This a model district heating scheme that I hope will inspire co-operative action in many other towns around Scotland."

When it becomes fully operational later this year, the plant will require 30,000 tons of woodchip annually. At present, forests around Caithness could supply its needs for 25 years.

Russell also announced that a £3m funding package would be provided to create woodlands to help allay fears that biomass business would be a threat to forestry. The minister estimated that the creation of around 2000 hectares of forest would be needed to supply the industry.

The CHaP project has been given the seal of approval by the Forestry Commission Scotland and was recognised as best community initiative at the Scottish Green Energy Awards.

Graham MacWilliam, manager of Pulteney's parent company Inver House Distillers, said: "To have won such a prestigious award is testament to how ground-breaking the initiative is.

"We're delighted that our distillery is going to play such a key role in helping the Wick community."

Article Courtesy of The Herald

Jul 25
2007

Runrig to toast gig with special whisky

Celtic rock band Runrig will toast their sell-out concert near Loch Ness next month with their own special commemorative malt whisky.

To mark their Beat the Drum gig in front of 5,000 people at Drumnadrochit on August 18, the band have selected a 20-year-old malt with help from Huntly's award-winning whisky merchant Duncan Taylor.

The whisky, named after the event, will be limited to just 500 bottles and will be available to buy on-site at the festival. Each bottle is individually numbered and accompanied by a certificate signed by the band.

Band member Iain Bayne said: "In this significant year of Highland culture we thought there was no better way to mark our own involvement than to do so in the company of one of the finest, most vibrant and special of Highland malts. It also seemed appropriate and fitting to name it, Beat The Dram."

Euan Shand, of Duncan Taylor, said: ''This is one of the most exciting private bottlings we have been involved in. The marriage of whisky and music has always been strong, and lovers of both will not be disappointed."

Article Courtesy of Press & Journal

Jul 24
2007

The Famous Grouse signs new marketing deal

Scotch whisky brand The Famous Grouse and Maxxium UK have signed a global marketing deal with Woo Communications. Financial details were not disclosed.

Maxxium, which handles the marketing and distribution of The Edrington Group's The Famous Grouse and brands such as Jim Beam Bourbon and Aftershock, will work with Woo as it handles the below-the-line marketing in both the UK and overseas.

AdvertisementLondon-based Woo, which is part of the Engine Group and counts Belgium-based brewer InBev among its clients, will start working with The Famous Grouse and Maxxium immediately.

Mark Reardon, Woo Communications managing director, said: "There is no doubt that spirit brands, and Scotch whisky in particular, face interesting challenges going forward. We are really excited about working with Maxxium UK and The Famous Grouse and are honored to have been asked by such a globally renowned iconic brand to help them develop their future plans."

Article Courtesy of Drinks Business Review

Jul 24
2007

David off on his travels as whisky ambassador

A Distillery worker who has been named the brand's global ambassador is preparing to jet around the globe promoting malt whisky.

Dufftown-born David Mair is planning trips to Canada, France, Sweden, Russia and Portugal in his new role promoting the Balvenie malt whisky.

Mr Mair, who now lives at Lossiemouth, has worked for William Grant and Sons for more than 20 years. Based at Glenfiddich and the Balvenie Distilleries at Dufftown, he helped the development of The Balvenie Distillery Visitor Centre and tour.

His new post will see him travelling the world to meet whisky specialists and consumers giving presentations, tutored nosings and tastings.

Mr Mair said: "Before the Balvenie Distillery was open to the public it was part of my role to show special visitors around and their reaction has always been extraordinary.

"It is a very special distillery that makes a very special whisky so when I saw the role for global ambassador it was irresistible."

Mr Mair said the malt's markets were in the UK, France and the United States. It is hoped the new post will help promote the malt in other countries including China, Taiwan, India and Russia.

Article Courtesy of Press & Journal

Jul 23
2007

Islay firm's new whisky

An Award-winning Islay whisky company is releasing a new addition to its collection next month as a result of an unusual international alliance between Scotland, America, France and Austria.

Bruichladdich's first 18-year-old dram is being released on August 15 in new bottling, designed by master distiller Jim McEwan, who has 43 years' experience in whisky distilling, tasting and coopering.

Matured for 18 years in American oak casks, Bruichladdich 18 was selected for an additional cask evolution for several months in premium quality French oak.

And Mark Reynier, managing director of Bruichladdich, who has 25 years' experience in the fine wines trade, said: "The casks chosen come from Austrian maverick Willi Opitz, the engaging, ever so slightly mad, wine producer.

"It took four years to persuade him.

"Opitz's irreverence - he produces a sparkling wine called Fizzy Willy - appeals to me, as does his huge vitality and enthusiasm to challenge the norm.

"One such idea which even changed Austrian wine law, was to create ??ber-sweet wines by drying harvested grapes on straw mats, a Vin de Paille or straw wine."

Speaking of the new whisky, Mr Reynier added: "Officiandos hooked on sherry casks will be blown away - there are similar traits but more complexity, finesse and fruit thanks to the finer oak and totally unique straw wine."

Article Courtesy of Press & Journal

Jul 23
2007

Maha duty dampens Scotch industry spirits

The reported imposition of excise duty by the government of Maharashtra on imported liquor has dampened the spirits of the Scotch whisky industry that was celebrating the Indian government's decision earlier this month to withdraw additional duty.

David Williamson of the apex industry body, the Scotch Whisky Association (SWA), told the media: "Individual states in India must tax imported and domestic spirit drinks on a non-discriminatory basis. We are disappointed that Maharashtra has introduced a new excise policy without waiting for Federal authority to do so and we are studying the details of the new regime.

"Early indications are that the new policy may not be fully compatible with WTO rules and we will be discussing our concerns further with EU and Indian officials. We will be following very closely how this is applied in practice.

There has to be a level playing field, with the same taxes for domestic spirits."

At present, individual states in India are reportedly not empowered to apply excise duty to imported spirit drinks. However, following the withdrawal of the Additional Customs Duty, the Indian Government indicated it would bring forward new legislation allowing states to do so on a non-discriminatory basis in line with WTO rules.

This was expected and the legislation will now be considered in draft form. Maharashtra has therefore acted ahead of its adoption, SWA officials believe.

Peter Power, a spokesman for the European Commission, said, "The EU welcomes the Indian decision to respond to EU pressure by repealing these discriminatory duties. EU wines and spirits exporters deserve a level playing field in India.

This decision brings us closer to that goal."

Article Courtesy of Economic Times, India

Jul 19
2007

Diageo names Humer as next chairman

Drinks company Diageo said today that Franz Humer, currently chief executive of Swiss drugmaker Roche, would succeed James Blyth as chairman of the world's biggest spirits maker from July 1st, 2008.

Roche said earlier today that Mr Humer would step down as head of the Swiss pharmaceutical group in March 2008.

The British maker of Smirnoff vodka, Johnnie Walker whisky and Guinness said in a trading statement in June the upturn in sales growth in early 2007 would mean the group's underlying sales for its year to end-June would rise more than 6 per cent in its first half.

Article Courtesy of The Irish Times

Jul 16
2007

Whisky tax plans to curb binge drinking

Tory plans to add a 25p "treatment tax" to the cost of a bottle of Scotch in a bid to curb binge drinking would damage the whisky industry, it was warned last night.

The plan to raise the tax to pay for measures designed to curb alcohol abuse was spelled out in a new Conservative social policy document drawn up by former party leader Iain Duncan Smith.

Its recommendation "is that an incoming Conservative Government seriously considers how to affect the price of alcohol including the possibility of a treatment tax."

Liberal Democrat shadow Scottish secretary Alistair Carmichael said this would put new pressure on distilleries, some in remote communities.

He said: "These Conservative proposals show a complete lack of understanding of the issues surrounding alcohol abuse and binge drinking.

"Slapping a new tax on a major Scottish industry could do serious damage to some of our most economically fragile and remote communities."

He added: "They look more like the Tory stealth taxes of old."

Scotch Whisky Association Government and Consumer Affairs director Campbell Evans said: "We already have the third highest rates of duty in the European Union.

"The idea that raising taxes will tackle alcohol misuse has not worked in other countries that have tried it."

Article Courtesy of Press & Journal

Jul 15
2007

Scotch whisky association tells India: We'll be watching you

The Scotch Whisky Association said yesterday it would be keeping a close eye on how Indian state governments use new powers to levy duties on spirits.

Earlier this month, India's government caved in to demands for an end to discriminatory taxes on imported wines and spirits. The move followed a European Commission complaint to the World Trade Organisation that India was flouting an earlier ruling that the duties - up to 550% on whisky - were discriminatory and illegal. But removing the "additional duty" left wine and spirits exporters from Europe facing a "basic customs duty" in India of 150%.

Now there are fears that individual states will apply their own crippling taxes under new powers granted by the national government.

Legislators in Maharashtra, home to India's largest city, Mumbai, have already imposed a 200% tax on Scotch Whisky and other states could soon follow suit, it was reported yesterday.

While any new taxes must not discriminate against imports, which would be against WTO rules, state governments can apply them to bring imports into line with duties which local producers have to pay.

"We will be following very closely how this is applied in practice," said an SWA spokesman, adding: "There has to be a level playing field, with the same taxes for domestic spirits."

Article Courtesy of Press & Journal

Jul 13
2007

Alcohol industry attacks tax hike plan

The alcohol industry is up in arms against a Tory proposal to raise taxes on alcohol by up to 10% in a bid to combat binge drinking. The proposal was announced by Conservative leader David Cameron earlier this week as part of plans to overhaul the family tax credits system.

In a letter to shadow Chancellor George Osborne (pictured), five trade associations have expressed concerns over the proposed move. The letter questions whether the tax hike will be able to solve the problem of alcohol misuse.

The British Beer & Pub Association, the Gin & Vodka Association, the National Association of Cider Makers, the Scotch Whisky Association and the Wine and Spirit Trade Association also say the tax could have a damaging effect on businesses in the sector.

The British Beer & Pub Association director of communications Mark Hastings adds: "Such a tax hike would do nothing to target or tackle binge drinking and everything to drive drinking underground. It would lead to a surge in booze cruise shopping, black market and illicit alcohol sales. It would drive drinking out of the controlled environment of the licensed market into the arms of the bootleggers."

The initiative has been proposed under the new Tory policy review recommended earlier this week.

Article Courtesy of Marketing Week

Jul 12
2007

Plans lodged for new £40m Moray distillery

Scotland's first new whisky distillery for more than 30 years came a giant stride closer yesterday when international drinks company Diageo lodged a formal planning application with Moray Council.

The £40million distillery at Roseisle, near Burghead, could be in production as early as 2009.

The ambitious plan was announced by Diageo earlier this year as part of a £100million expansion of its operations in Scotland.

Work could get under way at Roseisle - where Diageo already has a major maltings complex - by the end of the year provided there are no planning delays.

The company is hopeful that the distillery will open early in 2009 which would see its first mature spirit available in 2012.

The single malt spirit will be used in Diageo's range of blended Scotch whiskies.The capacity of the new distillery will help meet the anticipated long-term demand for Diageo brands in growing markets such as China, Russia, India, Brazil and Mexico.

The distillery will use the most up-to-date environmental and distilling techniques. It comes at a time of sustained growth in the company's Scotch whisky business worldwide.

It is expected that the distillery will create around 25 jobs.

Bryan Donaghey, managing director of Diageo Scotland, said: "This substantial investment in Moray underpins our commitment to the area and to Scotland as a whole.

"It is an investment that is essential to the long-term strategy for the development of our business here and has been made possible by the close and constructive relationship we have nurtured with Moray Council, the wider community and other key stakeholders."

Mr Donaghey added: "With this new state-of-the-art distillery we aim to meet demand well into the future - a good deal for the local area, the Scotch whisky industry and the Scottish economy."

Moray Council's development control manager Alan Short confirmed the council had received the application.

"We have had pre-application discussions with Diageo," said Mr Short.

"It is a major development and we would like to do what we can to support it."

However, he said the council could not pre-judge the application nor could it give a timescale for the application to be determined.

Last night Moray MP Angus Robertson, a vice-chairman of the all-party Whisky Group at Westminster, welcomed the latest move.

He said: "Diageo's announcement that they have lodged an application for a new distillery is great news for the whisky industry and demonstrates the potential for growth in Moray's economy.

"This investment by Diageo makes the whisky industry's base all the stronger in Moray."

Moray MSP Richard Lochhead said the whisky industry was a vital sector of the Moray economy.

He said: "Investment such as this provides security not just for Diageo employees but for the industry as a whole. Not only does it provide direct employment for Diageo, but there are also associated haulage jobs, engineering industry work and many other spin-offs."

Diageo already has 27 malt distilleries and two grain distilleries and employs more than 4,000 people in Scotland.

Around 90% of its whisky produced in Scotland is sold overseas.

Article Courtesy of Press & Journal

Jul 11
2007

Islay malt proves to be early hit

It Is a mere whipper snapper in the whisky world, but a five-year-old Islay "newcomer" has scored a considerable coup after being placed in the same league as mature single malts seven times its age.

America's most influential whisky enthusiasts magazine, The Malt Advocate, has rated PC5, the new peaty whisky from Bruichladdich, as "outstanding" and "the best for its style".

The highest scorer was a single cask bottling of the legendary 35-year-old Springbank. At 93%, and costing £300 a bottle, a single cask of 34-year-old Glenfiddich followed.

But third equal, with a score of 93%, was the five-year-old Bruichladdich PC5 which shared its position with a 36-year-old Mortlach. A 27-year-old Bunnahabhain and 26-year-old Highland Park followed. The Malt Advocate review said of PC5: "If you like your smoky Islay whiskies young and masculine, this one is for you. Multi-dimensional and balanced. Youthful, but not immature."

The PC5, Port Charlotte five-year-old, was the first whisky to be distilled under the new management at Bruichladdich Distillery, following six years of dormancy. Bruichladdich's master distiller Jim McEwan said: "We are particularly proud to have it rated in such exalted company."

Article Courtesy of Press & Journal

Jul 05
2007

Whisky exports set to rocket as India scraps punitive duty

Britain's Scotch whisky producers believe they could see a quadrupling of exports to India within five years following this week's abolition of punitive import tariffs by the Indian government.

The decision to scrap an "additional duty", which Brussels has said imposes a tax burden of as much as 550pc on exports to India, may not, however, be enough to prompt the European Union (EU) to call off a complaint to the World Trade Organisation over the issue.

A basic customs duty of 150pc will remain in place for spirits imports, and in a show of defiance, the Indian government this week raised the duty on wines to the same level.

Industry sources said last night that while the basic duty was WTO-compliant, it was likely to be a focus for discussion at forthcoming Free Trade Agreement talks between the EU and India.

"Abolition of the discriminatory Additional Duty is a significant step towards fair competition in an important emerging market for Scotch whisky," said Gavin Hewitt, chief executive of the Scotch Whisky Association (SWA).

"The duty has unfairly restricted market access in contravention of WTO rules. Reform will not transform the Scotch whisky market in India overnight but it opens up new possibilities for Scottish distillers to compete with domestic producers on a level playing field."

The Indian government's tariff reform came within weeks of the takeover of Whyte & Mackay, one of the world's largest Scotch whisky producers, by the Indian tycoon Vijay Mallya.

People close to United Spirits, Mr Mallya's drinks business, said last night that he was likely to be supportive of the government's move, though it was not clear whether he had directly lobbied for it.

Currently, Scotch whisky represents less than 1pc, or about 750,000 cases, of the overall spirits market in India, according to the SWA.

"We believe that could rise to 3m cases within five years," said one source.

Mr Mallya paid almost £600m for Whyte & Mackay, adding brands such as Isle of Jura and Vladivar vodka to a business empire that includes Kingfisher beer.

The deal marked a remarkable entry into the industry for the Indian tycoon, who had long been at loggerheads with the SWA over its stance towards United Spirits' own whisky products.

Mr Mallya is likely to consider listing United Spirits on the London Stock Exchange once he is satisfied with the operating performance and strategic development plans of Whyte & Mackay.

Robert Tchenguiz, the Iranian entrepreneur, and Vivian Imerman, his brother-in-law, were the main beneficiaries of the Whyte & Mackay deal, landing them windfalls worth tens of millions of pounds.

Article Courtesy of Telegraph

Jul 05
2007

Investment in premium malt brands bearing fruit for whisky producer

Edrington Group said sales of its flagship whisky brand, The Famous Grouse, had exceeded 3million cases for the first time and sales of The Macallan single malt had reached a new record of over 500,000 cases in the year to March 31.

Chief executive Ian Curle said yesterday: "Our brand development strategy is bearing fruit as The Famous Grouse, The Macallan and Highland Park all continued to show strong growth, aided by a positive trading environment for Scotch whisky.

"Due to the strong performance of our brands and our confidence in their long-term prospects, we plan to invest further in increased distillation and warehousing at The Macallan estate on Speyside.

"The investment will take place over the next few years and demonstrates our commitment to support the anticipated growth of our business.

"We are well placed to meet future demand."

Privately owned Edrington, which employs more than 800 people, said that The Famous Grouse had been the market leader in Scotland for 27 years and in the past 12 months had improved its position in the UK, its largest market, as a whole

Mr Curle said: "We continue to invest significantly behind The Famous Grouse in international markets and the brand has grown and developed its premium positioning in all of the key territories: Europe, the Americas and Asia-Pacific.

"The Macallan achieved over 500,000 cases sold for the first time in 2006-07.

" More importantly, the value growth of The Macallan outpaced the increase in volume and reflects how the group is focusing on opportunities to 'premiumise' and broaden our appeal to a wider and more discerning consumer base.

"Through development of the premium ranges, single-minded focus on quality, and the success of the new Fine Oak range, The Macallan is now the number two single malt Scotch whisky in the world by value.

"Our malt whisky brands are performing ahead of the industry average, both in volume and value, and we believe that this sector will continue to grow strongly in years to come."

Mr Curle added, however, that overall, Edrington's strong brand performance had been dampened by more than £3million of negative currency movements, mostly related to the US dollar.

He said: "Our results will continue to be affected as long as the dollar remains weak."

Edrington reported pre-tax profits, excluding exceptional items, of £68.9million: up 6.8% from its £64.5million haul the year before.

Turnover was up 5.7% at £278.5million on the previous year's £263.4million.

Article Courtesy of Press & Journal

Jul 04
2007

India Scraps Additional Tax on Liquor After U.S., EU Complain

India, the world's biggest whiskey market, scrapped an additional import tax on liquor, wine and beer after the U.S. and the European Union complained the duty curbed demand for products such as Jack Daniel's whiskey.

India removed the duty that ranged from 20 percent to 150 percent, the finance ministry said in a statement. It lifted the basic import tax on wine to 150 percent from 100 percent.

U.S. makers of spirits estimate the Indian market is worth more than $14 billion a year and say it is protected by tariffs high enough to keep out almost all American-made products. Lower Indian import tariffs may benefit European liquor companies such as Diageo Plc and Pernod-Ricard SA that are seeking growth in the world's second-most populous nation.

Import duties, including the extra levies, of as much as 550 percent helped keep out foreign competitors, according to the EU. Some of India's trading partners complained that the additional customs duty isn't equal to the excise duty rates on similar products in some Indian states, the ministry said.

The World Trade Organization had agreed on June 20 to investigate a U.S. complaint against India's alcohol imports that said India imposed ``excessive'' tariffs on imported wine and distilled spirits.

Exports of U.S. spirits to India were valued at $540,000 last year, Washington-based Distilled Spirits Council said.

India's spirits market, comprising whisky, rum, brandy and vodka, grew an average 8.3 percent to 1.96 billion liters in five years to 2006, according to Euromonitor. The sale of wines rose 18 percent annually to 5.4 million liters.

Consumption of spirits is forecast to grow at an average annual rate of 8.5 percent by 2011. The wine market is projected to grow 14.5 percent annually to 10.5 million liters in the same period, the London-based Euromonitor said.

Article Courtesy of Bloomberg

Jul 03
2007

Malt whisky is choice for live earth concert

Orkney-based Highland Park yesterday became the official single malt whisky for this weekend's global music event Live Earth.

The drink has been selected as the exclusive single malt being served on Saturday at Wembley Stadium, in London, during the 24-hour, seven-continent benefit concert.

More than 150 musicians will perform to an estimated global audience of 2billion in an event aimed at raising awareness of environmental issues.

Jason Craig, global brand controller for Highland Park, said: "We are both delighted and honoured to be supporting an event as important as Live Earth, which is using the global reach of music to engage people on a mass scale to live a more environmentally aware lifestyle.

"At the Highland Park distillery we are putting in place a number of initiatives to demonstrate our own green credentials."

Article Courtesy of Press & Journal

Jul 01
2007

BenRiach Launch 3 Heavily Peated Wood Finishes

We are pleased to announce the release of three new 12 years old BenRiach Single Malt expressions, each of which is distilled from heavily peated malted barley and originally matured in American oak, then finished in either Pedro Ximinez Sherry Butts (‘Heredotus Fumosus’), Aged Tawny Port Hogsheads (‘Importanticus Fumosus’) or Jamaican Dark Rum Barrels (‘Arumaticus Fumosus’).

Each whisky is non chill filtered and bottled at 46% (92 proof) and natural colour, and comes housed in an individual gift tube. All 3 whiskies were launched towards the end of May 2007, and are available in strictly limited quantities, with a 1st production of just 530 six-packs of Heredotus, 420 six-packs of Importanticus and a mere 290 six-packs of Arumaticus.

With Curiositas and Authenticus we have established a tradition of giving our heavily peated malts Latin names, and we have decided to continue this with the 3 new releases.

Tasting Notes:

HereDOTUS FUMOSUS PEATED MALT

‘Heredotus Fumosus’ literally translates to ‘Smoky sherry’

Nose: Sweet peat and smoke, clean citrus and vanilla notes with a rich backdrop of Pedro Ximinez Sherry.
Colour: Golden.
Taste: Sweet peat and smokey kippers, bog myrtle, lavender and sultanas, with a sublime Pedro Ximinez Sherry finish.

IMPOrTaNTICUS FUMOSUS PEATED MALT

‘Importanticus Fumosus literally translates to ‘Smoky port’

Nose: A big experience with peat, seaweed, vanilla and herbs complementing the rich Tawny Port presence.
Colour: Copper.
Taste: Wonderful sweet peat, bog myrtle and seaweed, with hints of vanilla,
citrus and wild flowers, with a rich infusion of Port.

arUMaTICUS FUMOSUS PEATED MALT

‘Arumaticus Fumosus’ literally translates to ‘Smoky rum’

Nose: Peat reek and smokies, moor herbs and heather, followed by a cascade of rum and sultanas.
Colour: Light gold.
Taste: Peat, eucalyptus, smokies, wild flowers and vanilla, with a huge infusion of sultanas and rum.

MORE INFO / PICS

For more information or pictures please contact Alistair Walker on:

E-mail: awalker@benriachdistillery.co.uk
Tel : +44 (0) 1324 682220

Article Courtesy of Benriach

Jun 30
2007

Chivas invests £4.75m in bottling plants

CHIVAS BROTHERS will invest £4.75 million in two bottling operations in Scotland to keep up with worldwide demand for leading brands such as whiskies Chivas Regal, Ballantine's, The Glenlivet and Beefeater gin.

The investment, which is backed by a £950,000 grant from the Scottish Executive, will increase capacity at plants in Paisley and Dumbarton, the company has revealed.

It was only last year that Chivas Brothers's parent company, Pernod Ricard, spent £2m on the Newbridge bottling operation in Edinburgh.

According to Christian Porta, chairman and chief executive of Chivas Brothers, the outlay on the bottling plants is the result of "a very successful and dynamic year with our key brands".

The Executive grant comes out of regional selective assistance funds, Scotland's principal scheme for supporting industry, that is earmarked for projects that increase or safeguard jobs in "assisted areas".

In a statement, Martin Togneri, chief executive of Scottish Development International, pointed out that the spirits industry "helps support around 41,000 jobs in Scotland". According to official figures, the Scotch industry alone is worth £2.47 billion a year in exports.

Chivas Brothers is in the middle of a £30m campaign for this year to roll out Ballantine's across the world and has re-launched Beefeater gin in Spain and elsewhere. According to Porta, the company, which employs 1600 staff across 31 sites in Scotland, has ambitious plans "to become the leading producer of premium Scotch whisky and gin".

Article Courtesy of The Herald

Jun 29
2007

Diageo warns of US slowdown

Diageo, the owner of Johnnie Walker whisky and Smirnoff vodka, warned of a slowdown in the US spirits market as it forecast an 8 per cent rise in full-year profit growth.

The UK distiller's shares fell 29p, or 2.7 per cent, to £10.36 after it said in a trading statement that it was sticking with its target of 8 per cent organic operating profit growth this year.

Analysts had been hoping for a further increase in the group's full-year financial targets after Diageo raised its profit guidance in February.

But on Thursday Diageo said spirit sales in the US, its biggest market, had slowed in recent months, raising fears that the weakening of the US economy may lead to a decline in alcohol purchases.

Diageo has a strong position in the US market, with its Johnnie Walker and Bailey's brands among the country's five most profitable spirits brands. It plans to put up prices on its premium brands to help increase sales revenues.

While Diageo claimed that its brands were not affected by the US spirits slowdown, some analysts said they were worried by the group's comments, given that the US is core to its growth.

Morgan Stanley said: "There is scope for premiumisation, but that is not the same as pricing growth on the mainstream product base."

Diageo owns 16 of the world's top 100 premium spirits brands, according to research from Impact Databank. However, it does not own any of the fastest-growing premium brands, which include Patron tequila, Svedka and Russian Standard vodka, and Presidente brandy.

In Europe and Asia, Diageo has been increasing the amount of money it spends on marketing and yesterday it said this had helped sales in the second half of its fiscal year.

Analysts said the higher marketing spending should help the group produce organic sales growth of about 6 per cent.

Article Courtesy of msnbc

Jun 28
2007

Whisky strength boost for Diageo

Strong demand for scotch whisky in the US and Latin America has boosted trading at UK drinks firm Diageo, whose brands include Johnnie Walker.

Whisky brands remained the "key driver" of its global growth, Diageo said, while adding that Guinness continued to perform strongly in Africa.

European trade has been tougher, with the alcopop market in decline.

Diageo reiterated earlier forecasts of 8% profit growth this year but said the weak dollar would cost it £80m.

The US remains the firm's most important market, making exchange rate movements important to its business.

Brand strength

Diageo has benefited from resurgent global demand for whisky and recently announced plans to invest £100m in modernising its distilleries.

The firm will report its full-year profits at the end of August.

The firm will report its full-year profits at the end of August, but in a market update Diageo said it had outperformed the market in the US this year and had also seen strong growth in Latin America and Africa.

It added that trading had improved in Europe and Asia in the second half of the year following higher marketing expenditure.

Chief executive Paul Walsh said the performance reflected the strength of the firm's brands.

Diageo's shares fell 1% as analysts expressed some disappointment that profit forecasts had merely been restated rather than increased.

But Keith Bowman, from Hargreaves Lansdown Stockbrokers, said attitudes to the firm's shares were likely to remain "favourable".

"The important North American market is making progress, whilst the group's push into emerging markets continues to build momentum," he said.

Article Courtesy of BBC News

Jun 27
2007

It's a snip at £800 a bottle

Whisky drinkers are being offered a once in a lifetime opportunity to sample a rare Scottish malt.

A limited edition bottle of Highland Park 1958, which claims to be the "best spirit in the world", is being sold at Oddbins in Aberdeen.

Only 665 bottles of the whisky were ever made and it is the only one of its kind left in Britain.

But whisky connoisseurs will have to splash out £800 in order to fill their glass with the nectar.

Todd Baldwin, 27, who works at the city centre shop, today said: "It is a collector's dream.

"Everybody seems to want to taste the whisky but not everyone can afford it.

"We have lost count of the number of people who have stopped and stared as they walked past the window. They obviously have expensive taste."

Staff at the wine merchants have showcased the bottle, numbered 327, in the window of Oddbins in Union Street, Aberdeen.

The 40-year-old whisky, which was bottled in 1998, is the last of its kind to be offered for sale to the public.

Todd, an Australian who moved to Scotland six months ago, added: "I wasn't a big fan of whisky until I moved here and now I love the stuff."

Highland Park Distillery, based in Orkney, said it was surprised the rare bottle was only being sold for £800 and claimed it was a bargain.

Pat Retson, visitor centre manager at the company's distillery in Kirkwall, said: "It is rare to hear of a bottle of this kind being sold on the open market.

"We have saved a sample here but they are not for sale in that way and if they were they would be worth thousands - so this is a bargain."

Simon Downs, of the Scotch Malt Whisky Society, said: "It is rare to find a 40-year-old malt available in the shops."

But he added: "This sale should create a bit of interest from people who drink whisky all over the world."

Article Courtesy of Press & Journal

Jun 27
2007

Whisky winner from Bruichladdich

The 12-year-old single malt whisky made on the Hebridean Isle of Islay by privately owned Bruichladdich Distillery has become the only UK spirit to be awarded the top three-star rating in the International Taste & Quality Institute's Superior Taste Awards.
The distillery's whisky, which is sold in cases of six, is claimed to be the purest in Scotland and derives its creamy texture and long finish to the group's artisanal techniques that date back to the late 1880s.

Bruichladdich uses six varieties of the island's organic and heritage barleys along with pure spring water to make the whisky, which undergoes a microchip-free slow distillation in tall, narrow-necked stills followed by slow maturation and natural bottling on the island. Bruichladdich uses three distillation techniques and three peating levels but avoids chill-filtration and colourings.

Article Courtesy of Caterer Search

Jun 26
2007

The Global Market Review of Blended Whisky – Forecasts to 2012

Reportlinker.com announces that a new market research report related to the worldwide alcoholic drinks industry is now available to its catalogue.

Global market review of blended whisky – forecasts to 2012 http://www.reportlinker.com/p050577/blended-whisky.html

This brand new report, the Global market review of blended whisky, looks at what is happening to blended Scotch in emerging and mature markets.

The publisher examines their opportunities and challenges, and ask the question; is the industry correct in believing that blended whisky will enter a new golden age via the potential in the economies of Brazil, Russia, India and China (BRIC)?

The publisher examines whether there has been a change in the nature of whisky marketing, and answer questions such as:

Is blended Scotch (r)evolutionary or simply resilient?
If the 'purist view' is falling away, what is it being replaced with?
Can the same approach be made to work both in the eager new markets, and the sluggish mature markets?
Brand image, self-image and innovation are addressed, plus the publisher takes a look at the role of, and the opportunities for 'smaller' brands.
Interviews with key executives from the top players in the industry are a main focus of the report, and the publisher provides commentary from executives at J&B, Chivas Bros, Diageo, Whyte & Mackay, Burn Stewart, Cutty Sark and Beam Global among others.

The report discusses the issues around current shortage of supply of blended Scotch, and finally, the publisher gives a perspective on the future of this global category.

Chapter 1: Introduction - A brief overview of the report coverage.

Chapter 2: Emerging markets – The publisher provides an overview of the BRIC economies, and discusses if the positive trend which is being seen in all of these emerging markets is as a direct result of each country's economic performance.

Chapter 3: Mature markets - This chapter covers the mature markets and looks at the more mixed market situation in the UK, France, the US and Southern and Eastern Europe. The publisher also includes comments from key executives, including James Pennefather, whisky portfolio brand director (GB) at Diageo and Bob Brannan, of Whyte & Mackay

Chapter 4: Brands and shifting sands - This chapter looks at whether brand owners need to radically challenge the imagery surrounding blends, and give the category a dramatic and innovative makeover in order to capture a new consumer. Plus, the publisher discusses if smaller brands ever effectively challenge the hegemony established by Diageo and Chivas Bros. This chapter includes comments from Alberto Gavazzi, category director for whisky, gin and Reserve brands at Diageo and Michael Cockram, Scotch brand director at Beam Global.

Chapter 5: Stock and supply - The premiumisation of the blended market has changed the category's shape - perhaps permanently. These days, the entry point in most of the emerging markets is 12-year-old; from a consumer perspective that means two brands, JWBL and Chivas Regal. Many firms have tried to launch 12-year-old variants to tap into this trend but very few of these brands have captured the public imagination, but if this is the new entry point, will all the others be forced to follow suit?

The publisher also looks at the rise in sales within emerging markets that has led to the industry upping production significantly over the past two years. Firms are now investing heavily in production infrastructure in order to meet anticipated demand, illustrated by Diageo announcing a GBP100m investment in infrastructure in February 2007, and Chivas doubling capacity at Glenburgie.

The chapter is strongly supported by interviews with, among others Burn Stewart's Fraser Thornton, Cutty Sark's marketing director, David King and Sophie Gallois, brand director, super-premium at Chivas Bros.

Chapter 6: Projections - Blended whisky total volume estimates in major markets and overall 2006-2012 (nine-litre cases)

Article Courtesy of Business Wire

Jun 21
2007

Scotch Whisked To England

The Scottish master distiller responsible for various Laphroaig and Chivas malts, Iain Henderson, is to manage the launch of England's first whisky distillery, the St George's Distillery in Roudham, Norfolk.

The distillery has already produced 250 casks of spirit which will be available for purchase in 2009 having been aged in oak for the required three years. England's first single malt is expected to be light-bodied with sweet toffee flavours.

Made using the same techniques as in Scotland, the English whisky cannot, however, be referred to as Scotch, a label this week granted more protection from the European Parliament. The move has been introduced in a bid to tackle misleading practices overseas and also addresses unfair practices such as the addition of flavours or sweeteners to whisky.

Article Courtesy of Berry Bros & Rudd

Jun 20
2007

Rothes firm bolsters headcount

A North-east design and manufacturing firm has added more than 20 staff.

Forsyths, which has its headquarters at Rothes, has expanded its team by taking on an additional 22 employees: four at its Forblast operation at Buckie, 12 at its Buckie base and an additional six at Rothes.

This brings the total number of staff to more than 140.

The company said increases in work for both the oil and gas and whisky industries - two of its main areas of expertise - had resulted in a booming business climate.

Forsyths chairman Richard Forsyth said: "With both the whisky and oil and gas industries continuing to thrive, we are in an excellent position to take advantage of the many new business opportunities that lie ahead. The appointment of even more staff will ensure we are in the best possible position to serve both new and existing clients.

"These are exciting times for Forsyths, and although we continue to extend our reach internationally, we are particularly committed to the local area, encouraging local employment and skills.

"Last year, Forsyths had a turnover of £13million, and this looks set to rise by 25-30% this year. All in all, we are extremely happy with the firm's position and, as the main pot-still maker in the world, we are building a reputation as a market leader."

Article Courtesy of Press & Journal

Jun 20
2007

Whisky industry raises glass to Europe

Scotland's £1bn whisky industry yesterday welcomed tighter rules on the production and labelling of the spirit in the European Union, claiming they will bolster exports and protect jobs.

Members of the European Parliament approved an updated and clearer legal definition of whisky, designed to help distillers tackle labelling which they have criticised as unfair and misleading.

The rules state that whisky cannot be flavoured or sweetened. They also update the protection of the geographical indication "Scotch whisky" in line with World Trade Organisation rules.

Nick Soper, the Scotch Whisky Association's European affairs director, said: "Improved EU protection for the traditional way of making Scotch whisky is a significant step forward. It will be easier to protect Scotch from unfair practices, supporting export success and the jobs that depend on that continuing success."

Whisky and other spirits drinks have been defined in EU law since 1989, but a spokesman for the SWA said the old rules proved difficult to interpret and appeared to offer loopholes. The association has pursued a string of court cases to protect the Scotch whisky brand. An example included taking action against a French producer who added sugar to whisky to sweeten it and sold the resulting product as whisky.

The spokesman said that the industry will now look at how best to bring forward national rules on Scotch whisky branding and labelling to the European level. This process will include talks on protecting the Gaelic language version of Scotch whisky - uisge-beatha Albannach - as a distinctive brand.

Yesterday's vote on spirit drinks also has important implications for vodka producers, in that those making the spirit from more than just potatoes or cereals will in future have to identify the extra ingredients on the label. The decision affects about one-third of the UK's vodka production, which includes molasses in the mix.

The UK is the second-biggest producer of vodka in Europe and the new labelling requirement, if endorsed by ministers, would mostly affect supermarkets' own-label vodka and other budget brands made from sugar beet.

The compromise avoids a tougher demand from Polish and Scandinavian vodka producers that the drink should only be called "vodka" when made from potatoes and cereals.

Labour MEP Linda McAvan, who brokered the deal, explained: "Only vodka made from either potatoes or cereals can simply be called vodka.

"All other vodkas will have to be labelled - but all European vodka producers will be able to keep their products on the market."

The European Vodka Alliance welcomed the compromise, which allows vodka to be made from any agricultural raw material as long as manufacturers comply with the need to stipulate on the label all the raw materials other than potatoes or cereals.

EVA spokesman Chris Scott Wilson said: "The Alliance has supported this compromise from the start. We hope now that EU governments will endorse the European Parliament vote and that this issue can be resolved once and for all."

The compromise on vodka was welcomed by Diageo, Europe's biggest spirits company, whose chief executive Paul Walsh had described efforts by some countries to tighten the rules as "protectionism".

The deal will be put to EU ministers for a final vote at the end of the month.

Article Courtesy of The Herald

Jun 19
2007

Distiller grasps Thistle over sales

Burn Stewart Distillers said yesterday it had revamped its sales operation and brought it back in-house.

Its whiskies, including core brands Scottish Leader, Black Bottle and Bunnahabhain, were previously distributed by Paragon Vintners.

Following a review of the Burn Stewart Distillers business, the East Kilbride-based company decided to support its brand development programmes from Scotland and, as a result, took direct control over all sales and marketing activities of its UK business.

The UK sales team has been completely restructured, with several staff coming on board from Paragon Vintners and new recruits added. Andy Calder, regional sales director, is heading up the team.

He said: "This new structure is already working, especially for Scottish Leader.

"We are very passionate about our brands and with this new structure we are always striving to add value to our wholesale and retail partners but importantly our end consumer."

Burn Stewart is owned by CL WorldBrands, the global drink arm of Trinidad-based CL Financial.

Article Courtesy of Press & Journal

Jun 15
2007

First whisky store opens at Cyprus airport

Uisge Beatha – a new concept for new operators

‘Uisge Beatha’, the water of life, is the first of its kind malt whisky concept that has opened inside the partly refurbished Larnaca airport departure lounge with the aim of attracting the whisky connoisseurs and well-to-do travellers on their way to short or long journeys.

This pilot project is the brainchild of the marketing team of the airport’s new management, CTC ARI Airports, and plans are underway to imitate the same shop-in-shop, located within the upgraded duty free store in other countries where the Hermes Airports venture partner Aer Rianta International has a presence.

Uisge Beatha is manned by a well-trained ‘shopping advisor’ who will guide the potential buyer through the initial selection of 61 Scottish single malts, that is expected to see a number of Irish malt whiskeys added very soon.

Tasting also takes place on the spot depending on the customer’s preference or inquiries. Some of the ‘most interested’ are some Scandinavians and Russians who are prepared to spend big amounts for a quality whisky, while others are still rushing through trying to get the odd Scotch blend for the father-in-law and the cologne for the mother-in-law, while trying to catch the flight in time.

For the unknowing visitor, the best bargains are the Glenfiddichs for about a tenner while the most expensive in the store is a 30-year-old ‘Glen’ going for CYP 110 (EUR 187). This shop is expected to engulf whiskies and blends from other continents as well, such as the U.S., and is regarded as having the best whisky collection at any airport.

All four major Scottish malt producing areas are represented at Uisge Beatha – Highlands, Speyside, Islay and Lowlands and you can ask the shop keeper anything you want. If he doesn’t know it (which he probably does), then he has a vast supply of books and other resources.

But it is not just quality brands and their nice display that will attract buyers to the shop. The company’s management has secured competitive prices rating Larnaca Airport as one of the “most affordable” for whisky purchases.

“On some brands we have at least a pound’s difference from outside market prices, but in the case of others we have resorted to special deals by incorporating taxes or other costs in order to make our shop attractive for new customers,” explained Gerry Crawford, General Manager, CTC-ARI Airports that operates the Cyprus Airports Duty Free, as well as the smaller Xpress shops dotted around the airport terminal building.

“My objective is to completely demystify the sector for our consumers,” said Crawford, adding that, “we will be initially specialising in distillery bottled editions as I think it is a lot more interesting and collectible for the consumer.”

Article Courtesy of Financial Mirror

Jun 14
2007

Packaging firm to double its workforce

AN enterprising Port Glasgow company is planning to build a new factory and double its workforce.

McLaren Packaging specialises in making high-quality tubes for many of the world’s best known whiskies.

And things are going so well that, over the next two years, it hopes to build a new plant next to the existing Devol industrial estate premises and increase the workforce from 53 to about 100.

Chief executive Jim McLaren told the Tele: “We are the only company in Britain who can provide a complete whisky-packaging service on one site. We produce high-graphic tubes and cases as well as partitions which are assembled and packed for delivery direct to the whisky bottling plants, ready for filling and shipment throughout the world.

“These tubes are technically very difficult to make and a great deal of skill is required. Our company’s been doing very well and the time is right for us to expand.

“We are a family company based in the Port Glasgow Industrial Estate and that’s where we would like to stay.

“Most of our workforce is local and they’ve been with us for a number of years, and I think that is one of the keys to our success.”

The company was praised in the House of Commons by Inverclyde MP David Cairns for its contribution to Inverclyde’s economy.

He said their investment and training strategy had kept them at the forefront of their industry.

Mr McLaren added: “The Scotch whisky industry is thriving at the moment, and companies such as McLaren Packaging allow Scotch whisky to expand into markets where it is seen more as a niche product.”

The company has been in Port Glasgow Industrial Estate for 22 years.

Article Courtesy of Greenock Telegraph

Jun 12
2007

Chinese-speaking guide to help distillery bosses deal with influx of oriental tourists

A Rise in the number of oriental tourists sampling whisky at a Speyside distillery has prompted bosses to hire their first Chinese-speaking guide.

At the age of 20, Hong Kong-born Ines Hiu Ting Shek speaks five languages, including Cantonese and Mandarin.

She has been taken on by Glenfiddich Distillery at Dufftown to host tours for the growing number of visitors from China.

Last year the number of tourists from this country rose by 37.5% and already this season the distillery has encountered record levels of Chinese visitors.

Elizabeth Lafferty, spokeswoman for the distillery, said: "We have recruited over 30 guides to help us out over the busy summer months and between them they speak 10 different languages.

"Ines, however, is our most talented linguistically, able to speak Cantonese, Mandarin, English, Dutch and French."

Miss Shek, a management studies student at Aberdeen University, said: "It is very exciting to be living at Glenfiddich. I have just started my training as a guide and there is a lot to learn but I am really looking forward to taking my first tour group around."

Ian Allan, visitor centre manager at Glen Moray Distillery in Elgin, said yesterday its tours were hosted in English although there were language cards available.

"The only way we tend to get Chinese visitors is if they stumble across us during the whisky trail," he said.

Staff at The Macallan Distillery, at Craigellachie, and Glenfarclas Distillery at Ballindalloch, which both offer English tours only, said although there had been no noticeable rise in Chinese visitors they did regularly attract Japanese tourists.

Article Courtesy of Press & Journal

Jun 10
2007

Renewed ‘Imperial’ Seeks to Dominate Whisky Market

"Imperial," the best-selling whisky brand that has been in top place in the South Korean market for more than a decade, aims to maintain its lead with a new look and strengthened consumer protection policy.

Jinro Ballantines, the South Korean unit of Pernod Ricard, said Friday that it will launch this week ``Imperial 17,’’ which maintains the smooth taste and legitimacy of the super premium whisky.

Imperial’s new look features a bold, confident exterior to enhance the brand image as a successful, magnetic and masculine brand. While the new ``Imperial 12’’ was already released on May 28, the new ``Imperial 17’’ is to be distributed in the market from June 12.

In particular, the new Imperial presents a different kind of ``product guarantee’’ device, called OK Mark (Original Keeper Mark), in addition to its famous ``Keeper Cap.’’

When the laser-printed four-digit number on the cap and cap sealer of each bottle matches the last four digits of the 10-digit product code on the label, the bottle is guaranteed to be genuine Imperial, according to Jinro Ballantines.

Imperial has maintained its lead on the domestic whisky market for 13 consecutive years since its launch in 1994 and has led changes through the past decade to meet consumer needs with the introduction of various protection devices and promotion and advertising campaigns.

``We think we have done well, but one can never stop,’’ Anthony J. Budd, marketing director of the company, said in the press conference to launch the Imperial renewal. ``A leader cannot stop.’’

He added that Imperial would launch a new advertising campaign beginning in mid-June to support the newly designed bottle. Jinro Ballantines also plans to launch promotional events and other massive advertisement campaigns through the Imperial Web site (www.imperialfollowme.com).

``Since consumers look for more of an emotional connection to their whisky brand, we will focus on the activity that appeals to them through the launch of the new bottle design and the introduction of advertising campaigns using celebrities who match Imperial’s brand image as a pioneer and a leader,’’ Budd said.

Jinro Ballantines President Jean-Christophe Coutures said that he hopes the company’s market share would grow from the current 35 percent to over 38 percent by 2008.

Jinro Ballantines, which produces Imperial, Ballantines and other famous brands, had a 36 percent share of the whiskey market in the first four months of this year, followed by Diageo Korea, which markets brands such as Windsor, Dimple and Johnnie Walker, with 35 percent.

South Korea is the world’s fourth largest whisky market. Currently, premium whisky brands account for 72 percent of the market, while super and ultra premium whisky brands take up some 26 percent.

Pernod Ricard acquired Allied Domecq, the British group that formerly owned Jinro Ballanties, in 2005. But the French company decided to maintain the name Jinro Ballantines for a while in consideration of the brand power of Jinro and Ballantines in South Korea.

"Ultimately, we plan to use our own company name, Pernod Ricard _ hopefully in a couple of years," Coutures told The Korea Times.

He shouted, ``Imperial, Nareul Ttareura! (Follow Me),’’ the tagline for the advertisement for the new Imperial during the press launch, calling for participants to follow him and pour each other a glass of the new Imperial 17.

Article Courtesy of Korea Times

Jun 7
2007

Highland Park and The Macallan whiskies win medals

Scotch whisky group Edrington's premium single malts have scooped 12 medals, including four golds, in this year's International Wine and Spirits (IWSC) competition.

Each expression entered by Highland Park and The Macallan in the Islands and Speyside categories were recognised for their quality by the judges.

Orkney-based Highland Park won awards for the brand’s complete portfolio, including the top award of “gold best in class” for its oldest expression, Highland Park 30-year-old. The brand was also awarded gold medals for its 12, 18 and 25-year-old bottlings, silver best in class for its 15-year-old and silver for its 16-year-old duty free exclusive.

The Macallan also enjoyed success winning three silver medals for its 10, 15 and 30-year-old Fine Oak single malts, silver for its 18-year-old Sherry Oak and bronze for both its 12-year- old Sherry Oak and 12-year-old duty free exclusive Elegancia.

Ken Grier, director of malts at Edrington, commented: “We are thrilled to have won this recognition across our malts portfolio. This seal of approval from the IWSC shows our whiskies continue to excel amongst the best in the world in one of the most stringent annual spirit trials.”

Over 200 single malts were put through their paces in the IWSC’s rigorous two stage judging process of professional blind tasting and detailed analysis.

Founded in 1969, it is the premier competition of its kind on the international stage and promotes the quality and excellence of the world’s best wines, spirits and liqueurs.

Edrington’s best selling blended whisky, The Famous Grouse, also scored highly, receiving a gold, best in class in the Scotch whisky pure malt 30-year-old category and a silver medal in the Scotch whisky blended category (no age) for The Famous Grouse Finest.

Article Courtesy of Talking Retail

Jun 7
2007

Lewis distillery planned

Lewis could be given the go ahead for the western isles first distillery in around 200 years. Although many illicit stills existed on the Hebridean island until relatively recently.

Lewis entrepreneur, Mark Tayburn plans to build a malt whisky distillery using the peaty water of Uig.

Article Courtesy of Scotchwhisky.net

Jun 5
2007

Distillery toasts whisky's success in Europe

Europe's premier chefs have awarded top marks to an Islay whisky - making it the only UK spirit to receive a maximum three-star rating from the International Taste and Quality Institute.

Bruichladdich 12-year-old malt was bestowed with the institute's three-star superior taste award at a black-tie dinner in Brussels.

More than 600 products were tested by Europe's finest chefs and sommeliers - wine experts - internationally recognised by world-renowned culinary guides, such as the Michelin and Gault et Millau.

Mark Reynier, chief executive of Bruichladdich, said the company has just won several prizes in the annual International Wine and Spirits awards.

But he added that this latest European award was particularly welcome because it was judged in a "blind-tasting assessment" by food and drink professionals who take the commercial decisions about which products to buy.

Winning a 92% rating at the event, the whisky was judged on its intrinsic quality, intensity of flavour, purity and the "hedonistic feeling of pleasure" given to the consumer.

Bruichladdich sales director Andrew Gray said: "We are obviously very pleased to be the only whisky to be awarded the maximum three stars. There are of course many awards, and we win more than our fair share of them, but these are serious people who know a thing or two about quality.

"Their judges appreciated the natural flavours of Bruichladdich - acknowledged as the purest in Scotland - which come from slow distillation and natural bott-ling."

He added: "Uniquely, from barley to bottle, we do everything at the distillery. With Islay's pure spring water, rejecting chill-filtration and colouring, this is as natural as it gets.This is exactly what Bruichladdich is all about - £27 buys you pure hedonism."

The International Taste and Quality Institute is the leading independent chef and sommelier-based organisation dedicated to judging, honouring and promoting superior tasting food and drink.

This year 601 products from 58 countries have been evaluated by the institute, but only 7% of them were granted three-star status.

Article Courtesy of Press & Journal

Jun 2
2007

Duncan Taylor Wins Global Commendation For Its Premium Whiskies

Aberdeenshire-based Duncan Taylor & Co has this week won prestigious awards from International Wine and Spirit (IWAC) and respected whisky titles both here in Scotland and America

The independent bottler’s Caperdonich 33 year old was awarded overall winner in the well-respected Scottish Field Whisky Merchants’ Challenge 2007, now holding 2nd place in the magazine’s All Time Best £30-£50 charts.

Meanwhile the company’s Invergordon 1965 and Strathisla 36 year old were revered by Malt Advocate, America’s most regarded beer and whisky title.

Finally two gold awards, one silver, one bronze and two best in class were awarded to the independent bottler by International Wine and Spirit (www.iwsc.net).

The privately-owned company fought off stiff competition from whisky distillers and independent bottlers and its premium whiskies impressed all three expert judging panels on nose, taste & finish.

International whisky expert Charlie MacLean commented on Caperdonich’s “Wonderful nose” and pronounced it “The best of the bunch”. While Keir Sword was pleasantly surprised by Caperdonich’s “gentle, subtle character which continues on the palate, where the delicate winey sweetness fades to a creamy, more-ish finish.”

John Hansell from the Malt Advocate gave Duncan Taylor’s Rare Auld Invergordon 1965 an unprecedented 94/100 for cask 15510, which was exclusively selected by Park Avenue Liquor Shop in New York. Additionally the company’s Strathisla 1968 Cask 7009 was awarded an equally impressive 93 points.

Duncan Taylor’s Cask Strength 41 YO Tomatin Rare Auld Scotch Whisky scored 91.1 as did the company’s Carsebridge 27 YO Cask Strength Rare Auld Scotch Whisky also scoring achieving a coveted 91 score.

Duncan Taylor Cask Strength 38 YO Caperdonich Rare Auld Scotch Whisky was awarded 85.8, while Duncan Taylor 12 YO Imperial from the NC2 Range Single Malt Scotch Whisky scored 78.3. NC2 is a non-coloured, non chill filtered whisky of twelve years plus.

Commenting on the launch of NC2 range earlier this month, whisky writer Dave Broom said, “The move towards ‘natural’ whiskies is to be welcomed. As consumers around the world become more educated, so they don’t mind if their dram goes a wee bit cloudy when water is added. They know that if it does they will be getting added character. Whisky is about flavour. Natural whisky gives you that…and more.”

Described by Whisky Magazine as ‘A jewel in the crown of Scottish whisky’, Duncan Taylor has one of the largest collections of rare Scottish whiskies.

Euan Shand, owner of Duncan Taylor commented. "We are delighted that our commitment to working only with Scotland’s leading distilleries, using the finest casks available, adopting rigorous cask husbandry and creating ideal warehouse conditions has resulted in even more awards for our whiskies. Duncan Taylor has a reputation for quality that dates back to its inception in 1938 and we are proud to maintain this gold standard for generations to come.”

Duncan Taylor whiskies are available from leading independent whisky shops. To check for stockists log on to www.duncantaylor.com

Article Courtesy of O'Leary PR

Jun 01
2007

The Balvenie rolls out Artisan Awards

As part of a campaign to build awareness of The Balvenie and its credentials as a premium Single Malt Scotch Whisky which prides itself on retaining and nurturing a high standard of craftsmanship, the brand has rolled out The Balvenie Artisan Awards across the UK for the first time this year.

The awards, which have previously been running in Scotland for 4 years, are designed to reward and celebrate individuals who, like the makers of The Balvenie, keep traditional crafts alive.

‘These awards have been extremely successful in Scotland so it seemed natural to extend the opportunity to recognise those businesses who are committed to upholding traditional crafts and skills to the rest of the UK.

'We still use traditional methods to make The Balvenie such as growing our own barley, maintaining a traditional floor maltings, coopers, and a resident coppersmith. We are totally committed to retaining all areas of craftsmanship throughout the process,’ explained Geraldine Roche.

‘By forming an exclusive media partnership with Country Living magazine, we have been able to closely target potential drinkers and gifters of premium malts who are likely to appreciate and identify with these values.’

The top accolade at the awards, The Country Living Balvenie Artisan of the Year 2007, was presented at the award ceremony in London this month. It went to Steven Laing, founder of Traditional Masonry in Aberdeenshire, who impressed the judges with his commitment to training, education and quality.

Other winners included a wooden boat builder from Cornwall, an upholstery designer from London and a wood carver from Suffolk.

In addition to The Balvenie Artisan Awards, the brand has also formed a number of partnerships with well respected, luxury brands who also adhere to traditional craftsmanship, to bring the brand’s quality and heritage to life. These include Gieves & Hawkes Savile Row bespoke tailors and Morgan cars as a means of engaging with discerning whisky drinkers.

‘Our programme of support for the brand continues to communicate our commitment to hand crafted quality by linking with craftsman from high end tailors through to stonemasons. Partnerships such as those with Gieves and Hawkes and Morgan cars will be rolled out continually throughout the year in a bid to keep these messages alive,’ adds Roche.

The Balvenie continues to win the highest accolades from industry experts and the distillery now offers Scotland’s most in-depth whisky tour. It is the only distillery in Scotland to allow visitors to bottle their own whisky in a distillery warehouse direct from the cask.

Article Courtesy of Talking Retail

May 31
2007

Scottish maltster invests £12m to increase capacity

Scottish maltster, Simpsons Malt, has invested £12 million to increase malting capacity at its Berwick-on-Tweed plant.

The move, which will see capacity increased by 40,000 tonnes to 180,000 tonnes, follows the closure in recent years of malting plants at Carnoustie, Kirkcaldy and Kirkliston.

The closures were blamed on poor returns for malt and concerns that a shortage of malting capacity could limit the uptake of malting barley from Scottish farmers.

Distillers have warned they may have to import more malt to meet the soaring world-wide demand for Scotch whisky.

Tim McCreath, Simpsons’ managing director, welcomed the recent strengthening of the malting barley market, which has seen contract prices for this year’s harvest rise by £40 a tonne compared with last year, and the offer of longer-term contracts by distillers to secure future supplies.

“The price of malt and therefore malting barley has been undervalued for the last few years,” said Mr McCreath.

“We have seen a more realistic value returning to the malt market this year and higher prices have to be passed down to growers to make malting barley a competitive and sustainable option.”

Simpsons said it has secured several long-term deals with distillers and a major brewer which justifies its investment in new plant.

The company sources most of its malting barley requirements from the Borders, Lothians and Northumberland. It also has sites in Norfolk and Essex, with total malting capacity reaching 270,000 tonnes.

Trade sources believe the rise in the malting barley price has been enough to halt the decline in the spring barley area in Scotland.

It is expected that the June census will confirm the area down to spring barley has stabilised.

Article Courtesy of Farmers Weekly

May 30
2007

Pernod Ricard Looks To Boost China Sales

French wine and spirits group Pernod Ricard is looking to strengthen its position in China, where it is the leading western drinks brand, by targeting households with an income of over $5,000 per year, according to Le Monde. This sector of the population is expected to reach 10% in 2010, from 8% in 2005.

The group's premium brands, which sell for over $30 per bottle, account for about 30% of its sales worldwide, but make up 100% of turnover in China. The report said the group is now planning to concentrate on champagne and whisky due to their increased popularity in China.

Article Courtesy of Kam City

May 28
2007

Oil shortage hits whisky island

Distillers on Islay face not being able to make whisky during the island's annual celebration of malt and music due to a shortage of oil.

A £4m pier extension was built on Loch Indaal to accommodate an oil tanker but low tides and silting have prevented it from docking regularly.

The company which supplies the oil said it could not guarantee deliveries.

Bad weather prevented the tanker unloading on Sunday and shallow water means it could dock below capacity.

With the tanker only only holding one tenth of its possible load, the oil will only last until Wednesday.

The Bruichladdich distillery, which stands opposite the pier, will have to stop distilling on Monday, just as hundreds of visitors are enjoying the island's malt and music festival.

Article Courtesy of BBC News

May 24
2007

Whisky cheers to eastern promise

THE new Indian owner of Invergordon Distillery plans to invest around £10 million in the plant and double its output, creating new jobs, it has been revealed.

Vijay Mallya, the drinks billionaire who last week snapped up Whyte & Mackay for £595 million, proposes turning Invergordon Distillery into the biggest whisky plant in Scotland to satisfy booming demand on the sub-continent.

Mr Mallya's investment in the distillery through his United Spirits business will see its capacity increase from 40 million litres of alcohol a year to 80 million litres.

The whisky produced at Invergordon will be shipped in bulk to India where it will be bottled. The company is targetting India as next April will see the removal of tariff barriers on the sale of whisky which will put the drink within the reach of ordinary consumers. Currently there is a huge demand for whisky among India's middle classes.

A spokesman for the company said the plans were likely to mean new jobs at the distillery but could not say how many.

With the multi-million pound investment,Invergordon will rival Diageo's huge Cameronbridge plant in Fife and the Diageo/Edrington North British distillery in Edinburgh.

The move was this week welcomed by Maxine Smith, one of the new Highland councillors on the Cromarty Firth ward.

Ms Smith said: "I'm absolutely delighted, for two reasons. Firstly because it means Scotch whisky will be promoted all over the world which is good for the Highlands and for Scotland, and secondly it will be tremendous for Invergordon because we really need that regeneration.

"This will underpin the security of the existing jobs at Invergordon Distillery and also create new jobs, and because this is Scotch whisky industry and a high quality product, I'm sure these jobs will be long term."

She added: "There has been a period of uncertaintly at the distillery while these negotiations have been ongoing and I know the employees have not been given a Christmas bonus for the last two years because nobody knew what was happening. This news will end that uncertainty."

Vijay Mallya now plans to spend a week every month at Keillour Castle in Perthshire, one of 26 homes which he owns worldwide, from where he will oversee Whyte & Mackay.

Meanwhile Whyte & Mackay employees, including those at Invergordon Distillery and the Dalmore plant in Alness, are to share a £26 million bonus after their outgoing chief executive offered to pay it out of his own pocket.

South African tycoon Vivian Imerman, who sold Whyte & Mackay to Vijay Mallya, has offered to pay all 500 employees the equivalent of three month's salary as a thank you.

Mr Imerman bought Whyte & Mackay in 2005 and turned around the business. He said he wanted to reward staff for the hard work they had put in to help transform Whyte & Mackay's fortunes.

Article Courtesy of Highland News

May 23
2007

Parasite threat to salmon stocks and whisky industry

Salmon fishery boards have joined forces with the country's canoeists to try to prevent a deadly parasite entering Scottish waters.

It is feared the gyrodactylus salaris (Gs) parasite could devastate salmon stocks and have a major impact on the economy with angling and canoeing suffering along with the whisky, paper and bottled water industries, which rely on fresh water.

The Association of Salmon Fishery Boards (ASFB) and Scottish Canoe Association (SCA) want a high-profile campaign at ports and airports to raise awareness of the threat from the Gs parasite, which has already devastated stocks of Atlantic salmon in Norwegian rivers.

The two organisations say although the Scottish Executive Environment and Rural Affairs Department is taking the issue seriously and their own organisations give advice for anglers and canoeists on how to avoid accidentally importing Gs into this country, more effort should be made, especially by English agencies, to tighten defences.

The ASFB and SCA would like to see: clear information about Gs at ferry ports and airports; leaflets and posters on ferries linking the UK to Scandinavia; and greater effort being made at Westminster to encourage agencies to spread the message across the rest of the British Isles.

Mike Dales, SCA access and environment officer, said: "We are doing all we can to raise awareness of the issue among canoeists and to recommend ways of disinfecting.

"It concerns us that anyone travelling overseas, especially to Norway where many paddlers go each summer, will not pick up this message at the ferry terminal or on the ferry if they hadn't learned about it before they left home. We are concerned that the authorities are not responding with sufficient urgency.

Andrew Wallace, ASFB director, added: "Gs is the single greatest threat salmon stocks in Scotland have ever faced. It is vital that every conceivable effort is made to prevent its introduction.

"It concerns us greatly that the ferry, port and airport interests do not appear to be taking sufficient precautions."

Article Courtesy of The Herald

May 22
2007

Fond of a wee dram

Not many people know that whisky matches food just as well as wine. Whisky importer and connoisseur Bart Burgers got straight up with Naomi Mitchell.

Bart Burgers, one of New Zealand's premier whisky connoisseurs, had his first tipple of whisky during a visit to Scotland in 1991.

He can't remember which whisky he drank, but he says it changed his life.

"What I did remember was that as I sipped the tantalising, flavoursome whisky cupped in my hands, its warmth enveloped every bone in my body."

Burgers has been passionate about the whisky industry ever since.

He will be hosting a whisky tasting evening in Nelson at the Boat Shed Cafe on June 1.

He moved to New Zealand from the Netherlands five years ago but couldn't get his hands on good-quality whisky, so he arranged for cases to be sent to him in New Zealand.

"New Zealand is still in its infancy when it comes to single malts."

Burgers runs the website Malts of Distinction as well as wine stores in Auckland, and says he has access to 300 single malts.

"For the last 3½ years, I have been busy educating the New Zealand audience that there is another level of whisky - single malt - and telling them about the different regions."

Single malt is the term used for a whisky produced from only one distillery.

Blends contain whisky produced from two or more distilleries as well as industrially produced grain whisky, which is used as "bulk" for the blend.

"There are about 93 or 94 working distilleries in Scotland, and between them they bring about 3000 different whiskies."

Burgers says there are five main whisky-producing regions in Scotland - Lowlands, Highlands, Speyside, Island and Islay - and each is known for producing a different type of whisky.

Under Scottish law, a whisky must be matured in an oak barrel for a minimum of three years, he says.

His partner Katey Rudlin is interested in food and whisky, and they enjoy hosting tastings together.

"If you do a wine and food tasting, people drink the wine quite readily with different dishes.

"The difference with single malt whisky is that you don't drink the whisky as you would a wine or beer. It is more for a taste comparison.

"There are so many different flavours in whisky.

"A lot of the Islay whiskies, which tend to be the smoky whiskies, match well with chocolate and a good espresso coffee.

"Caol Ila (an Islay whisky) tends to be silty, and it goes really well with your oysters, which tend to be really silty."

Others have white peppery flavours, which go well with an angus beef black pepper steak, he says.

Burgers says it can be very challenging, but also rewarding, to match whisky flavours with food.

He also likes matching whiskies with cigars, and plans to do this in Nelson.

Tickets to the whisky tasting evening on Friday, June 1 are $75, which includes finger food and tastings of more than 20 malt whiskies. Cuban cigars will also be available to complement the whisky list.

Article Courtesy of stuff.co.nz

May 21
2007

Whyte & Mackay may be listed on LSE: Mallya

Liquor giant UB Group on Monday said it might enlist the newly-acquired Scottish whisky maker, Whyte & Mackay on the London Stock Exchange (LSE).

"This (the listing on the LSE) can happen," company Chairman Vijay Mallya told reporters here when asked whether he was planning to enlist the company on the stock exchange to raise funds.

He, however, did not give any time-frame.

Mallya-promoted United Spirits had last week acquired Scottish whisky company Whyte & Mackay for Rs 4,819 crore, making the UB Group the second largest liquor company in the world.

He added that Whyte & Mackay would remain a 100 per cent subsidiary of the UB Group and he has no plans to change the management.

"We should allow it to operate on its own and I don't see any change required in the current management," Mallya said.

Mallya said that the acquisition of Whyte and Mackay was required to make scotch whisky available in India, China and the Gulf.

Mallya said that the acquisition would be financed through loans from ICICI Bank ($325 million), Citibank ($310 million) and through sale of United Spirits treasury stocks.

"We will pay it off prematurely," Mallya said. He had earlier stated that the earnings of Whyte and Mackay would cover the cost of acquisition in the near future.

Whyte and Mackay's annual operating income is now approximately 50 million pounds and expected to grow at 20 per cent per annum.

Mallya said the capacity of Whyte and Mackay would be increased, but did not give further details.

United Spirits was the third largest liquor company in the world before this acquisition, with a sale of 66.4 million cases of spirits in 2006-07.

Now it will add another 9 million cases. The combined capacity of the company would increase to 75.4 million cases per annum, making the UB Group the second largest company in the world.

He had also earlier that Whyte & Mackay has 140 brands, some of them are dormant, which could be revived.

Whyte & Mackay brands include The Dalmore, Isle of Jura, Glayva, Fettercairn, Vladivar vodka and scotch whisky brands such as Mackinlays, John Bar, Cluny and Claymore.

The Glasgow-based company has four malt whisky distilleries in Scotland.

Article Courtesy of DNA India

May 18
2007

£26m 'thank you' to whisky staff

Employees of whisky giant Whyte & Mackay are to share a £26m bonus after their outgoing chief executive offered to pay it out of his own pocket.
South African tycoon Vivian Imerman, 52, sold the firm to the Indian-based United Breweries Group in a deal worth £595m earlier this week.

He has offered to pay all 600 employees the equivalent of three month's salary as a thank you.

Mr Imerman bought Whyte & Mackay in 2005 and turned around the business.

He said he wanted to reward staff for the hard work they had put in to help transform Whyte & Mackay's fortunes. Employees were told of the windfall on Wednesday.

'Handsomely rewarded'

He told the Herald newspaper: "Clearly it has been a team effort by all the people involved, not just senior management.

"The 20 or so people at the top have been handsomely rewarded but I wanted to reward everybody.

"I therefore felt it appropriate, on a discretionary basis, to give every single employee this bonus. It is effectively a 25% bonus which is worth around £26m in total."

Staff were reported to be delighted with the bonus. One employee said that if there was a vote for the king of Scotland, Mr Imerman would probably win.

Mr Imerman and his brother-in-law paid just over £200m for Whyte and Mackay in 2001 as part of a group of investors. He took full control two years ago.

He initially oversaw a round of job cuts and closed a bottling facility in Leith, but the company's profits quickly began to increase.

Whyte & Mackay's self-branded whisky holds about 3% of the UK whisky market. Most of its staff are based in Invergordon and Grangemouth, as well as its headquarters in Glasgow.

The company also owns the Dalmore and Jura brands as well as Vladivar vodka and Glayva liqueur.

Article Courtesy of BBC News

May 16
2007

Whisky giant sold to billionaire

An Indian billionaire has bought the Scottish whisky distiller Whyte & Mackay in a £595m deal.

The spirits giant United Breweries, which is headed by Vijay Mallya, announced the all-cash acquisition to the Bombay Stock Exchange.

In a statement, the firms said the deal would help expand the market for Whyte & Mackay's brands in emerging economies such as India.

It will also help UB Group add Scotch whisky to its portfolio of products.

Vivian Immerman and his brother-in-law, Robert Tchenguiz, had taken full control of Glasgow-based Whyte & Mackay two years ago.

Mr Immerman had been part of a group of investors who paid £208m for the company in 2001.

He said he was selling the company because it would be "very difficult" for him to take it to the next level.

Mr Immerman told BBC Scotland that the only opportunities for further acquisitions were either in family hands or "extremely expensive".

"It needed a parent that had international distribition and could take the business to the next stage, and I wasn't capable of doing that without such a platform," he said.

"Vijay will bring the international distribution, expecially in the emerging markets where Scotch has exponential growth which has not been seen over the last several decades, and that is vital for this business."

Spirits market

He said all the existing staff would be transferring over to the new owner and dismissed suggestions that any of the company's brands could be distilled in India.

"Scotch whisky can only be made in Scotland," he stressed.

UB Group dominates the Indian spirits market, which is the world's largest for whisky.

But Scotch whisky only makes up about 1% of the Indian market, as a result of tariffs imposed by the country's national and state governments.

Article Courtesy of BBC News

May 15
2007

New whisky distillery planned for Aberdeenshire

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Plans have been revealed for a new £3.5million distillery in Aberdeenshire.

A whisky merchant in Huntly is lodging a planning application to renovate a former creamery on the outskirts of the town.

The building, in an idyllic setting just outside Huntly, has lain derelict for around 10 years after the creamery which it once housed closed down.

The whole two acre site could be about to receive a new lease of life with the construction of a distillery.

Local whisky merchant Euan Shand also wants the project to include a bottling plant and visitor centre.

Mr Shand's company already runs a bottling operation from the town, which deals with some of the world's most popular single malts.

They also have a retail shop which sells malts and blended brands to more than 30 countries.

If the distillery plans are approved, work will begin immediately to get the development completed by June next year. 

Article Courtesy of STV

May 15
2007

Frosty reception likely from Scotch Whisky Association

There will be toasts all round tomorrow in Glasgow when Whyte & Mackay is formally acquired by the Indian tycoon Vijay Mallya, but one onlooker may be nursing a hangover.

The Scotch Whisky Association, which promotes one of Britain's most best-known industries around the world, faces the challenge of welcoming into its ranks a company which has been a staunch opponent of its efforts to force the abolition of whisky import tariffs in India.

"This imposition of British imperialism is unacceptable," Mr Mallya was quoted as saying last year. "The SWA has to understand there are two sides to the coin. They have double standards. I will continue to oppose SWA coming to India until they allow us to sell in England and Scotland."

The World Trade Organisation is in the process of establishing a dispute settlement panel to hear the European Union case against what the SWA has called India's "discriminatory tax regime for imported spirits and wines", which levies a tariff burden of as much as 550pc on affected imports. A WTO ruling is expected by next April.

Gavin Hewitt, the SWA chief executive, is understood to have met VK Rekhi, president of United Spirits (part of Mr Mallya’s UB Group), last month to discuss issues including the Indian tariff position and United Spirits' plans to protect the international image of scotch whisky following the Whyte & Mackay takeover.

Yesterday, the SWA declined to comment on Mr Mallya’s proposed takeover.

Article Courtesy of Press & Journal

May 14
2007

Distillery plan to lure tourists

Plans for a £3.5million distillery that could create a dozen jobs and bring more tourists to a north-east town will be revealed this week.

Local businessman Euan Shand confirmed yesterday that he would be submitting a planning application to Aberdeenshire Council within a few days for the development at Huntly.

The planned distillery would produce its own-blend malt whisky along with gin and vodka.

Mr Shand said the distillery could put the town on the map as a top malt producer and on the north-east tourist Whisky Trail.

"It is a very exciting project, the realisation of a lifelong ambition to me and potentially a big boost to the town," said Mr Shand, managing director of Huntly-based whisky merchant Duncan Taylor and Co.

The company began bottling operations four years ago and sells malt and blended brands to more than 30 countries. The new scheme would involve relocating the bottling operation to a two-acre site off Huntly High Street, where former creamery premises also provide scope for offices, warehousing and a visitor centre.

Mr Shand, the son of a former manager of Glendronach Distillery at nearby Forgue, started as a cooper and has long experience in all aspects of the industry and innovative expertise in grain whisky. The Huntly site would house single-malt copper pot stills, a four-column neutral grain plant alongside a single experimental still.

"The idea is to produce single malt and neutral grain, which is unusual," said Mr Shand. The distillery would market a top-quality malt whisky that would be slow to mature, while grain whisky, vodka and gin would reach the market earlier.

"The project comes at a significant time, with the opening up of the markets in China and India. Europe is also rediscovering Scotch whisky and we intend to be at the fore of this renaissance in the industry.

"As a company, Duncan Taylor has established routes to markets and that will help the growth of the new Huntly brands."

Mr Shand recently returned from a business trip to China and has just recruited a Chinese member of staff to promote trade with the booming country.

A name has still to be chosen for the planned distillery and its products but Mr Shand said they would be selected with "a local flavour" to promote the north-east worldwide.

"The plans will provide 10 to 12 jobs in Huntly," Mr Shand said. "A visitor centre will be an integral part of the project, to attract more tourism to the town."

Huntly community council chairwoman Hilda Lumsden-Gill said: "The concept of a local distillery is certainly an exciting one for the town, providing employment and tourism potential."

Article Courtesy of Press & Journal

May 14
2007

Profits soar for whisky producer

Whisky producer Chivas Brothers made pre-tax profits of nearly £63million in its last financial year, it emerged at the weekend.

Its latest results from Companies House show profits soared to £62.8million in the year to June 30, 2006, up from £39million the previous 12 months. Turnover also rose to £362.6million from £336.2million.

Chivas Brothers is one of the main subsidiaries of Pernod Ricard. Its brands include Chivas Regal, Clan Campbell, Aberlour, The Glenlivet, 100 Pipers, Something Special and Royal Salute. The Chivas Brothers directors' report said they were satisfied with its current trading performance and optimistic for the future. The highest-paid director received emoluments of £536,000 during the year, compared with £458,000 the year before.

Chivas Brothers said at the end of March it had achieved annual sales of over 4million cases of Chivas Regal. It had also sold 500,000 cases of Something Special in the same period.

Chivas Brothers chief executive Christian Porta said: "These milestones show how all our brands are benefiting from consistent investment and the commitment of the Pernod Ricard global distribution network. Both mark significant increases in volume and growth since they were acquired by Pernod Ricard in 2001. The company's continued commitment to investing both time and money in these brands and the creation of engaging marketing and communications activity has turned them around and ensured they are reaching their true potential in terms of global sales."

Article Courtesy of Press & Journal

May 12
2007

Whisky deal talks continue

Whisky group Whyte and Mackay said yesterday it was continuing to have productive discussions with UB Group, of India, which has for months been seen as a likely buyer of the Glasgow-based firm.

The company also said that it would be inappropriate to make any comment on pricing at this time.

It added that when Vivian Imerman became chief executive of Whyte and Mackay at the start of 2003, and in that same year took majority control of the company, he had set out a vision to transform it into an international premium spirit business.

It said since then he and the management team had delivered on the milestones laid out.

W &M was responding to a report which said UB Group would make a decision on a possible acquisition in two weeks to give it a solid foothold in the European market.

UB unit United Spirits is the world's third largest spirit maker and has 60% of the Indian market, but it is keen to add brands such as Whyte and Mackay blended whisky and Isle of Jura and Dalmore single malts, to its portfolio.

UB chairman Vijay Mallya said yesterday that the asking price for W &M was £700million, although he did not say how much he was willing to pay.

Mr Imerman said last year that the Scottish company was valued at £600million.

UB Group said earlier it had earmarked up to £500million for an overseas acquisition as part of its strategy to boost global and domestic spirit sales.

It said it needed to have Scotch whisky in its portfolio as more and more Indians had started switching to the premium drinks segment.

It added it was focusing more on the premium segment to further improve its top line. UB Group is also gradually including premium vodka brands in its product portfolio, while wine is another niche segment it is eyeing for expansion.

Billionaire Mr Mallya has been chairman of UB Group since 1983, growing it to a conglomerate of more than 60 companies. He has also started a domestic airline in India called Kingfisher, which takes its name from United Breweries Group's flagship beer brand, Kingfisher.

UB Group has Scottish origins, however, having been founded in 1915 by a Scot called Thomas Leishman.

Article Courtesy of Press & Journal

May 12
2007

Whisky makers win fight for standard bottle sizes

Scotch whisky makers have won their battle against Brussels bureaucrats to keep a standard range of bottle sizes for the national drink.

The European Commission had proposed doing away with current restrictions which have allowed just nine bottle sizes within the European Union (EU) spirits industry since 1993.

Representations made by the Scotch Whisky Association (SWA) and other spirits producers around the EU forced a change of heart at the commission and the amended proposals have now been approved by the European Parliament.

MEPs have agreed to size deregulation for a wide range of goods but spirits and wines escaped the change.

The drinks industry feared that the move, if it was extended to spirits and wines, would confuse consumers and substantially increase bottling costs.

Welcoming the successful conclusion to a seven-year campaign to retain the current range of whisky bottle sizes, SWA European affairs director Nick Soper said: "This decision is good news for consumers. Research shows consumers prefer standard sizes, finding them easy to understand and an aid to making shopping decisions.

"Before regulation over 60 bottles could be found on the market, all of slightly different sizes and quantities. It was confusing for consumers."

He added: "Standard bottle sizes have also supported distillers' investment in high-speed bottling facilities as well as in lightweight glass, which brings substantial raw material and energy savings.

"At the same time, the existing regulation of bottle sizes promotes fair competition in the spirits sector and we are delighted that the European Parliament has voted to retain these standard sizes in the years ahead."

Among the MEPs who helped to fend off the deregulation of spirits and wines was the SNP's Ian Hudghton, who said: "The importance of this issue has been well emphasised by the SWA and others.

"I am glad we were able to support a campaign which protects an industry of such economic importance to Scotland.

"It was one that I wholeheartedly backed to ensure the industry would not face unnecessary expense and disruption."

Article Courtesy of Press & Journal

May 10
2007

Whisky for sale first come, first served

If you have R75 000 in your wallet to spare and fancy purchasing a limited edition 50-year-old Glenfiddich whisky, then get down to the Whisky Expo at Suncoast Casino where a bottle is on sale.

But be warned, there is only one bottle at the expo, so it's first come, first served.

If, however, that is slightly out of your price range, you could always just stare at it and dream. Maybe even touch it.

The Glenfiddich Single Malt Scotch Whisky is recorded in the Guinness Book of Records as "the World's Most Valuable Spirit" after another bottle from the same year sold for about $80 000 (about R548 800) at an auction in Milan in 1991.

This translates to about $2800 per 25ml dram. Only 500 bottles of this whisky were produced and only a few bottles remain. They can be found at The Glenfiddich Distillery Shop in Scotland and sell for ?6500 (about R89 440) a bottle.

Glenfiddich brand ambassador Jason Duganzich said the whisky was matured in ex-bourbon barrels in Scotland between 1937 and 1939 by independent family-owned distillers William Grant & Sons in nine casks. Each cask represented one of the nine children who had assisted the founder in building the Glenfiddich Distillery in 1886.

After lying undisturbed for 50 years, the whisky was hand-bottled on July 26 1991.

Duganzich said that whisky did not mature once bottled, so regardless of how long it remained in the bottle, it would still be 50 years old.

Glenfiddich brand manager Grant Sayers said the whisky had a "well-balanced, mellow nose" with a pleasantly sweet and woody aroma.

"It is smooth with a fruity, lightly peeled and slightly oaky taste. The finish is shorter than younger whisky and is not dissimilar to rare old cognacs. It is best drunk straight, without adding water," he said.

Sayers said the Bascule Whisky Bar in Cape Town had purchased its second bottle of the whisky after finishing the last by selling it at R15 200 a shot.

Article Courtesy of IOL.co.za

May 10
2007

Efforts to rejuvenate whisky are scotched

Distillers' attempts to revitalise the UK Scotch whisky market by introducing more "accessible" brands are faltering badly, and some recent campaigns intended to attract a younger generation of drinkers have been axed.

Even though exports of Scotch whisky are growing at a healthy clip, the picture is far less promising at home. According to the latest figures from the Sutherlands Scotch Whisky Yearbook, the UK market for Scotch slumped by 6.2% from 30.1 million litres in 2005 to 28.2 million litres last year.

Recent launches that industry insiders had hoped would help reverse declining UK sales by rejuvenating the image of Scotch at home include JMR's Easy Drinking Whisky Company (majority-owned by The Famous Grouse parent Edrington Group), Diageo's J&B -6c and William Grant & Sons' Monkey Shoulder.

Diageo confirmed yesterday that it has ceased production of J&B -6c Scotch. This virtually-clear blended whisky was specifically intended to attract younger drinkers to Scotch. Chill-filtered down to minus six degrees celsius, the product was billed as a "classic for a new generation" and distributed to carefully selected style bars and nightclubs.

Diageo said: "We have ceased production of J&B -6c. The decision has been made on a global level and there are currently no future plans for the product."

"In Britain, despite gaining good distribution and building a reasonable consumer base, J&B -6c has not met the stringent performance criteria set by Diageo for ongoing production."

Meanwhile, JMR Easy Drinking Whisky Company, founded in 2003, has withdrawn its range of three blended malt whiskies - the Big Spicy One, The Smokey Peaty One and The Smooth Sweeter One - from the UK market after disappointing sales.

The company, backed by Edrington, had hoped to "demystify" the world of Scotch and make the sector more palatable to outsiders. Its three founders, brothers Jon and Mark Geary and master blender David "Robbo" Robertson, claimed they had "chucked out the Scotch whisky rule book" through their quirky and irreverent approach to marketing.

However, the company yesterday confirmed it has thrown in the towel in the UK market. Founder director Mark Geary said it will instead be focusing on the US market.

Geary, who also works as a head of planning and research at Edrington Group, said: "The UK is a tougher market in which to introduce new brands as a result of the low margins available. Because of its sheer size, there is a greater number of consumers open to this sort of thing in the US. It gives us a larger target to shoot at. The opportunity is huge over there."

Geary said JMR will focus on exporting to California, Colorado, Texas and Florida, where he said the company has had some success in persuading youngish Americans to acquire a taste for malt whisky.

The products were launched in the US in 2005 and Geary said sales rose to 4000 cases during 2006. He said JMR's products continue to be distributed by the French group Remy Cointreau in the US.

A spokesman for William Grant & Sons says it is committed to persevering with its own youth-oriented brand, Monkey Shoulder.

Launched in 2005, this is a blend of three Speyside malts. It is named after the sore shoulder that Scottish distillery workers got from turning the malted barley by hand.

The spokesman said: "We are gaining traction with retailers and the on-trade is becoming more interested. But there's no denying the UK is a tough market, and blended malts is a relatively new category."

Alan Gray, whisky analyst at brokers Sutherlands Edinburgh, said: "Just because these attempts at revitalising the UK Scotch whisky market seem to have failed does not mean the industry should give up trying. Eventually, someone's going to come up with a breakthrough product that revolutionises the domestic market."

Article Courtesy of The Herald

May 8
2007

Organisers delighted as whisky festival is branded a great success

A Four-day festival which has given visitors to Scotland's famous whisky country the chance to indulge in their favourite tipple came to a close last night.

The annual Spirit of Speyside Whisky Festival has attracted thousands of people to Moray over the last few days.

Events have ranged in taste and style from ceilidhs with traditional Scottish music to distillery tours, walks, tastings and art.

There has been something for everyone including those who crave the sweeter, more pleasurable things in life such as chocolate.

Paul Martensson, a connoisseur of both whisky and chocolate, led a tasting session at the Whisky Museum at Dufftown yesterday.

It was a chance for visitors to try a selection of specialist chocolates which had been carefully matched to different whiskies.

Festival revellers were also given the opportunity to enjoy an exclusive tour of the Speyside Cooperage at Craigellachie, learn the art of coopering at Glenfiddich, explore the Braes of Glenlivet and take part in a hike over Gownie hill, and enjoy a dram at Aberlour Distillery.

Festival trophy winners were awarded with their prizes at a lunch held at the Fleming Hall at Aberlour and activities were rounded off with people attending the Dregs Party at the Whisky Shop in Dufftown last night.

Festival co-ordinator Ros Lewis said she was thrilled with the success of the festival.

"Speyside has certainly been buzzing. Our first impressions are that numbers are significantly up compared with last year. The majority of whisky events were sold out as were many of the wildlife events.

"Many restaurants and accommodation, certainly in the Aberlour and Dufftown areas, were also fully booked.

"We have had very positive feedback from visitors, particularly those who had not been before. The general feeling was that they would come again.

"More importantly many people who did not know Speyside very well said they would think about returning at a different time of the year as well."

Awards were presented to Spirit of Speyside Chef of the Year Graham Harvey, of the Craggan Mill restaurant in Grantown, runner-up Stuart Aitken, of Baxters in Fochabers, and Alan Robertson, of the Cock and Bull, Balmedie, in third place.

Lorna McNee, of Forres, won the Spirit of Speyside Amateur Chef of the Year competition, followed by Kelly Greenhowe, from Bridge of Don, Aberdeen.

Winners of the Spirit of Speyside Whisky Awards were the Glenlivet Distillery for 12 years and under, Cragganmore Distillery for 13-18 years and Glen Moray Distillery for 30 years and older.

Allan Adam, of Elgin, won the photographic competition, followed by Graeme McHardy, of Keith, in second place and Steve Smith, of Banff, in third.

Article Courtesy of Press & Journal

May 7
2007

Indians going for costlier whisky

Indians are migrating to more expensive whiskies. The figures tell as much. While sales of ‘regular whisky’ — by far the biggest segment in this alcoholic beverage category in terms of volumes — is stagnating with sales growing 8-10% in past three years, the prestige segment has been witnessing a 30% rise during same period.

Whisky is classified into three types: regular, prestige and premium. While regular whiskies retail for Rs 160-240 depending on local taxes, prestige variants cost in excess of Rs 280. The premium category, still a small market in India, starts at Rs 400-plus.

“Our prestige segment is growing at a rate over 40%, while the regular segment is almost stagnant. If this trend continues, the prestige category will catch up with the regular segment in three-four years,” United Spirits CEO (east) Kaushik Chatterjee said.

“Better living standards, which have resulted in a sizeable population having higher disposal incomes, have played a prominent part in driving up sales in the prestige segment,” he added. A spokesman of Rad