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|Traded as||NYSE: STZ
S&P 500 Component
|Predecessor(s)||Canandaigua Wine Company|
|Founder(s)||Marvin L. Sands|
|Headquarters||Victor, New York|
|Area served||North America, Europe, Australia, New Zealand|
|Key people||Robert Sands, President & CEO
Richard Sands, Chairman of the Board
|Products||Wine, beer, and spirits|
|Revenue||US$4097 million (2011)|
|Operating income||US$503 million (2011)|
|Net income||US$560 million (2011)|
|Total assets||US$7168 million (2011)|
|Total equity||US$2552 million (2011)|
|Divisions||Constellation Wines North America, Constellation Wines Australia and Europe, Constellation Wines New Zealand, Crown Imports|
Constellation Brands, Inc., headquartered in Victor, New York, is the world’s largest publically traded wine company with brands across the wine, beer and spirits categories.
History and description
The company was established in 1945 by Marvin Sands in the Finger Lakes region of New York as Canandaigua Industries Company. Since that time, the company has grown through internal expansion and by acquisitions across all segments of the beverage alcohol industry.
Constellation Brands is the largest wine producer in the world; the largest premium wine company in the U.S.; the largest wine company in the U.K., Australia and Canada; the second largest wine company in New Zealand; and the largest beer importer and marketer in the U.S.. Constellation Brands had sales of more than $3.77 billion in fiscal year 2008. It operates approximately 40 production facilities, employs approximately 4,300 and sells and markets its products worldwide.
The company owns more than 100 brands across the wine, beer and spirits categories. Major wine brands include Robert Mondavi, Clos du Bois, Franciscan Estates, Ravenswood, Blackstone, Nobilo, Kim Crawford, Inniskillin, Jackson-Triggs and Arbor Mist. Major beer brands include Corona, Modelo Especial and Negra Modelo, Pacífico, and Tsingtao. Major spirits brands include Black Velvet Canadian Whisky, Svedka Vodka and Paul Masson Grande Amber Brandy.
In 2010, a French court in Carcassonne, France convicted 12 wine traders and producers for selling fake pinot noir to Constellation in a scheme that lasted from January 2006 to March 2008. Constellation later faced a class auction lawsuit because it "should have known" that the wine was fake.
Constellation Brands has expanded by acquiring a number of other beverage companies throughout the world.
In 1998, it acquired Matthew Clark plc in the United Kingdom, and after selling off its cider business, the Gaymer Cider Company, sold half of the business to Punch Taverns. Recent acquisitions include BRL Hardy (Australia) and Nobilo (New Zealand) in 2003; Robert Mondavi Corp. for $1 billion in 2004; Vincor International, Canada’s largest wine company, for $1.44 billion in 2006; Spirits Marque One (owner of Svedka Vodka) in 2007; and Beam Wines Estates, the wine operations of Fortune Brands (which included several major brands such as Clos du Bois) for $885 million in 2008. The company later moved to a more premium wine portfolio, divesting Almaden Vineyards, Inglenook Winery, and the Paul Masson winery in Madera, California, in 2008, and its value spirits portfolio in 2009.
In June 2013, the company, which formerly imported Corona and other Modelo brands to the United States, acquired the US rights to those brands as a part of an anti-trust settlement permitting Modelo's acquisition by Anheuser-Busch InBev, along with a brewery in Mexico. It now produces its own versions of those products for the US, with Modelo serving all other countries.
- Constellation Brands, Incorporated (2011-04-29), FORM 10-K for the Fiscal Year Ended February 28, 2011, Washington, D.C.: U.S. Securities and Exchange Commission, File 001-08495, film 11793905, retrieved 2011-06-30
- David Kesmodel (2010-02-25). "Liquor Discounts Become Bad Habit for Spirits Makers". Wall Street Journal.
- Eli Greenblat (2010-03-10). "SA bottling jobs shifted overseas". Sydney Morning Herald.
- Miriam Marcus (2008-07-01). "Constellation Brands Buzzed On Premium Wines". Forbes.
- Jon Bonné (2010-02-19). "Pointing Fingers in Pinotgate". San Francisco Chronicle.
- "Plot Thickens in 'Pinot Gate' Scandal". Food Service World. 2010-03-01.
- Shaw, John (2003-01-18). "Constellation Brands Agrees to Buy Australian Winery". New York Times. Retrieved 2009-04-24.
- "Mondavi to Join Constellation in $1 Billion Deal". Wine Spectator. Retrieved 2009-05-15.
- "Constellation To Buy Vincor for $1.09 Billion". USA Today. 2006-04-03. Retrieved 2009-05-15.
- "UPDATE 1-Constellation Brands to buy Svedka vodka". Reuters. 2007-02-06. Retrieved 2009-05-15.
- Sam Zuckerman (2007-11-13). "Constellation Brands buys several California premium wine labels". San Francisco Chronicle. Retrieved 2007-11-13.
- Styles, Oliver, Decanter.com (2008-01-23). "Constellation sells Inglenook, Almaden and Paul Masson winery / reports 832 million dollar loss".
- Gershberg, Michele (2009-01-12). "Constellation Sells Value Spirits for $334 Mln". Reuters UK. Retrieved 2009-05-15.