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30
Nov
2003 |
Whisky's
reputation 'under threat'
A decision by drinks giant Diageo to change the composition
of the famous Cardhu malt has caused waves of protest around the world.
Diageo's
global brand director told BBC Scotland News Online that the implications
of the move had been distorted and over-dramatised.
However,
rival whisky maker William Grant & Sons, whose products include
Glenfiddich and The Balvenie, claims the industry's reputation is
being damaged.
Its
deputy group managing director tells us why...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
30
Nov
2003 |
European
probe launched into Diageo dispute
THE row engulfing the Scotch whisky industry has intensified
even further, after it emerged that the European Commission is set
to investigate Diageo’s decision to turn its Cardhu single malt
into a blend of five different malts.
The EC will examine the matter after receiving a letter of objection
to Diageo’s move from European Parliament president Pat Cox.
It will investigate whether Diageo’s decision to alter its Cardhu
product without making noticeable changes to the whisky’s packaging
constitutes an infringement of internal market or consumer protection
regulations...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
30
Nov
2003 |
Tourist
drive brings malt out of mothballs
WHISKY from a distillery once mothballed will go on sale
later this year as part of a plan to create a new tourist attraction
in rural Perthshire.
A few thousand cases of Tullibardine whisky will be placed on the
market over the next few months following a label and carton redesign
by Wolffe & Co, the Edinburgh consultancy.
Tullibardine distillery, near Gleneagles, was sold by the drinks group
Whyte & Mackay to a Scottish consortium earlier this year. Jim
Beam Brands, Whyte & Mackay’s predecessor, stopped production
at the site in 1994.
Doug Ross, one of Tullibardine’s directors, said sales of spirit
distilled in 1993 would increase gradually over the next 10 years.
It will be priced as a mid-market malt at around £23 a bottle.
Ross said: "Rather than have to find distributors, we plan to
sell it through upmarket outlets such as quality hotels."
£10m visitor centre will provide distillery tours, shops and
a restaurant
The new-look bottle should be in a limited number of shops and bars
by Christmas. Michael Beamish, another director, said the previous
packaging had looked "generic" and that the new label conveyed
more individuality. Whisky made this year has to be aged for 10 years
and so will not be available until 2013.
The company plans to produce about 100,000 litres a year, putting
it on a level with smaller distilleries such as Edradour, which is
also in Perthshire.
Customers will be able to pay up front for individual casks containing
the equivalent of about 360 bottles.
Ross estimated a few hundred casks would be sold, generating about
£160,000.
He said: "We have not been forced into doing this to survive.
It is to meet demand from the public and aficionados. If you view
[buying a cask] as an investment, it might not make sense, but people
like the idea."
In the meantime, Tullibardine plans to generate cash by building a
£10m tourism attraction and retail centre at the site, which
is close to the busy A9 Stirling-to-Perth road.
The 50,000sq ft centre will provide distillery tours and a related
exhibition, as well as a restaurant and retail centre including a
Baxters food shop.
It aims to attract 250,000 customers a year. Plans are in the process
of being drawn up by 442 Design, the Edinburgh agency.
Tullibardine is one of a number of small distilleries which have been
reopened or built from scratch over the past 10 years, including Ladybank
in Fife and Blackwood in Shetland.
The company is part of the industry majority which has criticised
drinks group Diageo’s plan to sell a mixture of malt whiskies
under the Cardhu brand name.
Articles Courtesy of The Scotsman |
scotsman.com |
29
Nov
2003 |
Whiskies
galore
The story of how an old neglected Islay distillery was
rescued and revived by a team of young private investors a couple
of years ago is now familiar to whisky lovers. The new owners of Bruichladdich
on the shores of Loch Indaal now call themselves the free spirits
and "enfant terribles" of the whisky world. I’d call
them today’s heroes; a high-spirited team of Davids fighting
against a world of corporate Goliaths. The latest rash of "Laddie"
bottlings are some of the best on the malt shelf today - ideal for
celebrating St Andrew’s Day tomorrow...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
27
Nov
2003 |
Pure
malt row sees Diageo frozen out
WHEN Diageo sits down next week with members of the Scotch
Whisky Association (SWA) to defend its decision to brand Cardhu as
a "pure" rather than "single" malt, it will find
itself completely isolated.
The Scotsman has learned that the executive of the SWA has told Diageo
that it feels the only solution to the present crisis is for the world’s
biggest drinks company to withdraw its controversial Cardhu Pure Malt
product.
The Scotch whisky industry has been angered by Diageo’s decision
to sell the whisky in the same style of bottle and with the name of
its Speyside distillery on the label. Distillers claim the decision
could damage the industry and confuse drinkers into thinking Cardhu
was still a single malt, rather than a blend...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
26
Nov
2003 |
Whisky
market
The whisky industry spends around £90 million a
year with Scottish cereal suppliers, and uses about half of all the
cereals grown in Scotland. The suggestion by ET Baxter (Letters, 22
November) that distillers have "halved the price they pay"
for barley ignores the reality of movements in world prices, and the
fact that growers’ contracts are generally with malting companies,
not distillers.
The suggestion that a higher price paid by distillers for barley would
cost the industry just a few pence a bottle ignores the highly competitive
nature of the international drinks market in which whisky operates,
and the fact that the majority of the retail price is tax, not money
going to distillers.
Many distillers already buy all their barley from Scottish sources,
and often do so while paying a premium to ensure continuity of supply
under branded contracts. But, given the vagaries of the weather it
is unrealistic to suggest that all barley used by the industry must
be grown in Scotland.
The brandy industry’s reliance on French grapes in the late 1800s
led to its demise when the crop failed, allowing whisky to flourish
and become the global industry it is today.
No-one with the best interests of Scotland’s economy at heart
will place the future of Scotland’s leading indigenous industry
at the mercy of the Scottish climate.
CAMPBELL EVANS
Scotch Whisky Association
Atholl Crescent
Edinburgh
Article Courtesy of The Scotsman |
scotsman.com |
23
Nov
2003 |
Right
spirit of self-censorship
ALLIED Domecq, the drinks company, has appointed advisers
to vet its ads for those which may link alcohol with sexual success,
or... irresponsible drinking.
The company, which owns brands including Ballantine’s whisky
and Harveys Bristol Cream, is believed to be taking the unusual step
to convince public health officials that the drinks industry does
not need external regulation. Wishing to prove how responsible it
is, Allied has even withdrawn an ad - which has never been shown -
for Wet By Beefeater, a cocktail version of Beefeater gin.
It showed a man and a woman at a piano with the slogan: "When
he looked at her like that she knew she would get wet."
What’s the world coming to?
Article Courtesy of The Scotsman |
scotsman.com |
22
Nov
2003 |
No
barley will mean no whisky industry
Until responsibility for the whisky industry is transferred
to Edinburgh, the Cardhu saga will remain a mar-ginal interest for
London politicians.
The rural development minister, Ross Finnie, is "consulting"
on the future of Scottish agriculture, but while Diageo is able to
treat malt whisky as a commodity and source the raw ingredients for
it from anywhere in the world, the future of Scottish agriculture
is not in our hands.
The few multinationals which own our distilling industry have halved
the price they pay for low nitrogen malting barley in the last seven
years. Prices are now below the cost of production, so without subsidy
there would be no malting barley grown in Scotland.
To pay farmers a price which did give them a return would cost only
pence per bottle. It, therefore, comes as no surprise that an industry
which treats its supply base with such disdain is as cavalier with
the reputation of its final product.
The organisation, Linking Environment and Farming, of which I am chairman,
promotes integrated farm management, a discipline for farmers which
shows the way. However, without a realistic price from the distillers
for our malting barley there will be no future for Scottish agriculture.
In time, Scotland will have no whisky industry either; no barley grown
in Scotland means it will be cheaper to make whisky elsewhere.
ET BAXTER
Gilston
nr Leven, Fife
Article Courtesy of The Scotsman |
scotsman.com |
21
Nov
2003 |
£7,500
bid offer for trip to Macallan
A Listener to one of radio's most popular breakfast shows
has paid £7,500 for an exclusive trip to the Macallan Distillery
on Speyside.
William Jones made the highest offer after an hour's frenzied bidding
during the BBC's Children In Need auction on yesterday's Wake Up With
Wogan programme.
It will see Mr Jones, from the Isle of Man, flown north along with
a friend and treated to a VIP tour of the distillery near Craigellachie.
They will be given access to the Macallan's unique £14.5million
Fine and Rare range of vintage malt whiskies which is normally kept
well under lock and key. The most expensive bottle in the range is
worth £20,000.
Mr Jones and his guest will stay at the Craigellachie Hotel and they
will be served lunch or dinner in the dining-room at Easter Elchies
House, the distillery's spiritual home overlooking the River Spey.
They will also be given a tutored nosing and tasting by Bob Dalgarno,
the Macallan's whisky maker. Carol McLaren, of the Macallan team which
arranged the auction prize, said staff at the distillery were delighted
with the amount the Macallan trip had raised for Children In Need.
"The distillery team pride themselves in the warm welcome they
give all our visitors to ensure that each and every guest enjoys the
uniquely exclusive atmosphere at the Macallan," she said.
"But the winners of today's auction prize can be sure that absolutely
all the stops will be pulled out for their visit.
"They will enjoy the truly unforgettable malt whisky experience
of a lifetime."
Article Courtesy of The Press & Journal |
pressandjournal |
20
Nov
2003 |
Glenmorangie
sees malt sales rise 10%
GLENMORANGIE continued its march on the growing malt whisky
market yesterday after reporting an 8 per cent increase in half-year
profits on the back of growth of 10 per cent in its flagship brand.
Chief executive Paul Neep said the group continues to make good progress
against all strategic objectives and emphasised that developing and
building premium brands for the long term remains the firm’s
key objective.
Focusing on the Far East, Neep said that in real terms the percentage
of Glenmorangie’s business in Asia was relatively small, but
he was looking to grow that in the next decade.
Neep said: "There are some interesting markets for malt in the
Far East, particularly in Korea and Taiwan, and we are looking at
their potential."
The company said shipments of its Glenmorangie malts rose 10 per cent,
while its Glen Moray brand was ahead 8 per cent, spurred by the "Glen
of Tranquility" advertising campaign that will continue over
Christmas.
Overseas sales were strongest in the US with Glenmorangie outperforming
rivals, while sales in Canada doubled.
The alliance with Bacardi-Martini brought instant rewards in the UK
with its marketing strengths enabling Glenmorangie to capture market
share from competitors.
It also gave it a distribution platform in Germany, Spain, the Netherlands,
Austria and Switzerland.
The company began bottling the new cream spirit brand Drambuie Sylk
in July and this has been introduced to the US market. Neep said the
tie-in with Drambuie was a "win-win" for both parties, but
he ruled out the possibility of a takeover.
"It is a private company, it is not for sale and we have never
shown an interest in buying it."
Neep added that an expansion at its Glenmorangie distillery had lifted
output, while its Ardbeg distillery on Islay is currently operating
at more than 90 per cent capacity. Glenmorangie has three distilleries,
in Tain, Elgin and Islay, and employs 295 full-time staff.
The Ardbeg brand has entered the top ten malts in the off-trade sector,
but Neep warned that heady sales growth of 20-30 per cent would soon
slow due to limited stocks inherited in 1997 with the distillery,
which was mothballed during the 1980s.
He also cautioned that a sustained recovery of world economies continued
to be uncertain, and he anticipated the medium term environment towards
higher UK interest rates could affect consumer spending in the home
market.
Drinks analyst Fulton Patterson at Seymour Pierce said that there
was great potential in the next few years as the benefits of the Brown-Forman
and Bacardi tie-ups was just starting to come through.
Patterson said: "I think they are a well-managed business now,
the new guys in charge are showing their mettle.
"Christmas is absolutely vital for them of course. They are now
number one in the UK having overtaken Glenfiddich, gearing has come
down again.
"The Far East is starting to move quite nicely, all these things
are quite promising. I think they will carry on growing and go from
strength to strength."
The dividend was increased by 7 per cent to 4.5p per A ordinary share
(which carry limited voting rights) and 2.25p per B ordinary share,
reflecting continued confidence in the groups prospects.
Article Courtesy of The Scotsman |
scotsman.com |
20
Nov
2003 |
Distillers
meet to talk over diageo issue
The Scotch whisky industry has backed down on threats
to sue drinks giant Diageo for labelling Cardhu a "pure malt"
after changing the contents.
But senior directors of the major distillers still plan to pursue
the matter with the Scotch Whisky Association (SWA).
About 60 distillers met in Glasgow yesterday to discuss what action
they should take against Diageo for changing Cardhu from a single
malt to a blend of malts from different distilleries.
It is understood the vast majority of single-malt distillers were
represented, including Allied Domecq, Chivas Brothers, William Grant
& Sons, Morrison Bowmore and John Dewar and Sons.
Diageo, which owns such brands as Guinness, Smirnoff and Baileys,
changed the recipe of Cardhu because of a shortage of single-malt
whisky to supply the profitable Spanish market.
The industry believes changing the wording on the label from "single
malt" to "pure malt" will confuse customers and undermine
the prestigious and profitable single-malt market.
Senior directors from the main whisky companies wrote to Diageo and
the SWA yesterday about the marketing of Cardhu.
Their message was that the industry cannot compromise on the protection
of single-malt whisky and Diageo should reconsider using the name
Cardhu - which has been a single malt for 30 years - for a mixture
of malt whiskies.
A spokesman for the group said: "We are confident that sense
will prevail."
Diageo's president for Europe, Ian Meakins, said he was pleased the
other companies had agreed to pursue the matter with the SWA.
"As previously stated, we have at all times sought to resolve
the issue with the rest of the industry through the SWA," he
said.
"'We remain committed to the long-term future of the SWA as the
best forum for continuing this debate and seeking to develop a common
and coherent voice for Scotch whisky.
"Diageo's commitment to Scotch whisky is absolute. We want the
Scotch whisky category to grow and expand. We recognise that innovating
in an industry renowned for tradition over modernity has provoked
animated discussion."
SNP MEP Ian Hudghton has stepped into the fray on the side of the
disgruntled distillers.
He has approached the European Commission to see if the term single
malt could be recognised and protected under the EU's Agriculture
Quality Policy.
Article Courtesy of The Press & Journal |
pressandjournal |
19
Nov
2003 |
Distillers
single-minded over malt
THE Scotch whisky industry last night united against Diageo
over its decision to relaunch Cardhu as a "pure malt".
At a crunch meeting behind closed doors at the Glasgow offices of
Morrison Bowmore, senior executives from all of the major distillers
rallied behind the industry’s representative body, the Scotch
Whisky Association (SWA) , saying it still had a "significant
role to play" in the resolution of the issue.
It is understood that, after a "gentlemen’s agreement",
it was decided that a statement will not be issued until Glenmorangie
reports its interim results to the City at 8 am today.
But last night a source close to the meeting said it had resulted
in a unanimous condemnation of Diageo’s actions. He said: "The
industry is very concerned about the Diageo move and we will be working
with the Scotch Whisky Association to resolve the issue."
It is believed the vast majority of single malt distillers were present
at the meeting, including executives from Allied Domecq, Chivas Brothers,
William Grant’s and John Dewar and Sons.
Diageo’s move to change the Cardhu bottle’s contents from
a single malt to a vatted malt from five distilleries without changing
its name has caused outrage in the industry.
On Thursday, a meeting between Diageo managers and Scottish MPs to
try to resolve the dispute ended inconclusively.
Diageo insists it will not back down, claiming the change at Cardhu
will boost the £20-a-bottle whisky's profile.
All eyes now turn to the SWA’s next meeting on 4 December where
industry leaders will meet Diageo to try to reach a compromise.
Last night, Diageo said that, ultimately, the issue had to be resolved
by the SWA.
After reaching the floor of the House of Commons last week, it was
the European parliament’s turn to discuss the issue when the
SNP MEP, Professor Neil MacCormick, asked the president of the European
parliament to write to Diageo’s chief executive.
Speaking in the opening session of the parliament’s plenary session
in Strasbourg, Prof MacCormick said that brand owners should not mislead
the public by abuse of a well-known name.
Prof MacCormick said: "Just as we should be concerned when counterfeiters
abuse rightholders, so we should be alert when rightholders abuse
consumer confidence.
"Diageo, the global spirits producer, has lately done this very
thing. It is not the single product of a single distillery. Consumers
are being misled, and the good name of Scotch whisky is being put
at risk."
Last week Angus Robertson, the Scottish National Party MP, called
on the Prime Minister to support cross-party efforts to force Diageo
into a U-turn. He told the House of Commons that Diageo was "undermining
the standing of this important industry".
A wary Tony Blair told the Commons: "I will look into this issue.
I am not entirely sure this is a matter for government. At least,
I sincerely hope it’s not a matter for government."
Articles Courtesy of The Scotsman |
scotsman.com |
19
Nov
2003 |
Fiddlers'
whisky gig in Frankfurt
It's a long way to go for a Saturday night gig, but the
14 teenage fiddlers flying to Frankfurt this weekend to play at a
European whisky festival are not complaining.
Moray musical group Strathspey Fiddlers have been invited to perform
at mainland Europe's biggest whisky festival.
A combination trade fair and festival of whisky culture, InterWhisky
2003 features three days of talks and tastings of whiskies from Scotland,
Ireland, Canada and in the USA.
Whisky is big business in Germany, with German retail stores selling
approximately 12million bottles of Scotch whisky last year, and about
300 people are expected to attend the weekend festival.
The event will culminate in a Scottish dinner in the Inter-Continental
Hotel, with entertainment provided by the Strathspey Fiddlers.
The performance will not be limited to fiddling, according to group
leader Donald Barr. The teenagers from Huntly, Keith and Buckie will
also provide piping, dancing and singing.
He said: "Performing for 300 people from all over Europe is going
to be great fun." The fiddlers will leave Scotland early on Saturday
morning and return the next day.
During their brief visit, the group will be treated in style, staying
overnight at the five-star hotel where the dinner is taking place.
Several area distilleries will be represented at the festival, including
Glenfiddich, Glenlivet, Glenrothes and Strathisla.
Article Courtesy of The Press & Journal |
pressandjournal |
18
Nov
2003 |
Water
of life's secrets sold off
IT HAS been Scotland’s number one indigenous export
since Friar John Cor first appeared in the Exchequer Rolls with eight
bolls of malt in 1494. But now the £2 billion whisky industry
is not only exporting the water of life but also the means and materials
to make it...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
18
Nov
2003 |
Diageo
chief's £50,000 shares windfall
DIAGEO, the drinks giant, launched an offensive yesterday
to rebuff accusations that it was forced to blend its single malt
brand Cardhu because it had misjudged stock levels.
In an interview with The Scotsman, Jonathan Driver, the company’s
global malt whisky director, said it was a strategic move aimed at
building on the success Cardhu had enjoyed in Spain.
Mr Driver said: "We are not short of Cardhu, but we have reached
capacity. The issue here, and the vocabulary is very important, is
strategic. Shortage is not the issue. I repeat, we are not short of
Cardhu."
However, the issue has put the world’s largest drinks group at
odds with the rest of the whisky industry.
Yesterday, the row took another turn when an SNP MP, Angus Robertson,
warned Tony Blair that Diageo’s decision to change a brand of
single malt to a blend risked "undermining the standing"
of the industry.
Mr Blair said he was not sure it was a matter for government, adding:
"At least I sincerely hope that it’s not a matter for government."
Critics were angered when the company announced plans to sell the
whisky in the same style of bottle and with the name of its Speyside
distillery on the label.
They claimed the decision could both damage the industry and confuse
drinkers into thinking Cardhu was still a single malt, rather than
a blend.
Article Courtesy of The Scotsman |
scotsman.com |
17
Nov
2003 |
Distiller's
sales jump
WHYTE & Mackay, the privately-owned whisky distiller
formerly known as Kyndal, has reaped the benefits of a push into England
and Wales following a jump in sales for the four months to the end
of August.
The company sold 20,000 cases south of the Border - worth a total
of £2.4 million - during the period compared with just 3500
cases, for £447,000, last year.
Whyte & Mackay said a distribution deal with the UK’s top
five supermarkets had fuelled the rise.
Articles Courtesy of The Scotsman |
scotsman.com |
14
Nov
2003 |
McConnell
and MPs intervene in industry rift over single malt
It followed a second meeting between the all-party Commons
scotch whisky group and Diageo directors in an attempt to heal a serious
rift in the industry between those anxious to preserve the integrity
of "single" malt brands and the decision of Diageo to replace
its former single malt Cardhu with a blend of malts, calling it "pure
malt"...
Click
here for full story
Article Courtesy of ThePress & Journal |
pressandjournal |
13
Nov
2003 |
Domecq
chiefs gain 38% bonus increases
ALLIED DOMECQ, the wines and spirits group, increased
the performancerelated bonuses of three of its top executives by more
than 38 per cent in its past financial year, even though the company’s
share price fell by 7 per cent during the same period.
The world’s second biggest drinks company paid Philip Bowman,
chief executive, a performance-related bonus of £1.04 million
for the year to August 31, a 40 per cent rise on the year before.
Graham Hetherington, chief financial officer, received a £507,000
bonus, up from £366,000 last time. Meanwhile, David Scotland,
president of the wine division, received a 63 per cent increase in
his bonus, bringing it to £542,000 for the year.
The company defended the bonuses, saying they were “commensurate
with the much more demanding economic conditions in many of the relevant
markets”.
In October the maker of Ballantine Scotch whisky and Beefeater gin
reported a 3 per cent rise in full-year pre-tax profits to £480
million. The company said it was the worst market since 1999, as the
war in Iraq and the outbreak of severe acute respiratory syndrome
(Sars) hit demand.
A company spokesman said: “It’s true that our headline earnings
per share figure rose by only 3 per cent — but we were hit by
the decline in the value of the dollar and an increase in pension
payments. When these exceptional items are stripped away we increased
underlying profits by 20 per cent.”.
Article Courtesy of The Times |
The
Times |
13
Nov
2003 |
Distiller
defends Cardhu blend
DIAGEO, the drinks giant, launched an offensive yesterday
to rebuff accusations that it was forced to blend its single malt
brand Cardhu because it had misjudged stock levels.
In an interview with The Scotsman, Jonathan Driver, the company’s
global malt whisky director, said it was a strategic move aimed at
building on the success Cardhu had enjoyed in Spain.
Mr Driver said: "We are not short of Cardhu, but we have reached
capacity. The issue here, and the vocabulary is very important, is
strategic. Shortage is not the issue. I repeat, we are not short of
Cardhu."
However, the issue has put the world’s largest drinks group at
odds with the rest of the whisky industry.
Yesterday, the row took another turn when an SNP MP, Angus Robertson,
warned Tony Blair that Diageo’s decision to change a brand of
single malt to a blend risked "undermining the standing"
of the industry.
Mr Blair said he was not sure it was a matter for government, adding:
"At least I sincerely hope that it’s not a matter for government."
Critics were angered when the company announced plans to sell the
whisky in the same style of bottle and with the name of its Speyside
distillery on the label.
They claimed the decision could both damage the industry and confuse
drinkers into thinking Cardhu was still a single malt, rather than
a blend.
Article Courtesy of The Scotsman |
scotsman.com |
12
Nov
2003 |
Rebirth
of one of Scotland's oldest whiskies
TULLIBARDINE, one of Scotland’s oldest distilleries,
will re-open for business at the end of the month almost ten years
after it was closed down.
The distillery, in Blackford just south of Gleneagles in Perthshire,
will distill a limited production of Tullibardine Single Malt.
Doug Ross, a director of Tullibardine, the consortium which bought
the site for £10 million in June, described the reopening as
the culmination of a long-term dream.
Mr Ross said: "We have spent a significant sum in restoring the
distillery. When we acquired it from Whyte and Mackay in the summer
it was in a state that had been sympathetically de-commissioned. All
the kit was in good condition but since then we have fitted and upgraded
the pumps, valves, pipes and made them more efficient."
Described by Michael Jackson, author of the Malt Whisky Companion,
as "eminently quaffable", the whisky has a soft, sweetish,
lemony style with a vanilla like spiciness.
Customers will be offered the chance to buy a personalised cask which
will be kept in a warehouse for a period of ten years. The casks,
on the market at £800, can be labelled, bottled and distributed
to the owner’s specifications.
The original distillery dates back to the late 1790s. Home to Highland
Spring, Blackford also boasts the site of one the oldest breweries
in the UK, dating back to 1488 when it produced a special ale for
the coronation of King James IV at Scone.
In the 1970s, Tullibardine was taken over by Invergordon before being
mothballed in 1994.
David Williamson, of the Scotch Whisky Association, said: "There
has been an encouraging trend of whisky distilleries being reopened
and redeveloped and this is good news for the industry."
Article Courtesy of The Scotsman |
scotsman.com |
11
Nov
2003 |
Whisky
galore not for Iain
IAIN Banks’s latest oeuvre, Raw Spirit is primarily
about whisky but also "an idiosyncratic journal which is part
travel book".
The publishers insisted that Banks, "a bit of a petrol head",
should drive round the distilleries. But isn’t it funny how whenever
publishers commission a Scottish writer to do a book on whisky, they
make sure they do it on wheels? Obviously, they do not trust them
otherwise to stay sober. Our old mucker on the Diary, Tom Morton,
had to do his on a motorbike with sidecar.
Meantime, Banks usually enjoys a dram at his local, the Albert Hotel
in North Queensferry, where he was featured in the foodie section
of a Sunday magazine this weekend. The Albert’s hostess, Rhona
Campbell, was saying, though, that he is not the only famous customer:
"Gordon Brown has a house in the village, so he pops in for drinks.
Tony Blair used to come with Mr Brown, but he hasn’t been in
since Labour has been in power."
Now, there’s a surprise. But where better to build bridges than
on the Forth? The Albert can replace Granita - or even Montpeliers
- as the scene of Labour’s new deal.
Articles Courtesy of The Scotsman |
scotsman.com |
10
Nov
2003 |
Distillers
in singular threat to Diageo dram
A Row at the heart of the whisky industry is threatening
to spill over into the courts.
It comes after industry giant Diageo provoked anger among rival distillers
by attempting to pass off a blend of whiskies as a prestigious single
malt.
Now a group of distillers have come together to explore the possibility
of legal action against Diageo. They say the move could clearly establish
a legally binding definition of single malt and benefit the industry.
Representatives from about 60 brands are due to meet in Glasgow a
week tomorrow. A civil action of consumer deception against Diageo
has already been mooted.
The row flared up after Diageo changed the recipe of one of Speyside's
most popular malts, Cardhu. Instead of being a traditional single
12-year-old malt, it is now being made from vatted malt from several
distilleries, although it is still being sold as Cardhu.
The only change Diageo has made to the label is to substitute the
word "single" with "pure".
Rivals claim that the move will mislead customers and could seriously
damage the worldwide reputation of the Scotch whisky industry.
Diageo, which accounts for about half of Scotland's whisky distilling,
said it announced changes to Cardhu in July after stocks of the single
malt ran low and led to fears they may not be able to meet increasing
demand. It is mainly marketing the "pure" malt in Spain
at the moment, then will move into Portugal, France, Italy and Greece.
It should be available in the UK in about a year.
Diageo says it has carried out publicity, advertising, tasting and
consumer education, particularly in Spain to ensure consumers are
aware of the change.
Scottish Whisky Association spokesman David Williamson said: "The
Scottish Whisky Association is very much involved in discussions about
changes to protect and allay the concerns expressed by some member
companies.
"We will have discussions with Diageo about the matter to find
a way ahead in the best interests of the whole industry."
John Grant, managing director of J & G Grant of Speyside, which
makes Glenfarclas, said: "They are misleading the public by selling
Cardhu in the same bottle, with the same packaging it has had for
years, when what's in the bottle is not Cardhu.
"In my opinion, it sets a dangerous precedent."
Article Courtesy of ThePress & Journal |
pressandjournal |
09
Nov
2003 |
Diageo
hits back in whisky wars
DIAGEO, the Scotch whisky producer at the centre of an
increasingly bitter row over a new, vatted version of its 12-year
old Cardhu malt, has hit back at claims that its controversial changes
will harm the industry and predicted others would follow in order
to grow their exports.
Jonathan Driver, Diageo’s global malt whisky director, last night
defended his decision to turn Cardhu single malt into a pure malt
- a mixture of five whiskies from various Speyside distilleries -
to keep up with demand.
He said rival distillers should welcome his innovation as a way of
staving off competition from other spirits categories such as vodka
and rum.
He told Scotland on Sunday: "If this is successful, others will
follow. That doesn’t mean the end of single malts - it means
it is a better and bigger malts category at the end of it all. I genuinely
believe innovation is required to take the malt whisky business to
the next level."
Diageo is already distributing the Cardhu pure malt in Spain, France,
Portugal and Greece after runaway success grew sales by 200,000 cases
in little over a decade.
It is also testing the concept in the US, despite the new product
isolating Diageo from the rest of the Scotch whisky industry at home.
Others are concerned the move will tarnish the reputation of the industry,
which had exports worth £2.28bn last year.
But Driver’s comments were described last night as "wishful
thinking" by Tony Hunt, deputy managing director of William Grant
& Sons, which is leading the opposition.
Hunt accused Diageo of capitalising on the ignorance of Spanish consumers
- the biggest drinkers of Cardhu. "The reason why single malt
as a category has become the jewel in the crown as far as the Scotch
whisky industry is concerned is because we haven’t taken shortcuts,"
he said.
But Driver said he was ready for the controversy that would meet the
launch of the pure malt that it first dreamt up two years ago.
He revealed that limited inventory and growing popularity of single
malts had been a looming "crisis point" for Diageo since
the company was created in 1997 from the merger of Guinness and GrandMet.
It has been selling its Lagavulin single malt at capacity for the
past four years. Oban, which sells 64,000 cases a year, has since
followed suit, and Dalwhinnie is not far behind in hitting the ceiling
of supply.
But Driver rejected the idea that the pure malt concept could be spread
to the rest of his portfolio. He said: "Our Lagavulin consumers
would have simply rejected the whole proposition."
However, he argues that Cardhu, which has become the fastest-growing
malt whisky in the world, is another matter.
"To a Cardhu consumer, to say it comes from a small valley on
Speyside is just a little bit too much information when there is so
much else that people adore about it," he said, predicting others
would follow suit to grow their brands globally.
Driver will appear before the all-party Scotch Whisky Industry group
again this Thursday.
Article Courtesy of The Scotsman |
scotsman.com |
08
Nov
2003 |
MPs
take shot at resolving Cardhu crisis
SENIOR Westminster MPs are trying to end the dispute over
plans to change the make-up of one of Scotland’s top malt whiskies.
Diageo, which has its Scots HQ in Edinburgh, wants to end the production
of Cardhu single malt and instead produce a blend of different malts.
They want to label this as "pure malt’’, claiming that
existing stocks of the original product are running low.
But small single malt producers are outraged at this potential dilution
of their major selling point. Some rival producers - including John
Grant, who produce Glenfarclas - are threatening legal action.
William Grant and Glenfiddich are also outraged. They have warned
of major sales slumps in the key United States and Japanese markets
if the change goes ahead.
The meeting was hosted by Angus Robertson, Scottish Nationalist MP
for Moray - home to 50 per cent of Scotland’s distilleries including
Cardhu, and included Treasury Select Committee chairman John McFall,
who represents Dumbarton.
Following the meeting Diageo has committed itself to talks to try
to resolve the dispute, saying it would discuss "concrete solutions".
Over recent weeks the bitter dispute has divided the whisky industry,
which has seen threats of legal action and a possible split in the
industry body the Scotch Whisky Association.
Speaking after the meeting Mr Robertson MP, who is vice-chairman of
the All-Party Scotch Whisky Industry group, said: "This is a
positive development and we sincerely hope that realistic proposals
will be made next week by Diageo to help end this damaging crisis."
Articles Courtesy of The Scotsman |
scotsman.com |
06
Nov
2003 |
CL
distillers chief quits
THE chief executive of East Kilbride-based distillers
CL World Brands has unexpectedly quit following an announcement that
the chairman of its Trinidadian parent firm wanted to be more hands-on
in the day-to-day running of the business.
Ian Bankier’s departure will raise questions over the future
base of the company, formed last year.
Arnaud de Trabuc, executive director of strategic affairs for CL World
Brands, insisted the company would continue to be headquartered out
of East Kilbride.
CL World Brands distills the Bunnahabhain and Black Bottle whisky
brands and was formed last year through the acquisition of the Burn
Stewart distillery by Trinidad and Tobago conglomerate CL Financial.
Articles Courtesy of The Scotsman |
scotsman.com |
05
Nov
2003 |
Edrington
moves to reshuffle board
IAN Curle, the chief executive-in-waiting of the Edrington
Group, the maker of the Famous Grouse and The Macallan whiskies, moved
yesterday to strengthen his board with the appointment of two new
executive directors and a restructuring of the business.
Graham Hutcheon, previously distillation director, based at The Macallan
Distillery on Speyside, succeeds Curle as group operations director,
while Bill Farrar, who masterminded The Famous Grouse’s quirky
TV adverts, is promoted to group sales and marketing director.
Barrie Jackson, a main board director for the last nine years, is
promoted from sales and marketing director to a new role as group
strategy director and will concentrate on directing the group’s
future strategy.
Curle, 42, who was appointed deputy chief executive in May, succeeds
Ian Good as chief executive next April to become the youngest chief
executive in Edrington’s 150-year history.
Curle said he hoped the moves would strengthen the business, which
has doubled in size in the last four years, and will put it in good
shape for the tough challenges that lie ahead in the international
marketplace.
Earlier this year, Edrington sold its Bunnahabhain and Glengoyne distilleries
to Burn Stewart Distillers and Ian Macleod respectively, in deals
analysts said were worth more than £20 million.
The move was part of a strategic change in the company to focus on
its four main brands, The Famous Grouse, The Macallan, Highland Park
and Cutty Sark.
In July the firm reported a 24.6 per cent increase in pre-tax profits
to a record £61.7m while turnover rose 14.9 per cent to £230.7m.
Articles Courtesy of The Scotsman |
scotsman.com |
02
Nov
2003 |
Scotch
on the rocks over Diageo
THE Scotch Whisky Association has been thrown into chaos
over an unprecedented split between Diageo, Scotland’s largest
whisky producer, and the rest of the industry.
Members of the SWA, the industry’s trade body, will put intense
pressure on Diageo to reconsider its decision to axe its Cardhu single
malt brand when its governing council meets next month...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
30
Oct
2003 |
Allied
Domecq denies SWA pull-out threat
ALLIED Domecq denied last night that it was on the verge
of quitting the Scotch Whisky Association (SWA) in protest against
the inaction over Diageo’s decision to turn its Cardhu single
malt Scotch whisky into a vatted malt. A spokesman for Allied said
there was "no truth in the rumour whatsoever", but added
that Allied are "extremely concerned about this issue and the
reputation of single malt".
The row erupted after it emerged that Diageo has substituted the contents
of its 12-year-old Cardhu single malt, taken from one source, with
a vatted malt, blended from a number of Speyside distilleries. It
is a move that many believe will damage the integrity and authenticity
of every category of whisky produced in Scotland. A spokesman for
the SWA said it was discussing the change with Diageo.
Articles Courtesy of The Scotsman |
scotsman.com |
29
Oct
2003 |
Festival
aims to boost autumn tourism levels
ABOUT 140 events are planned in the ten-day Borders Banquet
festival, including cookery demonstrations, murder mystery dinners,
wine and whisky tastings and art evenings.
Funded by Scottish Enterprise Borders, it is designed to boost tourism
at a traditionally quiet time of the year, said Alan Elliot, tourism
business manager at SEB.
Last year it brought in an estimated £150,000, up 29 per cent
on the event’s inaugural year.
Elliot said: "Official figures show that 25 per cent of all tourism
spend is on food and drink.
Last year we saw a large increase both in average food and drink sales
and in the number of bed nights sold as people use the event as a
reason to come to the region for a short break."
Articles Courtesy of The Scotsman |
scotsman.com |
29
Oct
2003 |
Whisky
firm falls into red
MORRISON Bowmore, the whisky distiller, has fallen into
the red because of costs associated with a distribution venture in
Uruguay.
The Sociedad Anonima joint venture with the Uruguayan government cost
Bowmore £700,000 in 2002, and the company has now exited the
business.
The venture, along with a move away from sales of cheaper bulk blended
whisky, saw Bowmore post a loss of £1.1 million for the year,
compared with a profit of £948,000 in 2001.
Articles Courtesy of The Scotsman |
scotsman.com |
28
Oct
2003 |
Bottling
plant is pretty dram fast
SCOTLAND’S fastest whisky bottling plant, capable
of producing 600 bottles every minute, has been officially opened
by the Edrington Group.
The maker of brands such as Famous Grouse and the Macallan has invested
£3 million in the high-speed bottling plant at its Glasgow premises.
The construction of the new plant on Great Western Road saved 50 jobs
at the 150-year-old company and is aimed at ensuring the £800m
Scottish industry continues to grow.
First Minister Jack McConnell, who officially opened the plant, said:
"Scotland’s whisky industry is one of the most important
elements of our economy, and its global reputation is stronger than
ever.
"Its success plays a strong part in attracting visitors to Scotland
and one in 50 Scottish jobs depend on this most famous of industries."
Articles Courtesy of The Scotsman |
scotsman.com |
26
Oct
2003 |
William
Grant in good spirits as company set to grow
FAMILY-owned distiller William Grant is looking to acquire
premium spirit brands after posting a 31% rise in pre-tax profits.
The Glenfiddich distiller wants to boost its portfolio, which ranges
from Glenfiddich malt whisky to OVD rum.
A spokesman said: "We are looking for acquisition opportunities.
We are a premium spirits business and it makes sense to continue to
do that."
He refused to identify which brands were under consideration, but
the company’s product range is underweight in brandy.
Grant’s, which has offices in Bellshill, London and Dufftown
in Moray, has considerable firepower at its disposal.
At the end of last year the company held £25.9m in cash, up
£8m on the previous year.
That increase came despite an £11.2m spending spree which brought
Gibson’s Finest Canadian whisky, Polstar vodka and three rum
brands into the group. Last year’s acquisitions, along with rising
sales of William Grant’s blended whisky, contributed to a 10%
rise in turnover to £323m in 2002. Pre-tax profits increased
by 31% to £60.8m.
The spokesman said sales of the blend had benefited from customer
loyalty and a strong marketing campaign.
Grant’s benefited from its stake in the Famous Grouse and Macallan
whiskies, which it shares with rival distiller Edrington.
Articles Courtesy of The Scotsman |
scotsman.com |
26
Oct
2003 |
Whisky
giant's 'threat' to pure single malts
NO-ONE can accuse Peter Smith of lacking fighting spirit.
"Everyone talks about the whisky industry being fuddy-duddy and
not going anywhere, but we as a company are not like that. We have
made changes that we think will benefit everyone in the end, and if
other people don’t like it, tough. What’s important is that
our customers do...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
23
Oct
2003 |
Double
Award for Bruichladdich in the USA
In a unique double, Bruichladdich has been awarded the
title of Distillery of the Year for the second time in three years
and Import Malt of the Year for their Vintage 1970 by Malt Advocate,
the leading spirits magazine in the USA. The award was announced on
Tuesday 21 October at WhiskyFest in New York.
Mark Reynier, Managing Director was delighted with the news, ‘It’s
extremely gratifying to be recognised for our innovative approach
to making whisky as natural and authentic as possible and validates
the major decision we made this year to bottle Bruichladdich at the
Distillery.’
Andrew Gray, Sales Director, agreed, saying ‘I’m sure that
the quality, depth and breadth of range we have produced in such a
short time contributed to the decision to make us Distillery of the
Year. It’s amazing to have won this very prestigious title twice,
particularly since we’ve only been in operation since 2001.’
Jim McEwan, Master Distiller, who received the awards, commented ‘Winning
the title Malt of the Year is a testament to the skills of the guys
who made the whisky and the ones who looked after it whilst it was
maturing. I had the easy job. I found it, treated it gently - with
respect - and let it speak for itself.’
The award for the 1970 confirmed the five star rating already given
to this exceptional whisky by US Spirits writer Paul Pacult, who described
it as ‘supremely sophisticated and integrated… a complete
malt whisky experience’ .
Articles Courtesy of Bruichladdich |
bruichladdich |
23
Oct
2003 |
Diageo
in good spirits
DIAGEO, the world’s biggest wines and spirits company,
has told investors it is well positioned to achieve a "superior"
performance following last year’s drop in profits.
Updating shareholders at its annual meeting, chief executive Paul
Walsh said the company had demonstrated its ability to generate growth
even in challenging times as the global economy struggles to recover
from a major slump.
He said some markets were beginning to show signs of improvement,
particularly in the United States, which is now Diageo’s most
important market.
The group’s major brands include Johnnie Walker Black Label whisky,
Baileys cream liqueur, Smirnoff vodka and Guinness.
Mr Walsh said: "Continued share gains, even in difficult markets
such as those in Latin America, provide further evidence that Diageo
is well positioned to achieve superior performance.
"Therefore, while recognising that we are only three months into
the current financial year, we have not seen any trends emerging which
would lead us to change our view of Diageo’s future prospects."
Earlier this week, rival Allied Domecq - the world’s second-largest
drinks company - reported a three per cent rise in annual profits
and said the new financial year had started well, despite difficult
market conditions in Europe.
The owner of Ballantine’s whisky, Beefeater gin, Maker’s
Mark bourbon and Dunkin’ Donuts posted a pre-tax profit of £495
million for the 12 months to the end of August, up from £480m
for the previous year, on turnover two per cent higher at £3.4
billion. But Diageo’s annual results, announced last month, showed
a four per cent slide in underlying operating profits to £2bn
in the year to the end of June.
While the results were in line with market expectations, the group
said it took a £1.5bn hit from the disposal of the Burger King
fast food chain in December 2002, which it sold to focus on its spirits
division.
Burger King was sold to a group of venture capitalists - led by Texas
Pacific and including Bain Capital and Goldman Sachs Capital Partners
- for £947m after seeing a previous £1.5bn deal with the
same consortium fall through.
Annual turnover at Diageo, which employs 3000 north of the Border
under the leadership of Scotland director Allan Burns, rose three
per cent last year to just under £9bn.
Analysts believe the company - formed from the merger of drinks group
Guinness and food and spirits firm Grand Metropolitan in 1997 - is
lining up a £1.3bn sale of its 21 per cent stake in General
Mills, maker of Cheerios cereal and Yoplait yoghurt.
Articles Courtesy of The Scotsman |
scotsman.com |
22
Oct
2003 |
Allied
sinks as results lose fizz
SHARES in Allied Domecq, the world’s second biggest
drinks firm after Diageo, were the FTSE 100’s second biggest
faller yesterday after flattish annual results and a bleak statement
on trading in mainland Europe.
The market was taken aback that Allied’s volume growth in spirits
and wines, excluding acquisitions, slowed to just 1 per cent in the
year to end-August from 4 per cent at the half-year stage.
Philip Bowman, group chief executive, said: "The European economies
are difficult. We don’t see any light at the end of the tunnel."
Nigel Davies, a drinks specialist at investment bank JP Morgan, said:
"Growth in the second half has slowed considerably in turnover
terms and I think people are concerned about what that says about
future growth."
Analysts at Dresdner Kleinwort Wasserstein put their "add"
investment recommendation on Allied under review. Shares in the group,
which recently lost out in the bid battle for Peter Lehman Wines in
Australia to Switzerland’s Hess Group, closed down 16.75p, or
4 per cent, at 384.5p.
Allied, which unveiled a 3 per cent rise in underlying pre-tax profits
to £495 million, said that important mainland European markets
for the company, such as Germany, France and Italy, were still suffering
from severe trading conditions.
Allied’s best-known brands include Ballantine’s whisky and
Beefeater gin. Bottom-line pre-tax profits for the group, after exceptionals,
fell 15 per cent to £483m (£571m last time).
Bowman, declaring an 8 per cent increase in the annual dividend to
14p, said a strong performance in the US - where profits rose 31 per
cent - helped the company ride out the tough conditions in the eurozone.
Trading profits in the spirits and wine division as a whole rose 4
per cent to £522m, helped by Allied’s recent string of
acquisitions.
During the period, Sauza tequila became the world’s fastest-growing
premium spirits brand, with volumes up a hefty 28 per cent.
Allied’s burgeoning wine business grew volumes by 18 per cent,
mainly due to the acquisition of Bodegas y Bodegas in December 2001
and Mumm Cuvee Napa.
Trading profit in Europe dropped 21 per cent to £114m, and 33
per cent before acquisitions were taken into account.
And there was a sharp cut of almost one-third in advertising spending
in the Asia Pacific region as a result of the SARS epidemic last spring.
Meanwhile, profits at Allied’s quick service restaurants Dunkin’
Donuts and Baskin Robbins climbed 8 per cent.
There has been speculation that Allied will eventually pursue a merger
with another major spirits player to try and make up some headway
on Diageo, with Pernod and Bacardi of France and Brown-Forman of the
US said to be the desired targets.
But Bowman said that Allied Domecq was not talking to anybody currently.
Articles Courtesy of The Scotsman |
scotsman.com |
21
Oct
2003 |
Sweden
faces EU fines if it fails to cut tax on Scotch whisky imports
PRESSURE is building on Sweden to cuts its tax on Scotch
whisky after being warned by the European Union that its regulations
on importing alcohol violate market rules.
Under Swedish law, those wanting to import alcohol for personal use
have to apply to the country’s strict monopoly, Systembolage,
to act as a selling intermediary. The European Commission argues that
Sweden is depriving companies and individuals their rights under EU
law, saying companies have a right to sell products throughout the
15-nation bloc unhindered.
The criticism came just weeks after Denmark gave a major boost to
the whisky industry by slashing its tax on Scotch, making it cheaper
to buy a bottle in Copenhagen than it is in Edinburgh.
An EU spokesman, said of the Swedish process: "It’s complicated
and it’s very expensive so it’s a major disincentive."
If Sweden, which applies duty on whisky at twice the UK rate, does
not apply European market rules, it faces being fined heavily by the
EU high court.
The move was welcomed by the Scotch Whisky Association, which claimed
that liberalising the market will increase pressure for excise tax
to be bought down.
David Williamson, of the association, said: "We welcome the move
because it is introducing a simple and less complicated system for
consumers who want to buy alcohol from abroad."
Brussels has also ordered Sweden to abolish its current limits on
the amount of duty free that may be brought in by individuals for
personal consumption from 1 January, 2004.
Williamson said: "Individuals will be allowed to bring back ten
litres of alcohol without incurring additional taxation. In light
of this, Denmark has cut its duty by 45 per cent and Finland is proposing
a 44 per cent cut. Sweden hasn’t announced its intentions yet,
but obviously pressure is building for excise tax to be bought down."
Last year Sweden imported £25.1m worth of whisky, or 8.3 million
bottles. About 13 per cent of that was malt whisky.
Articles Courtesy of The Scotsman |
scotsman.com |
21
Oct
2003 |
Domecq
in good spirits
ALLIED Domecq, the world’s second-largest drinks
company, today reported a three per cent rise in annual profits and
said the new financial year had started well, despite difficult market
conditions in Europe.
The owner of Ballantine’s whisky, Beefeater gin, Maker’s
Mark bourbon and Dunkin’ Donuts posted a pre-tax profit of £495
million for the 12 months to the end of August, up from £480m
for the previous year, on turnover two per cent higher at £3.4
billion.
Chief executive Philip Bowman said: "Early indications are that
the 2004 financial year has started well and we are on track to meet
current expectations."
Ballantine’s and Beefeater continued to grow market share in
Spain.
Despite gains, both brands recorded declines in overall shipment volumes
as a result of the change in buying by Spanish wholesalers.
Outside Spain, Ballantine’s volumes grew three per cent, while
Tia Maria volumes soared 33 per cent in the UK.
Articles Courtesy of The Scotsman |
scotsman.com |
20
Oct
2003 |
Intrepid
trio look to put fun back into whisky
THREE entrepreneurs are about to embark on a mission to
dispel the stuffy pipe and slippers image of Scottish whisky in the
hope of opening up the spirit to a whole new generation of drinkers.
The Easy Drinking Whisky Company (EDWC) is launching three whiskies
- dubbed simply The Rich Spicy One, The Smokey Peaty One and The Smooth
Sweeter One.
The founding directors will follow up the launch of their whiskies
- branded under the label Jon, Mark and Robbo - with a tour of Scottish
off-licences to better equate the public with what they believe should
be whisky’s fun image.
David Robertson, a director of EDWC and former master distiller of
The Macallan, said: "There has been a snobbery attached to whisky
drinking that has given it an almost elitist image. Jon, Mark and
Robbo is aimed at removing the barriers to whisky drinking and making
it fun to drink when you want."
The idea for EDWC was hatched on a Scottish hillside last Christmas
and came to life after the three - brothers Mark and Jon Geary and
David Robertson - secured seed funding from the Edrington Group, the
Scottish drinks company, to produce its three malt mixes.
The three men hope to convert existing whisky drinkers, who are tired
of the spirit’s frumpy image, as well as tapping into the generation
brought up on wine labels such as Fat Bastard.
Similar moves to revamp staid images of other spirits and beverages
in the past have met with mixed success. Bicardi managed to make the
appeal transition when it introduced its range of flavoured alcopops
under the label Bicardi Breezer in the late 90s.
However, a similar attempt to revive the popularity of Seventies favourite
Babycham met with less success.
Jon, Mark and Robbo’s three whiskies will be available exclusively
from Oddbins at the end of the month.
Articles Courtesy of The Scotsman |
scotsman.com |
17
Oct
2003 |
442
to design £500,000 Tullibardine complex
EDINBURGH-based consultancy 442 has won the contract to
design the £500,000 Tullibardine Distillery retail outlet, restaurant
and visitor attraction in Perthshire.
The Leith design agency, which started life in November last year,
will help to develop and launch an innovative new retail brand based
around the traditional values of whisky. David Dunn, 442’s design
director, said: "Our strong commercial focus and modern retail
experience is what appealed to the client team."
The project at Tullibardine Distillery forms part of a 50,000 sqft
multi-million pound retail development at Blackford, near Gleneagles
in Perthshire.
Articles Courtesy of The Scotsman |
scotsman.com |
12
Oct
2003 |
Scots
invited to help bring UK town to China
ITS citizens will enjoy a pint in a traditional pub and
may send their children to a school run by Eton College. But while
Thames Town will be British in name and character, it will be a long
way from home.
Thames Town is one of nine ‘towns’ being built in European
styles in the suburbs of Shanghai. Together they are known as Songjiang
New City, a £300m project to house 500,000 people in one of
the world’s biggest and fastest-growing cities.
Now companies from Scotland are being invited to take part in building
Thames Town, which will replicate the character of a small British
town, complete with its own hospital and church.
Joan Serafini, who was a civil servant in Scotland for 22 years and
now runs her own events business, is organising a symposium in Edinburgh
for companies to meet a delegation from the developer, Henghe Real
Estate Company, on November 24.
A number of blue-chip companies are on Henghe’s target list,
including Tesco, Sainsbury, the Savoy Hotel, Hamleys and Addenbrooke’s
Hospital.
Scottish firms have also been targeted in the whisky, hospitality
and engineering sectors.
"British businesses are seeing huge opportunities in China and
this event will give Scottish firms a chance to find out more about
the new town," said Serafini, who flies out to Shanghai this
week for an update on the project.
Engineering firm WS Atkins has been sending teams out to Shanghai
to develop the masterplan and help with the development and design
of the buildings, streetscape and landscaping.
Serafini, who was assistant private secretary to former Scottish Secretary
Ian Lang and subsequently private secretary to First Ministers Henry
McLeish and Jack McConnell, was asked initially to send two pipers
and a Highland dancer to an exhibition and marketing launch this month.
But those behind the project have now asked her Glasgow-based company,
Equator Events Management, to take on a consultancy role to identify
companies that might be interested in getting involved in the development
and provision of a middle school, nursery, whisky exhibition and shop,
steakhouse, Scottish souvenirs shop, pub, five-star hotel and gym.
The symposium will be held at the Sheraton Grand Hotel, Edinburgh,
on November 24.
Articles Courtesy of The Scotsman |
scotsman.com |
11
Oct
2003 |
Regular
raises glass to 72 years
A WAR veteran has been drinking in the same pub for the
last 72 years, his landlord confirmed on his 90th birthday.
Tommy Spurr has popped in almost daily for two pints of bitter and
two glasses of whisky at the White Cross Pub, Pudsey, West Yorkshire.
Articles Courtesy of The Scotsman |
scotsman.com |
07
Oct
2003 |
Jailed
over moonshine whisky
A MAN was jailed for two years yesterday for producing
moonshine whisky at an illegal distillery on remote farmland. David
Cox pleaded guilty to evading £529,275 in excise duty.
He was arrested in January this year after Customs and Excise officers
raided farm buildings near Bridgnorth in Shropshire and found six
illegal stills. They also discovered 1,500 litres of distilled whisky
- some bottled and crated under the name Highland Game - and 35,000
litres of fermenting liquor.
Articles Courtesy of The Scotsman |
scotsman.com |
07
Oct
2003 |
Duncan
quits Glenvarigill for Drambuie
GLENVARIGILL, the Edinburgh luxury motor group bought
out from liqueur company Drambuie in a £40 million deal, has
lost its marketing director to its former owner.
Miles Duncan, who previously worked with whisky giant Whyte and Mackay,
said he was attracted by the opportunity to grow and focus the Drambuie
brand in its home market and the role’s commercial side in sales
and marketing.
Duncan is the second director to leave Glenvarigill in weeks, after
Gavin Manson, the former finance director, sold his 40 per cent stake
to managing director Tim Bartlett for an undisclosed sum. Yesterday
Bartlett said the two departures were unrelated. "
Martin has been with us for five years, he has made a significant
contribution, and was looking for a fresh challenge," he said.
Articles Courtesy of The Scotsman |
scotsman.com |
05
Oct
2003 |
Whisky
fans nip in for Fife distillery shares
A WHISKY company planning to build a new distillery in
Fife has raised almost £500,000 from private investors.
The Ladybank Company of Distillers has sold out its first tranche
of shares released to enthusiasts and investors in the UK and overseas.
It eventually hopes to raise about£1.5m to fund the creation
of the distillery on the outskirts of Ladybank village. Work is expected
to start in the new year, with first production of its single malt
pencilled in for before the end of 2004.
About 200 UK-based investors have each paid £1,850 for membership
of the club, which will entitle them to the equivalent of 12 bottles
a year from each vintage during the first 10 years of production.
The club has now released a second tranche of memberships available
to UK investors at £2,500. James Thomson, one of the founding
directors of the project, said Ladybank had now passed a major hurdle.
"When we began this we thought the hardest part would be getting
up to the 150-200 member level, but that once we had achieved that
we would have the momentum we needed."
The company’s marketing efforts have included exhibiting at an
alternative investment show in London last month. "We see this
as a lifestyle investment in the same way as someone might invest
in classic cars or art," Thomson said. "It gives the investor
a great deal more than a pure cash investment."
He said efforts were now being concentrated on increasing the numbers
of overseas investors. "We could very easily complete the membership
in Scotland and the rest of the UK. We do want more UK investors,
but part of the ethos of the project is the ‘pilgrimage’
aspect of people coming from abroad to see this return to the true
heritage of scotch whisky."
The club has about 50 overseas members, mainly among expat communities.
It is aiming for a total of between 700 and 800 investors with a maximum
limit of 1,250.
The distillery, which will have the smallest production of any in
Scotland, markets itself as being a return to the origins of distilling
- carried out by farmers to convert surplus crops into spirits.
It will also feature a whisky school running courses on production
and tasting.
The malting vessels to be used by the distillery are being built by
fabricators McMillan of Prestonpans, and are believed to be the first
farm-scale vessels for distilling built in Scotland for at least a
century.
The company is the second new Scots whisky venture to attract money
from private investors this year.
Blackwood Distillers, which is planning to build a new distillery
on Shetland, staged a share issue and has been awarded a Highlands
and Islands Enterprise grant to help fund the project.
The planned distillery could produce 40,000 cases annually of premium
single malt, in peated and unpeated versions, and a variety of wood
finishes.
As a return on investment is not expected in the short term, the company
intends to provide a whisky dividend to investors who participate
in its share offer at the rate of one bottle per annum per 500 offer
shares subscribed.
Articles Courtesy of The Scotsman |
scotsman.com |
05
Oct
2003 |
Are
you inspired to vote?
For the sixth year Scotland on Sunday has joined forces
with Glenfiddich, the world’s premier single malt Scotch whisky,
to give you the chance to vote in the Glenfiddich Spirit of Scotland
Awards®. This unique awards scheme recognises the individuals
who inspire our nation, leading the way in Scottish culture from food,
music and screen to art, business, writing and sport.
Last year readers cast their votes by the thousand. This year, there
is even more reason to have your say, since, for the first time, you
will be able to enjoy the actual awards ceremony when the event is
broadcast by Scottish and Grampian Television on Saint Andrew’s
night.
Last week we profiled the contenders in the worlds of sport and food.
This week it’s business and art, to be followed over the next
couple of weeks by nominees in music, screen and writing. The nominees
have been suggested by our judging panel but it’s up to you to
decide who should win.
In the final week, you can vote for the Top Scot Award, an open category
where you can choose the Scot from any walk of life whom you believe
has made the greatest impact in furthering Scotland’s reputation
at home and abroad this year.
Judges The judging panel for the Glenfiddich Spirit of Scotland Awards
includes: John McGurk (editorial director, Scotsman Publications),
John McLellan (editor, Scotland on Sunday), Iain Martin (editor, The
Scotsman), Sally Gordon (Glenfiddich), Sandy Ross (Scottish Television)
and a number of specialist correspondents.
Articles Courtesy of The Scotsman |
scotsman.com |
03
Oct
2003 |
Praise
poured on decanter expert
A WORLD expert on rare whisky decanters has been honoured
in the Capital.
Independent wine merchant Brian Wilding was recognised by Bells whisky
to mark ten years in the specialist field.
Mr Wilding acquired several of the ceramic decanters about ten years
ago and only learned about widespread interest in them after trying
to sell them through a classified advert.
He launched the Bells Decanter Register, a private forum which has
been involved in buying and selling more than 5000 decanters.
Mr Wilding was honoured with a certificate and bottle of whisky at
a ceremony at drinks giant Diageo’s Edinburgh Park offices.
Articles Courtesy of The Scotsman |
scotsman.com |
02
Oct
2003 |
Whisky
now cheaper in Denmark than Scotland
DENMARK has given a major boost to the whisky industry
by almost halving its duty on Scotch, making it cheaper to buy a bottle
in Copenhagen than it is in Edinburgh.
The Danes, who import £9.3 million worth of Scotch a year, have
cut the tax by 35 Kroner (£3.25) a bottle in an attempt to curb
the volume of lost tax revenue from cross-border shopping with Germany.
Tax on a bottle of Scotch in Denmark is now 5.84 (£4.11) per
bottle, compared with £5.48 in the UK.
Welcoming the move, Hugh Morison, chief executive of the Scotch Whisky
Association, said: "Denmark has recognised that high taxes only
lead to a disorderly spirits market, with consumers crossing the border
to Germany looking for a fairer deal resulting in the government losing
valuable tax revenue."
That situation could be exacerbated next January when Denmark will
be required by the EU to remove its import restrictions for personal
consumption.
Morison added: "With Norway reducing its spirits tax in each
of the last two years and the Finnish parliament considering a proposal
to cut the duty on Scotch by 44 per cent next year, Denmark’s
tax cut is part of a welcome trend across Scandinavia towards the
fairer taxation of spirit drinks."
Yesterday, analysts predicted the Danish move might give rise to a
domino effect. One source said: "By cutting tax in Denmark the
pressure now turns to Sweden. There is a bridge between Sweden and
Denmark and early rumours circulating are the Swedes will be forced
to cut their duty on whisky by 50 per cent."
If Sweden and Finland do cut their duty by early next year we could
have a situation where the UK has the second- highest whisky duty
in Europe behind Ireland.
Leonard Russell, the managing director of Glengoyne distillery, which
supplies 5,000 cases of whisky a year to Denmark, welcomed the news
and said the move should help boost sales.
He said: "Gordon Brown should take note that tax on a bottle
of whisky in Denmark is now cheaper than the UK."
Articles Courtesy of The Scotsman |
scotsman.com |
28
Sep
2003 |
Pick
a winner
GLENFIDDICH'S SPIRIT OF SCOTLAND AWARDS
For the sixth year Scotland on Sunday has joined forces with Glenfiddich,
the world’s premier single malt Scotch whisky, to give you
the chance to vote in the Glenfiddich Spirit of Scotland Awards®.
This unique awards scheme recognises the individuals who inspire
our nation, leading the way in Scottish culture from food, music
and screen to art, business, writing and sport.
Last year readers cast their votes by the thousand. This year, there
is even more reason to have your say, since, for the first time,
you will be able to enjoy the actual awards ceremony when the event
is broadcast by Scottish and Grampian Television on Saint Andrew’s
night.
Over the next four weeks, Spectrum will profile four individuals
in each of the following categories: Business, Art, Food, Sport,
Music, Screen and Writing. The nominees have been suggested by our
judging panel but it’s over to you to decide who should win.
In the final week, you can vote for the Top Scot Award, an open
category where you can choose the Scot from any walk of life whom
you believe has made the greatest impact in furthering Scotland’s
reputation at home and abroad this year.
Judges The judging panel for the Glenfiddich Spirit of Scotland
Awards includes: John McGurk (Scotsman Publications), John McLellan
(Scotland on Sunday), Iain Martin (Scotsman), Sally Gordon (Glenfiddich),
Sandy Ross (Scottish Television) and a number of specialist correspondents.
How to vote To vote in the Awards simply call the hotline telephone
number listed next to the nominee of your choice, or vote on line
at www.glenfiddich.com/spirit
Articles Courtesy of The Scotsman
|
scotsman.com |
27
Sep
2003 |
Whisky
of Mass Destruction - how the US spied on a tiny island distillery
IN THE wavering image of a webcam, the figures moved with
the sinister intent of those whose mission is mayhem. Thank heavens
"Ursula" was watching ...
If the slightest possibility exists that Bruichladdich distillery
on Islay is a threat to world peace, we need to know...
Click here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
25
Sep
2003 |
Pernod
rise lifts spirits
THE world’s third-biggest spirits group, Pernod Ricard,
today reported a better-than-predicted rise in first-half profits,
helped by a revival of two brands, and predicted earnings growth of
about 15 per cent this year.
The Paris-based group, whose drinks cabinet includes vodkas, rums,
whiskies, gins and aperitifs, said first-half profits rose to £111.6
million, from £106.8m a year ago, helped by an improvement at
its Chivas Regal scotch whisky and Martell cognac brands.
Articles Courtesy of The Scotsman |
scotsman.com |
25
Sep
2003 |
A
dram good job to boost tourism
THE Scotch whisky industry claims to have taken a significant
step in realising its tourism potential with the appointment yesterday
of Chris Conway as the first Scotch Whisky tourism development manager.
Conway, a former marketing manager with Whyte & Mackay, will initially
work with hotels, restaurants and distillery visitor centres to develop
new ways of using whisky as a means of attracting tourists to scotland.
Plans currently under consideration include setting up "whisky
embassies" throughout Scotland where tourists can learn more
about their favourite drink and encouraging restaurants to develop
more whisky-based dishes.
The £100,000 project - unveiled by the deputy First Minister
and enterprise minister, Jim Wallace, and Ian Good, chairman of the
Scotch Whisky Association - is being led by the Scotch Whisky Heritage
Centre.
Funding is coming from Scottish Enterprise, Highlands and Islands
Enterprise, VisitScotland and the Scotch Whisky Association.
Good said: "More than a million people visit 40 distillery visitor
centres throughout Scotland every year.
"The industry is a great ambassador for Scotland. Chris with
his depth of experience can build on this."
Articles Courtesy of The Scotsman |
scotsman.com |
25
Sep
2003 |
220
jobs set to go as Leith whisky bottling plant is axed
A LEITH whisky factory is to close with the loss of up
to 220 jobs.
Whyte and Mackay, one of Scotland’s biggest distillers, revealed
yesterday its Leith bottling plant would close as part of major "restructuring"
following a review in July of operations at the firm.
The Salamander Place plant is one of two bottling factories which
bosses want to merge into one, new high-speed plant.
The 220-strong workforce is now being consulted to establish who will
relocate from Leith to a new £20 million state-of-the-art bottling
plant in Grangemouth.
Local politicians have questioned the company’s motives for closing
the factory and say it has fallen victim to the Capital’s property
boom. Mark Lazarowicz, Labour MP for Edinburgh North and Leith, said:
"I’m extremely angry at the company’s decision to close
the Leith plant. They will be hoping that they can sell their Leith
site for housing development, but I will vigorously oppose any such
proposal because this part of Leith has been identified as an area
for employment rather than housing.
"I am calling on the council to stop that from happening."
The existing plant in Grangemouth, which has 140 staff, will eventually
accommodate 220 workers when it is complete in two years’ time.
At least 140 people, expected to be from Leith, will be made redundant.
Trade union leaders said today that the company had made a mockery
of consultation procedures and that they will oppose any compulsory
redundancies.
Whyte and Mackay said the changes were part of a £70m revamp.
Vivian Imerman, chief executive and chairman at Whyte and Mackay Ltd,
said long-term sustainability and the "relative land values"
of the sites had swayed their decision.
She said:
"We will do everything in our power to help find new employment
opportunities for those who regrettably are affected."
Articles Courtesy of The Scotsman |
scotsman.com |
24
Sep
2003 |
Whisky
tots up a success
SCOTCH Whisky has proved its resilience in the face of
severe economic difficulties with the value of exports rising a credible
2.3 per cent in the first six months of the year...
Click here for full
story
Articles Courtesy of The Scotsman |
scotsman.com |
23
Sep
2003 |
Export
if Scotch up in spite of Sars virus
SCOTCH whisky is continuing to grow in the world export
market, despite international economic troubles exacerbated by the
Sars virus, according to new industry figures released today.
Figures show the value of Scotch whisky exports rose to £961
million in the first six months of 2003, an increase of 2.3 per cent
compared with the same period last year.
According to the statistics, released today by the Scotch Whisky Association,
the global interest in bottled malts is continuing, with malt whisky
recording double-digit growth.
There was an 18 per cent leap in the value of malt exports to £121m,
on the back of a 22 per cent rise in shipment volumes of malt whisky
to more than 22 million bottles.
Sales of blended whisky bottled in Scotland - which make up 80 per
cent of the total export value - also performed well, rising 1.5 per
cent to £740m.
Ian Good, chairman of the Scotch Whisky Association, said: "An
increase in the value of Scotch exports during the first half of 2003
is very encouraging at what was a difficult time for the world economy
due to international unrest and the Sars outbreak."
He added: "We are delighted the popularity of malts continues
to increase around the world.
"The leap in the value and volume of malt exports is testament
to a growing awareness among consumers of its different styles and
characteristics.
"Just as welcome is the news that blended whisky values are also
up in 2003."
Despite the Sars outbreak, the value of exports to key Asian markets
such as South Korea and Taiwan grew by 4.6 per cent and 23 per cent
respectively, and there are signs that the Chinese market is beginning
to develop a taste for Scotch.
The value of Scotch exports to China jumped 160 per cent in the first
half of the year, representing an increase of around £2m.
But in Japan, exports tumbled 37.4 per cent in value to £36.9m
as the volume of Scotch imported by the country collapsed by 51.4
per cent to 11.6 million bottles in the wake of the Sars virus.
Closer to home, exports to the European Union rose £32m to £363m,
an increase of 9.6 per cent over the first six months of 2002.
Mr Good said: "There was also a welcome sign of the possibilities
that await distillers when the EU expands eastwards next year, with
sales to eastern European countries increasing both by value, 39 per
cent, and volume, 54 per cent."
In the UK, growth of Scotch whisky was described as "steady",
with volumes rising by 2.5 per cent, or 1.1 million bottles over the
first half of 2002 to reach 47 million bottles.
Sales to the industry’s most valuable market, the United States,
increased by six per cent in volume terms to 54.5 million bottles,
and by one per cent in value terms to £139.3m.
In France, the largest market in terms of volume, the value of exports
rose by 2.4 per cent to £103.4m, but volumes slumped by 10.6
per cent to 64.9 million bottles.
The value of exports to Spain soared by 42.6 per cent to £120.7m,
with volumes growing by 22.5 per cent to 48.5 million bottles.
In 2002, some £2.28bn worth of Scotch whisky was exported around
the world, making the industry one of the UK’s top five manufactured
export earners.
Mr Good is also chairman and chief executive of distiller Edrington,
which has unveiled plans for a £1.2m global marketing drive
in a bid to establish its flagship single malt, The Macallan, as "the
world’s most precious whisky".
The promotion begins next month in the US before being rolled out
internationally.
Articles Courtesy of The Scotsman |
scotsman.com |
19
Sep
2003 |
African
'Scotch' to be destroyed
THOUSANDS of litres of fake Scotch whisky made in South
Africa are to be destroyed following a successful application yesterday
to the Cape Town High Court by the Scotch Whisky Association.
A rogue South African company has been selling "Scotch"
- "produced in Scotland and bottled in South Africa" to
local connoisseurs for years under such labels as the Original Scotsman,
Glen Dowan, Prince Regent, Old Spencer and Glenshire.
The sad fact is, Judge Ashley Binns-Ward said, that these Scotch aficionados
have really been drinking South African grape and cane spirit with
caramel added.
Judge Binns-Ward ordered the destruction of an initial 700 cases of
the fake Scotch produced by a Pretoria firm called Purple Rains. The
"whisky" had already been seized.
The decision followed an application to the court by the Edinburgh-based
Scotch Whisky Association and Guinness United Distillers.
It is the first successful crackdown against fake whisky manufacturers
who dilute sales of genuine Scotch whisky, which were worth £51
million to Scotland in 2002.
Judge Binns-Ward also banned Purple Rains from future use of labels
depicting kilted Scots, bagpipes and all use of the words Glen, Scotch,
Scotland and Scotsman.
David Williamson, the public affairs manager of the Scotch Whisky
Association, said: "We welcome this court decision. One of our
fundamental priorities is to protect the reputation of Scotch whisky
against unfair competition around the globe."
Mr Williamson said 90 per cent of Scotch production was exported in
trade worth £2 billion a year. "South Africa is very important
to us, our 11th-biggest export market, with 22 million cases heading
there each year," he said.
Scotch whisky received more legal protection abroad this week thanks
to a deal between the European Union and Canada. Scotch whisky will
be registered as a protected "geographical indication" in
Canada. That will prevent rogue traders from suggesting Canadian-style
whiskey is "Scotch whisky". In 2002 Scotch whisky exports
to Canada were worth £34 million.
Articles Courtesy of The Scotsman |
scotsman.com |
13
Sep
2003 |
Roll
out the barrels of fun
As we drive up the long, bumpy road to the house which
skirts the beach at Cadboll, we can see something moving out at sea.
We stop and watch as a dark shape tosses and sprays below us. "It’s
a dolphin!" cry the children. Our first sighting of a bottle-nosed
dolphin in the Moray Firth.
Lined with faded old whisky barrels, the road eventually leads to
Glenmorangie House. The children, who half-expect to be staying inside
a "fuming whisky factory", leap out of the car in excitement
at the sight of a giant chess set and mini-putting green on the lawn.
We have arrived late, after taking several attempts on single-track
roads off the A9 to find this remote spot, and we are nowhere near
the distillery...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
13
Sep
2003 |
Tickle
your taste buds
Deep-fried Mars bars. It’s time that cliché
about the limits of Scottish culinary imagination was banished for
good. That’s the thinking behind a succession of festivals celebrating
Scottish food and drink this autumn. Expect freshly caught seafood,
home-reared lamb, pork, beef and venison, and an abundance of fresh
fruit and vegetables on the menu as local producers aim to catch the
imaginations of food fanciers at home and abroad.
Three festivals in the next month celebrate a fine dining scene in
this country that rivals the best of European cuisines.
At the Skye and Lochalsh festival, running from Thursday until Sunday,
the emphasis - inevitably - will be on seafood, with planned events
including sample tastings, walks around the seafood factory at Lochalsh
and special menus at the famed Three Chimneys Restaurant on the shores
of Loch Dunvegan in Skye.
Next on the agenda is the Taste of Mull and Iona Festival, from 21
to 27 September, a now-annual event in the Hebridean Isles. Again,
locally caught salmon, mussels, oysters and langoustines will feature,
but there will be a chance to sample the high quality of naturally
reared lamb, pork, venison and beef too.
Additional events include cruises operating from Tobermory Bay which
offer the chance to sample Mull shortbread and whisky while watching
out for any passing porpoises and seals.
The Highland Food and Drink Festival runs from 2-5 October.
Events planned include a garlic night at Tulloch Castle, featuring
the range of the local Really Garlicky Company, and a Whisky Galore
evening, with the chance of some tasting while listening to traditional
entertainment.
Celebrity chef Ainsley Harriot will conduct a cooking demonstration
and there’ll be the chance for local young chefs to show off
their skills.
One of the first official food events in Scotland was the International
Festival of Food and Drink in St Andrews, held each year to coincide
with St Andrew’s Day celebrations in the town. Started in the
mid-1980s by local hoteliers who were keen to boost tourism at a traditionally
quiet time of year, it has become a key celebration of Scots produce
and cuisine. But you’ll have to wait until the end of November
to sample the fare at that one.
Articles Courtesy of The Scotsman |
scotsman.com |
13
Sep
2003 |
Distillery
visits
Professor John Lennon ("Selling Scotland", 9
September) draws the wrong conclusions from the falling numbers of
visitors to distilleries. Numbers have declined over the past decade
as the distillers recognise that they are not in the tourism business
but the brand promotion business.
Accordingly, they have directed their efforts to value not volume,
encouraging enthusiasts. Headline numbers have fallen, but shop sales
and brand awareness have grown as visitors with the purchasing power
to buy and consume luxury Scotch whisky brands are welcomed.
The real innovators in the category, such as Dewar’s World of
Whisky in Aberfeldy, use their centres primarily for trade education
and entertainment, bringing affluent and influential visitors from
around the world to the heartland of their brand.
And here is the challenge for Scotland: how to attract the affluent,
discerning few. VisitScotland’s strategy of targeting clear categories
deserves time, and a budget equal to the task.
IAN BUXTON
The Edinburgh Consultancy
East London Street
Edinburgh.
Articles Courtesy of The Scotsman |
scotsman.com |
12
Sep
2003 |
'Elitist'
comments do our cuisine a grave disservice
Your headline, "Most visitors feel ripped off"
(10 September), is spot on when it comes to the price of a bottle
of whisky in Scotland. I know, from answering incredulous visitors
from Thailand, the United States and the European Union, that all
feel surprised, and in some cases cheated, at the cost of a bottle
of Scotch here.
As Philip Riddle, the chief executive of VisitScotland, notes, "it’s
cheaper in Calais". No wonder, when the excise duty on a bottle
of whisky in Scotland is £5.48, yet only about £3 in France.
Bizarrely, Scotland is one of the most expensive countries anywhere
in the world to buy Scotch, which is why visitors should seek out
bottles they cannot find at home.
Perhaps it is time for some joined-up thinking, with the government
cutting the duty to boost trade and reduce the charge of rip-off Scotland.
CAMPBELL EVANS
Scotch Whisky Association
Atholl Crescent
Edinburgh.
Articles Courtesy of The Scotsman |
scotsman.com |
10
Sep
2003 |
Where
to go if the spirit moves you
I’LL have a 17.26 and . . . a kedgeree, please,"
says the polite gentleman with the neatly-trimmed white beard.
It’s not the usual type of order you’d expect to hear in
an Edinburgh bar, but then No 87 Giles Street isn’t your typical
boozer. This is the home of the Scotch Malt Whisky Society, the members-only
club for all lovers of the water of life...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
06
Sep
2003 |
It's
a dram fine place
SHOPPERS in Edinburgh are Britain’s biggest connoisseurs
of whisky, according to a survey by supermarket Somerfield.
Customers at five Somerfield stores in and around the Capital are
buying more of the supermarket’s top lines of whisky than anywhere
else in the country.
A spokesman said: "People in Edinburgh clearly have great taste
buds."
Articles Courtesy of The Scotsman |
scotsman.com |
06
Sep
2003 |
Chinese
queuing up to buy the Rolls-Royce of expensive whiskies
PLANS are being drawn up to put the world’s largest,
most expensive collection of Scotch whisky on sale to the rich and
famous - in China.
More than 10,000 bottles from "The Macallan Fine and Rare"
collection, valued at £14.5 million, are to go on the market
as the largest range of vintage single malt whiskies ever released
for sale, with ages of production spanning the years from 1926 to
1972.
Each complete set from the range costs about £140,000 and the
Chinese showcase event, planned for Shanghai in November, forms part
of a worldwide launch, which also features London, New York and other
Far East countries.
The single most expensive bottle is priced at £20,000, with
The Macallan 1956 coming in at £10,000. Miniatures are on sale
at £61 each.
The Chinese interest comes after The Macallan became the first whisky
company to open a sales office in Shanghai, serving markets from South
Korea to Australia.
Over the last five years there has been a 48 per cent rise in sales
of Scotch whisky in China, according to figures compiled by the Scotch
Whisky Association. Martin Reimann, the Asia Pacific director with
parent company Edrington, said a growing number of wealthy Chinese
who are fashion and status conscious regard The Macallan as an accessory
to show off at home.
"It’s commonly referred to as the Rolls-Royce of malts and
we believe that those qualities will win the hearts of Chinese whisky
lovers. We have received strong interest from high ranking Communist
Party officials, top-end retailers, hoteliers, restaurateurs and journalists."
The "Fine and Rare" collection would normally appeal to
wealthy American, European or Japanese whisky connoisseurs or canny
investors looking for an alternative investment strategy.
A couple of collections have already been pre-sold to two customers,
an Italian and an American - who asked if he could pay in installments
because his wife would notice one chunky bill for over £140,000
on his credit card statements.
The Chinese are well aware of the potential investment value of whisky
- The Macallan has commanded 19 out of the 23 highest prices at recent
whisky auctions. It is possible to make 16 per cent a year investment
return from a bottle.
"We have often been asked why the extraordinary range of vintage
Macallan has never been available for sale," said David Cox,
director of fine and rare whiskies. "In response to that demand
we are making available the greatest range of single malts ever seen."
Martin Green, whisky specialist with McTears Auctioneers in Glasgow,
said: "The investment value of whisky has been proven time and
time again, making it an ideal gift to purchase if someone is looking
for something a little bit special."
When The Macallan team held the launch party for the Shanghai office,
supplies of their product almost ran out. At another Chinese conference
event, partly sponsored by The Macallan and attended by Tony Blair,
many bottles of The Macallan 30-year-old (worth £300 each) were
bought up by entrepreneurial delegates.
"The bottles were intended purely for display purposes - we were
astounded and delighted when the delegates started snapping them up,"
said Reimann.
"And the buyers were all women. Obviously, they had done their
research and realised that it is a great investment as well as being
a superb dram."
Articles Courtesy of The Scotsman |
scotsman.com |
03
Sep
2003 |
Mystery
bidder misses out as bottle sells for £9,200
A MYSTERY Scottish celebrity lost out yesterday after
a rare bottle of whisky more than tripled its estimated price when
it was sold at auction as part of an effort to raise cash for a children’s
charity.
The Islay single malt - which had been expected to be knocked down
for about £3,000 - sold for £9,200 with the buyer’s
premium - going to the Bowmore Distillery, which produced it.
The unnamed personality had contacted McTear’s auction house
in Glasgow with a bid of £8,000.
Martin Green, the whisky consultant at McTear’s, said: "The
price didn’t beat any world records, but it still exceeded expectations.
"A very famous person in Scottish life had made an initial bid
in writing, and had a representative in the saleroom on the day, but
it wasn’t to be his day."
Bidders from France, Japan, Italy and Holland all vied for the bottle.
And the sale saw a fierce bidding war on the floor at McTear’s
between the mystery man and representatives from Bowmore.
The money raised will go to the distiller’s chosen charity, the
Children’s Hospice Association Scotland (CHAS), which is backed
by the actor Ewan McGregor.
CHAS hopes to raise £10 million to open its second Scottish
hospice, Robin House in Argyll and Bute, next year.
Bob Tomlinson, of CHAS, said: "It’s absolutely superb that
Bowmore have generously made this donation. We’re over the moon."
The whisky came from the Queen’s cask, which was laid down at
the distillery on the island after the sovereign visited in 1980.
All the bottles contained in it were given to Buckingham Palace, so
the Queen could auction them off for her chosen Golden Jubilee charities.
But one bottle was kept back to allow Bowmore to sell it for the charity
of its choice. Mr Green added: "It may not have raised as much
money as they may have hoped, but nevertheless this is an utterly
unique whisky.
"It is a youngish spirit and was only distilled in 1980, but
we are delighted it sold for as much as it did."
Two other specially labelled 15-year-old Bowmores were also sold off
for the charity, each raising £880.
A spokesman for Bowmore said: "We are very happy at the amount
raised."
Among the 2,000 bottles of whisky sold yesterday were six which were
salvaged from a 19th-century shipwreck off the coast of Stranraer.
The bottles, which were retrieved from the wreck of the cargo ship
Firth of Cromarty, which sank in 1898, all fetched between £250
and £300.
Bowmore had hoped the sale of its single malt might beat the top price
ever fetched for a bottle of whisky, which stands at almost £26,000.
A 62-year-old Dalmore, also a single malt, which was bottled in Alness,
Ross-shire, fetched £25,877.50 at McTear’s in December
last year.
Articles Courtesy of The Scotsman |
scotsman.com |
02
Sep
2003 |
Whisky
club enjoys taste of success
IT BEGAN when a dozen friends clubbed together to buy a cask of fine
malt whisky 20 years ago.
Now, with nearly 25,000 members worldwide, the Scotch Malt Whisky
Society (SMWS) is to open a new club in the heart of the capital.
The society will retain its headquarters in 18th century Leith commercial
buildings but will open a five-storey Georgian House in Queen Street
complete with dining rooms, a library, bar and flats to stay in, next
spring.
Richard Gordon, the managing director of the SMWS, said the reason
for the society’s success was that tasting whisky was a sociable
activity with the club run on an egalitarian basis.
"It is a very good Scottish ideal that people from all walks
of life and ages can mix and that is how we run the club," he
said.
"The only rules are that members have to be over 18, want to
join and be happy to pay the subscription. Other than that we expect
people to leave behind their titles and background when they cross
the entrance to ensure a relaxed atmosphere. That is why the Leith
rooms have flourished, but we have got to the stage when we sometimes
have to turn members away because we have no room for them so we need
to expand.
"There can be no more sociable activity than comparing notes
over different whiskies and is often how strangers who come to the
club will strike up conversation.
"For many people who live and work in Edinburgh it can be too
far to travel down to Leith and our site on Queen Street will give
members a high quality city-centre venue.
"It is a magnificent five storey Georgian house which was the
headquarters for the Institute of Chartered Accountants of Scotland
and is being restored to its former glory."
The club bottles its own whiskies direct from individual casks from
113 distilleries across Scotland to give members the chance to buy
bottles which come numbered but not named.
This is in recognition of a gentlemen’s agreement within the
industry not to mention in print which distillery is which, as producers
carefully foster their own house style which might be compromised
by single casks which can be erratic.
Tasting and comparing notes on different malts, which tend to produce
fewer than 300 bottles from each cask, has become such a global pursuit
that the society now has associated branches in America, France, Italy,
Switzerland, the Netherlands, Japan and Austria.
Mr Gordon said: "Although no-one is excluded from joining the
club, we do offer a high level of service, atmosphere and style which
is what members who appreciate high quality in whisky demand.
"When the new building opens in Spring 2004 they will have the
chance to enjoy the restaurant and members’ room as well as hire
it out for functions and have the chance to stay there in the two
top flats. The flats we rent out to members in Leith are always popular
so we are happy to be able to offer this facility in 28 Queen Street.
There are also stunning views across the Forth and we believe it will
replicate the atmosphere of our present headquarters."
The SMWS offers a range of tastings and events as well as running
a Whisky School which takes place regularly in Edinburgh and London
to enable members to develop their whisky knowledge further.
The society costs £75 to join - complete with a bottle of malt.
Membership allows access to the club’s London room - kitted out
in the style of a small, modern club and the headquarters at the Old
Wine Vaults in Leith.
Articles Courtesy of The Scotsman |
scotsman.com |
27
Aug
2003 |
Distillery
probe into black mould
A DISTILLERY in the Lothians is to launch a major investigation
into a black mould which has been blamed on the vapours given off
by maturing whisky.
Distilleries across the country have been plagued by complaints from
residents of the mysterious mould appearing on their windows and walls.
Householders have blamed the vapours from the whisky warehouses -
known as "the Angels’ share" - for the problem.
But the distillers have consistently denied the moulds have any link
with their work - and hope the new investigation will prove it.
The investigation has been commissioned by the North British Distillery
company, which wants to expand its whisky maturation operations in
West Lothian by building four new warehouses in Addiewell.
The three-year study into the "black growth phenomenon"
is due to start in October and is expected to cost tens of thousands
of pounds.
The research comes after people living close to the West Lothian distillery,
in the Muirhall area of Addie-well, complained a black mould was covering
their walls, cars and windows. Similar complaints have been received
by distilleries across Scotland. Ian Ford, company secretary at the
North British Distillery, said: "We have never accepted the link
which residents have claimed and we don’t believe a link will
be established.
"We have worked with the residents, listened to their concerns
and we are now going to carry out a study with wider companies in
the industry."
The independent investigation is being carried out in collaboration
with the National Environmental Research Council, Newcastle University
and the Whisky Research Foundation.
Campbell Evans, spokesman for the Scotch Whisky Association, said
he believed the investigation would prove the industry’s theory
that the mould was a natural phenomenon in damp areas.
He said: "What has been done so far shows that these are common
micro-organisms which are found across the country.
"You can find growth of these in farms, trees and other areas
which have damp climates, so it’s not surprising that in a climate
best suited to the slow maturation of whisky stocks that this stuff
is around."
The Addiewell distillery recently spent thousands of pounds cleaning
black growths from 11 houses in the Muirhall area, some of which are
just 100 yards from its whisky bond.
Bernard Kane, chairman of the Muirhall Residents’ Association,
said all the residents were looking for was a guarantee that the company
would repeat the exercise every three years.
He said: "There is no doubt in my mind that the black growth
is caused by the whisky bond. I have been to other whisky sites in
the country where you can see the black growth on nearby houses.
"I don’t have much faith in this investigation because you
can make a report say whatever you want it to. We just want a guarantee
our houses will be maintained."
The North British Distillery plans to transfer its storage facilities
out of Edinburgh to new, larger premises in West Lothian.
West Lothian Council demanded the company carry out a detailed study
of the mould problem when it granted it outline planning permission
for the new buildings.
Richard Hartland, the local authority’s development and building
control manager, said that if the results of the investigation revealed
that the black growth is directly associated with the whisky bond,
the company would have to give a commitment to tackling the problem.
Articles Courtesy of The Scotsman |
scotsman.com |
26
Aug
2003 |
Shake-up
at Burn Stewart
DISTILLER Burn Stewart has promoted finance director Steve Campbell
to the new post of managing director. He will take up the position
with immediate effect.
Mr Campbell will take over the day-to-day running of Burn Stewart
from chief executive Ian Bankier, who has been given a broader role
within the firm since it merged with Angostura bitters maker CL Financial
earlier this year. CL boosted its whisky portfolio in April, paying
rival distiller Edrington nearly £10m for the Bunnahabhain malt
and Black Bottle blend.
"It is often said that a good finance director is very involved
in the business. I like to think this is the case and I can complement
the skills I have learnt in market distribution and international
sales," Mr Campbell said.
Articles Courtesy of The Scotsman |
scotsman.com |
24
Aug
2003 |
Whisky
distiller director nips off
THE exodus of senior management from whisky maker Whyte
and Mackay continued last week, with the departure of director Robert
Ellis. A spokesman for the company said: "I can confirm that
Robert Ellis is leaving Whyte and Mackay as general manager, procurement.
This was entirely his own decision and he is currently working out
a notice period."
Chairman and chief executive Vivian Imerman has dispensed with the
services of most of the directors since he took over the company.
Articles Courtesy of The Scotsman |
scotsman.com |
24
Aug
2003 |
Grouse
prepares to spread its wings in India
FAMOUS Grouse manufacturer Highland Distillers is in talks with potential
distributors in India, a market with massive potential which is steadily
opening up to Scotch whisky.
It has held talks with Radico Kahitan in London and India, and has
also been approached by Triumph Distillers & Vintners which last
year bought out Diageo’s Indian whiskies.
Deepak Roy, chief executive of TDV, steered United Distillers, part
of Diageo, into the country and headed its operations for eight years,
managing Diageo brands such as Johnnie Walker and J&B.
But Famous Grouse is regarded as the fastest-growing imported Scotch
whisky in the country, which has the potential to become one of the
world’s largest markets for Scotch whisky. Roy is said to be
keen to take up distribution of the brand.
Scotch currently accounts for less than 1% of the spirits market of
70 million to 80 million cases a year, which until April 2001 was
closed to imported bottled spirits.
Following pressure from the World Trade Organisation, India eased
tax tariffs, but they remain punitive, making Scotch unaffordable
to most Indians. The last two Indian budgets have seen basic customs
duty fall from 188% to 166%, which the Scotch Whisky Association sees
as "steps in the right direction".
The industry acknowledges that growth will be slow, but the SWA sees
India as a "top international priority".
Paul Ross, the director of Highland Distillers’ emerging markets,
said that India is "intrinsic to the company’s long-term
business outlook and success" and confirmed that it is talking
to distributors.
Ross said: "In such a fast-changing environment it is imperative
that Highland Distillers continues to reassess business opportunities.
We have had tentative discussions with a number of Indian companies
about forging possible trading links to strengthen our local presence.
The process is at an early stage and any conclusion is still some
distance away."
Highland, part of Edrington group, has appointed Paramjit Singh as
general manager in India to replace Dinesh Jain, who left amid rumours
that he disagreed with the company over its strategy. Highland said
he left to pursue a new business interest and continues to help the
company.
Ian Good, the chairman and chief executive of Edrington, said several
distribution companies were being considered. He said: "We need
to have markets in place at different stages and this is about sowing
seeds for the long term."
Incoming chief executive Ian Curle said India was in the "interesting"
basket but added that China was currently "hotter" and had
significant opportunities for malt whiskies and deluxe brands.
The company is also making further inroads into South Korea, Taiwan,
Hong Kong and Japan. The South Korean market for Scotch is growing
at up to 20% a year.
Articles Courtesy of The Scotsman |
scotsman.com |
18
Aug
2003 |
Spirit
of parliament
THE supplier of malt whisky to the Scottish Parliament’s
gift shop has been appointed following blind taste tests by MSPs.
Politicians took part in the tasting after a selection process in
which several companies were asked to tender.
Leading malt whisky specialist Gordon & MacPhail was chosen after
the tests.
Articles Courtesy of The Scotsman |
scotsman.com |
11
Aug
2003 |
Blackwood
forced to extend share offer
BLACKWOOD Distillers, Scotland’s newest whisky company, has extended
its share offer after failing to raise the £1.5 million it wanted
to help build a new distillery on Shetland.
Investors will now have until the end of this month to subscribe,
by which time the firm hopes to have a decision on a grant from Highlands
and Islands Enterprise to help fund the project.
Chief executive Caroline Whitfield, who did not want to reveal how
much had been pledged by last month’s original closing date,
admitted Blackwood had not had any firm interest from institutional
investors but said it had seen strong demand from private individuals.
She said she was in talks with three individuals - two from Scotland
and one from England, about investing "significant sums"
in the venture.
Articles Courtesy of The Scotsman |
scotsman.com |
11
Aug
2003 |
WestLB
to sell Whyte and Mackay stake
VIVIAN Imerman, the 50 per cent stakeholder and chief
executive of Whyte and Mackay, was last night facing the prospect
of becoming the whisky giant’s sole investor, as West LB signalled
it did not intend to hold on to its 40 per cent share.
German-based West LB, which gained its chunk of the whisky giant when
it bankrolled its 2001 management buy-out from Jim Beams, has said
it would sell off the investment "in the medium term" along
with the rest of its principle finance unit.
Imerman, as chief shareholder, would be given pre-emptive rights,
or first call, over West LB’s stake when it becomes available.
If he chose to turn down the offer it would clear a pathway for another
investor to move in - which the South African would be keen to avoid.
Whyte and Mackay said: "Vivian Imerman has no intention of selling
the business. Should WestLB look to sell its shareholding he has expressed
an interest in acquiring these shares, depending on the conditions
attached."
West LB would not elaborate on when it may relinquish its stake, saying
only that all the investments in Saunders’ unit were up for sale.
But it is understood that the sale will not be immediately forthcoming.
A review of the entire portfolio of interests could take more than
18 months to complete.
Whyte and Mackay, formerly known as Kyndal, poured water on suggestions
that in ridding itself of its shareholding West LB would try to engineer
a bidding war for the group. The distiller produced a letter it received
last month from West LB’s Robin Saunders stating that the company
was "not for sale" and that the bank would need Imerman’s
"full agreement" to go ahead with its plans.
It said: "On 8 July we received a letter stating that ... while
WestLB may choose to dispose of its principle finance unit, the business
remains not for sale."
Imerman, the former chief executive of Del Monte, built up his stake
in the business through an intensive financial restructuring that
allowed employees to sell him shares at a 25 per cent premium to the
MBO price.
When the transaction process is complete he will own a 60 per cent
stake in the company.
The whisky distiller has been weighed down by debt since its buy-out
in October 2001. Former chief executive Brian Megson left in February,
paving the way for Imerman’s ascent and sparking the departure
of five other directors.
West LB’s investment in Whyte and Mackay is flanked by stakes
in Odeon cinemas, Pubmaster pubs and department store chain Bhs in
the unit’s portfolio. Saunders, who may yet attempt to buy out
the finance unit herself, and other executives control 10 per cent
of West LB’s 40 per cent stake.
Articles Courtesy of The Scotsman |
scotsman.com |
08
Aug
2003 |
Dewar's
suffers 10% drop
JOHN Dewar & Sons, the Perthshire-based whisky distiller owned
by Bacardi, has seen a 10 per cent drop in revenue due to a fall in
sales in Venezuela, Spain and France.
Announcing results for the year ended 31 March, 2003, the company
- which together with Bombay Sapphire Gin, was bought by Bacardi from
Diageo for more than £1.1 billion in March 1998 - suffered a
fall in sales revenue from £84.2 million to £75.7m.
Pre-tax profit also took a hit, falling more than £3m to £5.9m.
Director Ian Lochhead said the drop in profits was the result of increased
advertising and promotional spend. "Sales volume fell by 11 per
cent overall during the year, although most major markets performed
well," Lochhead said.
"The exceptions were in Venzuela, where political and economic
conditions significantly affected performance; in Spain, where destocking
led to a fall in shipments, and in France, where intense price competition
has affected sales."
The Dewar’s brands - Dewar’s White Label, the blended brand,
Dewar’s Ancestor, a 12-year-old deluxe, and five malt whiskies
- were performing particularly well in Europe and Asia, said Lochhead.
Europe was particularly hard hit, contributing £7m less in revenue
for the year, but turnover in the US, where Dewar’s White Label
claims to be the number one selling whisky, saw a slight increase
to £20m on the back of increased sales of Dewar’s Special
reserve, Deluxe 12-year-old.
Dewar’s World of Whisky, the company’s £2m visitor
attraction on the Tay in Aberfeldy which opened in 2000, continued
its success, Lochhead said - even against a background of recession
in the tourism industry, visitor numbers still increased 16 per cent
to 29,000.
Dewar’s was created in 1880’s by crofter’s son John
Dewar. It really took off when two of his ten children, John and Tommy,
later joined the business, opening its first distillery in Aberfeldy
in 1898.
Articles Courtesy of The Scotsman |
scotsman.com |
06
Aug
2003 |
Whisky
chief shares move
VIVIAN IMERMAN, the chairman and chief executive of distiller
Whyte and Mackay - formerly known as Kyndal - has won the right to
buy the ten per cent of the company’s shares which are currently
held by employees.
Mr Imeran said he now planned to make a formal offer to buy the shares,
which will give his consortium a controlling 60 per cent stake in
the distiller. German investment bank WestLB currently holds a 40
per cent share in the business.
Articles Courtesy of The Scotsman |
scotsman.com |
05
Aug
2003 |
Distiller
toasts Festival premiere
WHISKY distiller Glenfiddich is to provide backing for the premiere
of a new Scottish movie at the Edinburgh International Film Festival.
The company’s sponsorship of Afterlife, which stars Kevin McKidd
of Trainspotting and Small Faces fame, forms part of an ambitious
bid by the distiller to entice younger drinkers to malt whisky. The
film tells the story of a young journalist set to get the breakthrough
of his career when his dying mother asks him to take on the care of
his disabled sister.
George Thomson, managing director of Scottish sales at Glenfiddich
owner William Grant & Sons, said: "This sponsorship was a
good fit for us as we are keen to support up-and-coming Scottish talent.
It is also likely to appeal to the stylish younger malt drinkers we
are targeting."
Articles Courtesy of The Scotsman |
scotsman.com |
01
Aug
2003 |
Confusion
as Kyndal axes 200 jobs
TROUBLED whisky group Kyndal ditched its obscure corporate
moniker yesterday as it confirmed that 200 Scottish jobs were set
to be axed through a shake-up of its bottling operations.
The Glasgow-based drinks colossus has adopted the name of its most
famous brand, Whyte and Mackay - a move that left industry observers
slightly baffled.
While the swingeing job cuts had been anticipated in The Scotsman,
the company has left its staff in the dark by refusing to reveal which
of its two bottling operations - at Grangemouth and Leith - will be
closed.
Chairman and chief executive Vivian Imerman dismissed the job losses
as "a fact of life". He added: "The redundancies will
predominantly come from the bottling hall, but will also include a
small number of general administrative jobs.
"As of yet, we have not decided which site will close, it oscillates
between the two. It is a hugely complicated exercise and a decision
will be made by the end of September."
On the name change, he added: "I am a very simple person, I go
back to basics and do not try and concentrate on the negative. Whyte
and Mackay, were two Scottish businessmen who were highly focused
on quality and customer needs. That is what we aim to be."
Kyndal has been weighed down with debt since its creation through
a £200 million management buy-out in October 2001. In February,
chief executive Brian Megson quit, launching a management exodus that
has seen all five of the founding directors leave.
The shake-up will lead to a cash injection of £70m, generated
partly through the sale of non-core assets. More than £50m will
be spent on marketing the four core brands - Whyte and Mackay, Isle
of Jura, Dalmore and Vladivar vodka, as well as building the own-label
whisky business. The remaining £20m will be spent on the restructuring.
But analysts remained unimpressed. One said: "Whyte and Mackay
is not the most dynamic company and I suspect it will remain much
the company it was but spending more on brands. It will be an uphill
struggle to turn it round. They will not turn the own-label market
round overnight and their four brands, although very good, are in
a fiercely competitive market."
An industry insider added: "We are no clearer of his plans than
we were yesterday. Either he [Imerman] doesn’t know what he is
doing or he has made his mind up and doesn’t want to reveal which
one will be closed. But that is an odd decision, as you can imagine
what staff morale will be like from now until the end of September."
Imerman confirmed his intention to buy-out the management’s shares,
giving him a 60 per cent stake in the firm. An extraordinary general
meeting to approve proposals that would make it easier for a large
shareholder to buy out the company’s smaller investors has been
called for 5 August.
Articles Courtesy of The Scotsman |
scotsman.com |
29
Jul
2003 |
Price
cut raises whisky drinkers' spirits
WHISKY drinkers were raising a glass last night after new
figures revealed the price of a dram has fallen to its lowest level
for two years.
Despite the growth in premium malt sales and the popularity of so-called
icon brands - Chivas Regal 50-year-old enjoys healthy sales at £8,888
a bottle - for the not so discerning drinker, whisky is less expensive
in real terms than for many years...
Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
27
Jul
2003 |
Grant
hunting creative talent
WILLIAM Grant & Sons is inviting pitches for its £2.5m
Glenfiddich whisky creative account just 19 months after appointing
McCann-Erickson to the job.
McCann held the account for 27 years until 1999, when it was dropped,
but the firm was re-appointed in December 2001.
The move follows the departure of former managing director Patrick
Thomas, who left in April following a disagreement with the Grant
family.
Articles Courtesy of The Scotsman |
scotsman.com |
25
Jul
2003 |
Trophies
and medals raise spirits at Chivas
CHIVAS Brothers, the Scotch whisky business owned by Pernod
Ricard, has won two trophies and three gold medals at this year’s
International Wine & Spirit Competition (IWSC).
The firm has also been short-listed for the distiller of the year
award, which will be announced at a presentation and banquet in the
City of London on October 28.
The trophy for best blended Scotch whisky was awarded to Chivas’
Royal Salute 21 Year Old for the second year running.
Aberlour 10 Year Old also clinched a trophy for best single malt under
12 years old and won particular praise from the judges for its "guts
and glamour".
The gold medals were presented to Chivas for its trio of single malts
- Longmorn 15 Year Old, the Glenlivet 12 Year Old French Oak Finish
and the Glenlivet 18 Year Old.
The Glenlivet 18 Year Old achieved the distinction of winning gold
medals at both the IWSC and the International Spirits Challenge for
two successive years.
Martin Riley, Chivas Brothers’ international marketing director,
said: "We are honoured to have achieved such a high level of
success for the second year in a row at one of the world’s most
prestigious awards competition."
Established 25 years ago, the IWSC is designed to promote the quality
and excellence of the world’s best wines, spirits and liqueurs.
Last year, Pernod Ricard sold more than 2.8 million cases of the 12-year-old
Chivas Regal malt worldwide, making it the number two spirit in Duty
Free and the number one premium scotch in the eurozone.
The group recently unveiled a £28 million global marketing push
to make Chivas Regal the world’s leading premium whisky brand.
Articles Courtesy of The Scotsman |
scotsman.com |
23
Jul
2003 |
Edrington
takes first office shot at Far East
EDRINGTON Group, the Scottish whisky group, has opened
an office in China - the first Scotch maker to do so.
The company, known for its Macallan, Cutty Sark and Famous Grouse
brands, opened the office in Shanghai in a bid to boost sales in the
Chinese and Asian markets.
Demand for the drink has soared in the Far East, with the clamour
for malts up by 23 per cent and 26 per cent respectively in the two
markets over the past five years.
Staffed by a team of five, the Shanghai office will be the headquarters
for markets including Greater China, Taiwan, Hong Kong, Korea and
Japan and stretching as far as Australia and New Zealand. The office
will play the lead role in a multi-million pound investment in Asia
by Edrington to develop its key brands, including Highland Park.
Martin Reimann, Edrington’s Asia Pacific regional director, said:
"Shanghai was selected as it is the commercial heart of China,
itself the fastest growing economy in the world. It also gives us
invaluable proximity to other local markets.
"It has exciting potential, there is a huge appetite for high
quality whisky brands and we are well placed to satisfy demand."
Scotland’s Enterprise Minister Jim Wallace welcomed the move.
He said: "Our Global Connections strategy encourages companies
to embrace globalisation and integrate the Scottish economy into the
world economy.
"This is an excellent example of a leading Scottish company trailblazing
new business opportunities and taking advantage of new markets."
Earlier this month, Glasgow-based Edrington posted a 24.6 per cent
increase in pre-tax profits to a record £61.7 million. Turnover
was up 14.9 per cent to £230.7m for the year ended 31 March,
from £200.8m the year before.
In September, the distiller signed a contract with Hite, South Korea’s
leading drinks distribution company, to promote a premium malt exclusively
for that market.
Articles Courtesy of The Scotsman |
scotsman.com |
23
Jul
2003 |
Macallan
distillery opens Shanghai office
THE Macallan distillery on Speyside has become the first
Scotch whisky manufacturer to open an office in China as part of a
major drive to boost sales in the Far East and the Pacific.
The distillery’s Shanghai office was officially opened yesterday,
to coincide with the Euromoney Entrepreneurs conference in the city,
at which Prime Minister Tony Blair was a key speaker.
Sales of Scottish malts have already increased by 25 per cent over
the past five years in the Chinese and Asian markets.
The Macallan, owned by whisky giant Edrington, is planning to use
its new base in the Far East to boost demand from a new generation
of Chinese consumers.
Staffed by a team of five, the Shanghai office will be the headquarters
for markets stretching from China, Taiwan, Hong Kong, Korea and Japan
to Australia and New Zealand.
The base will also be used to promote other whiskies produced by the
parent company, the Edrington Group, whose other brands include the
Famous Grouse and Highland Park.
Martin Reimann, Edrington’s regional director for the Asia Pacific
market, said:
"Having a regional base in Shanghai is pivotal to the group’s
Asian strategy and customer relationships. Shanghai was selected as
it is the commercial heart of China, itself the fastest growing economy
in the world. It also gives us invaluable proximity to other local
markets.
"It has exciting potential. There is a huge appetite for high
quality whisky brands and we are well-placed to satisfy demand."
Reimann continued: "As malt whisky is discovered and explored
in China, a new generation of consumers is emerging.
"They are hungry for knowledge, enjoy the experience of finding
great quality brands and are becoming increasingly sophisticated in
their choice of drink. We are optimistic about the future as we see
this trend continuing."
Articles Courtesy of The Scotsman |
scotsman.com |
20
Jul
2003 |
£1.2bn
of alcohol 'spirited away' in seasonally adjusted figures
IT LOOKS like statistical manoeuvring worthy of Orwell.
‘Seasonally adjusted’ export figures just published by the
Scottish Executive have spirited away £1.21bn of drink.
The original figure of £2.5bn of drinks dispatched in 1997 has
been revised without explanation, causing frustrated forecasters who
monitor industry trends to rewrite their own records. Now they are
asking why the adjustment has been made and why it has taken six years
to downgrade the figure to £1.294bn.
The figures have been published every quarter and this is the first
time in 24 quarters that the change has been made.
The revision has also meant downgrading the annual export total for
1997 from £18.953bn to £17.744bn, causing some angst among
the country’s number-crunchers.
Peter Hughes, chief executive of Scottish Engineering, the trade organisation,
said he has inquired into the 1997 figure several times without receiving
a reply.
So he was astonished when the revised figures were published earlier
this month. He said the figure will distort his presentations on Scottish
manufactured goods.
Hughes, who has again written to the Executive asking for an answer,
said the original figure was so far out of line with the average of
£1.6bn for the years 1995 to 2002 that it should have prompted
alarm bells to ring.
"A change of £1.21bn can hardly be described as trivial,"
he said.
A further curiosity yet to be explained is that annual exports of
Scotch Whisky have been above £2bn for more than 10 years -
£700m above the Executive’s total drinks tally and £500m
above the total for drink, food and tobacco.
David Williamson, public affairs manager at the Scotch Whisky Association,
said: "I can’t explain it. We will have to see the Executive’s
figures and compare data."
A Scottish Executive spokesman said: "The manufactured exports
series is primarily intended to provide an up-to-date estimate of
quarterly and annual movements, but we also recognise the need for
robust longer-term data. The revision to the figure for 1997 is a
result of a rolling programme of methodological and data improvements
intended to help bring this about."
A brief investigation was carried out at the time of the initial inquiry
from Peter Hughes. This confirmed that data had been "recorded
correctly and there were no errors in methodology", he said.
"However, we recognised that more work was required. Following
a more detailed investigation, but added: "We have concluded
that the 1997 Q2-Q4 figures for drink are significantly ‘off-trend’
and have adjusted them in line with other evidence from the industry
during that period."
Articles Courtesy of The Scotsman |
scotsman.com |
20
Jul
2003 |
Whisky
fans drink to Glenturret's rare vintage
SCOTLAND’S oldest distillery, Glenturret, will this
week unveil a special limited edition bottling which is attracting
worldwide interest from Scotch whisky connoisseurs.
The new bottling for the 10-year-old single malt has been launched
with two vintage limited editions - 1972 and 1980 cask strength. They
will be the first limited edition bottlings released by the distillery
for a decade and are signed by distillery manager Neil Cameron and
stillman Hugh Malloy.
Glenturret, based at Crieff and founded in 1775, is one of five distilleries
to receive an £8m makeover from parent company Edrington.
The group has spent more than £5m on productivity and efficiency
improvements at its five distilleries and, in the past two years,
ploughed more than£3m into improving its distillery visitor
centres.
The Bafta-winning Famous Grouse Experience at Glenturret opened last
year and the investment by the group is paying dividends, according
to Derek Brown, brands heritage director.
"Since opening in June 2002 visitor numbers have risen by 22%
and we are delighted with the response from the domestic market, which
has seen us very busy at weekends during the start of the year, traditionally
a quiet time," Brown said.
"Over 25% of our visitors now come from Scotland and a younger,
more family-orientated profile is emerging, which is great news."
Distillery visits are proving more and more attractive to British
tourists choosing short domestic breaks amid anxiety about international
unrest and Sars. And despite tourism industry fears of a downturn
in the number of overseas holidaymakers visiting Scotland, there are
indications that this season may not be hit as hard as some are predicting.
Tourist numbers at Edrington’s distilleries in the first three
months of this year were encouraging. Another rewarding trend emerging,
said Brown, is the number - about 15% - who make repeat visits.
The introduction of a range of special events and theme days has contributed
to a renewed interest in what distilleries have to offer. The group
is also focusing on widening the service offered to visitors, including
the range of languages which tour guides can offer. At The Macallan
distillery, this includes sign language tours for visitors with impaired
hearing.
Articles Courtesy of The Scotsman |
scotsman.com |
18
Jul
2003 |
Blackwood
lands US deal to raise spirits in Shetland
BLACKWOOD Distillers, which is planning to build Shetland’s first
whisky distillery, has signed a major deal to supply more than 45,000
cases of its new range of white spirits to the US.
The distiller, which last month published a share prospectus in an
attempt to raise £1.5 million to finance the building of the
distillery, said shipments of its newly- launched "Shetland"
range, including, Nordic gin, vodka, whisky cream liqueur and vanilla
vodka cream liqueur, will begin in mid-September.
The range, which uses ingredients sourced from the Shetland Isles,
is being produced in the west of Scotland for Blackwood by an unnamed
company. Chief executive Caroline Whitfield said: "It is an unusual
step to go for the export market before establishing a domestic presence,
but we have chosen that strategy because Shetland exists on exports."
The deal in the US is expected to worth more than £5m. Whitfield
said: "Since we launched the range at the international drinks
trade at VinExpo2003 in Bordeaux in June, we have signed distribution
deals in Canada, the UK, Malaysia and now the US."
The firm also has interest from 16 other countries. Blackwood aims
to start building next year on what will be Britain’s most northerly
distillery, at a cost of £5m, based at Catfirth near Lerwick.
The plans are to produce 40,000 cases a year of premium single malt
whisky. With the whisky market worth about £3 billion a year
in the UK, and with single malts growing at 11 per cent per annum,
Blackwood said she is aiming for a 1 per cent global market share
by 2008.
Working capital in the early years will be assisted by the parallel
development of the Shetland range of spirits.
Whitefield, who previously worked with Diageo and Unilever, has assembled
an experienced team. Joining her on the board is former Seagram’s
chairman James Espey and Dr Arthur Davies, who inspired the building
of the Gwalia distillery in the Brecon Beacons in 1999. Tom Jago,
the marketing mastermind behind Baileys and Johnny Walker Blue, has
been brought in to assist the launch of the Shetland range.
Articles Courtesy of The Scotsman |
scotsman.com |
12
Jul
2003 |
Kyndal
restructuring will see plant closures
A SECRETIVE review of Kyndal, the whisky maker behind Whyte
& Mackay and Isle of Jura single malt, will result in the closure
of at least one of its two bottling plants in Grangemouth and Leith,
The Scotsman can reveal.
Vivian Imerman, executive chairman of the troubled Glasgow firm, commissioned
a radical restructuring plan earlier this year from consultants Bain
& Co. Details of the review have been kept under tight wraps,
but yesterday Imerman disclosed there will be far-reaching implications
for the group’s 700-strong Scottish workforce.
Kyndal operates three major sites in Scotland, including the two bottling
plants and its headquarters in Glasgow. Asked if any of them will
be closed under the review, Imerman told: The Scotsman "It will
definitely involve the disappearance of one of them."
Asked if two sites could be shut, Imerman said: "Very possibly.
What I actually don’t know is which [will close]."
Imerman expects Bain & Co to hand over its full set of recommendations
by the end of next week. He promised to make the findings public "very
shortly thereafter".
The radical overhaul is vital to bring Kyndal up to "international
standards and disciplines which the company hasn’t had in the
past," he said.
"It involves the strategy around branding, the value forming
areas, technology, manufacturing processes, and, in general, running
the business. It’s a bottom to top exercise."
Separately, Kyndal’s finance director, Ron MacEachran, walked
away from the company that he helped buy from Jim Bean Brands in 2000.
Kyndal said MacEachran, one of five members of Kyndal’s MBO team,
will depart with immediate effect, although he will retain a consultancy
role for the next year.
He is the sixth executive to resign or be sacked by Kyndal in the
past six months, beginning with chief executive Brian Megson in February.
Imerman downplayed the loss of MacEachran - whose departure he said
was "amicable" - as he waved a letter from Kyndal’s
majority shareholder WestLB. Robin Saunders, the controversial financier
who backed Kyndal’s MBO in 2001, wrote to Imerman assuring him
that WestLB’s 40 per cent stake in the company - which she bought
for just £1,000 - is not for sale.
Imerman and his brother-in-law, Iranian tycoon Robert Tchenguiz, control
a 35 per cent stake in Kyndal, with staff owning the remaining quarter
of the shares.
Imerman said: "This letter is great news, because speculation
about the uncertainty of [WestLB’s] stake has been a worry to
our suppliers and our staff and company. So we’re very glad the
situation has been cleared up".
Explaining the unexpected departure of Kyndal’s finance chief,
Imerman said: "Change always leads to unrest. Some people will
stay with us, others will not ... it is human nature."
MacEachran’s exit leaves the Kyndal board with six non-executive
directors, plus Imerman. It is in the process of recruiting a commercial
director. About 20 sales staff are also being hired.
Imerman, who made his name as the man behind Del Monte in the 1990s,
confirmed he still hopes to buy the 25 per cent of Kyndal’s shares
owned by staff. He said: "I want to have a uniform profit incentive
across the group."
Articles Courtesy of The Scotsman |
scotsman.com |
10
Jul
2003 |
Big
names keep spirits up for Diageo in face of sales slump
DIAGEO, the world’s biggest spirits company, has seen a strong
performance from its premium brands help offset an overall slump in
second half sales.
The firm cited the outbreak of the flu-like Sars virus and the Iraq
war as factors in the slide in the second half.
In an end-of-year trading update ahead of its results for the year
to June 30, the company - formed from the merger of drinks group Guinness
and food and spirits firm Grand Metropolitan in 1997 - said trading
conditions had remained tough during the last six months of the year.
And while it added that it did not expect net sales to be higher than
the four per cent seen in the first half, it forecast that its organic
operating profit would be "marginally better" than the six
per cent recorded in the first half.
David Liston, a fund manager at Gerrard, said: "With all that
was going on in the second half, I’d have thought it could have
been worse.
"The new year will be less challenging than the last, but maybe
not much."
The addition of Seagram group brands such as Captain Morgan and Crown
Royal whisky will help support earnings, analysts said.
Chief executive Paul Walsh said: "All consumer goods companies
have faced an environment of declining consumer confidence and significant
global events in the year.
"Despite these circumstances, Diageo will deliver consistent
performance in top and bottom line organic growth, continued growth
in priority brands and improved share."
The company said that volumes of its eight "global priority brands'"
such as Johnnie Walker Black Label Scotch whisky and Baileys liqueur
improved in the second half, led by growth of Guinness stout and Smirnoff
vodka.
But it did not provide any breakdown on the brands. However, it did
say that the eight brands accounted for about 57 per cent of the group’s
sales.
In the six months to December 31, London-based Diageo saw underlying
operating profits remain broadly unchanged at £1.24 billion.
Consumer goods firms are struggling as shoppers hold on to their cash
amid the global economic slowdown.
European drinks groups Heineken and Interbrew and consumer products
giant Unilever have all highlighted tough trading conditions in recent
weeks.
Diageo indicated that demand for ready-to-drink spirits such as Smirnoff
Ice, which have been hit by higher taxes introduced last year, was
coming off the boil after last year’s explosive growth as new
competitors entered the market and governments hiked excise duties.
It predicted that Smirnoff Ice sales were set to show a fall of about
three per cent over the full year.
Diageo, which has sold food groups Pillsbury and Burger King to focus
on its spirits division, said it expected to take a charge of £95
million to operating profits in the year to end-June 2004, due to
its £1.4bn pension deficit.
Analysts said this was in line with their expectations..
Articles Courtesy of The Scotsman |
scotsman.com |
09
Jul
2003 |
Whisky
distiller aims high
WHISKY distiller Glenfiddich is to sponsor this weekend’s
Centenary of Flight Air Show in East Lothian as part of a marketing
drive behind its new Caoran Reserve malt.
The whisky has been developed to recreate the flavour of whisky distilled
in the 1930s and 40s.
The air show, which marks the 100th anniversary of the first flight,
is expected to attract a crowd of more than 15,000 to East Fortune
and will feature aeronautical displays by 34 planes, with a further
50 aircraft to view on the ground.
Glenfiddich, owned by William Grant & Sons, is the world’s
best-selling malt whisky, with more than three million regular UK
customers.
Spokeswoman Elizabeth Lafferty said: "The Museum of Flight air
show is growing in stature and this year is bidding to become Scotland’s
premier aeronautical event.
"There is an incredible diversity of aircraft scheduled to participate
in the flight programme including a 1930s Tiger Moth which has been
renamed Caoran - The Independent Spirit for the day."
Articles Courtesy of The Scotsman |
scotsman.com |
06
Jul
2003 |
Plenty
of bottle for hard decisions
IF THERE is something of a mercenary about Vivian Imerman, it is probably
summed up in a comment he made recently on his approach to the way
he conducts business. The chief executive and chairman of Scotch whisky
group Kyndal once remarked: "I’m not in business to be popular,
I’m in business to be effective. You can’t bank popularity,
you can only bank cashflow... Click
here for full story
Articles Courtesy of The Scotsman |
scotsman.com |
06
Jul
2003 |
Diageo
aims to cut £50m transport bill in half
WHISKY giant Diageo wants to halve its £50m Scottish
transport bill in a move that heralds a shake-up in the drinks distribution
sector.
The group behind Bell’s and Johnnie Walker whiskies as well as
Gordon’s Gin is considering a number of radical new schemes including
support for a budget air freight service and a new deep sea port in
the Orkneys.
The company has commissioned Edinburgh’s Napier University to
look at ways of stripping out distribution costs.
It is not known where the cuts will fall, but Diageo’s roster
of transport companies includes Renfrewshire-based Malcolm Group and
English, Scottish & Welsh Railways.
Allan Burns, joint executive director of Diageo’s Scottish arm,
said: "Right now my focus is on the route to market. It is almost
as expensive to hold, move and warehouse things as to produce them.
The question is - how do we get a better infrastructure out of Scotland?"
Diageo plans to cut its transport costs by 5-10% a year until it achieves
a 50% reduction.
Burns said: "Our transport costs are £50m per year from
Scotland. Total distribution costs from Scotland are £250m,
which is where you start to get into significant sums."
The director said he hoped to have a more detailed cost-cutting plan
by the end of the year. At the moment 65% of Diageo’s Scottish-produced
drink is transported by sea, 30% by rail and 5% by road.
While some of its transport agents could lose out in the shake-up,
others may benefit if contracts are merged. Burns said cutting costs
would allow Diageo’s Scottish operations such as bottling plants
to fight off competition from abroad.
Although Scotch whisky has to be made and matured in Scotland, it
can be bottled elsewhere.
One idea developed by Diageo and Napier is for a low-cost freight
airline - a cargo version of the budget carriers.
Transporting whisky by plane would dramatically cut the time it takes
to get goods to market but air freight is still expensive.
Diageo is also keen to support Scotland’s first deep sea port,
which looks set to be sited in the Orkney Isles.
A local deep sea port would cut out the need to transport whisky and
gin to ports such as Felixstowe in England or Rotterdam in the Netherlands.
Diageo exports 40,000 containers of drink every year.
Articles Courtesy of The Scotsman |
scotsman.com |
03
Jul
2003 |
A
dram good set of results
FAMOUS Grouse producer Edrington has reported a 24.6 per cent surge
in pre-tax profits to a record £61.7 million.
Turnover at the distiller, which also makes the Macallan malt, rose
14.9 per cent to £230.7m for the year.
Chairman and chief executive Ian Good said the group had enjoyed strong
sales growth across all its brands, including Cutty Sark and Highland
Park. Mr Good is also chairman of the Scotch Whisky Association.
Articles Courtesy of The Scotsman |
scotsman.com |
02
Jul
2003 |
Drams
ahoy as Ark Royal drops in
AN unexpected guest turning up on your doorstep could be
a problem, especially if it happened to be a 20,000-tonne aircraft
carrier.
But the Ardbeg Distillery on Islay was more than happy to welcome
the Ark Royal.
The Ileach, the local paper, had reported during the war in Iraq that
the Ark Royal did not have one single bottle of malt on board out
in the Gulf. So Jackie Thomson and Emma McGeachie at the Old Kiln
Café got to work and one was soon on its way.
Back in Blighty, the Ark Royal had a three-week refit at Portsmouth
before heading up to Greenock. With a day to spare last week, Captain
Allan Massey decided to drop in on Ardbeg and say thank you. So he
parked his ship, or rather moored his vessel, a mile off Lagavulin
Bay and drew lots for crew members to go ashore.
Stuart Thomson, the manager, gave them a tour of the distillery and
they returned the compliment, inviting ten distillery staff on board
for dinner and more drinks. Anchors aweigh. And there’s a promise
that the Ark Royal will pop back in the next time she is in the neighbourhood.
Articles Courtesy of The Scotsman |
scotsman.com |
02
Jul
2003 |
Kyndal
chief steps down
KYNDAL, the whisky distiller, has confirmed sales director Iain Gilchrist
is to stand down in September, making him the fifth senior director
to leave this year.
Mr Gilchrist was part of the five-strong team that led the £208
million management buyout of Kyndal from Jim Beam Brands in 2001.
Since the record-breaking MBO, chief executive Brian Megson, operations
director Ian Palmer, human resources director Alan Mackie and Douglas
Reid, head of logistics, have left the group.
A spokesman for Kyndal, which makes Whyte & Mackay, Vladivar vodka
and Glayva liqueur, said: "Iain Gilchrist has intimated his wish
to work with his wife in developing her business.
"He will remain in his present role until September and beyond
this he will continue to have a very important part-time role."
Articles Courtesy of The Scotsman |
scotsman.com |
01
Jul
2003 |
Early
end to tariffs gives Scotch a lift
THE Scotch whisky industry will receive a major boost today
as eight Eastern European countries lift import tariffs on the national
drink.
The Scotch Whisky Association (SWA) said the countries - the Czech
Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Slovakia and
Slovenia - are lifting their tariffs ten months early as part of preparations
for joining the European Union.
Under EU rules, neither tariffs nor quotas can apply to goods being
shipped within the single market.
Tim Jackson, director of International Affairs at the SWA, said negotiations
started back in 1998 to ensure that tariffs are eliminated in line
with single market rules. "Today we can see our efforts beginning
to pay dividends," he said.
"Tariff elimination, ranging from 5 per cent in the Czech Republic
to 40.8 per cent in Hungary, alongside the adoption of EU rules ending
discriminatory taxation and protecting the definition of whisky, will
significantly improve market access for Scotch whisky in Central and
Eastern Europe," he added.
Last year, Eastern Europe was worth £21 million in Scotch sales
with the eight countries together purchasing more than 500,000 cases.
Of the ten countries granted entry to the European Union in December
2002, only Poland and Cyprus have now refused to lift their tariffs
early.
Jackson added: "Poland is stalling as it has a large domestic
vodka market and it wants to protect that, but make no mistake they
will have to remove them in 2004."
The news comes at a crucial time for the Scotch whisky industry which
is being hit by a downturn in global markets. Recent figures published
by the SWA reveal that exports in blended whisky fell last year by
6.9 per cent to 943.4 million bottles.
Alan Gray, whisky analyst at stockbrokers Sutherlands, said that at
the moment Eastern Europe is not a significant market compared with
South America or Western Europe - but given time it could increase,
maybe by as much as three-fold.
Gray said that as part of the old eastern bloc, sales of Scotch whisky
in most of those countries had been restricted, and the lifting of
tariffs will allow Scottish firms to gain a foothold: "This is
good news for the industry. These markets all have potential as they
have a heritage of spirits and whisky drinking."
Distillers will hope to repeat the success experienced in Greece.
Five years after joining the European Community in 1981, sales of
scotch whisky had risen by 450 per cent to £19m.
Now the market there is worth more than £92m a year and is the
seventh-largest export market worldwide.
Leonard Russell, managing director of Glengoyne distillery, which
has a foothold in Eastern Europe with the King Robert blend, said
he was excited about the possibilities in the market.
He said: "We sell 1,500 cases a year of King Robert, a blended
whisky, to Estonia on the back of 400,000 cases worldwide. Evaluating
the broad scope of counties I would say the Czech Republic looks like
the most significant in terms of growth."
Articles Courtesy of The Scotsman |
scotsman.com |
30
Jun
2003 |
More
staff to go as Kyndal regroups its finances
MORE staff at whisky group Kyndal will be axed in the coming months
as the firm, which is labouring under more than £200 million
of debt, completes its restructuring exercise.
For the last two months, City consultant Bain & Company has been
undertaking a strategic review to determine how the firm can keep
its cost base low and achieve future growth. This has already resulted
in the axing of humans resources director Allan Mackie and operations
director Ian Palmer.
But it has emerged that more staff will be forced to go as chief executive
and chairman Vivian Imerman was reported to have admitted the possibility
of further job cuts.
An announcement is due in mid-July, but industry sources have said
that Kyndal’s bottling plants in Grangemouth and Leith could
be hardest hit by the review. Grangemouth is thought to employ about
60 people while there are 250 at the bigger Edinburgh facility.
Yesterday Imerman, who owns 35 per cent of the firm, would not be
drawn on job-cut speculation, but issued a statement saying: "Today’s
spirits market is highly competitive and we need to move ahead with
the times to keep our cost base low and achieve future growth.
"Over the past couple of months we have been undertaking a strategic
review of our operations together with Bain & Co.
"The aim of this review was to look at changing pressures in
the industry, see how our structure adapts accordingly and ensure
that we manage the business responsibly. There is inevitably, and
regrettably, some fall-out that comes from reviews such as these."
The Whyte & Mackay and Isle of Jura whisky group, which also owns
Vladivar vodka and Glayva liqueur, may be forced to off-load one of
its own-label brands if the report recommends concentrating on the
major brands.
Yesterday, Imerman said: "I am not going to pre-empt Bain’s
findings. However, I can confirm that Kyndal pulling out of own-label
is not on the cards.
"Everyone is well aware of the pricing pressures in own-label,
but it is still a valuable part of our company and one which we will
continue to develop."
Last week it emerged that Imerman offered to buy the equity stake
held by Kyndal’s staff for £5 per share - a 20 per cent
premium on the management buy out price of £4 per share. In
doing so he could take his personal equity stake to 60 per cent. Currently
his stake is worth around £10m.
Earlier this month Kyndal reported operating profits of more than
£20m on turnover of £157m in the 14 months to the end
of last September.
But interest and other charges on its debt pile slashed the pre-tax
figure to just under £600,000.
Articles Courtesy of The Scotsman |
scotsman.com |
29
Jun
2003 |
Whisky
Post
Distiller Glenmorangie has appointed Peter Jensen, 52,
formerly president of worldwide supply operations at SmithKline Beecham,
as a non-executive director. Mr Jensen has wide experience with leading
consumer brand organisations in the UK and internationally. In previous
posts he was chairman of SmithKline Beecham Consumer Healthcare-Europe
and he has held divisional directorship and senior marketing positions
with Beechams and Sterling Drug.
Article Courtesy of The Sunday Times |
timesonline.co.uk |
29
Jun
2003 |
Whisky
sector braced for shake-up
THE whisky sector is bracing itself for the outcome of
Kyndal’s three-month review that could have implications for
the own-brand business.
Kyndal is the biggest supplier to the supermarkets, and for years
the own-brand sector has grappled with heavy discounting that has
eroded margins.
Bain & Co, the consultancy that was brought in to advise Guinness
during the Bell’s and Distillers takeovers in the 1980s, is expected
to offer a crucial turning point for Kyndal when it reports its findings
in the middle of July.
If it recommends building the brands, it could spell a big upheaval
in the own-brand sector and possibly the rationalisation of Kyndal’s
bottling plants. A spokeswoman admitted last week: "There will
be some internal restructuring."
One industry source said Vivian Imerman, the South African businessman
who has put himself in charge of Kyndal, almost certainly knows what
the report will tell him, and in an interview with Scotland on Sunday
today he says he plans brand-building and hints at further cutbacks.
"I don’t think there is much that Bain can tell him that
he doesn’t already know," said the source. "He already
seems to be going down the brands route. It might lead to acquisitions.
But where that will leave the supermarket business is unclear."
Offloading an own-label business which it built up with the long and
acrimonious acquisition of Invergordon in 1994 would be difficult
in a market that has excess capacity. Furthermore, industry observers
believe Imerman and his backers at German finance house WestLB overestimated
the value of the Kyndal brands.
"Whyte & Mackay is a perfectly respectable brand but it is
not a leader and doesn’t sell much outside the UK. I don’t
think Imerman and his backers fully appreciated what they were getting
into.
"Everything he is doing suggests he sees it as a brands business,
but it is not where its strengths lie," said one source. A more
welcome move would be for Kyndal to hold on to its supermarket business
and assist in raising prices, he said.
Prices of own-label whisky have barely moved from where they were
15 years ago, but there is little optimism in the industry that the
impasse over discounting is likely to end. The problem is buyers who
will switch to other suppliers.
Some say Imerman might find difficulty wrenching the company away
from this market as the acquisition of Invergordon immediately turned
the company into ‘an own-label business with brands attached’.
Should the own-label business be the victim of the shake-up, it could
put a question mark over the bottling plants at Grangemouth and Edinburgh.
Only one would be expected to survive if the company goes down the
brands route.
Grangemouth is thought to employ about 60 people while there are 250
at the bigger Edinburgh facility.
Imerman has hinted at acquisitions, another indication of his preferred
options in building the brand side of the company, but at the time
of the management buyout in October 2001, industry observers felt
this might prove difficult for a company not associated with brand
leaders.
The long shadow of Invergordon had returned to haunt the company,
said one source. When Whyte & Mackay, then owned by Gallaher,
acquired Invergordon at the second attempt, it sent in advisers. But
as one source said yesterday: "They must have known everything
they needed to know by then. I think Vivian Imerman is doing the same
thing. He must have an idea of what needs to be done."
The shake-up at senior level has already begun. Brian Megson, the
chief executive, left abruptly earlier this year and has been followed
by a number of key industry stalwarts, including whisky sector veteran
Ian Palmer. Others could follow.
Article Courtesy of The Scotsman |
scotsman.com |
29
Jun
2003 |
Record
results for Edrington
EDRINGTON Group, owner of the Famous Grouse whisky, will post record
results this week but warn of challenging times ahead as global economic
uncertainties take their toll.
The company, which last year posted a pre-tax profit of £49.5m
on turnover of £200.8m, will report ‘large single digit’
growth for its four main brands - Famous Grouse, Cutty Sark, The Macallan
and Highland Park.
Industry analysts said Edrington would announce particularly strong
growth in Mediterranean and Asian markets, with its single malts performing
above expectations. It is understood the company will announce that
Famous Grouse has consolidated its UK position in a competitive market
for blended whiskies.
Articles Courtesy of The Scotsman |
scotsman.com |
28
Jun
2003 |
Whisky
bars eye-up title
A Number of North hotels have reached the finals of The Glenlivet
Bar of the Year award. The Hunting Lodge Hotel, Putechan, Bellochantuy,
near Campbeltown, which has more than 200 whiskies on its shelves
and specialises in rare casks and whiskies from closed distilleries,
is in the running for the prestigious award. But the hotel, which
was originally built as a hunting lodge for the Duke of Argyll, has
some fierce competition. Finalists in the whisky bar category of The
DRAM Licensed Trade Awards 2003, which are signed to recognise and
reward excellence in the industry, include The Quaich Bar at Craigellacie
Hotel, Craigellachie, Speyside. The Quaich Bar can offer more than
500 single-malt whiskies. Also in the finals is the Forss House Hotel,
Forss, near Thurso, in Caithness, where nearly 30 whiskies, grouped
by region, are on sale. The collection includes a number of rare malts.
Rosemount Golf Hotel, Rosemount, Blairgowrie, a small, independent
establishment popular with golfers and locals alike, is the other
finalist. Its bar is stocked with more than 100 different whiskies.
To reach the final, the bars had to show a 'real passion' for whisky.
The winner will be the bar judged by the panel to best fulfil these
criteria. The Glenlivet Whisky Bar of the Year 2003 award will be
announced and presented by Jim Cryle, The Glenlivet Master Distiller,
at The DRAM Licensed Trade Awards Ceremony in Glasgow on Monday July
7.
Articles Courtesy of The Press and Journal |
pressandjournal |
28
Jun
2003 |
Scotch
Whisky Association talks tax with delegation from Turkey
THE Scotch Whisky Association has hosted its first-ever
trade delegation from Turkey this week, as part of its drive to exploit
emerging markets.
A group of senior Turkish officials from the ministry of tax and revenue
met representatives of the Scotch Whisky Association (SWA) in Edinburgh
to discuss ways in which the high level of duty enforced on whisky
by the Turkish authorities could be reduced.
Last year, exports to Turkey were worth £15.8 million, although
the SWA believe that the potential is unlimited - once the tax issues
are resolved.
Commenting on the visit, SWA’s chief executive Hugh Morison,
said: "Tackling excessive taxation and improving market access
in Turkey is one of our top trade priorities. This week’s visit
by Turkish officials was an opportunity for us to illustrate the benefits
of taxing imported spirits at a reasonable rate.
"Encouragingly, the early indications from the visit are that
Turkey will take steps to reform its tax system early next year."
Many industry analysts believe that Turkey, population 60 million,
where drinkers traditionally choose spirits, could potentially be
another Spain for scotch whisky distillers.
Scotch exports to Spain trebled in five years following the removal
of trade barriers in 1986, and the market is now worth £256m
a year.
The visit included a tour of Edinburgh’s Glenkinchie distillery,
the bottling plant at Glenmorangie and meetings with HM Customs and
Excise officials in Manchester.
Paul Neep, chief executive of Glenmorangie described the visit as
"very worthwhile."
He added: "Anything we can do to make Turkey a fairer market
is beneficial for the industry."
Last year, total whisky volume exports fell nearly 7 per cent to the
equivalent of 943.4 million bottles. But the growth in sales of malt
whisky meant the value of these sales slipped only marginally, down
0.45 per cent to £2.28 billion.
Article Courtesy of The Scotsman |
scotsman.com |
23
Jun
2003 |
Kyndal's
chief bids for shares
VIVIAN Imerman, the chairman and chief executive of Scottish drinks
giant Kyndal, has offered £5 a share to staff investors to give
up their 25 per cent equity stake, in a bid to seize control of the
group.
At present, Mr Imerman holds a 35 per cent stake in the firm, which
owns the Whyte & Mackay whisky brand, but an agreed buy-out of
the staff-owned shares would increase his ownership to about 60 per
cent.
That would leave him as the lone stakeholder alongside Robin Saunders’
West LB principal finance group, which debt-funded a management buyout
two years ago.
About 70 Kyndal managers and staff put up nearly £1 million
at £4 a share to help fund the £208m MBO - Scotland’s
largest deal of its kind to date.
Mr Imerman insisted there was nothing untoward about the move, and
said his decision was driven by "personal circumstances".
He said: "It is normal practice for any manager and staff participating
in an MBO to invest in the equity of the company.
"The movements of shares between these individuals takes place
on an ongoing basis."
Articles Courtesy of The Scotsman |
scotsman.com |
22
Jun
2003 |
First
Shetland distillery woos investors with malt
SMALL investors are to get the chance to own part
of Shetland’s first ever whisky distillery.
Blackwood Distillery, the brainchild of former Diageo consultant Caroline
Whitfield, is looking for £1.5m from private investors as part
of an effort to raise a total of £3.7m.
First round shareholders, who have to invest a minimum of £1,500,
will receive a special ‘Investors Reserve’ malt whisky dividend
on top of their normal return. The Blackwood team is now awaiting
approval from Highlands and Islands Enterprise for a capital grant
of £1.1m. The new distillery will create 45 jobs in Shetland.
Whitfield said: "Shetland has never had a whisky distillery because
it follows the Norse tradition of white spirit drinking rather than
Celtic whisky drinking. Also, there was never enough barley to make
whisky - it was all used as animal feed. The malt whisky Blackwood
will produce is expected to taste like a light Islay malt - or a light
Talisker."
She added that Shetland, with its very moist air, local water and
peat, was an ideal location to make high quality single malts.
Blackwood is launching a Nordic gin, Nordic vodka and a cream liqueur
this month and will produce its first whisky in four years.
The prospectus is available through Beer & Partners, the business
angel investor network. The new company is chaired by the James Espey,
the former chairman of Seagrams Distillers.
Click
here to read November 2002 Press Release: 5million-nov02.pdf
Article Courtesy of The Scotsman |
scotsman.com |
22
Jun
2003 |
Whisky
'chieftain' will use amber nectar as tourist lure
IT HAS been used for centuries to revive the spirits,
enliven any evening and fend off the cold. Now our national drink
is to be used to lure more tourists.
Scotland is to get its first whisky ‘chieftain’ to exploit
the worldwide interest in the amber liquid. A £180,000 funding
package has been approved for two years and an appointment will be
announced shortly.
One of the chieftain’s first tasks will be to recruit around
40 hotels and guest houses to act as unofficial whisky ‘embassies’,
where staff will be trained as whisky experts.
Alastair McIntosh, managing director of the Scotch Whisky Heritage
Centre in Edinburgh, said: "We are very excited about this development
as this will be a brand new post. It will allow us to draw up a proper
strategy for exploiting whisky power."
The post of whisky tourism development manager is being funded by
a private and public-sector consortium, including Scottish Enterprise,
Highlands and Islands Enterprise and VisitScotland.
Whisky tourism already generates around £17m a year for the
Scottish economy, due mainly to the 43 distillery visitor centres
that have mushroomed in the past 30 years.
But the consortium believes the sum could be doubled. A report commissioned
from the RGA leisure consultancy concluded that whisky tourism could
generate more income if given a more prominent role in the marketing
of Scotland than it has had up to now.
The Scotch Whisky Association said whisky was a key factor in the
decision by many to visit Scotland and this attraction should be maximised.
Article Courtesy of The Scotsman |
scotsman.com |
18
Jun
2003 |
Whisky
firm backs charity
GLENMORANGIE has signed up to Payroll Giving as a boost to good causes
and the community.
The initiative enables employees to make charitable donations straight
from their gross salary and the government adds an extra ten per cent
donation.
HR manager Anne Tattersall said: "Glenmorangie has a long-standing
commitment to corporate social responsibility."
Articles Courtesy of The Scotsman |
scotsman.com |
18
Jun
2003 |
£10m
plan to reopen Tullibardine Distillery
PLANS have been unveiled for a £10 million project
to revitalise Perthshire’s dormant Tullibardine Distillery, creating
what could become one of Scotland’s premier retail and tourist
attractions.
Alan Williamson, chairman of the newly-formed Tullibardine consortium,
told The Scotsman he saw the development as "the new House of
Bruar" and said the site at Blackford near Gleneagles would create
up to 120 jobs when it opens next summer.
Williamson said: "We believe this venture to be the first of
its kind in Scotland, whereby the future of a whisky distillery and
brand will be secured and supported by revenues generated from the
sale of surrounding land and subsequent development of a retail complex.
"The location is ideal; situated on the A9, more than 20,000
cars pass it a day."
Led by Williamson, the four shareholders in Tullibardine include directors
Douglas Ross, Michael Beamish and finance director Alastair Russell.
The four-man consortium is believed to have paid Kyndal £1.1m
for the distillery, which was mothballed in 1994, and acquired the
land surrounding the site on a long lease.
The 50,000 sq ft retail development will be built and financed by
Edinburgh-based property firm Kenmore.
The development has been designed to attract premium retail outlets
and the company has already pre-let 55 per cent of the space to Baxters
Food Group.
Stephen Duncan, general manager for retail operations at Baxter’s,
who is overseeing the multi-million pound investment, said: "As
the anchor tenant, we are planning a large restaurant facility and
retail space for cashmere and clothing, Scottish gifts and food and
drink."
Funding for the Tullibardine consortium, is being provided by Barclays
Bank.
Whisky production will start within months with a view to launching
the first malt on to the market by 2013.
In the meantime, stocks of maturing malt whisky bought with the purchase
will be released and there are plans to introduce other ranges, including
a blend and a liqueur.
The distillery will also house a 6,000 sq ft showcase visitor centre,
retail outlet and coffee shop.
Tullibardine director Ross said: "We are looking forward to providing
a quality attraction for Scottish tourism."
Article Courtesy of The Scotsman |
scotsman.com |
17
Jun
2003 |
Austrian
makes his own whisky
AN AUSTRIAN distiller has unveiled his own brand of whisky.
In a ceremony with Scottish pipers, a Druid and a haggis, the royal
distiller Siegfried, Duke of Saalfelden, said the drink is one which
he hopes will push the usual fruit schnapps and herbal concoctions
of his homeland along the shelf.
The duke, who is 35, admitted that his product was a "flight
of fancy" and was the first time that a whisky had been produced
in a region more famous for cherry, plum, apricot and herbal concoctions.
However, he is unfazed at any cultural surprise. "I am proud
of what I have created - moreover, it tastes excellent," he declared.
The whisky in question is called McHagmoar and was part of a selection
of assorted spirits that recently won the top prize at the prestigious
drinks industry Destillata Competiton. It beat off competition from
1,200 other drinks from across Europe.
And it received firm praise from, Thomas Neuhauser, a whisky specialist
and writer who runs Austria’s only museum devoted to whiskies,
who said: "To drink it is really a pleasure."
Mr Neuhauser described McHagmoar, which costs 54, or about £37,
a bottle, as "sweet tasting, almost fruity, a beautiful malt
aroma and has a light nut tone in the glass".
He added: "Most importantly, perhaps, like a good whisky should,
it warms one up on the inside."
If Scots are hoping to keep the spirit away from these shores, they
could be disappointed because Duke Siegfried, whose family has been
distilling for two centuries, now aims to produce his whisky on a
commercial basis.
He said: "I have plans to make much more. I have followed all
the traditional distilling methods and I think Scottish palates would
like this as much as Austrian ones.
"At present there are only a few hundred bottles of the stuff.
But I will start commercial production and exportation, probably in
a year or two."
Articles Courtesy of The Scotsman |
scotsman.com |
15
Jun
2003 |
How
to get ahead in marketing whisky
HAIR stylists have been among the unlikely contributors
to a 10% rise in sales of two Scotch whisky brands.
Distiller Inver House has targeted hair salons, antiques fairs, car
rallies and art exhibitions to give away samples of its Old Pulteney
whisky and Heather Cream whisky liqueur. And the unorthodox approach
appears to have paid off.
Geraldine Roche, the company’s marketing manager, said: "The
idea is to take sampling outside the traditional setting of the bar
or pub."
Old Pulteney sales broke through the £1m barrier while sales
of Heather Cream, Scotland’s answer to Bailey’s Irish Cream,
have risen by 12%.
Graham Stevenson, managing director, said: "We are seeing new
consumers for Heather Cream. It is difficult going head-to-head with
Bailey’s. You have to take it to the consumer."
Inver House, based in Airdrie, was bought for £60m in 2001 by
a Thai drinks group. Pre-tax profits last year rose from £4.8m
to £5m in 2001, although turnover fell by 20% to £29.8m
as a number of one-off contracts ended.
Inver House owns the Wee Beastie alcopop brand and sells its MacArthur’s,
Catto’s and Hankey Bannister whisky brands around the world.
The company plans to launch Wee Beastie in the US this year after
making it on to the shelves of most of the UK’s biggest supermarkets.
Inver House bought the brand, which competes with Diageo’s Smirnoff
Ice, six months ago from Kirkcudbright entrepreneurs John and Anne
Hempstock.
Stevenson said: "We have done a reasonable amount of research
in the US, and it shows there is a niche for Wee Beastie. It does
not need to be hugely successful to be good for us."
Article Courtesy of The Scotsman |
scotsman.com |
14
Jun
2003 |
In
the best possible spirit
It doesn’t always have to be socks and ties for
Father’s Day. If your dad likes nosing a fine dram, tasting fine
wines, backing the horses, dreaming about being a sommelier for the
day or even indulging in some vinotherapy, here’s your chance
to make it happen for him.
An unusual installation at the Whisky Shop in Glasgow’s Buchanan
galleries has been causing quite a stir, with more than £80,000
worth of Vintage Macallan from six decades pinned to the wall. If
you have a liquid bank account and generous nature, you can give your
dad a piece of it. A "mini-art box" of all 37 miniatures
from 1926 to 1972, mounted in a smart fly-fishing-style cabinet on
a burgundy panel designed to emulate a wall in the National Gallery
of Scotland, costs a mere £5,560. It’s a snip, apparently
- these are rare whiskies drawn from the best casks at their maturation
peak.
At a more modest price, you could choose a vintage year to commemorate
your dad’s birth-year or some other fond memory. The 1949 Macallan
vintage is fantastic, with nut-brown colour, richly peated aromas,
treacle toffee, vanilla and spice flavours and a sensationally long
finish that lingers for hours. (£185 per miniature, from the
Whisky Shop, Princes Square, Glasgow; Buchanan Galleries, Glasgow;
Princes Mall, Edinburgh, tel: 0141-331 0022; www.whiskyshop.com)
Peerless, at £70 a bottle, is a little less pricey, but still
"single". The 30-year-old malt is an ideal gift for the
best dad in the world. Like its stable-mate, 12-year-old single malt
Whisky Galore (£26.99 a bottle, including a copy of Compton
Mackenzie’s book), it has been matured by whisky brokers Duncan
Taylor and comes specially packaged in a gift box. (Available from
Duncan Taylor, 4 Upperkirkgate, Huntly, Aberdeenshire, 01466 794055,
www.dtcscotch.com)
. Even if your dad doesn’t swing a club much these days, you
can still enter him into the spirit of the game with the "official"
new whisky of the world’s most famous golf course, The Old Course,
St Andrews. For the first time ever it’s now on sale outside
the Links Clubhouse and comes exotically packaged in a gift tin with
detailed depictions of the famous 17th Road Hole, 18th Tom Morris
and 10th Bobby Jones.
Made by Glenmorangie, the floral light sweetness of this 12-year-old
malt is designed for mass appeal. Rather unusually, it has been matured
in Chenin Blanc grape casks - an odd grape to choose, as Chenin has
very subtle, often dull flavours, but it doesn’t overpower the
spirit. The Old Course Clubhouse 12-year-old Single Malt (£32
bottle; £5.50 miniature) is available from The Links Clubhouse,
West Sands Road, St Andrews, and all branches of The Whisky Shop in
Glasgow, Edinburgh, Fortwilliam, Callander, Oban and Pitlochry (0800
980 4010; www.whiskyshop.com)...
Article Courtesy of The Scotsman |
scotsman.com |
11
Jun
2003 |
Kyndal
upbeat on £600,000 profit
KYNDAL, the Glasgow-based owners of Whyte and Mackay, Dalmore and
Isle of Jura whiskies has reported a pre-tax profit of £600,000
on turnover of £157 million in the 14 months to the end of last
September.
Its latest accounts filed at Companies House reveal that the firm
still has net borrowings of more than £200m and a pension deficit
of £23m.
Speaking to The Scotsman, Kyndal chairman Vivian Imerman said he thought,
on the whole, they were a pretty good set of results. Imerman said:
"I am comfortable with the debt, which will be reduced by trading
over a number of years."
He added that the pension deficit was being tackled by the injection
of more capital every year.
Articles Courtesy of The Scotsman |
scotsman.com |
05
Jun
2003 |
Malt
whisky exports double
EXPORTS of single malt whisky have grown by an astonishing
46 per cent in value for the first two months of the year, according
to the latest government figures.
The figures published by HM Customs and Excise show that for January-February
2003, in comparison to the same period last year, total exports of
bottled malts are up 46 per cent in value and 43 per cent in volume.
The rise in single malt exports continues the trend set last year
when export volume increased 9.3 per cent to 46.5 million bottles
with value growing 11 per cent to £268 million.
Leonard Russell, managing director of Ian Macleod, owner of Glengoyne
malt whisky, described the figures as good news: "This means
that single malts will have done very well over Christmas."
Around 65,000 jobs across the UK depend on Scotch whisky production,
of which 90 per cent is exported.
The figures also show for January-February 2003, in comparison to
the same period last year, total exports worldwide for all Scotch
whisky are up 6 per cent in volume and 17 per cent in value.
During that period exports of bottled blended Scotch Whisky have increased
by 14 per cent in value but are slightly down, -1 per cent, in volume.
Whisky analyst Alan Gray, author of Sutherlands Scotch Whisky Industry
Review, described the figures as encouraging but tempered any excitement
adding they were only two months figures.
Article Courtesy of The Scotsman |
scotsman.com |
04
Jun
2003 |
Roll
out the virtual barrel
ABERLOUR, the single malt Scotch owned by Chivas Brothers, has opened
a virtual distillery to give whisky lovers the chance to run their
own distillery over the internet.
Visitors to the aberlour.com website will be taken through a year
in the life of their distillery, condensed into just a few minutes.
During that time they can plan how long to store their whisky and
choose the right barrels before it is submitted to a virtual judging
panel.
Neil Macdonald, Aberlour’s brand director, said: "Short
of being apprenticed to Aberlour’s master distiller in Scotland,
this is probably as close as you can get to having a go at running
your own distiller."
Chivas Brothers is owned by Pernod Ricard, which is spending £28
million to boost sales of its flagship Chivas Regal brand.
Articles Courtesy of The Scotsman |
scotsman.com |
01
Jun
2003 |
Whisky
chief no Tiger Woods
IAN Curle, successor to Ian Good as chief executive
of whisky group Edrington, took part in an in-house golf competition
recently but showed he was no Tiger Woods.
He and his finance director Richard Hunter lost in a sudden-death
play-off to two workers from the company’s bottling hall at Great
Western Road in Glasgow.
It was all square after 18 holes in a preliminary-round match of the
Penman Trophy being played at Crieff Golf Club. But then the opponents,
Graham Dickson and Graham Hillis, won at the 20th hole with a net
birdie.
Curle, a former West of Scotland rugby player, said: "Richard
and I obviously took this in good heart."
The word on the street, however, is that this was a bad career move
by the two Grahams. "A transfer to one of the outposts of the
bevvy empire looks imminent," said an insider.
Article Courtesy of The Scotsman |
scotsman.com |
29
May
2003 |
Whisky
Chief Shovelled Malt
The man named yesterday as heir apparent to a whisky kingdom is no
mere number cruncher. Ian Curle 41, will succeed Ian Good as chief
executive of Scotch whisky distiller Edrington next April. But the
same Mr Curle got hands-on experience of every aspect of the business
when he joined the group in 1986. Why, he even shovelled malt at Tamdhu
distillery on Speyside during his first three months. Obviously a
quick learner, he has risen to be part of the team that have a direct
input into product quality. This judgement is put to the test during
a weekly quality review in the sample room at the Glasgow headquarters.
Said Ian, who has a son and two daughters:' It is like me sitting
my Highers every Friday morning.'
Articles Courtesy of The Press and Journal |
pressandjournal |
28
May
2003 |
Scottish
Food & Drink Excellence Awards 2003
The Awards which are known as the "Oscars of
the Food & Drink Industry have honoured two of Scotland's Independent
Whisky Companies
Duncan Taylor & Co Ltd received the highest accolade for their
"Peerless/Duncan Taylor Collection of Rare Auld Single Malt
& Single Grain Scotch Whiskies" coming top in the drinks
section for quality, presentation and marketing. Euan Shand Director
said "To get this top award against stiff competition and to
be recognised for our achievements I think is testament to the quality
of not only the product but ti the workforce of Duncan Taylor &
Co who are all individually committed to providing service and products
second to none."
Gordon & MacPhail received a lifetime achievement awards for
outstanding contribution to the Scottish Food & Drink industry.
Mr Sanderson
who presented the award said "An independent company still
in family ownership, Gordon MacPhail has achieved international
recognition and has won many prestigious awards for both its single
malts and blended whiskies. Our lifetime achievement award is in
recognition of the companies ability to innovate and pioneer and
for its unique contribution to the Scotch whisky industry which,
of course, draws its raw material from Scotland's farming industry".
Article Compiled by Scotchwhisky.net
|
Scotchwhisky.net |
23
May
2003 |
A
dram fine selection for connoisseurs
IT HAPPENED when Raith Rovers won the Scottish League Cup, when the
islanders of Eigg bought their island, and when the Royal Navy frigate
HMS Argyll visited Inveraray.
All special occasions were marked with the launch of a one-off whisky.
Last night, collectors had a field day when the first auction was
held in the Highlands consisting entirely of rare or unusual drams.
Some 60 local collectors were expected to bid for the 28 lots which
were gathered from distilleries owned by drinks giant Diageo, which
hosted the auction at its Glen Ord Distillery at Muir of Ord.
Some of the whiskies were expected to fetch several hundred pounds
and it is hoped to raise £5,000-£10,000 from the event.
Whatever funds are raised will be matched by Inverness and Nairn Enterprise
and the total donated to the Highland Food and Drink Festival in October.
The most sought-after item was expected to be the Island of Eigg Celebration
Edition, one of 270 bottles produced to mark the community take-over
of the island in 1997.
Every household on the island - population 70 - received a bottle
of the cask-strength whisky, while the rest was sold to help raise
funds for the islanders.
The dram, from the Talisker distillery in Skye, which was founded
by the MacAskill brothers who came originally from Eigg, was expected
to raise up to £800 last night.
Only 60 bottles of Loch Fyne were produced to mark the visit of HMS
Argyll in March this year, while a very limited number of The Final
Blend was issued when Raith Rovers defeated Celtic to win the League
Cup in 1994.
The Friar John Cor Quincentenary was released in 1994 to celebrate
500 years of the use of malt to produce aqua vitae, which came to
be known as whisky. The successful bidder will be in exalted company,
as the first bottle was presented to the Queen, the second to Baroness
Thatcher and No 10 and No 11 to the then prime minister, John Major,
and his chancellor, Kenneth Clark.
The Old Parr Elizabethan is one of the most expensive Scotch whiskies
available, produced for the Japanese market and not readily available
in the UK. It was expected to fetch over £400.
Other rare drams are the 20-year-old North Port, named after the north
gate of the once walled city of Brechin which has long gone, like
the distillery where the whisky was made. Said to taste of dried apricots
and banana with some toasted marshmallow, only about 15,000 bottles
were produced.
Elaine Bailey, Diageo’s community relations officer, said:
"Collecting can be a very serious business, but it can also be
personal, and a whisky can be worth more to an individual person than
what we think it is worth - a Raith Rovers supporter wanting that
particular whisky for example.
"Buyers will not buy the whisky to drink, but as an investment."
Articles Courtesy of The Scotsman |
scotsman.com |
22
May
2003 |
Glenmorangie
trio cash in on share options
THREE directors in whisky company Glenmorangie yesterday
exercised share options worth nearly £160,000, pocketing about
£32,000 after selling most of the shares on the open market.
Simon Erlanger made the biggest gain, buying 8,500 shares at £4.90
and selling 8,050 shares at £7.75 - a profit of nearly £21,000.
Ian Drysdale was £9,375 ahead after buying 12,500 shares at
£7 and selling them all at £7.75, while Peter Nelson made
nearly £1,700 after buying 5,886 shares at between £4.70
and £5.30 and selling 4,086 at £7.75
Article Courtesy of The Scotsman |
scotsman.com |
20
May
2003 |
The
Everest of whiskies
A LIMITED edition malt whisky was yesterday bottled to commemorate
the first British woman to climb Mount Everest.
Rebecca Stephens, 41, was presented with a cask of new whisky spirit
by the Glenmorangie Distillery when she achieved the historic feat
ten years ago, and yesterday the Londoner hand-bottled the now matured
single malt, which has been named the Mount Everest Malt, at the company’s
distillery in Tain.
Just over 400 bottles are expected to be produced and sold in aid
the Nepalese charity, the Himalayan Trust.
Ms Stephens will also present bottles to the surviving members of
the 1953 Everest expedition led by Sir Edmund Hillary, which marks
its 50th anniversary this month.
Articles Courtesy of The Scotsman |
scotsman.com |
20
May
2003 |
Scotch
Whisky raises a glass to new chief
THE Scotch Whisky Association has appointed Gavin
Hewitt, currently the UK’s ambassador to Belgium, as its new
chief executive.
Mr Hewitt, a graduate of Edinburgh University, replaces Hugh Morison,
who is retiring at the end of December after ten years with the SWA.
Ian Good, chairman of the Edinburgh-based SWA, said: "The arrival
of Gavin Hewitt recognises the importance of international trade to
the association’s work and the industry’s determination
to remain the world’s leading drinks industry - and one of the
UK’s top five foreign currency earners - at a time when the challenges
facing the Scotch whisky industry have never been greater."
Mr Hewitt joined the Diplomatic Service in 1970. He has held a number
of international roles, including head of the south-east Asian department
at the Foreign and Commonwealth Office and deputy permanent representative
of the UK Mission to the United Nations in Geneva.
Mr Hewitt said he was looking forward to "returning home"
to Edinburgh.
Article Courtesy of The Scotsman |
scotsman.com |
18
May
2003 |
Whisky
drinkers being cheated out of £4m a year by landlords
WHISKY drinkers are being swindled out of £4m a year by licensees
who substitute cheap spirits for genuine Scottish malts or blends.
New figures from industry watchdogs reveal that up to one in 10 pubs
is regularly involved in the practice and one in six has carried it
out occasionally.
The International Federation of Spirits Producers, the industry body,
now wants bigger fines for licensees caught substituting cheap makes
for branded products.
Although fines of up to £1,000 have been imposed on offenders,
few are caught because of a shortage of trading standards officers.
The IFSP says its own figures may be a serious underestimate of the
problem because more independent restaurants and nightclubs are being
tempted to take up the practice.
"This is an ongoing crime that we have tried very hard to stamp
out but still persists throughout the country," a spokesman said.
"Licensees get cheaper own-label supermarket whisky, tip out
the real product, and sell that on to their unknowing customers. They
may even use bootlegged products smuggled in from abroad. Either way,
they are able to vastly inflate their profits."
‘This is a crime we have tried hard to stamp out but still persists
Substituting is widespread. Several Glasgow publicans were fined two
years ago for the offence following raids from trading standards officers
tipped off by customers. Last year, a number of publicans in the Midlands
were fined £1,000 after similar raids.
Whisky experts said both drinkers and whisky producers lost out. "The
con is of concern because it means whisky drinkers are paying above
the odds for inferior products and the producers, who rely on sales
of mainstream blends to finance their malt production, are being deprived
of essential revenue," said Dominic Roskrow, the editor of Whisky
Magazine.
"The problem is particularly acute in the UK, where the temptation
to buy cheap smuggled whisky with no duty charge has been too great
for many pub licensees."
The IFSP believes some publicans go to great lengths to conceal the
practice The spokesman added: "There is evidence that publicans
are ringing other pubs to tip them off that trading standards officers
are in the area," the spokesman said.
"They also know trading standards will usually visit at certain
times, so they substitute only in the evenings or at weekends."
Earlier this year consumer watchdogs warned people in Glasgow to watch
out for fake whisky contaminated with a chemical which can cause blindness.
It was feared that the drink was being sold at markets in the city.
Trading standards officers issued the warning about counterfeit Johnny
-Walker Black Label after bottles containing methanol were discovered
in England.
In March, one woman died and another was left seriously ill after
drinking bootleg vodka. The women, from East Lothian, were taken ill
after consuming a large amount of ‘Vodka Russia’. It is
believed to contain high levels of methanol, which causes abdominal
pain, dizziness, breathing difficulties and can prove fatal, even
in small quantities.
Articles Courtesy of The Scotsman |
scotsman.com |
18
May
2003 |
Spirited
profits predicted for Glenmorangie after £12m ad campaign
GLENMORANGIE is this week expected to unveil it is
reaping the benefits of a £12m advertising spend last year with
strong growth in profits.
The distiller upped its advertising and promotional budget by about
20% to almost a quarter of turnover in the year to March 31 in a bid
to drive sales growth of its three key malt brands - Glenmorangie,
Ardbeg and Glen Moray.
The campaign helped sales of its flagship brand Glenmorangie rise
by 18% over the key festive period and analysts expect full year profits
to be as high as £9.4m, an increase of more than 13% on the
previous year. Last year sales rose from £52.2m to £58.7m.
Shares in the Broxburn-based distiller edged up 5% last week ahead
of Tuesday’s results announcement. The shares have almost doubled
since 2000 when they traded at less than 400p.
The growth in Glenmorangie sales over Christmas continued a trend
seen earlier in the year helped by new television advertising. For
the first time the company also ran an advertising campaign in Scottish
cinemas.
‘Investors are keen to see progress from Drambuie supply chain
partnership’
Alan Gray, a whisky analyst at Sutherlands in Edinburgh, said he expects
profits to come in at about £9m.
"All the single malts brands are going pretty well. Glenmorangie
had a very good Christmas and sales of Ardbeg are growing fast albeit
from a relatively small level," he said.
House broker Bell Lawrie White in Glasgow has pencilled in pre-tax
profits of £8.7m, while HSBC believes they will come in as high
as £9.39m.
Investors will be keen to see progress from the first full year of
the company’s supply chain partnership with Drambuie, which is
expected to contribute about £700,000. Whisky sales generally
showed strong growth last Christmas, although discounting by the multiple
grocers led to fierce competition among blended brands.
Last month Glenmorangie won a battle over its famous advertising slogan.
Advertising watchdogs rejected a complaint disputing the accuracy
of the Broxburn whisky company’s phrase, ‘Glenmorangie -
Gaelic for Glen of Tranquillity’, which it has used for almost
10 years.
A member of the public complained the phrase misrepresented the Gaelic
language because it was not an accurate translation but the Advertising
Standards Authority accepted Glenmorangie’s explanation that
there were different interpretations of Gaelic words.
Article Courtesy of The Scotsman |
scotsman.com |
13
May
2003 |
Honouring
the true spirit of Scots writing
THE influence of whisky in Scots literature is to be celebrated in
a city writing festival.
The Festival of Scottish Writing will feature a talk on the water
of life and its role in shaping Scots poetry, prose and music. The
talk will be given by Edinburgh author Robin Laing, who recently compiled
a book about the subject after he noticed the national drink was mentioned
throughout work by great Scottish writers.
Robert Louis Stevenson and Robert Burns are among the famous authors
who he claims were inspired by whisky to pen some of their best lines.
The writing festival, being held from this Saturday until the end
of the month, is a celebration of Scottish storytelling and creative
writing.
Councillor Ricky Henderson, Edinburgh City Council executive member
for sport, culture and leisure, said: "This is an ideal way of
promoting Scotland’s rich literary heritage and encouraging new
readers to discover the ways Scotland and its culture is reflected
through books."
The festival also features Malt-teasers - a Scottish Quiz with history
expert John Bailey. Other events include walks through the Edinburgh
of famous city authors. There will also be workshops, poetry readings
and musical events.
And children will get a chance to meet authors such as Edinburgh’s
Aileen Paterson, who wrote the Maisie the Cat stories, while teenagers
will have an opportunity to tell their own story through photography
workshops.
Articles Courtesy of The Scotsman |
scotsman.com |
12
May
2003 |
Classic
cars take to the 1,000-mile whisky trail
CLASSIC car enthusiasts gathered in Leith yesterday
to see an array of antique automobiles from around the world.
The vintage cars were undergoing last-minute checks before setting
off on a spring tour of Scotland’s most famous distilleries.
More than 100 cars will take part in a thousand-mile rally through
the Scottish countryside.
The Scottish Malts Reliability Trial and Classic Car Tour rolls into
action this morning from Edinburgh Castle.
The vintage and cars include highly valuable Maserati, Bentley, Lagonda
and Austin Healey models.
As well as taking in some of Scotland’s finest scenery, the motorists
will have the chance to stop at distilleries such as Glenmorangie,
Dalmore, The Macallan and the museum distillery of Dallas Dhu.
Article Courtesy of The Scotsman |
scotsman.com |
12
May
2003 |
New
start for Glencadam
AN ENGLISH company is to reopen the disused Glencadam Distillery in
Brechin, creating up to 50 jobs.
The London-based family company, Angus Dundee Distillers, has bought
the redundant plant, which shut down three years ago.
The company intends to start distilling whisky immediately, after
successfully concluding negotiations with the previous owner, Allied
Distillers, last week.
Preparatory work to get the distillery up and running will bring further
employment opportunities to the area.
Terrance Hillman, chairman of Angus Dundee Distillers, revealed that
the distillery will be reopened as soon as possible.
He said: "We will reopen Glencadam as soon as necessary work
to start the distillation is complete.
"We will create employment in the distillery, as well as work
to bring the distillery back to production and complete its refurbishment."
He added: "We look forward to becoming part of the local community
and feel sure we will enjoy its cooperation with our project."
Angus councillor, Joy Mowatt added: "There have been strong rumours
over the past few weeks but now it’s confirmed, I am highly delighted
and look forward to Glencadam opening and functioning again.
"Hopefully, it can be used as a visitor attraction."
The original distillery at Glencadam was founded in 1825 and bought
in 1827 by David Scott. In 1891 it was sold on to Gilmour Thompson
& Co (Glasgow Blenders), and in 1954 was acquired by Hiram Walkers
& Sons (subsequently Allied Domecq).
It was renovated in 1954 and was mothballed in 2000 by Allied Distillers
because of over-production. The distillery was known for its 15-year-old
Glencadam and was used in the Stewart’s Cream of the Barley blend.
Articles Courtesy of The Scotsman |
scotsman.com |
11
May
2003 |
Whisky
giant orders double Glengoyne as malt moves spiritual home
DRINKS producer Ian Macleod aims to secure a place
in the world’s top 10 malt whisky brands by doubling production
at its recently acquired Glengoyne distillery.
Macleod, headed by Leonard Russell, bought the distillery near Milngavie
from Edrington, producer of The Famous Grouse, last month.
The company plans to use its worldwide distribution network to push
Glengoyne in markets such as continental Europe, the Far East and
the Persian Gulf.
Under Edrington, Glengoyne won awards but the Glasgow company invested
more in its key brands such as Grouse and Cutty Sark.
Macleod plans to increase production from about 500,000 litres a year
to just under one million litres or 5,600 casks over the next few
years. More malt spirit could be used in Macleod’s blends, which
include Langs Supreme, also acquired from Edrington. Macleod also
makes the Isle of Skye blend, which is particularly popular in the
Highlands, and King Robert II, the market leader in the Gulf states
where advertising is banned.
Russell said: "Glengoyne is currently working at just about half
capacity at the moment. We will take it up almost to full capacity.
Glengoyne will be in the top 10 within the next few years."
The brand is the 15th most popular malt, well behind global favourites
such as William Grant’s Glenfiddich and Chivas Brothers’
Glenlivet. Malt whisky is gaining in popularity but currently makes
up just 5% of the global market for Scotch.
‘The brand will be in the world’s top ten within the next
few years’
Glengoyne is likely to be marketed on the fact that it is produced
using traditional rather than ultra-modern equipment.
Before acquiring Glengoyne, Broxburn-based Macleod bought, blended
and sold whisky from malt and grain whisky producers but had no distillery
of its own.
Russell said the new facility would give the company a "spiritual
home" as well as providing whisky which could be exchanged with
other producers.
Rupert Patrick, the export director for Macleod, said Glengoyne and
Langs could add up to 50% to the company’s current £15m
turnover over the next few years.
Sales of Langs peaked at 250,000 casks but are now as low as 40,000,
with Scandinavia, Japan and the UK off-trade the main markets.
Patrick said the faded brand could reinvigorated through Macleod’s
international distribution network.
Macleod recently started testing the market for "Six Isles",
a combination of malts from all six whisky-producing islands in Scotland.
The company claims its good relations with the rest of the industry
make it the only producer capable of making such a product.
The Macleod group is controlled by managing director Russell’s
family and is also the UK distributor for Glenfarclas malt whisky
and joint owner of Broxburn Bottlers with J&G Grant, Glenfarclas’s
producer.
It also makes own-label whisky for Waitrose, Sainsbury’s and
Oddbins.
Article Courtesy of The Scotsman |
scotsman.com |
08
May
2003 |
Bruichladdich
- The first Islay bottled whisky
Bruichladdich Islay Single Malt Whisky is now being bottled at the
Distillery in the new bottling hall, which has been constructed -
mainly by the Distillery lads themselves - with help from the local
community, led by Distillery Manager, Duncan McGillivray. The ten-month
project involved converting a former warehouse to include offices
and facilities for disabled workers and visitors.
Bruichladdich’s Master Distiller and Production Director, Jim
McEwan explains, ‘This is
an historic moment for both whisky and workers on Islay. We have been
exporting whisky for over 200 years in casks, destined for bottling
plants on the Scottish mainland. As the casks were exported, so were
potential jobs now, for the first time ever, an Islay whisky will
be distilled, matured and bottled on the island.’
Sales Director, Andrew Gray, also stresses the importance of this
development, saying ‘There is really only one place where an
Islay whisky should be bottled and that is on Islay by the Ileachs
themselves, using Islay's world-famous water. We are very proud to
be the first and only Islay malt doing this. Bruichladdich is undoubtedly
the most authentic Islay Malt available.’
The new hall, which will be known as The Harvey Hall, is to be officially
opened by one of the Islay-based Shareholders, Sir John Mactaggart,
on Sunday 25 May, as part of Bruichladdich’s festivities during
the Islay Festival of Malt and Music.
Attending the ceremony will be Faith Muir from Canada, the grand-daughter
of William Harvey, who built the Distillery in 1881. The first bottle
to come off the bottling line (Bruichladdich 10 Year Old) has been
signed and will be auctioned on the same day to raise money for local
charities. A special gold roundel is being applied to the labels of
the first runs of each age of Bruichladdich and Andrew Gray anticipates
that these will quickly become collectors items.
Articles Courtesy of Bruichladdich |
bruichladdich |
08
May
2003 |
Pernod
toasts 10.6% sales rise
PERNOD Ricard, the French drinks giant that owns whisky
maker Chivas Brothers, beat forecasts for the first quarter with sales
of its wines and spirits brands rising 10.6 per cent to 713 million
(£507 million).
Sales of Chivas Regal, which fell 9.1 per cent last year to 2.8 million
cases after reduced marketing activity, rose 26 per cent in the first
quarter compared with the same period in 2002.
Drinks analyst Alan Gray, at Edinburgh stockbrokers Sutherland’s,
said: "It is a good performance from Chivas, reflecting the renewed
effort that Pernod is putting into the brand."
Article Courtesy of The Scotsman |
scotsman.com |
06
May
2003 |
Everest
malt to go on sale
A LIMITED edition malt whisky to commemorate the first British woman
to climb Mount Everest is to be bottled later this month. Rebecca
Stephens was presented with a cask of new whisky spirit by the Glenmorangie
Distillery when she achieved the feat ten years ago.
The matured spirit, named the Mount Everest Malt, is due to be hand-bottled
by the 41-year-old London woman at the distillery in Tain on 19 May.
Just over 400 bottles are expected to be sold for £50 each,
with proceeds going to a Nepalese charity, The Himalayan Trust. Ms
Stephens will also present bottles to the surviving members of the
1953 Everest expedition led by Sir Edmund Hillary.
Articles Courtesy of The Scotsman |
scotsman.com |
03
May
2003 |
£4.5M
revamp for Forres Distillery
Allied Distillers have announced that it will invest
£22.5m in its Scottish facilities over the next 18 months. The
investment will include £4.5m on rebuilding its Glenburgie Distillery
in Forres. £18m will also be invested in its Dunbarton operation,
on installing new bottling lines and upgrading its packaging and despatch
area. Allied’s managing director said the investment was good
news for Scotland.
Articles Courtesy of The Press and Journal |
pressandjournal |
03
May
2003 |
Scots
distiller in the red
Loch Lomond Distillery Company plunged into the red last year. The
firm has repeatedly refused to speak to the press. It incurred pre-tax
losses of £87,487 in the year to end-March 2002, against profits
of £919,718 in the same period a year earlier. Turnover climbed
to £11m from £9.3m a year ago. The firm has recorded tumbling
profits for the last three years. Its previous accounts showed that
it clocked up pre-tax profits of £1.4m in the year to March
31st 2001. Despite slumping profits, directors emoluments edged up
£106,311 last year, compared with £102,899 a year ago.
The company is one of Scotland’s independent distillers and produces
Loch Lomond and Inch Murrin single malts as well as the blend Scots
Earl. The firm also owns the wine merchant, William Morton and Glen
Catrine Bonded Warehouse, which bottles 36.5m bottles of whisky, vodka,
gin, rum and brandy annually.
Articles Courtesy of The Press and Journal |
pressandjournal |
24
Apr
2003 |
Independent
Single Malt Whisky Bottlers Appoint New UK Distributor
Murray McDavid are delighted to announce that they
have appointed Malcolm Cowen Ltd as their UK distributor. This complements
Cowen’s existing responsibility for Bruichladdich Islay Single
Malt, which is part of the same group.
Rupert Wilkins, Chairman of Malcolm Cowen Ltd, commented “We
are looking forward to increasing both sales and distribution of Murray
McDavid’s award-winning core range of un chill-filtered, caramel
free single malts and also their recently released premium bottlings
in the magnificent Mission range, which has already attracted considerable
interest.”
Andrew Gray, Sales Director of Murray McDavid, added “It makes
sense to have both Bruichladdich and the Murray McDavid ranges distributed
throughout the UK by one specialist Company, who shares our philosophy
and appreciates our commitment to making natural whisky as widely
available as possible.”
Article Courtesy of Murray McDavid |
murray-mcdavid.com |
20
Apr
2003 |
Turks
put wind in sales of Cutty Sark
EDRINGTON, the whisky distiller, has scored an unlikely
success with rocketing sales of its Cutty Sark brand in Turkey.
The Glasgow company, which has disposed of four lower-profile products
in the past two weeks, is pushing exports of its top brands, which
also include Famous Grouse and The Macallan.
Cutty Sark’s profile in Istanbul has been raised by a sponsorship
deal with one of the city’s top style bars.
A spokesman said: "The early signs are promising and we believe
that Turkey is potentially a massive export market for UK spirits."
Local drinkers, described as "trendsetting male urbanites",
tend to take their Scotch long and on the rocks without flavoured
mixers. Most are aged 25-35 and drink in bars and clubs rather than
at home.
Greece, Turkey’s neighbour, is the world’s highest consumer
of whisky per head. The average Greek adult consumed more than four
bottles in 2001, and Cutty Sark is one of the top brands. Turkey has
a population of 65 million and attitudes to alcohol are relatively
liberal compared with the rest of the Islamic world.
Ian Good, Edrington’s chairman and chief executive, said he was
not aware of any Muslim country apart from Turkey with a similar thirst
for whisky apart from Lebanon.
Langs, the blend sold last week by Edrington, increased sales fivefold
in Lebanon in the late 1990s with a racy advertising campaign which
would probably have fallen foul of the UK’s Advertising Standards
Authority.
Edrington’s partner in Cutty Sark is Berry Bros and Rudd, the
London drinks group.
The Glasgow company is testing a variation of the world-famous brand
on the Caribbean island of Puerto Rico.
Cutty Coco, a blend of Scotch whisky, rum and coconut, has been on
sale for the past four months, competing with Malibu and rum brands
such as Bacardi. Good said: "Early indications are encouraging.
Cutty Sark is seen as a young person’s drink in Puerto Rico,
and this is developing that idea."
Last week, Edrington sold the Glengoyne distillery, the Glengoyne
malt whisky brand and the Langs premium blend to Ian Macleod &
Co, the Broxburn spirits firm. The week before, it sold the Bunnahabhainn
Islay single malt and Black Bottle blend to Burn Stewart.
The disposals were part of the company’s strategy of focusing
on its key brands - Cutty Sark, Famous Grouse, which is Scotland’s
most popular whisky, and the Highland Park and Macallan malts.
Good, who is also chairman of the Scotch Whisky Association, said:
"The group’s key strategic aim is to devote increased financial
resources to those brands growing on the international stage."
One other Edrington malt, Tamdhu, could be sold if the company received
the right offer. Edrington also owns half the North British grain
whisky distillery in Edinburgh, the biggest in Scotland.
The company is keen to increase exports of the Famous Grouse, 65%
of which is sold overseas compared with an industry average of 90%.
Grouse sells well in Sweden but is eclipsed by Cutty Sark in major
international markets such as Spain and Portugal. But a new brand,
Famous Grouse Vintage, has sold well in a number of markets including
Taiwan. The drink, which has seen sales double in the past three years,
is a premium-priced combination of malt whiskies.
Edrington has yet to release its results for the year to March, but
the company’s export drive means turnover is likely to be up
on the £200m recorded the year before.
Its export drive will be helped by a new £3m whisky bottling
line at its Drumchapel headquarters, which is due to start running
next month.
In Scotland, more people are visiting Edrington’s distilleries.
The Glasgow group has invested £3m in distillery centres and
the Famous Grouse Experience near Crieff over the past two years.
Lynne Grant, sales manager at the centre, said: "We are delighted
with the response from the domestic market, which has seen us very
busy at weekends during the start of the year - traditionally a quiet
time.
"Over 25% of our visitors now come from Scotland and a younger,
more family-orientated profile is emerging."
The Highland Park distillery in Kirkwall reopened to tourists last
week following a £160,000 upgrade of its courtyard area.
Article Courtesy of The Scotsman |
scotsman.com |
12
Apr
2003 |
Distillery
going green
DISTILLERY chiefs have agreed to paint a silver fence
green after an 18-month protest from neighbours.
Residents of Addiwell, West Lothian, were horrified when the whisky
bond erected a 7ft spike-tipped, steel fence without planning permission
after expanding its premises.
The North British Distillery Company was told by planning officials
to paint the fence green to blend in with the surroundings. The company
applied to have the condition removed but backed down after residents
complained.
Article Courtesy of The Scotsman |
scotsman.com |
09
Apr
2003 |
A
cool shake-up for whisky
THOSE who are easily offended by incorrect pronunciations
of "Glenmorangie" or by drinkers who add an ice-cube to
a single-malt whisky, look away now.
Staff at The Famous Grouse at Perth are currently being educated about
more cosmopolitan styles of serving Scotch - from "with a twist"
to whisky cocktails or with Coke and ice. A leading bartender has
been revealing his top whisky tips, including cocktails such as "grouse
smashes", "sweet sensations" and "long hot summers".
The trainees have also been learning serving techniques such as "layering"
and "muddling".
"I have to say that our workforce took very little persuading
to sign up for these courses," adds brands director Ken Grier.
Article Courtesy of The Scotsman |
scotsman.com |
07
Apr
2003 |
The
Old Course Clubhouse whisky
Monday 7th April saw the worldwide launch of The Old
Course Clubhouse, 12 year old Single Malt Whisky. It is the official
whisky of St Andrews Old Course Clubhouse and it is bottled under
licence by The Scotch Embassy Ltd. The Scotch Embassy have worked
in partnership with St Andrews Links Trust. It was previously available
only inside the Clubhouse in St Andrews and now the Clubhouse Malt
will bring together two of Scotland's greatest gifts to the world
- golf and malt whisky. St Andrews Links Trust is a charity set up
by an act of Parliament to look after the golf courses of St Andrews.
The Royalties from al sales of the Clubhouse Malt will help to maintain
and preserve the famous Old Course, which is the most recognised icon
of golf worldwide.
The whisky is unique in having been matured for 12 years in a cask
that previously held wine made from the chenin blanc grape, an experiment
in maturation that has been eminently successful, judging by the quality
of the mature spirit. Its light gold colour is deceptive for this
is a fully mature malt whisky. The nose is wondrously floral and lightly
fruity. With the addition of a little spring water, it shows itself
grassy and sweet-floral sweet rather than toffee sweet, which comes
later. The taste is of aniseed and aromatic spices over a savoury
base. The finish is long and dry. The Old Course Clubhouse Malt, 70cl,
is presented in a distinctive gift box depicting famous holes of the
Old Course, including the Road Hole (the 17th), the Tom Morris (18th)
and the Bobby Jones (10th). It is aimed at the gift market and it
has a recommended retail price of £32.00. It is the perfect
choice for golf enthusiasts worldwide, the Clubhouse Malt is also
available in 5cl miniatures, with a RRP of £4.70.
Article Courtesy of Scotchwhisky.net |
Scotchwhisky.net |
06
Apr
2003 |
Tranquillity
returns to Glenmorangie as Gaelic name challenge fails
GLENMORANGIE has won a battle with a guardian of the
Gaelic language over its famous advertising slogan.
Advertising watchdogs rejected a complaint disputing the accuracy
of the Broxburn whisky company’s phrase, ‘Glenmorangie -
Gaelic for Glen of Tranquillity’, which it has used for almost
10 years.
The complainant, identified only as a member of the public from Midlothian,
said he understood Glenmorangie came from the Gaelic word ‘glen’
which meant valley, ‘mor’ which meant big, and ‘innse’
which meant water meadow. He said the company’s commercials were
misleading because they misrepresented the Gaelic language.
But Glenmorangie refuted the claims and said it understood its name
was an English corruption of the Gaelic ‘Gleann mor na sith’,
which translated as ‘Big glen of peace’ or ‘Glen of
tranquillity’. The company said it acknowledged the meaning of
Glenmorangie depended on the "perceived root of the word"
and there was academic argument over how various Scottish place names
may have originated, but it believed the translation it had used was
correct.
It also pointed out it had received no other complaints during the
time the slogan had been used despite the malt whisky brand being
well known to many Gaelic speakers.
The Advertising Standards Authority consulted another expert in the
language who believed the complainant’s translation was correct.
But although the ASA said it acknowledged the Midlothian man’s
translation, it believed that because the company had taken care to
research the origins of the name it had good reason to use it. .
Glenmorangie recently reported an 18% increase in sales during the
Christmas period, helped by TV and cinema advertising campaigns. It
will release full year results next month.
Article Courtesy of The Scotsman |
scotsman.com |
03
Apr
2003 |
Awards
for The Peerless Collection
Success for Duncan Taylor & Co Ltd in the prestigious
"Grampian Food & Drink Innovation Awards". The company
received 2 Gold Awards for Product Innovation and Export Innovation
for the Peerless Range of Single Malt and Single Grain Scotch Whiskies.
The judges stated that they were hugely impressed with the quality
of the product, the innovative design and the marketing of the product.
The Peerless Range has also gone through to the final of the "Food
from Scotland Excellence Awards 2003" hosted by Scottish Enterprise
and The Royal and Highland Agricultural Society of Scotland.
Article Courtesy of DTC |
dtcscotch.com |
02
Apr
2003 |
Special
Edition Hillwalking kit has Jura-bility
The makers of Isle of Jura Superstition malt whisky
have created the ultimate in accessories for hill-walkers who enjoy
life’s little luxuries.
The Jura Superstition Experience pack has been specially produced
for whisky lovers with a thirst for the outdoor life. Taking up the
Jura Experience will entitle you to a bottle of Superstition Malt,
a hip flask and tot glasses as well as a traditional rugged rucksack
to carry your favourite malt wherever you go.
For those who can’t make it to Isle of Jura, Scotland’s
remotest distillery, to soak up the atmosphere, the pack also includes
Jura sea stones, peat from the island, a book about Jura and information
signed by distillery manager, Mickey Heads. The pack is available
exclusively on-line at www.isleofjura.com and retails at £95
(excl VAT).
From the great outdoors to the warmth of an open fire, another of
Kyndal’s distilleries The Dalmore (the makers of the most expensive
whisky in the world) have also created the ideal after dinner experience
with which to enjoy the Dalmore Experience.
The award-winning distillery has created the perfect gift set for
an enjoyable evening to continue well into the night. With a specially
written guide to The Dalmore single malt, Master Blender 2003 Richard
Paterson, takes you on a journey through the look, aroma and the wonderful
taste of this premium quality Highland malt.
Packaged in a willow hamper, the Dalmore Experience contains a bottle
of The Dalmore 12 Years Old, a bottle of The Dalmore Cigar Malt, six
crystal glasses, six coasters, an engraved water jug, fine Belgian
chocolate, Columbian coffee and four Havana cigars.
The Dalmore Experience can only be purchased via The Dalmore Distillery
web-site at www.thedalmore.com and is available now and retails at
£185 (excl VAT)..
Article Courtesy of Kyndal |
Kyndal.co.uk |
26
Mar
2003 |
Export
demand is led by malts
EXPORTS of Scotch whisky have broken the £2
billion barrier for the tenth successive year according to new figures
released yesterday.
The figures published by the Scotch Whisky Association show that £2.3
billion worth of whisky was shipped to more than 200 countries in
2002.
Malt whisky continued to sell especially well - export volume increased
9.3 per cent to 46.5 million bottles with value growing 11 per cent
to £268 million.
But "global economic difficulties" had an effect on blended
whisky exports, which fell by 6.9 per cent to 943.4 million bottles.
SWA chairman Ian Good said the figures represented a "resilient
performance in the face of tough global conditions". He said:
"The industry continues to perform strongly in established markets
like the USA, France and South Korea, but it is also encouraging to
see increased volumes shipped to new, emerging markets such as China,
Poland and Turkey."
Around 65,000 jobs across the UK depend on Scotch whisky production,
of which 90 per cent is exported.
Asia’s growing love affair with whisky underpinned the figures,
where sales surged 18 per cent in South Korea to £196 million
and 16.5 per cent to £58 million in Taiwan.
The USA reclaimed top spot as the industry’s most valuable market,
having been displaced by Spain in 1999, with exports rising 4 per
cent to more than £300 million.
Jonathan Driver, malt whisky director at Diageo, said the malt whisky
market had been growing steadily for the last ten years.
"Malt whisky consumption really took off around ’92, ’93,
coinciding with the wine boom. Consumers began to become interested
in the provenance of the product and malt whisky has a variety of
flavours and different geographical areas that appeal to a new type
of consumer."
Whisky analyst Alan Gray, of Sutherland’s stockbrokers in Edinburgh,
said: "There has been a slight dip but there is nothing to get
too concerned about, volumes are a bit disappointing but value is
not too badly affected."
Article Courtesy of The Scotsman |
scotsman.com |
26
Mar
2003 |
CL
targets more Scotch brands
CL FINANCIAL, the Trinidad-based conglomerate, is
poised to make its first bolt-on acquisition in the Scotch whisky
sector following its recent takeover of distiller Burn Stewart.
It is understood that CL is in negotiations to buy the Islay-based
Bunnahabhain distillery and the Black Bottle brand for about £10
million from Edrington Group, Scotland’s biggest whisky producer.
The move forms part of CL’s plan to build a global drinks business
after combining Burn Stewart with its ownership of Angostura, the
rum and mixer company, and its 54 per cent stake in Todhunter, a US
rum producer.
CL refused to comment on the latest deal although industry sources
say talks between the company and Noble Grossart, Edrington’s
financial adviser, are at an advanced stage.
Noble Grossart has been seeking buyers for Bunnahabhain, Black Bottle
and for Edrington’s two other non-core businesses - the Glengoyne
distillery and the Langs Supreme brand - following the group’s
decision to concentrate resources behind The Famous Grouse, Cutty
Sark and the MaCallan and Highland Park malts.
Edrington was hoping to raise between £20 million and £30
million for all four non-core businesses and it is known that Noble
Grossart rebuffed a bid from an undisclosed suitor for the portfolio
late last year just as CL completed its £49 million takeover
of Burn Stewart, whose brands include Scottish Leader.
One analyst said: "CL doesn’t have a brand that is capable
of developing internationally. Scottish Leader is selling reasonably
but it’s not a top quality brand whereas Black Bottle has the
pedigree."
Edrington is also thought to have generated interest from potential
buyers in Glengoyne and Langs Supreme as a separate package. A spokesman
refused to confirm the latest developments.
Analysts are expecting the privately-owned Edrington to show an improved
performance for its March year-end after announcing pre-tax profits
of £49.5 million on £201 million of sales last year. Both
Bunnahabhain and Black Bottle are said to be profitable businesses.
Article Courtesy of The Scotsman |
scotsman.com |
23
Mar
2003 |
Glenfiddich
Whisky is voted the World's Finest
The independent, family owned whisky brand, Glenfiddich, has voted
the world's finest single malt by an international panel of experts.
Last week Glenfiddich Rare Collection 40 year old picked up a gold
medal and was announced as the top malt in a blind tasting exercise
conducted by the Whisky Magazine in Edinburgh, Kentucky and Tokyo.
It was up against the 39 best whiskies tasted by the magazine over
the past two years. Glenfiddich Rare Collection 40 year old contains
some of the oldest and rarest Glenfiddich in existence. It retails
at £1000 a bottle but as there are only 600 bottles, the award
is sure to add to its desirability with enthusiasts and collectors.
The 'world's top malt' title is just the latest in a series of accolades
for Glenfiddich whiskies including an unprecedented 15 medals at the
two leading international spirits competitions held in 2002, where
Glenfiddich Ancient Reserve 18 years old picked up silver medals and
Glenfiddich Special Reserve 12 year old and Solera Reserve 15 year
old both collected bronze.
Article Courtesy of The Sunday Times |
timesonline |
20
Mar
2003 |
Pernod
seeks buyers for mothballed distilleries
PERNOD Ricard, the French drinks giant that owns whisky
maker Chivas Brothers, will listen to offers for any of the four Highland
distilleries that it mothballed last autumn.
George Nectoux, chairman and chief executive of Paisley-based Chivas,
said the group had received approaches for individual distilleries,
but they had fallen short of expectations. He added that a sale could
be concluded "if the price was convenient" but emphasised
that no talks were active.
The group, which is the world’s third largest spirits company
after Diageo and Allied Domecq, yesterday reported a 15 per cent rise
in 2002 net profit to 413 million (£280 million), buoyed by
the brands it acquired from Seagram at the end of 2001.
But Pierre Pringuet, joint managing director of Pernod Ricard, declined
to give guidance on this year’s performance because of the uncertain
geo-political situation. He said it was too soon to assess whether
a US boycott of French goods, sparked by president Jacques Chirac’s
opposition to war against Iraq, would hit sales.
"To date, we haven’t seen any clear signs of a boycott of
our products," he said, adding that a downturn in retail sales
of Martell cognac or Chivas Regal premium blended whisky would take
time to affect orders the company received from wholesalers.
Sales of Chivas Regal fell 9.1 per cent last year to 2.8 million cases
after reduced marketing activity following its acquisition, destocking
problems and a reduced sale in Latin America hit the first-half performance.
The Speyside distilleries closed by the group are Allt A’Bhainne,
Braeval - formerly known as Braes of Glenlivet - Benriach and Caperdonich.
They all supply Scotch for the group’s blends and were closed
last October so that the company could focus resources on its key
malts, such as the Glenlivet.
Article Courtesy of The Scotsman |
scotsman.com |
19
Mar
2003 |
Whisky
Hijack
The hijacking of a whisky lorry, is being investigated by detectives,
who are also planning roadside checks in the hope of jogging the memories
of motorists, who may have witnessed the crime. The 43 year old lorry
driver was held hostage for around nine hours, after he was kidnapped
near Lockerbie on Wednesday of last week. The ordeal ended when he
was released 300 miles away near Worcester. The cab and empty trailer
were later found in Humberside.
Article Courtesy of Press & Journal |
thisisnorthscotland |
19
Mar
2003 |
A
dram fine shop
A WHISKY shop in the Capital has been named the industry’s
favourite retailer.
Royal Mile Whiskies, which last year opened a branch in London, won
the Whisky Academy Award for Retailer of the Year.
The Edinburgh-based business was nominated by industry experts before
being chosen as winner by a panel of judges .
Dominic Roskrow, editor of competition organiser Whisky Magazine,
said: " Royal Mile Whiskies does an incredible job. They will
find a whisky to suit everyone."
Article Courtesy of The Scotsman |
scotsman.com |
18
Mar
2003 |
Bid
to talk up Scots culture
SCOTLAND is the subject of a series of lectures at a cultural festival
in Washington DC starting this month.
The 50 lectures, which will include such subjects as Scottish history
and whisky, will coincide with the Smithsonian Folklife Festival in
the United States capital in June and July.
The lecture programme, which features a talk by city-based crime author
Ian Rankin, will run until June. Tourism bosses hope the lectures
will stimulate interest in Scotland and boost visitor numbers.
Article Courtesy of The Scotsman |
scotsman.com |
12
Mar
2003 |
On
this day
1941: The original incident used in Compton Mackenzie’s
Whisky Galore occurred in the Hebrides when a cargo ship ran aground
with her holds full of whisky. Islanders hid the quarter of a million
bottles from Customs officers.
Article Courtesy of The Scotsman
For the full Whisky Galore story please visit www.thewhiskygalore.com/legend.htm |
scotsman.com |
08
Mar
2003 |
Warning
over bogus whisky
THE Food Standards Agency has warned fake bottles of Johnnie Walker
Black Label whisky contain "unacceptable levels" of methanol,
which can cause stomach upsets and blindness. Counterfeit bottles
were found this week in a raid on a Berkshire bottling plant.
Article Courtesy of The Scotsman |
scotsman.com |
02
Mar
2003 |
There
are no rights and wrongs for whisky
IN THE cold far north of Europe. you won’t find
any vineyards; in their place there are fields of barley. Acres of
golden promise. For centuries, wine was a dream of indolence and the
drink of the warm south. Here in the north there was a need for something
stronger, something to keep us going through the freezing gloom of
the long, dark Scottish winter - not to mention the disappointment
of the Scottish summer. This vivifying spirit has had different names
across the centuries. In Latin it is aqua vitae, in Gaelic it is uisge
beatha and, to you and me, it’s whisky.
I don’t like to spoil the romantic illusion you get when you
close your eyes and think of Scotland, but, to tell the truth, there
isn’t as much barley grown here as there used to be. This is
because the price has gone through the floor and a lot of Scotch whisky
is now made from barley grown in Ukraine.
There are as many myths about whisky-making in Scotland as there are
about the Loch Ness monster. And that’s an excellent thing. It’s
all part of the noble whisky marketing tradition. click
for full story
Article Courtesy of The Scotsman |
scotsman.com |
27
Feb
2003 |
Whyte
and Mackay boosts market share
WHYTE and Mackay is claiming its largest ever share of the Scottish
take-home market for blended whisky.
New AC Nielsen figures show it achieved a 16.7 per cent volume share
of the market, making it the number one in that particular sector.
The Glasgow-based firm, which employs more than 700 staff, attributed
the rise in share - worth about £20 million - to an on going
multi-million pound investment in the famous brand.
David Pattison, international marketing manager, said: "Our performance
is impressive when you consider the aggressive price promotions currently
in the marketplace.
"The improved performance can be attributed to a strong integrated
marketing campaign which capitalises on the brand’s strengths
and targets existing whisky drinkers."
W&M, which considers Japan and Canada as its most important global
markets and is the sixth largest selling whisky in the UK, is owned
and produced by Kyndal, which also owns single malts Isle of Jura
and Dalmore.
Article Courtesy of The Scotsman |
scotsman.com |
23
Feb
2003 |
How
the water of life saw Thatcher through
DURING her long years as Prime Minister, Margaret
Thatcher’s relationship with Scotland was tempestuous at best.
But a new TV series on her private life will reveal that her affection
for whisky – Scotland’s greatest export – was nothing
short of an enduring love affair.
The documentary series, to be screened on ITV next month, will show
that Thatcher’s fondness for Bells whisky kept her going during
the darkest and most difficult times of her career.
Cynthia Crawford, personal assistant to Margaret Thatcher throughout
her premiership from 1979 to 1990, will claim on the programme that
Thatcher would sometimes drink whisky through the night rather than
go to bed.
One such occasion was at a summit in Paris, when Thatcher learned
the results of the first-round ballot for the Tory leadership battle,
which eventually ended her days in power.
At the height of the Falklands Crisis in 1982, Thatcher, who was brought
up as a teetotaller, would sit on the floor of her office drinking
Bells and soda.
The programme will also provide an insight into why Thatcher needed
so little sleep. According to Crawford the Prime Minister received
injections of energising vitamin B12 – administered into her
bottom – to provide additional energy. B12 is known to boost
nerve and blood cells and is obtained naturally from fish, milk and
eggs. One shot of the vitamin was delivered to the PM’s rear
on the morning she told her Cabinet she was to resign.
By coincidence, vitamin B12 was discovered by Dorothy Hodgkin, the
scientist who taught Thatcher during her years at Oxford.
The documentary will also show details of Thatcher’s religious
side, a legacy of her strict upbringing. Crawford will tell the viewing
nation how Thatcher instructed her to pray after they were taken to
Lewes police station following the Brighton bombing in 1984.
The documentary series, made by Brook Lapping, starts on March 6.
Brenda Maddox, who had written a biography of Thatcher to accompany
the programme, credits Dennis Thatcher with liberating his wife from
her repressive background.
Article Courtesy of The Scotsman |
scotsman.com |
22
Feb
2003 |
MSP
calls for censure of US 'Cuban' whisky ban
LEFT-WING Labour backbencher John McAllion is asking fellow MSPs to
condemn an American ban on imports of a Scotch whisky that has a connection
with Cuba.
Bottles of Glenfiddich Havana Reserve single malt cannot be exported
to the United States under a strict 40-year-old ban on all trade involving
Fidel Castro’s communist island. But the 21-year-old malt, £60
a bottle, is distilled at Dufftown in the Highlands, 4000 miles from
Cuba.
And its only connection with Cuba is that it is finished for up to
eight months using barrels which previously contained Cuban rum.
Distiller William Grant has said any "taint" is so small
it is immeasurable.
Mr McAllion has tabled a motion in the Scottish Parliament condemning
the ban and arguing it highlights "the absurdity and iniquity
of the oppressive Helms Burton Act that seeks to punish any contact
or trade with Cuba".
And he also calls for Scotland to forge closer links with Cuba through
trade, tourism and ties of friendship. Meanwhile, Americans wanting
to sample the malt must travel to Canada.
Article Courtesy of The Scotsman |
scotsman.com |
21
Feb
2003 |
Skakel
nips in for Bell's deal
SKAKEL & Skakel, the Edinburgh-based design consultancy,
has won a contract worth £2750,000 to create a new visitor facility
at the Bell’s whisky distillery in Blair Atholl.
The project, won following a two-way pitch, aims to emphasis the "craftsmanship
and integrity of the product", according to the agency’s
managing director, Richard Skakel.
He said: "Whisky tourism is increasingly a key component of visits
to Scotland, and this story brings together many colourful aspects
of Scottish culture, from the Jacobite uprising to the pioneering
development of an international brand."
Skakel & Skakel currently employs 15 staff in Edinburgh, with
an annual turnover of around £2 million.
The Bell’s visitor centre project is due to be completed in a
fast-track process within four months, Mr Skakel said, "unlike
the blend, which takes eight years to mature".
Article Courtesy of The Scotsman |
scotsman.com |
21
Feb
2003 |
Sector
rallies on Diageo's success
INVESTORS raised a glass to drinks giant Diageo yesterday as the Gordon’s
gin and Smirnoff vodka maker said it expected to improve on a solid
first-half performance. Indications that it is faring well despite
tough trading conditions sent the shares up 24.5p, or 4.1 per cent,
to 623.5p and cured hangovers at some of its rivals.
Allied Domecq, which owns Beefeater Gin and Ballantine’s whisky,
tracked the advance, ending up 2.2 per cent at 287p. Two weeks ago
it said it did not expect any growth in full-year profits, causing
shares to slide.
Scottish & Newcastle also rallied as German brewer Holsten denied
it would fall to a foreign takeover offer as rumours abounded that
a key shareholder was close to selling his stake. The pair have a
close relationship: Holsten brews Fosters for S&N in Germany,
while the Edinburgh brewer sells Holsten in the UK under agreement.
A deal would plug a big gap for S&N, which has no beer production
in Germany, but analysts were relieved that it would not get the chance
to overpay. S&N shares, which have fallen by a quarter since the
start of 2003, rose 5.5p. or 1.6 per cent, to 354.5p.
The FTSE 100 benchmark share index closed up 28.9 points, or 0.8 per
cent, at 3,687.2 after upbeat results and reassuring outlooks from
a clutch of Britain’s largest companies, although the shine was
taken off the rally by more gloomy economic data.
The index touched a high of 3,724.7, but pulled back after an early
retreat on Wall Street.
"We’ve had some reasonable numbers and statements from companies,
with the odd one beating expectations but most in line, but against
that the economic data still really isn’t encouraging,"
said Alex Scott, analyst at Seven Investment Management.
British retail sales fell at the sharpest pace in a year in January,
while higher-than-expected US wholesale level inflation and a record
US trade deficit heightened concern about the health of the world’s
largest economy.
"The economics confirm that the broad trend is still sideways
to downwards, the bear market is not over," Scott said.
Nevertheless, corporate results helped boost investors, led by building
materials group Hanson which lifted 18p to 298p to top the Footsie
risers board after its comments that business in Britain and Australia
should be sufficient to offset weakness in its US operation.
Others on the up included Capita Group - ahead 6 per cent, or 12.5p
at 227p - after the outsourcing company said pre-tax profits had risen
by a third.
Reed Elsevier also performed well, gaining 12.5p to 443.5p. The publishing
and information group said profits had risen during 2002 and a turnaround
programme had progressed well.
Footsie gainers outnumbered fallers by three to two, with volume on
all shares moderate at 2.3 billion shares.
Takeover target Six Continents gave a boost to the market today as
shares gained another 4 per cent.
The rise came after former Pizza Express entrepreneur Hugh Osmond
said he would be prepared to make a hostile bid for the leisure group
if his planned offer was rebuffed.
Shares in the group closed up 25.5p at 615.5p, to value the firm at
£5.3 billion.
The heavyweight oil and telecoms sectors lent support to the broad
market advance, but banks edged lower led by Lloyds TSB after UBS
Warburg moved its rating on the bank to "reduce" and slashed
its price target to 330p from 480p. Lloyds lost 2.7 per cent to 394.25p.
Barclays was off 2p at 380p and Abbey National eased 6.5p to 404.5p.
Also among the fallers was BAE Systems, which reversed early gains
to slip 1.75p to 126.25p.
The defence group reported pre-tax losses for 2002 of £616 million
caused by cost overruns on two projects totalling £750 million,
although it also reported a 2.2 per cent rise in the annual dividend,
which initially encouraged shares ahead.
Engineering group Invensys also continued to suffer after last week’s
profits warning. Shares fell another 0.25p to 17.5p.
Broadcaster Granada lost 3.7 per cent and its proposed mid-cap merger
partner Carlton fell 4.8 per cent after Morgan Stanley cut its price
target and earnings forecasts on both stocks. Outside the Footsie,
furniture group Courts fell almost 7 per cent - off 13p at 183.5p
- after it said that signs of a recent trading revival had come too
late to rescue full-year sales figures.
Article Courtesy of The Scotsman |
scotsman.com |
20
Feb
2003 |
Diageo
raises a glass to profits of £1.29bn
DIAGEO, the drinks giant which sells Johnnie Walker
whisky and Guinness beer, cheered investors today with a decent first-half
performance and predictions of a better show in the second half.
The world’s biggest spirits group said profits before tax, goodwill
and exceptional items had risen to more than £1.29 billion in
the six months to December, compared to £1.23bn the year before
as strong trading in the UK and North America offset weakness in Latin
America and other parts of Europe.
It said it was confident of a stronger performance in the second half
despite a tough trading environment, though finance director Nick
Rose warned it may fall short of its ten per cent operating-profit
growth target for the full year.
Analysts had expected pre-tax profits to come in at around £1.26bn.
The group, which also owns the Smirnoff vodka and Baileys Irish Cream
labels, said turnover in the six months was £5.43bn, against
a year before figure of £6.48bn which included a £1.46bn
contribution from its former Pillsbury food arm.
But organic sales of premium brands rose just four per cent in the
period under review, below the company’s medium-term target of
eight-to-ten per cent growth.
Announcing the latest results, Diageo’s chief executive, Paul
Walsh, remained upbeat in his outlook. He said: "We acknowledge
that these are without doubt uncertain times. However, in the absence
of any significant change to market trends we expect Diageo’s
organic growth performance in the second half to improve against the
first half," he told investors.
The drinks industry as a whole is having to face up to a tougher economic
climate.
Allied Domecq, the world’s second biggest spirits group, sent
shock waves across the sector recently when it warned profits would
be flat in the year to August. Diageo, which was created following
the merger of Grand Met and Guinness six years ago, has been forced
to shed its non-core businesses.
At the end of last year, the group completed its transformation into
a pure spirits company when it finalised the sale of its United States-based
fast-food chain Burger King.
Commenting on current trading, Mr Walsh said: "Diageo has the
scale, geographic reach and brands to face the current challenging
environment with confidence."
Last October, Diageo warned that its organic sales target would be
tough to hit, as stiff competition and higher taxes on ready-to-drink
products such as Smirnoff Ice took their toll on demand for such drinks.
But it appears that the firm is still managing to find a ready market
for something a little stronger.
During the first-half, Johnnie Walker Black Label and Red Label scotch
brands both grew volume, up six per cent and five percent respectively,
though sales of J&B declined, Diageo said.
Article Courtesy of The Scotsman |
scotsman.com |
19
Feb
2003 |
Megson
quits Kyndal just 15 months after leading MBO
BRIAN Megson, chief executive of Glasgow whisky producer Kyndal, who
led its £200 million management buy-out just 15 months ago,
is leaving the firm.
In a brief statement, the company suggested Megson, 50, was "reviewing
his options" and that he "wished to pursue other interests".
Megson refused to offer any further explanation of what he is planning
next.
Chairman Vivian Imerman denied that there was anything sinister in
the decision, insisting it was reached mutually.
Megson said: "The group has achieved the targets set in its original
business plan and has demonstrated a strong cash generation. This,
together with the wealth of talented people within Kyndal, provide
a solid base for its future development and I wish it much success."
Imerman, who will assume Megson’s role in the interim, added:
"Brian has made a valuable contribution to Kyndal over the many
years he has been with the business and we wish him well in the future."
He said the company was set to announce details of a securitisation
of the business, and that Megson did not want to be involved in the
refinancing process. "He has fulfilled his commitment and decided
that he didn’t want to take the business a stage further,"
he said.
Headquartered in Glasgow and employing more than 750 in Scotland,
Kyndal has a 9 per cent share of the worldwide Scotch whisky market
with brands such as Whyte & Mackay, Dalmore and Isle of Jura.
It was formed in October 2001 as a result of the acquisition of the
former Whyte & Mackay group from Jim Beam Brands (Greater Europe)
in one of Scotland’s largest ever management buy-outs.
Kyndal owns and operates five malt distilleries, a grain distillery
and bottling and packaging facilities in Scotland. In the year ended
September 2002, it generated an operating profit of £20.6 million
from sales of £157.2 million, representing 9.3 million cases
of spirits.
Megson joined Whyte & Mackay as an accountant in 1981. He was
appointed to the board in 1993, became finance director in 1996 and
chief executive in 1999.
When the MBO was completed there had been no suggestion that he was
looking to walk away from the business. He said at the time that the
firm’s first priority was to bed down its core businesses, and
added that he was also looking forward to acquiring other brands.
Article Courtesy of The Scotsman |
scotsman.com |
14
Feb
2003 |
Dewar's
breaks five million barrier
DEWAR’S poured itself a dram of pre-tax profits
as it saw total sales exceed five million cases for the first time
in its history.
The distiller, which markets brands under the Dewar’s and William
Lawson labels, saw an 18 per cent rise in pre-tax profits of £9.67
million, up from £7.96 million.
A spokesman for the Glasgow-based company said that despite adverse
market conditions, increased distribution through Bacardi’s global
sales network had helped boost sales 5 per cent for the year.
Sales revenue increased from £80.2 million to £84.2 million.
Turnover was up £4 million to £84 million, helped by the
new operations facility at Westhorn, which the distiller said had
led to a reduction in unit costs.
Alan Gray, of Sutherland’s stockbrokers in Edinburgh, said that
Dewar’s was benefiting from the expertise of Bacardi’s marketing
division. "Dewar’s has been doing quite well under the Bacardi
ownership, who have spent more money on advertising and marketing
the product," he said.
Meanwhile sales in Dewar’s White Label, the blended brand, Dewar’s
Ancestor, a 12-year-old deluxe, and five malt brands were strong,
particularly in Europe where it has a large foothold in Spain, France
and Greece.
Gray said that Europe and the US were still the primary markets for
the whisky but thought that the company would focus on the UK market.
He added: "Dewar’s have never had a big presence in Scotland,
but I suspect they may turn their attention to the UK market in due
course."
The Scotch whisky brand, together with Bombay Sapphire Gin, was bought
by Bacardi from Diageo for more than £1.1 billion in March 1998.
Article Courtesy of The Scotsman |
scotsman.com |
13
Feb
2003 |
Challenges
ahead as Gigha's residents get down to business
A Gigha tartan has been created by Johnstons’,
and a batch of special edition Gigha whisky, bottled by Springbank
distillery in Campbeltown, has been auctioned off for around £5,000.
IN THE shadows of Achamore Gardens, the perfectly manicured grounds
on the Isle of Gigha created by former landowner Sir James Horlick,
roams a golden pheasant.
According to legend, this startling and obsequious bird, whose feathers
glint yellow and red as it stalks the walled gardens of Achamore,
is the phoenix of Greek mythology. Fabled to have lived for 500 years,
at the end of that time the phoenix was believed to burn itself to
ashes before rising again, glorious in renewed beauty and immortality.
Were it not too neat or perhaps too twee an analogy, it would be fitting
that such a bird inhabits Gigha, an island whose entire way of life
has had to rise anew over the past 11 months.
Gigha might never have been reduced to ashes, but to Alan Hobbett,
the island’s development manager and the man charged with turning
it into a profit-making and valid enterprise, the challenge is just
as monumental.
"It doesn’t stop with ownership," Hobbett says. "We’ve
got to raise a substantial amount of money to invest in the local
economy."
It is almost one year since the Isle of Gigha, population 107, was
bought by the island’s residents for £4 million. It was
arguably the most publicised community land buyout of all time, and
certainly the most expensive. During those heady months leading up
to 15 March 2002 - when the islanders famously declared a "a
new dawn" had broken over Gigha - documentary crews, journalists
and Wendy Alexander descended upon the island, demanding to know who
was in charge, where the money was coming from and just how long the
idyll would last.
Now the dust has well and truly settled. The initial elation felt
over the buyout has long since dissipated and reality, along with
some grim economic conditions, has set in.
Much has been written about whether a residents’ land buyout
is a viable way forward for rural communities in Scotland. The answer
could lie in the people heading the Isle of Gigha Heritage Trust,
the charitable body that now runs the island.
The Trust’s board, which includes a fisherman, a head teacher
and the ferry skipper , considers proposals for the improvement and
advancement of Gigha. It is chaired by the charismatic and outspoken
Willie McSporran, who has, in 60 odd years on the island, clearly
gained the respect of its inhabitants.
"Towards the end there was tremendous support, but it wasn’t
like that in the beginning," he says, settling into a chair in
the lounge of the Gigha Hotel, the heartbeat of the island which comprises
its largest tourist accommodation, its only bar, and, out back, Hobbett’s
office.
Indeed, when the islanders first met to discuss the possibility of
a buyout, only 14 people were in favour. Winning support for the scheme
was a slow and grinding process of convincing, cajoling and community
grit. "If there hadn’t been that support I wouldn’t
have been so happy." he says. "It was a lot of work."
While the trust presides at the top of the Gigha tree, Hobbett, appointed
by the trust following the buyout, is charged with a lot of the day-to-day
management. He is, people will pull you aside to tell you, "brilliant".
A number of representatives of Highlands and Islands Enterprise (HIE),
including Duncan Baird, one of its Scottish Land Fund Advisors, also
spend time on the island. HIE has also made its own appointment to
the trust’s board in Lorne MacLeod.
There is also a seperate trading company which takes responsibility
for the hotel, self-catering cottages, an airstrip, and other functions
regarded as trading activities.
It is an unusual system for running a community, and one that was
brought into being only because of the equally unusual way that the
buyout was funded.
Money for Gigha came from two sources. The primary tranche of £3.5
million was provided by the Scottish Land Fund, formed last year with
£10 million from the New Opportunities Fund, itself an arm of
the National Lottery. The balance was a £500,000 grant from
HIE. Of the £3.5 million from the SLF, £2.5 million of
it was a grant. The rest - £1 million - must be paid back within
two years.
So far, the community has raised £115,000. There have been ceilidhs,
a successful music festival, sponsored walks, sponsored rows, sponsored
diets, sponsored haircuts. As Andy Oliver, a board member who along
with his wife Viv runs the island post office, puts it: "We’re
suffering from a little fund-raising fatigue."
A Gigha tartan has been created by Johnstons’, and a batch of
special edition Gigha whisky, bottled by Springbank distillery in
Campbeltown, has been auctioned off for around £5,000.
The serious money will come from the sale of Achamore House, the laird’s
residence on the island, which has lain empty since the buyout last
year. There has been interest from three separate buyers, and an offers
over price of £600,000 is being advertised. "If we don’t
reach a conclusion by the spring then the intention is to put it on
the open market," says Hobbett.
"There’s no immediate hurry for the sale, we have till 15
March next year."
But while the islanders have a year’s more grace to pay back
the debt, the day-to-day subsistence of the island is a more pressing
issue, and one that has kept Hobbett, McSporran and the board awake
many a night.
"We recognise that we’ve got to pay back £1 million,
but we’ve got to raise substantially more." Hobbett says.
Housing is a huge and immediate problem. A recent survey showed that
three quarters of the trust’s housing falls into the statutory
definition "below tolerable". Most of the remaining properties
are classified "in serious disrepair".
"The biggest inhibiting factor that we always come up against
is housing." says Baird. "We simply have no houses."
This has been partly alleviated by Fyne Homes, which has bought land
next to the hotel and will start work on eight houses in the spring.
Further projects are in the works and plans for a construction company
based on the island are also under consideration.
Outside the hotel, three patches of mud promise to become the island’s
first craft units. Interest has been intense, and it is hoped they
will be filled this summer, bringing in both revenue for the tenancy,
and increased tourism and trade to the island. There is talk of a
microbrewery, which could bring in serious potential revenue as well
as allowing the "Gigha brand" to make its way on to shelves
across the country.
Since the buyout, a number of SMEs have sprung up, including publisher
Ardminish Press, run by Freddy Gillies (see panel). Neil Bannatyne
and partner Maggie Chapman, who moved to the island not long after
the buyout last year so that Bannatyne could take over his father’s
croft, are attempting to set up a horticultural business.
They have planted a number of vegetables in a corner of their 24 acre
plot, which they are hoping they will be able to sell locally. It
is a brave initiative when one considers that the whole of Kintyre
has its vegetables imported from Glasgow, none being grown locally.
Jim Alexander has gone a step further. He has come up with an idea
that could, he says, revolutionise shallow-water mussel farming.
"A mussel farm would normally cost around £250,000 to set
up," he says, "But I believe I’ve worked out a cheap
process that could allow us to harvest shallow-water mussels for a
fraction of that."
Alexander has had his idea approved by a number of experts, and is
currently in the process of applying for both a patent and a grant,
which would allow him to set up an experimental system.
If successful, the farm would allow the trust to produce cheap local
mussels, and sell on the system to other small communities. Alexander
himself will make no profit from the project. Most agree that before
the buyout, such ventures would not have been possible.
Gillies is one of a number of islanders who have gone on three-day
business start-up courses run by Argyll and Islands Enterprise (AIE),
and a number have also obtained small start-up grants.
Both HIE and AIE remain intensely involved in the island’s development
but such - dependence could be dangerous. An island that leans too
much on the enterprise companies for both funds and management could
end up simply swapping one type of landlord for another.
Perhaps partly for this reason, no stone has been left unturned when
it has come to looking for increased revenue. Some of the island’s
more traditional earners, such as farming, are being closely scrutinised
for modernisation. "All the milk produced on the island is sold
to First Milk every day, which comes with a tanker and visits the
three farms." says Hobbett.
"But every day it leaves half empty, which poses the question
of viability."
The trust is now advertising for tenants for Achamore farm, the "home
farm" of the island. This would bring daily production on the
island up to 1.8 million litres a year, and could lead the quartet
of farms in a number of different directions.
"We could switch to beef," says Kenny Robison, the trust’s
vice-chairman and one of the island’s three dairy farmers. "But
it would mean increasing a herd of around 80 cows to around 120."
This has its own problems, but at the same time, Robison says, it
could offer more returns.
The current crisis in the fishing industry has not left Gigha unscathed
either, and one of the cruellest twists of the buyout was that Gigha’s
fish farm, which employs nine workers, is one of the chunks of land
that Derek Holt, the previous landowner, refused to sell to the community.
The annual rent paid by the fish farm company, AquaScot, to Holt,
is substantial.
The fishermen on the island, including Archie MacAlister, whose wife
Lorna is the head teacher at the island school and sits on the board,
are realistic about their prospects. "I’ll stay in fishing
as long as I can," he says. "But I’ve never known a
year as bad as this one."
The fragility of such industries has forced Hobbett to turn to ever
more inventive ways of raising funds. One of his most radical ideas
is that of turning Gigha into a plc. It is a complex and ambitious
concept, and, if it works, could lift Gigha out of its precarious
financial situation and permanently into the black. It revolves around
the idea of a separate entity - Gigha plc - in which both individuals
and institutions can buy shares.
The idea also involves that most en vogue of island initiatives -
renewable energy. A feasibility study has already been carried out
on Gigha marking it down as a perfect place for a wind farm. Hobbett
believes investors in Gigha plc could provide money for perhaps two
wind turbines, which would then generate a good rate of return. The
trust would benefit by leasing the land the turbines stand on to the
plc. Another similar plan revolves around investment in a number of
properties on the island.
Gigha is very much a work in progress. But treat it like a company,
and suddenly, it starts to make sense. It went through a management
buyout, funded by investment from a number of different bodies. It
recruited a new manager, appointed a board that knows the business
well, and started looking at diversification.
It is attending to areas that were ignored by the previous owner,
such as housing, and is examining radical new projects like renewable
energy. It is in the midst of selling off its most lucrative assets,
and examining how it can maximise returns on such a sale. Its future
now depends on the ability to operate like a private company that
must respond to needs and react to economic conditions .
Gigha is a beautiful place. Dazzling white beaches jostle for space
with aqua blue glistening waters. The island sits in the gulf stream,
making the weather unseasonably warm for the time of year. Snow almost
never falls here, and outside the Gigha hotel, a palm tree unfurls
softly in the breeze.
It is an island where old traditions persist, where residents rarely
lock their doors, keys are left in cars, and no-one can walk down
the street without stopping to chat. Yet it is at the forefront of
one of the most modern concepts of our time, that of community landownership,
and it is using every trick in the book in order to make it viable.
Back at the hotel, the bar is filling up. Fishermen, fresh off the
boats, exchange banter while locals mill around, trading stories of
the day’s business, arranging council and board meetings, inquiring
about the latest fundraising projects.
"People grasped the opportunity and took the risk to purchase
the island." says Hobbett. "But everything takes time. The
intention, the feasibility, the viability, securing the funds, getting
in the investment. Executing all that will take time. But we’re
getting there."
Article Courtesy of The Scotsman |
scotsman.com |
07
Feb
2003 |
Whisky
body's duty cut plea
THE Scotch Whisky Association has called for the Treasury
to cut spirits duty by four per cent in this year’s Budget to
boost industry revenue .
Scotch is currently taxed at a rate of at least 1.5 times more than
the same amount of alcohol served in beer and wine, according to the
SWA.
Chairman Ian Good, who is also chief executive of distilling group
Edrington, said: "Reducing tax discrimination against spirits
would be a win-win situation."
Article Courtesy of The Scotsman |
scotsman.com |
05
Feb
2003 |
Study:
Light drinking may cut stroke risk
CNN Studies have indicated that drinking alcohol in
moderation can cut heart attack risks, and new research supports the
theory that the same holds true for preventing strokes.
"Light to moderate alcohol consumption may be protective against
... stroke while heavy alcohol consumption increases the risk,"
said Kristi Reynolds, a doctoral student at Tulane University and
co-author of the study, which is published in this week's Journal
of the American Medical Association.
Tulane University researchers reviewed 35 studies from 1983 to 2002
and concluded that one to two drinks a day is associated with an almost
30 percent lower risk of stroke, the third leading cause of death
in the United States.
But the findings don't mean the public should start an alcohol habit.
The research also found that heavy drinkers increased their risk of
stroke by more than 60 percent, canceling out any health benefits
of alcohol.
"The implications of these findings should be examined cautiously,"
the study concluded. "Any advice regarding the consumption of
alcohol should be tailored to the individual patient's risks and potential
benefits."
While they agree there is some protection associated with moderate
drinking, stroke experts said a cautious approach is best.
"There's no evidence not to drink in moderation, but we are not
ready to be advocating this either," said Dr. Robert Adams, an
official with the American Stroke Association and a professor at the
Medical College of Georgia.
After analyzing the previous studies, the Tulane researchers found
that someone who drank one to two drinks a day reduced their risk
of ischemic stroke by 28 percent over alcohol abstainers.
Ischemic stroke occurs when a blood vessel to the brain is clogged,
usually by a blood clot, and accounts for 80 percent of all strokes.
Hemorrhagic strokes make up the rest, caused when a blood vessel in
the brain bursts.
Drinkers of more than five drinks a day had a much greater risk of
ischemic stroke -- about 69 percent greater compared with abstainers.
A drink is commonly defined as 12 ounces of beer or wine cooler, 5
ounces of wine or 1.5 ounces of 80-proof distilled spirits.
About 600,000 Americans have a stroke each year, with 160,000 deaths
resulting, according to the American Stroke Association. It's also
the leading cause of long-term disability in the nation.
Heavy drinking has been linked to an increased risk of stroke in numerous
studies, but why moderate drinking might offer benefits is not fully
known, Reynolds said. Theories have suggested that alcohol thins the
blood and increases the amount of "good" cholesterol.
While research continues on the potential health benefits from moderate
drinking, don't rely on alcohol to improve your health, officials
said.
"If you really want to lower your risk for stroke, follow the
mainstays," Adams advised. "These will go a long way in
reducing your risks: Quit smoking, lower your cholesterol, start exercising
and keep a healthy diet."
Article Courtesy of CNN |
CNN.com |
02
Feb
2003 |
Selling
out
THE whisky industry needs to focus its thinking.
Marketeers from multinational companies have massive budgets, and
millions are spent yearly on advertising and on public relations promoting
individual brands. Very little, though, is spent on whisky education
and on helping drinkers to appreciate the many differing characteristics
of the various styles. This surely would be an initiative of great
advantage to the future of the spirit, especially at a time when wine-drinking
generations no longer regularly hand on whisky knowledge.
Try asking the marketeers to identify the taste differences between
Bells, Johnny Walker or Famous Grouse, and the answers will merely
be advertising slogans: "Our brand is cheaper"; "Buy
two, get one free"; or "Our brand has the largest market
share and so must be the best". Successful selling is all that
they care about. Promoting expert knowledge and discrimination, they
assert, is the job of the Scotch Whisky Association.
Unfortunately this does not work. The SWA is a generic body that helps
in education and the promotion of whisky. However, as with so many
generic bodies, the Scotch whisky producers pay towards its running,
and many of their leading players sit on the committees that make
the laws and policies. Each of these players is so afraid of unfavourable
treatment of their brands that they refuse to allow the SWA to make
judgments about individual whisky flavours or to differentiate between
them unless they do the same for all the members’ whiskies. So
many brands flood the market that such an enterprise would be completely
unworkable. Thus the SWA is reduced to a mere marketing voice for
the industry, rather than the preferable role of objective adviser.
The Scotch whisky industry would do well to look at the marketing
ideas of the Australian wine industry over the last 20 years. Their
effective, upfront campaigns concentrated on the taste and quality
of the wines, rather than on promotion of a particular brand. The
success is self-evident.
Soon, the marketeers must decide how to spend their huge budget. Let’s
hope they decide to promote the actual tastes of whisky and thus give
palate-pleasing satisfaction to the consumer. An ideal scenario would
be where the drinker could go to a cocktail bar, where the mixologist
would ask which flavour of whisky was preferred. He would then create
a dram by blending several different whiskies together to achieve
the drinker’s own bespoke spirit. Furthermore, if the whisky
industry were really flexible, producers could label their whisky
by the most dominant taste: heather, peat, red-fruits, honey, oak,
sherry. Most of the independent bottlers and producers of blended
whiskies have wide-ranging stocks of spirits that could easily cover
all these flavours and many more.
Whisky producers in a shrinking market must rethink their strategies
to regain the lost ground. If future drinkers were encouraged to appreciate
the vast range of flavours and styles available, they might very well
buy more whisky, not less. And then everyone is a winner.
Article Courtesy of The Scotsman |
scotsman.com |
31
Jan
2003 |
The
man who's big in Japan
A RUGGED mountainous country surrounded by water, where
the majority of the inhabitants live on the coast, and the ancient
peoples of the land fought with swords, their native clothing comprising
of long swathes of material wrapped around their bodies.
The description may bring up a vision of our own shores but, equally,
it could be applied to Japan, or "the Scotland of the Far East",
according to one Edinburgh small businessman.
Former psychology lecturer Tim Steward is particularly attached to
Japan and has built a business specialising in Japanese website translation
and design around his connections.
But the technology industry is not the only interest for Mr Steward.
He also runs the Malt Masterclass, a corporate hospitality and training
company, and was recently elected the new chairman of the Edinburgh
branch of the Federation of Small Businesses.
He came to the Capital in 1968 to study for a PhD in psychology at
Edinburgh University. In 1972 he became a member of staff, teaching
and carrying out occasional consultancy work until 1990.
But then he quit and completed an MBA before moving to Stirling to
study as part of the university’s Japanese programme.
Mr Steward says: "We did a three-year Japanese degree in about
nine months and then we were sent to Japan for six months. The first
three were spent in a university where we were taught by the ministry
of international trade and industry - basically the ministry of economic
warfare - who masterminded the rebirth of Japan after World War Two
with military precision.
"We had training on how the country rebuilt itself from nothing
and we worked in Japanese companies, living in company dormitories,
commuting at 7am and having compulsory drinking sessions until midnight
every night."
The plan was for British businessmen to gain experience of Japanese
corporate life but there was one problem which was not envisaged.
"The idea was that when we came back to Britain, companies here
would benefit from using people who had lived and worked in the Japanese
environment," says Mr Steward.
"But the problem was we were in the 1990s by then and we came
back just in time for the Japanese recession. The only thing to do
was to go out and find a job for yourself."
Back in Edinburgh, Mr Steward embarked on a new business venture,
setting up a company called Spidacom which specialised in web design.
But it was he and his partners’ knowledge of the Far East which
meant the company could attack a niche in the market.
He says: "In the beginning we were designing sites like everybody
else. We aimed to produce websites for small businesses but then we
realised the one skill we had which other companies didn’t -
we had enough skills to start producing websites in Japanese.
"We tried to steer clear of using software which produced instant
websites and would only work on some machines or some browsers, and
we used Apple Macs as well as PCs because Macs produce Japanese texts
better."
Mr Steward explains: "We used Internet Explorer, of course, but
also Netscape, Opera and all sorts of weird and wonderful browsers
to run across different computing platforms and browsers."
Spidacom also has experience in producing websites in Chinese and,
"at a pinch", Korean. And it can produce brochures, business
cards and other publications for firms wishing to enter the Far Eastern
market.
But with the Japanese market in long-term recession, new business
is not too forthcoming and Mr Steward candidly admits work is "fairly
slack". Turnover is less than £100,000 but with only two
full-time employees it is "ticking over and surviving" and
there are some opportunities for expansion.
"We’re happy to do any languages," he says. "There
are key markets such as France and Germany and companies who want
to work in those markets need to embed French and German words in
their websites or they are ignoring them - people always look for
search engines in their own language first.
"We can’t do Cyrillic scripts yet but we have contact with
someone who could supply Russian."
The second business set up by Mr Steward indulged another of his passions,
whisky, and built on previous consultancy work he had been involved
in for United Distillers when he worked as a brand ambassador in the
Far East.
He says: "I was involved in training staff in duty-free shops
how to sell whisky.
"If a Japanese businessman in a shop in Bali sees an exclusive
brand of Scotch whisky and asks why it is so good, if the shop assistant
can’t answer then she’s lost the sale.
"All the way round the Pacific Rim I trained staff to sell whisky
as knowledgeably as a Scots whisky connoisseur." Mr Steward adds:
"We do things like corporate hospitality providing structured
whisky tastings for companies.
"Last week we were at Dalmahoy country club doing whisky tasting
and team building exercises for 150 people from HBOS.
"In two weeks’ time we’ll be at the new St Andrews
golf hotel with a small still we own.
"We have a licence to produce whisky so people can see it done
in front of their eyes and we also do full-day training courses on
why whisky tastes the way it does.
"We can also source casks from whisky companies. There are occasions
like when Japanese companies reach a 25th anniversary and they want
casks of 25-year-old whisky as exclusive gifts for their clients,"
Mr Steward added. His extensive experience in the small business sector
made Mr Steward the ideal choice to lead the Edinburgh branch of the
FSB after the sudden departure of Stefano Boni to Australia. With
almost 1800 members in the Capital, this is no small undertaking.
Originally joining because of the networking possibilities, Mr Steward
was secretary before agreeing to step up to the chairman’s role.
He says: "From my point of view the FSB gives a whole series
of services invaluable to small businesses, probably the two most
valuable for members being help with VAT inspections and inland revenue
investigations which can tie up a lot of time, energy and pain.
"It can also point business in the right direction for alternative
quotes for things such as insurance and can save money because of
the strength of having a federation behind it."
And he is keen on the potential for small businesses to raise their
horizons and move into exports.
"As Scottish companies we now have our own parliament should
be thinking of the opportunities to sell in Italy, France, Germany
and further afield in China, Korea and Japan," says Mr Steward.
"Pushing forward the Scottish economy will depend on small businesses
seeing themselves as a dynamic force and selling abroad.
"Even companies such as shortbread makers making small exclusive
brands can find a niche in Japan or Korea or Germany if they start
to raise horizons and see themselves as export players".
Article Courtesy of The Scotsman |
scotsman.com |
21
Jan
2003 |
Liddell
slams door on calls for whisky tax cut
WHISKY industry leaders have effectively been told
there will be no cut in tax on spirits in the 2003 Budget.
The news was delivered yesterday by Secretary of State Helen Liddell,
dashing the hopes once again of Scotland’s second biggest export
industry, at a time when overall national exports have tumbled 25
per cent in the past year.
Liddell downplayed calls from the Scotch Whisky Association and Ian
Good, executive chairman of Edrington, Scotland’s largest whisky
company, to reduce duties on spirits to the same level as drinks such
as beer and wine.
Her remarks came as she presented a new report from the SWA showing
the importance of the whisky industry to the Scottish economy. More
than 40,000 jobs are supported by whisky production, with more than
£800 million in income generated annually.
The SWA calculates that equalising duty on spirits and wine would
increase exports by £400 million, with volumes surging by 40
per cent.
In light of the new figures, Good repeated a long-held appeal by distillers
for the Treasury to cut taxes on spirits. He called on Liddell to
"do more for the industry," adding: "Where else in
the world are indigenous companies with so much to offer taxed more
heavily [than their competitors]? Please give us a level playing-field."
However, Liddell gave short shrift to those calls, as she stressed
the "very big benefit" that Chancellor Gordon Brown has
extended to the whisky industry by freezing duties on spirits during
the past five years - narrowing the gap as taxes on beer and wine
have risen.
Liddell added: "You have to remember that if the Chancellor does
not raise income [somewhere], that means less money for hospitals
and schools" - sentiments which suggested she has ruled out the
duties on spirits being reduced in the April Budget.
In light of Liddell’s comments, members of the SWA said they
will send a submission to Brown next week refuting the claims of the
Secretary of State for Scotland.
In its annual report ahead of the Budget, the SWA will claim that
a cut in tax on spirits would encourage sales - potentially boosting
income for the Exchequer. Increased sales would also benefit the Scottish
economy substantially at a time when the outlook is gloomy.
According to the SWA report, the whisky industry spreads almost £700
million over its supply base in Scotland, and more than £1 billion
across the UK. Almost 10,000 Scots are directly employed in whisky
production, including 7,000 in rural areas, with a further 30,000
working in related jobs.
More than 65,000 jobs are connected to the whisky industry across
Britain, down from 71,000 when the last SWA report was conducted in
1992. Good said: "We are a prime example of a business cluster
extending our benefit around the economy. The industry is committed
to local suppliers, which is particularly important to rural communities
where the economy can be fragile."
He is lobbying for duty on spirits to be reduced by 4 per cent per
year until 2011 - sufficient to level the duty with other alcoholic
drinks.
The whisky industry is the second biggest Scottish exporter after
electronics, and sources a greater proportion of its inputs from Scottish
producers than other industries.
Article Courtesy of The Scotsman |
scotsman.com |
21
Jan
2003 |
Whisky
Galore relic snapped up
A relic from the ill-fated cargo ship which inspired
the film Whisky Galore has fetched more than £1,500 at auction.
The SS Politician secured its place in Western Isles folklore when
it ran aground in the Sound of Eriskay more than 60 years ago.
It provided a bonanza for islanders when they salvaged its cargo of
whisky.
A whisky case panel from the vessel was expected to attract bids of
up to £500 when it was auctioned in London on Tuesday.
However, a spokesman for auctioneer Bonhams said the lot had done
"exceptionally well" to secure a bid of £1,528.
"Selling for three times the top estimate is a cause for celebration,"
he told BBC News Online Scotland.
"We are absolutely delighted but I am not surprised that someone
wanted a permanent memento from one of the most embarrassing moments
for the company, and one of the most memorable for the islanders."
A collection of marine paintings and memorabilia was sold on Tuesday
by Harrison Line, the Liverpool shipping company which owned the Politician.
BBC documentary
This included the stencilled wooden panel from a Ballantine's Liqueur
Whisky case, which is thought to have held a dozen bottles.
The panel was accompanied by a photograph of the vessel and a video
of a 1982 BBC Scotland documentary about the stranding of the Politician.
The ship left Liverpool on 3 February 1941 bound for Kingston, Jamaica.
The ship ran aground on Eriskay
Its cargo included 22,000 cases of Scotch whisky.
However, the weather deteriorated as she steamed north in waters which
were unlit because navigation marks had been turned off for wartime
security.
At 0745 GMT the following day the Politician struck rocks on the northern
side of the island of Eriskay.
While the marooned vessel awaited salvage local fishermen boarded
the ship and found the crates of whisky.
Islanders swarmed aboard and removed the cargo in the dead of night.
Sent to jail
It is estimated that up to half the cases of whisky eventually found
their way ashore - along with other items including silk, perfume,
bicycles and toothpaste.
Nineteen islanders were eventually prosecuted for looting whisky and
sent to jail for a month.
The tale provided inspiration for author Compton Mackenzie, who lived
on nearby Barra.
The novel Whisky Galore, based on the event, was published in 1947
and turned into an Ealing comedy the following year.
Article Courtesy of BBC |
BBC |
20
Jan
2003 |
Winter
cheer
PROOF at last, as if it were ever needed, that it must
be winter.
In coldest Sweden, sales of spirits are rocketing. Boosted by high
consumer spending and a thirst for the hard stuff, alcohol sales soared
8 per cent last year, the biggest rise since the 1950s.
And as the Swedes shiver their way through January and February, the
figures are expected to keep on rising.
For a country with an alcohol consumption rate way below the European
average, it is an interesting trend.
Swedes are a notoriously pious bunch when it comes to drinking, but
a lowering in taxes, on wine at least, means that more of them are
now seriously indulging in a snifter or two to keep out that winter
chill.
In other Scandinavian countries, however, they’re going even
further. In Norway, taxes on Scotch whisky were slashed by 9 per cent
from 1 January this year.
Both Denmark and Finland are expected to follow suit in the near future,
in the light of changes to EU legislation due to come into effect
next year.
Sweden is now under pressure to cut its own taxes on alcohol. Since
the new rules came into effect two weeks ago, Denmark has seen a flood
of Swedes nipping over the border to stock up on cheaper booze.
The lengths some people will go to for a glass of Scotch...
Article Courtesy of The Scotsman |
scotsman.com |
15
Jan
2003 |
Bruichladdich
- The Best for Burns Night
Bruichladdich Fifteen Year Old has been recommended
by the leading US spirits journalist and connoisseur, Paul Pacult,
as his four-star ideal single malt to drink for Burns night, celebrated
on 25th January.
“At this regular midwinter ritual Burns is toasted as the feast
begins and his poem “To a Haggis” is read. Bagpipes are
mandatory, of course. Their plaintive wail sets the stage for the
whisky tasting and dinner. The typical Burns night menu features traditional
Scottish fare, like haggis, Scotch eggs, tatties and neeps (mashed
potatoes and turnips), and venison, all washed down by drams of good
whisky, like Bruichladdich Fifteen.”
“Sweet barley malt, oloroso sherry, heather and pineapple scents
mingle perfectly with flavours of heather and light peat. Finishes
warm, zesty and sweet.”
JimMcEwan Production Director at Bruichladdich and the current Distiller
of the Year says:-
‘This is great news - not only is Bruichladdich the most popular
malt on the island of Islay itself, it is now being recommended as
a toast to Scotland’s Godfather of poetry and song, Robbie Burns.
Wherever you live in the world and however you choose to celebrate
Burns Night, be sure to do so with a dram like Bruichladdich and recapture
the spirit of the great man himself.’
For details of stockists please contact Malcolm Cowen Ltd 020 8965
1937
or e-mail info@cowen.co.uk
Rupert Wilkins Mobile 07721 890 863
Press release from Bruichladdich |
Bruichladdich |
07
Jan
2003 |
Diageo
accused in £50m US deal
DIAGEO, the world’s biggest spirits company with
its production headquarters at the Gyle in Edinburgh, has been accused
of unlawfully breaking a distribution deal with a rival distributor,
National Wine & Spirits.
NWS had a deal with Seagram worth about £50 million a year in
sales - but it has been dropped by Diageo in the United States’
Illinois market, which includes Chicago.
The distributor claims the switch breaks Illinois law and its existing
Seagram agreement.
But Diageo said its selection process was "above board"
in Illinois and the other 25 states in which consolidation had occurred.
The US spirits market is idiosyncratic in the way it protects a middle
tier of distributors such as NWS and Judge & Dolph to act as a
buffer between distillers and retailers - a legacy of 1920s prohibition.
Diageo, whose Smirnoff vodka and Johnny Walker labels dominate their
respective markets, is reducing the number of distributors it deals
with in the US in an attempt to market its brands more effectively.
Its joint purchase of the Seagram drinks business with Pernod Ricard
gave it a clear size advantage over competitors - a gap it now wants
to exploit.
Diageo’s distributor consolidation strategy - entitled Next Generation
Growth - is similar to one that has been a success for Anheuser-Busch,
the number one brewer in the US, and it is important to Diageo’s
attempts to wring increased sales growth out of a mature industry.
Diageo this month named Judge & Dolph as the Illinois state distributor
of a broad portfolio of its drinks, ranging from Smirnoff vodka to
Captain Morgan rum.
James LaCrosse, chairman and chief executive of NWS, said: "We
are obviously disappointed by the Diageo decision.
"However, we do not believe this action by Diageo to be lawful,
and we look forward to resolving this with Diageo over the next several
weeks and months."
Diageo raised expectations that it would have to pay off disgruntled
distributors in a regulatory filing late last year. It said its attempts
to consolidate distribution were likely to "continue to give
rise to legal actions by some distributors and regulatory bodies at
the state level".
Although it said litigation was not expected to be material to its
overall business, it conceded that "some settlements will be
negotiated".
No-one at NWS was available to comment further, however it confirmed
it was told on January 3 that it was not chosen as the exclusive Diageo
distributor for Illinois, and its current distribution rights in the
state would end on February 3.
NWS said revenue for the affected Diageo brands in Illinois in the
year to last November was £49 million, with about 500,000 Diageo
cases shipped.
Article Courtesy of The Scotsman |
scotsman.com |
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