The Company’s internal organization structure consists of two business divisions,
Constellation Wines and Constellation Beers and Spirits. Separate division chief
executives report directly to the Company’s chief operating officer. Consequently,
the Company reports its operating results in three segments: Constellation Wines
(branded wine, and U.K. wholesale and other), Constellation Beers and Spirits
(imported beers and distilled spirits) and Corporate Operations and Other (primarily
corporate related items and other).
Constellation Wines
Constellation Wines is the leading producer and marketer of wine in the world.
It sells a large number of wine brands across all categories - table wine, dessert
wine and sparkling wine - and across all price points - popular, premium, super-premium
and fine wine. The portfolio of super-premium and fine wines is supported by
vineyard holdings in the United States, Australia, New Zealand and Chile. As
the largest producer and marketer of wine in the world, Constellation Wines
has leading market positions in several countries. It is a leading producer
and marketer of wine in the United States and Australia, and the largest marketer
of wine in the United Kingdom. In addition, Constellation Wines exports its
wine products to other major wine consuming markets of the world.
In the United States, Constellation Wines sells 19 of the top-selling 100 wine
brands and has one of the largest fine wine portfolios. In the United Kingdom,
it has seven of the top-selling 20 table wine brands to the off-premise market,
four of the top-selling 10 table wine brands in the on-premise market and the
best selling brand of fortified British wine. In Australia, it has wine brands
across all price points and varieties, including a comprehensive range of premium
wine brands, and is the largest producer of cask (box) wines.
Constellation Wines’ leading wine brands include Robert Mondavi Winery, Simi,
Franciscan Oakville Estate, Estancia, Ravenswood, Blackstone, Robert Mondavi
Private Selection, Ruffino, Alice White, Nobilo, Hardys, Woodbridge by Robert
Mondavi, Vendange, Arbor Mist, Almaden, Stowells and Paul Masson.
Constellation Wines is also the leading independent beverage wholesaler to the
on-premise trade in the United Kingdom and has more than 20,000 on-premise accounts.
The wholesaling business is wine led, but also involves the distribution of
branded distilled spirits, cider, beer, RTDs and soft drinks. These products
include Constellation Wines’ branded wine, cider and water products, and products
produced by other major drinks companies.
Constellation Wines is also the second largest producer and marketer of cider
in the United Kingdom, with leading cider brands Blackthorn and Gaymer’s Olde
English, and produces and markets Strathmore, the leading bottled water brand
in the United Kingdom on-premise market.
In conjunction with its wine production, Constellation Wines produces and sells
bulk wine and other related products and services.
Constellation Beers and Spirits
Constellation Beers and Spirits imports and markets a diversified line of beer
and produces, bottles, imports and markets a diversified line of distilled spirits.
It is the largest marketer of imported beer in 25 primarily western U.S. states,
where it has exclusive rights to distribute the Mexican brands in its portfolio.
Constellation Beers and Spirits has exclusive rights to the entire United States
for its non-Mexican beer brands. It distributes six of the top 20 imported beer
brands in the United States: Corona Extra, Modelo Especial, Corona Light, Pacifico,
Negra Modelo and St. Pauli Girl. Corona Extra is the best selling imported beer
in the United States and the sixth best selling beer overall in the United States.
The segment also imports the Tsingtao beer brand from China.
Constellation Beers and Spirits is the third largest producer and marketer of
distilled spirits in the United States. Substantially all of the segment’s distilled
spirits unit volume consists of products marketed in the value and mid-premium
priced category. Principal distilled spirits brands include Black Velvet, Barton,
Sköl, Fleischmann’s, Canadian LTD, Montezuma, Ten High, Chi-Chi’s prepared cocktails,
Mr. Boston, Inver House and Monte Alban. The segment is continuing efforts to
increase its premium spirits offerings, with brands that include Black Velvet
Reserve, the 99 Schnapps family, Ridgemont Reserve 1792 and Effen Vodka.
Constellation Beers and Spirits also sells bulk distilled spirits and other
related products and services.
Corporate Operations and Other
The Corporate Operations and Other segment includes traditional corporate-related
items including executive management, corporate development, corporate finance,
human resources, internal audit, investor relations, legal and public relations.