Hardys plans centralised winery

27 August, 2008
Page 5 
The Hardy Wine Company has announced plans to move winemaking and packaging to one central winery, as part of an efficiency drive by owner Constellation Brands to save US$5 million a year.

Winemaking will move from the Buronga winery to Berri Estates, the largest winery in Australia, for the start of the 2008 harvest. Packaging will move in May 2008.

Some jobs are expected to be lost , but some staff will remain at the winery to support local grape growers and continue grape processing there.

Rob Sands, Constellation Brands president and chief executive, said: "Given the ever-changing global marketplace, we continuously review our operations around the world to ensure maximum asset utilisation and to better assure that we are well-positioned for ongoing long-term growth and value creation."

The company said it was expecting to incur costs of US$16 million for the move, but would save US$5 million annually by the end of the 2009 tax year.

Comment

Christian Davis

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