Growth Brands - continued

ESTABLISHED GROWTH BRANDS

Many of these brands are large-volume brands, leaders in their respective categories, which, in several instances, have been cited as Established Growth brands before. And, in many cases, these are premium products that produce high margins.

As in previous years, several well-known distilled spirits brands are included. Here are some highlights in this category. Bacardi, the top-selling spirit in the U.S., continued its enormous growth, adding another 310,000 cases last year to 8.45 million 9-liter cases. Captain Morgan Original Spiced Rum (Diageo) increased by almost 600,000 cases last year, an impressive 13.9% gain. Brown-Forman's Jack Daniel's also continued growing its numbers, up 7.4% in 2004 to more than 4.22 million cases. Diageo's Jose Cuervo once again powered the tequila category in 2004, increasing to 3.4 million cases, while the company's superpremium Canadian whisky, Crown Royal maintained its amazing growth, increasing by 11.3% to more than 3.55 million cases.

Hennessy Cognac, from Schieffelin & Co., broke the 2 million case barrier for the first time in 2004, while McCormick Distilling's McCormick Vodka posted sales of more than 1.93 million cases. Southern Comfort (Brown-Forman) gained 5.4% to just under 1.4 million cases.

Top-selling brands that have sold at least 400,000 9-liter cases
and have grown moderately or substantially over the past four years.

DISTILLED SPIRITS (thousands of 9-liter cases)

Brand	Supplier	2000			2001			2002		2003		2004p			'03/'04 % Chg	'00/'04 ACGR
Bacardi	Bacardi USA	7,400			7,660			7,800		8,140		8,450			3.8%	3.4%
Smirnoff	Diageo	5,783			6,298			6,933		7,185		7,257			1.0%	5.8%
Captain Morgan	Diageo	3,260			3,575			3,933		4,210		4,795			13.9%	10.1%
Jack Daniel's	Brown-Forman Beverages	3,652			3,698			3,770		3,935		4,225			7.4%	3.7%
Crown Royal	Diageo	2,675			2,842			3,058		3,195		3,556			11.3%	7.4%
Jose Cuervo	Diageo	2,735			3,045			3,180		3,246		3,408			5.0%	5.7%
DeKuyper	Jim Beam Brands	2,563			2,563			2,590		2,735		2,790			2.0%	2.1%
E & J Brandy	E & J Gallo Winery	2,200			2,300			2,350		2,420		2,450			1.2%	2.7%
Hennessy	Schieffelin & Co.	1,500			1,650			1,750		1,880		2,010			6.9%	7.6%
Stolichnaya	Allied Domecq Spirits USA	1,350			1,490			1,640		1,855		1,935			4.3%	9.4%
McCormick Vodka	McCormick Distilling	1,595			1,701			1,744		1,800		1,931			7.3%	4.9%
Barton Vodka	Barton Brands	1,383			1,459			1,483		1,487		1,532			3.0%	2.6%
Southern Comfort	Brown-Forman Beverages	1,252			1,269			1,304		1,322		1,393			5.4%	2.7%
Malibu	Allied Domecq Spirits USA	850			930			940		1,040		1,300			25.0%	11.2%
Jose Cuervo Authentic M'grita's	Diageo	850			900			950		1,155		1,293			11.9%	11.1%
Baileys	Diageo	974			1,031			1,141		1,281		1,285			0.3%	7.2%
Paul Masson Brandy	Barton Brands	1,037			1,158			1,200		1,230		1,276			3.7%	5.3%
Skol Vodka	Barton Brands	1,108			1,157			1,183		1,206		1,242			3.0%	2.9%
Castillo	Bacardi USA	1,100			1,150			1,167		1,195		1,200			0.4%	2.2%
Johnnie Walker Black	Diageo	545			595			645		675		715			5.9%	7.0%
Bombay Sapphire	Bacardi USA	455			550			605		650		705			8.5%	11.6%
Aristocrat Vodka	Heaven Hill Distilleries	630			640			650		660		680			3.0%	1.9%
Remy Martin	Remy Amerique	489			550			600		620		645			4.0%	7.2%
Rich & Rare	Allied Domecq Spirits USA	455			480			545		550		595			8.2%	6.9%
Burnett's Vodka	Heaven Hill Distilleries	440			435			455		485		560			15.5%	6.2%
Wild Turkey	Pernod Ricard USA	501			502			503		511		528			3.3%	1.3%
Grand Marnier	Schieffelin & Co.	440			460			474		495		510			3.0%	3.8%
Belvedere	Millenium Import	167			325			365		405		440			8.6%	27.4%
Chi-Chi's	Barton Brands	320			362			372		393		405			3.1%	6.1%

(p) Preliminary    ACGR=Annual Compound Growth Rate

The most impressive percentage gainer among the spirits Established Growth Brands is Malibu (Allied Domecq Spirits USA), which jumped a hefty 25.0% in 2004, to 1.3 million cases. Another high percentage gainer is Jose Cuervo Authentic Margaritas (Diageo), which increased by 11.9% to just under 1.3 million cases, while Bombay Sapphire (Bacardi USA) broke 700,000 cases (up 8.5%) and Heaven Hill's Burnett's Vodka jumped 15.5% to 560,000 cases.

Just as in the spirits segment, wines noted here are some of the best-selling wines in the U.S., and this year's list equals last year's number of 22 brands. Among the seven California wines included here are Clos du Bois (Allied Domecq Wines USA), which gained a hefty 10.0% in 2004 to more than 1.65 million cases; Robert Mondavi Private Selection, which broke through the 1.5 million case mark; Korbel sparkling wine (Brown-Forman Beverages), up 7.0% to just under 1.2 million cases; ForestVille Vineyards (Classic Wines of California), which reached 720,000 cases; and J. Lohr Estates, which gained an impressive 15.7% in 2004 to 560,000 cases.

Top-selling brands that have sold at least 500,000 9-liter cases
and have grown moderately or substantially over the past four years.

WINES (thousands of 9-liter cases)

Brand	Supplier		2000			2001				2002			2003			2004p			'03/'04 % Chg	'00/'04 ACGR
Concha y Toro	Banfi Vintners		1,972			2,063				2,122			2,286			2,610			14.2%	7.3%
Cavit	Palm Bay Imports		1,000			1,500				1,900			2,100			2,150			2.4%	21.1%
Lindemans	Southcorp Wines USA		1,414			1,597				1,760			1,941			1,984			2.2%	8.8%
Clos du Bois	Allied Domecq Wines USA		1,192			1,341				1,447			1,505			1,656			10.0%	8.6%
Robert Mondavi Private Selection	Robert Mondavi Winery		1,142			1,260				1,356			1,414			1,519			7.4%	7.4%
Korbel	Brown-Forman Beverages		926			1,015				1,092			1,116			1,194			7.0%	6.6%
Chateau Ste. Michelle	Ste. Michelle Wine Estates		773			853				975			1,054			1,175			11.5%	11.0%
Ecco Domani	E & J Gallo Winery		500			575				600			700			900			28.6%	15.8%
Leonard Kreusch	Leonard Kreusch		660			689				743			765			803			5.0%	5.0%
Martini & Rossi Asti	Bacardi USA		690			700				735			750			760			1.3%	2.4%
Citra	Palm Bay Imports		650			690				700			750			760			1.3%	4.0%
ForestVille Vineyards	Classic Wines of California		390			395				650			690			720			4.3%	16.6%
Schmitt Soehne	H. Schmitt Soehne		550			590				630			670			720			7.5%	7.0%
Penfolds	Southcorp Wines USA		189			220				559			665			697			4.8%	38.6%
Freixenet	Freixenet USA		571			590				603			619			635			2.6%	2.7%
Bogle	Bogle Vineyards		240			320				490			600			630			5.0%	27.3%
Ruffino	Schieffelin & Co.		460			500				535			550			565			2.7%	5.3%
Verdi Spumante	Carriage House Imports		358			384				440			499			563			12.8%	12.0%
J. Lohr Estates	J. Lohr Winery		375			407				468			484			560			15.7%	10.5%
San Pedro	Shaw-Ross Int'l Importers		450			500				525			545			550			0.9%	5.1%
Takara Sake	Takara Sake USA Inc.		305			470				480			490			510			4.1%	13.7%
Estancia Estates	Franciscan Estates/ Constellation		360			430				470			485			507			4.5%	8.9%

Other wines that had an exceptional year include Concha y Toro (Banfi), which boasts a 14.2% increase to 2.61 million cases; Chateau Ste. Michelle Wines, which rose 11.5% to more than 1.17 million cases; and Ecco Domani, imported from Italy by E&J Gallo, which had a tremendous 28.6% gain to 900,000 cases. Among several other Italian imports noted here, Verdi Spumante (Carriage House Imports) showed a double-digit percentage increase to 563,000 cases, while J. Lohr wine also notched a double-digit percentage gain.

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