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Beringer Blass expands portfolio with T'Gallant

Melbourne, 03 April 2003

Beringer Blass Wines Estates (Beringer Blass), a global leader in premium wine and a major division of Foster's Group, announced today that its Asia Pacific Trade division has acquired T'Gallant Winemakers, an ultra-premium producer of Pinot Gris, Pinot Noir and Chardonnay. The price, which is not material, is subject to a confidentiality agreement with the vendor.

Located on the Mornington Peninsula, within one hour's drive of Melbourne, T'Gallant is the highest profile Pinot Gris producer in Australia, with listings in many leading restaurants in both Melbourne and Sydney.

Pinot Gris (or Pinot Grigio, the Italian name for the same variety) is a deep golden coloured white wine with rapidly growing niche appeal in the high-end, on-premise market. The variety is best suited to cool climate viticulture.

"T'Gallant will broaden our premium regional wine portfolio, providing us with our first Pinot Gris and our first offering from the increasingly popular Mornington Peninsula region," said Jamie Odell, Managing Director Trade Asia Pacific. "This will benefit our on-premise exposure, which is a key growth opportunity in itself and an important platform for brand building in general. It will also enhance our white wine portfolio and benefit our development in the wine tourism arena."

Kathleen Quealy and Kevin McCarthy, the husband-and-wife team who established T'Gallant in 1990, will continue as winemakers. The pair has a reputation in the Australian wine industry for developing wine styles in advance of consumer demand, while their use of avant-garde label designs by Ken Cato has also won favorable attention from the wine press, trade and consumers.

"Kathleen Quealy and Kevin McCarthy will continue to run T'Gallant as an independent, boutique operation, while benefiting from Beringer Blass's on-premise sales resources," said Jamie Odell.

The T'Gallant purchase includes the T'Gallant, TGQ and Cape Schanck brands, wine stocks, an eight hectare (20 acre) vineyard, a 700 tonne winery, and 350,000 litres of stainless and oak storage. It also includes the winery's two restaurants, the fine dining "La Baracca" restaurant and an outdoor café pizzeria, both adjacent to the T'Gallant cellar door.

With its range retailing from $16 to $49 at cellar door, T'Gallant achieved annual sales of approximately 15,000 cases in fiscal 2002, primarily to restaurants or cellar door clientele.

The Mornington Peninsula has substantial sales and marketing advantages due to its proximity to Melbourne and its growing appeal as a tourism destination and lifestyle property choice.

Further information:

Media:
Rell Hannah
Tel: +613 8626 3307
Mob: 61 419 369 075

Investor Relations:
Domenic Panaccio
Tel: +613 9633 2773