Foster's and Tarac agree Nuriootpa sale

Foster's and Tarac Agree Nuriootpa Sale

Foster's Group Limited (Foster's) and Tarac Technologies Pty Ltd (Tarac) today agreed the sale of the Foster's Nuriootpa White Winery Packaging and Warehouse Complex in South Australia's Barossa Valley.

The sale, flagged in June 2006, includes all assets at the Nuriootpa White Winery Packaging and Warehouse Complex, excluding the red winemaking facilities in the southern section of the site.

Under the terms of the sale, Foster's will lease back the site until 30 June 2010.

"The sale of this property is another important step in the consolidation of Foster's winery and production operations, said Foster's Chief Executive Officer, Trevor O'Hoy. "We're pleased that Tarac, an established Barossa Valley business, is investing in the long term future of the region."

"The site represents a quality, high profile and versatile asset, and once the lease-back period has expired we intend to expand our services to include finished goods warehousing and bulk wine storage, contract winemaking and laboratory services", said Nic Law, Tarac Joint Chief Executive Officer.

Foster's will continue to own and operate the Penfolds red winemaking facilities. Additionally, the Penfolds Cellar Door will continue to be operated under a long term lease-back arrangement.

"Tarac is delighted to continue our long association with Foster's", Mr Law said.

Details of the sale agreement, including the price and payment details are confidential but not considered material to Foster's.

Further information:   

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