US/FINLAND: Brown-Forman acquires majority share in Finlandia
Following its acquisition of a majority share in FVW, Brown-Forman will assume full marketing responsibility for the brand. The company has unveiled a comprehensive programme to boost the growth of Finlandia globally. It said it will significantly increase spend behind the brand in the US and in other key vodka markets to as much as $18m in the first year, more than doubling the marketing investment in the brand in those markets.
Altia, the state-owned Finnish spirits producer, is to retain a 20% interest in FVW and will remain the exclusive supplier of vodka to the operation through to 2017.
"This action represents the next step in Altia's plan to raise the profile of Finlandia as a leading global premium vodka," said Altia's president and CEO, Veikko Kasurinen. "Brown-Forman has demonstrated an excellent knowledge of the market for our product and is now committing substantial marketing, sales and management resources to further its growth. It is very important for Altia to continue as exclusive supplier and to maintain the Finnish heritage of the brand."
For Brown-Forman, William M. Street, the group's president said: "Finlandia is an important part of our global portfolio of brands. We are delighted with the expansion of our partnership with Altia and with our new leadership role in Finlandia's development as a brand. We believe this refinement in the relationship and additional advertising and promotional spending are the logical next steps in keeping Finlandia competitive in a fast-paced, fashion intensive segment of the global spirits market."
Brown-Forman has signed its first Southern Hemisphere wine....
Brown-Forman has announced the next step in its succession plan....
US wine and spirits group, Brown-Forman, has announced a quarterly cash dividend of 24.50 cents per share on Class A and Class B Common Stock, following a board meeting....
Brown-Forman has reported earnings growth of 21% for its fiscal year to 30 April....
The US wines and spirits company, Brown-Forman, has launched its vodka brand, Finlandia, in India. Along with the core brand, three flavoured versions of Finlandia are also to be made available on the...
A bidding war for Allied Domecq looks more likely after Constellation Brands confirmed yesterday that it has approached the Bristol-based spirits company about launching a bid to rival that of Pernod ...
The likelihood of Pernod Ricard remaining the sole bidder for Allied Domecq has reduced over the last two days....
A host of drinks companies spent the weekend mulling over whether to launch counter-bids for Allied Domecq, according to press reports over the last few days....
- The End of the Road for International Beer Brands?
- Comment - Another One Bites Bacardi's Dust
- Allegro: The shape of things to come at Pernod?
- Pernod Ricard's FY Performance by Region, Brand
- US craft vodka puts squeeze on Pernod's Absolut
- Mast-Jägermeister targets UK off-trade boost
- Pernod bemoans tough FY as sales, profits drop
- ASA bans Jägermeister TV ad
- Bacardi announces CFO switch
- SABMiller exec to become CFO at Beam Suntory