Evans & Tate has completed the sale of its bulk wine inventory but said it would work with consultants 333 Performance Management for a further three months in a bid to turn around the business.

The troubled Australian wine producer said that it sold 102,000 hectolitres of bulk wine at an average price of A$0.35 (US$2.59) per litre, a price it deemed "reflective of current market conditions".

Record vintages in 2004 and 2005 had led to excess supply at Evans & Tate, which the company could not sell due to a slump in domestic sales.

Business consultants 333 Performance Management have worked with Evans & Tate since June in a bid to turn the company around. Evans & Tate said it would continue to work with the consultants for a further 90 days as it undergoes a restructuring process, under new chief executive Martin Johnson.

Chairman John Hopkins told shareholders at the company's AGM today (30 November) that Evans & Tate was targeting higher revenues and lower costs but warned difficult trading conditions would continue.

"There is no doubt that the wine industry is going through tough times and we have to ride it out," he said. "We can't predict how long this will last."