Foster's Group chairman Frank Swan today (23 October) told the company's shareholders that the company is "confident" it will meet its annual financial targets thanks to growing wine sales in the Americas and Europe.

Swan told the Foster's AGM that the company expects to meet the targets it set out when it bought domestic wine rival Southcorp last year.

"Our focus in fiscal 2007 is on accelerating wine volume and revenue growth, refining our sales and route-to-market capability and bringing new product and innovation initiatives to market," Swan said.

"Globally, wine volumes continue to improve and we remain confident of achieving category growth levels by the end of this financial year."

Swan admitted that Foster's wine sales in Australia were suffering as the company continued to work to build a distribution network that handled sales of its wine, beer and RTD portfolio.

Nevertheless, he sounded a note of optimism about the prospects of Foster's wine business in the Americas and Europe. "However, underlying wine volume and revenue growth trends in the Americas continue to improve and the performance in Europe, the Middle East and Africa is performing strongly with a promotional program driving UK volume growth well ahead of last year."

Swan added that a planned share buy-back had been delayed due to the recent takeover speculation surrounding the company.