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Torula News

a news service for Cognac and the region  edited by M. Andrew

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Cognac & the region Headlines from Torula News

Date

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11 July Irish Kiss, Cognac and Walter O'
10 July Cognac collectors items
09 July Edito and Cognac Cigar 
29 Jun All roads lead to Courvoisier
28 Jun Sommeliers in short supply
27 Jun Alcohol consumption trends
26 Jun US market helps Rémy Martin
25 Jun Cognac Esteve wins again
22 Jun Cognac in RVF
21 Jun Cognac tasting in Paris
20 Jun Luxury focus at Hennessy
19 Jun A de Fussingy does it again
18 Jun Red flows in the fjords II
15 Jun Tax-Free Asia Pacific
14 Jun Philippe Moreau
13 Jun Elegance for summer
12 Jun Forgeries in Vietnam
11 Jun Red flows in the fjords
8 June Cognac Forum
7 June What's in an URL name?

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Cognac brands on the stock markets - weekly performance

Drinks and beverages industry news. Courtesy of moreover.com

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From the New Year card by Guy Peellaert 1999

24/02/00 Click here to view the Glenmorangie Single Highland Malt Scotch Whisky - Cognac Matured ... label. Some view it as a positive endorsement of finer qualities of Cognac and some are in shock. We think it is good marketing for both products, Single Malt Scotch and Cognac. See related news items on 01/02/00, 04/02/00 and 10/02/00.
23/02/00 Cognac Pierre Ferrand, Cognac Gabriel & Andreu and their other products plus Cognac Landy' Claude Chatelier and Pierre Ferrand Pineau des Charentes can now be seen on the Internet.
22/02/00 In September 1998 seven viticultrices (women who worked in the viticulture) formed an association CastelTonic to promote Cognac, Pineau des Charentes and the region. Their base of operation is Châteauneuf sur Charente. Since their inception, the Magnificent Seven ( Frédèrique, Christine, 2 Dominiques, Cathy, Martine and Sonia), were actively promoting  products in Limoges, City of Cognac, Angouleme, Paris and Parthenay. And now, they plan to do the same in 51 other towns with the name of Châteauneuf. The first will be Châteauneuf sur Loire in June 2000.
21/02/00 Some 500 members of the Distillers Association (Bouilleurs de Cru) in the Cognac region, led by its co-founder Pascal Millasseau, have had it enough. When the BNIC proposed to them to sell Cognac at F15 per glass at the upcoming Salon de l'Agricilture in Paris to pay for their presence, they rightfully explained that they are distillers not barmen, and that it is not legal for them to sell anything under their Association charter. It must be noted that at no other Bouilleurs de Cru or CastelTonic (another association that broke ranks with the BNIC) exhibits were there any sales of Cognac. BNIC, at their own promotion at Gastronomade'99 in Angouleme, offered free drinks. This sudden fiscal prudence by the BNIC is contrary to their mindless investments in many promotion campaigns, Thriller Film Festival being one, for example. It may have to do, however, with the recent audit of the BNIC Communication Department. Torula News wrote many a times of a complete disarray at the BNIC; statistics for 1999 are late (i.e. Champagne industry already published them - 327 million bottles sold; a 11.8% increase in foreign sales), promotions of Cognac are inept and lots of money is being spend internally on services that should be outsourced (i.e. computing, Station Viticole, tastings). This latest spat with the Bouilleurs de Cru is yet another example of bad PR and inept handling of the situation. It appears that the current President of the BNIC, himself a distiller, has become a virtual prisoner of the BNIC bureaucrats. Where is the energy, the ideas and forthright thinking of fourteen months ago shared in an interview with Torula News a day after his election? Will this be a proverbial straw that broke camel's back and the Cognac industry will unite and clean the house at the BNIC? (Sud-Ouest19/02/00, Torula News)
18/02/00 A quick follow up to our 8 March story on the state of wines and brandy in South Africa. EU (European Union) Ministers proposed to South Africa a 5-year transition period to stop using several spirit names like grappa and ouzo, on South African produced liquor. South African government has not respond it to this proposal. It is worth noting that South African distillers no longer produce ouzo and they do barely 30,000 bottles of grappa a year. Ah, the politics! (IHT15/02/00)
18/02/00 LuxuryFinder.com is a portal web site to luxury items and that, of course, includes Cognac. If it was not for Morrel of New York, Cognac would be there only as a part of recipe and a journalistic musings. They also launched a Luxury Calendar recently, making our Cognac 2000 Calendar even more relevant. The Luxury Finder is worth a visit.
18/02/00 The "electronic" ink barely dried up (see our story of yesterday - The Ides of March repeat in Cognac) when the career bureaucrats of the Cognac, Pineau des Charentes and Vin de Pays Charentais industry went on the offensive defending their failed programs. The same people who significantly contributed to declining sales of Cognac over the past 10 years, declining product quality and ill conceived marketing and promotional campaigns (from CognacTonic, Cognac Cocktails to Pineau at the sea). The all day conference (2 March) on the state of Cognac region industry, has been wrestled from the initiators (the new generation of producers and educators); Didier Roy, Pierre Forgeron (La Nuit du Cognac) and François Mery (Young Viticulteurs Association) by Claire Coates (BNIC), Christophe Thomas (Pineau des Charentes association) and Jean-Jacques Häusselman (Vin de Pays Charentais association). And there are others. The most amazing of it all, is that the participants will be exposed to listen to experiences of Vin de Pays de l'Herault; neither the biggest nor the most successful of the French wine regions. To top it all, we read a press report that BNIC is declining to control Cognac quality and is delegating it to another bureaucracy called INAO under Michel Pelletier presidency. When you fail, you pass the back or so it seems. And, of course, there are others who want to create more beaurocracies. So, the search for a true leader to unite various Cognac producers and groups in the Cognac region continues, while the consumer (the frequently forgotten buyer of the product) is being offered poor quality product. (Sud-Ouest17/02/00, Torula News)  
17'02/00 The whispers in the Cognac industry are getting louder: "Ignore them", "They are irrelevant", "Time has come to replace them", "They take big chunk of our money (cotisation - a form of tax) and waste on travel, Film Festival and other nonsense" and so on. This talk is, of course, about the BNIC (The Association representing Cognac industry). Cognac producers are whispering while some of them are aggressively searching for ways and means to promote Cognac, too change the situation To top it all off, here comes a courageous initiative from Didier Roy (IREO - a rural agriculture education Institute) who together with others is organizing a full day session on the state of Cognac on 2nd March. The BNIC plans for the Alambic-Expo at the Waterloo Station in London at the end of May and the same at the Union Station in Washington, D.C., USA in mid-June, though both are very good ideas, they are too little, too late to generate any confidence among the majority of the Cognac producers. As the Julius Caesar was to say to Brutus: "Ete contra me, Brutus?".
17/02/00 From a reader in Massachusetts, USA comes a tip about an interesting article on Cognac marketing. It appeared in the online version of Massachusetts Beverage Business, in January 2000.
16/02/00 Go to Cognac Hennessy official web site, play the search for Cognac bottle and win. Torula News played and "won" 1935 Cognac Hennessy bottle. Cognac Hennessy web site with its search for the bottle, the Cognac François Voyer web site's "gift of Cognac soil" and Les Cognac Ragnaud-Sabourin web site's quarterly award for the best story about their Cognac are just among a few innovative Cognac web sites. For example, Cognac A. de Fussigny Internet strategy is a 3 pronged attack; establish a home web site, drive the web traffic to it from other web sites and get e-sales from a renown e-commerce brand name site. Imaginative Internet marketing at its best!
15/02/00 La Maison de Whisky in Paris, a few meters from the Elysée Palace offers, yes you guessed right, Cognac; Léopold Gourmel (several qualities), Lheraud (several qualities), Hennessy VSOP, Martell VSOP, Rémy Martin VSOP, Otard XO and our Guide to Cognac. Like any good business they know that Cognac sells in the whisky shop, on their web site and through their mail order.
15/02/00 Seagram Co., parent of Cognac Martell, has posted an annual profit of $522 million benefiting mostly from cost-cutting in its music division and higher theme-park revenue. (IHT11/02/00)
14/02/00 In a strange effort to further confuse Cognac consumer, Cognac producers and large supermarkets in the Cognac region have created a mind boggling situation where a top priced range bottle of VS (F149.95) or VSOP (F299.95) is more expansive than the lowest priced range XO (147.52). In Sweden, we noticed a similar trend where the difference between lowest priced VSOP (SEK280) and XO (SEK294) is narrowing. At least the USA market is holding prices that reflect differences between the 3 basic Cognac qualities. Furthermore, Torula News has learned that some Cognac producers plan to offer XO at prices of F110 to F125 in France. No wonder, Cognac is not selling well in France but why to do the same in foreign markets where Cognac is selling well? For more on our quarterly prices tracking click here.
14/02/00 In a first in many months, if not years, Cognac Martell is showing signs of dusting the cob webs and joining the present. Modern and dynamic are 2 words selected by Martell to pave the way to the consumers hearts with their VS (to be experienced with Coca Cola, Perrier, Limonade or Ginger Ale as the promotion suggests), Noblige and Cordon Bleu. New logo and warmer colors are adding to the new image, as well. A welcome change which was long overdue.
14/02/00 From a Paris based trader, François de Fonbelle, comes an interesting packaging for an XO in a wooden cask of 70 cl called Tonneau en Bois. And it is refillable. This reminds of Cognac René Roy 5l wooden cask offering of yester years.
11/02/00 In a sign that the Cognac industry is beginning to pay serious attention to the product quality, Torula News has learned that a number of producers are adjusting their blending formulas at a cost of smaller profit margins. Those changes are mostly applicable to XO and higher qualities. The Cognac consumer is being heard!
11/02/00 André Drobotoff is a French wine lover who after a career in the pharmaceutical industry decided to learn Internet and devote his efforts to creating a wine related web site called Eloge du Vin with links galore!
10/02/00 When Torula News contacted the BNIC, recognizing their rather delicate position on this subject, we had a very frank exchange of views and were brought up-to-date. As the subject is rather sensitive because it involves infringement of several points of law, both French and European, BNIC declined to issue any statement at present. But they are on top of the
situation making every effort to protect Cognac industry and the basic premise of the AOC principles. In the meantime, Glemorangie promises to make limited number of bottles of Cognac Matured Malt available for sale on their web site in the next few weeks.
10/02/00 From Manier-Lapostolle, famous makers of Grand Manier but also known for Manier Cognacs comes the news of rejuvenation of their image (new labels etc.) and introduction of a new beer called Madison. (Charente Libre09/02/00)
10/02/00 Results from the sold-out, final Cognac tasting in 1999 by the Cognac Tasting Society of Lèopold Gourmel products are now available. Click here.
09/02/00 Europe has finally discovered e-commerce shopping with Scandinavians and Germans taking most advantage of it. French, having an horror of parting with private and personal information are, of course, lagging. Another barrier to e-commerce shopping are absurdly high communication rates in Europe. Privatization or semi-privatization (i.e. France Telecom) of phone monopolies is still slow to happen. And there is a cultural things where Germans prefer to pay with check after the item has arrived, Norway has no credit card culture, Southern Europe is barely connected and comparative shopping is in some countries prohibited. But like everything good and simple, on-line shopping is here to stay.  One study predicts sales of $790 million during past holiday season in Europe. By 2003, the study predicts a whopping $18 billion of goods sold on-line in Europe. Although some European sites take a high intellectual position like FNAC Direct (not storing what you bought so you will not get promos on the subject) or BOL which hides book prices 2-3 clicks later, the overall trend is clear - Europeans want to save money by shopping on Internet. The best example is a Swedish site www.letsbuyit.com where co-shopping is a hit. Just think when several customers can aggregate a purchase of Cognac bottles so it comes to a pallet rather than 1-2 individual bottle shipments. For this to happened Cognac producers will be forced to re-think their export pricing to include Internet pricing. Some are already doing it. What drives people to shop on Internet is time saving, competitive pricing and large volume of information available that describes products they shop for. So it comes as a bit of surprise when a Swiss watch maker Baume&Mercier is taking ads in the USA to stop people from buying their watches on the Internet. It reflects reluctance of some luxury product makers to part with any profit margin (as the online shopping brings prices down but increases volume at a fraction of advertising costs) or as some suspect, it is a clever branding campaign. NEC Research Institute and Inktomi Corp. have conducted Web survey and published recently this staggering numbers. There are over 1 billion web pages, more than 86% of all Web pages are in English and 2% are in French. (IHT24-26/12/99,24/01/00, Torula News)
08/01/00 When 80 million liters (about 21 million gallons) of white wine remains unsold and unwanted in the markets, which is about 20% of the last years production, the question being raised in South Africa is why? The farmers and the producers all agree on the answer: "Who wants to drink plonk? "A lot of that wine is not very drinkable". In short, the quality is the problem. And that is very similar to the problems of Cognac, Pineau des Charentes and Vin du Pays Charentais recent productions. In South Africa a ton of white white grapes dropped in price from $164 to $123 in 1999. Producers profits fell some 15%. Why it happened? The rush to plant cheap wine grapes after world trade sanctions were lifted is being blamed for this situation. It is not unlike the mad removal of cognac grape vineyards and replacing them with wine grapes in the Cognac region. The demand for South African brandy has not materialized as the quality was unacceptable. Now, South African farmers are quickly shedding old habits of overproduction, ignorance of changing tastes and poor quality. It is the consumer and market preferences that dictate quality. National wine cooperative, privatized now, buys much of its brandy from France. And much of the farmers are back to re-planting red grapes, Merlot over Chardonnay! Here is a perfect example giving hints on what needs to be done in the Cognac region; privatize all cooperatives, improve product quality, eliminate artificial organization like Champoco, Sica etc., pay attention to changing tastes of consumers, imrove the quality. If South African wine and brandy industry can adjust in less than 2 years of its crisis, why does Cognac (Pineau and wine) industry procrastinates over some 4 to 5 years of their crisis? Where is the leadership? (IHT22-23/01/00, Torula News)
08/02/00 The black dressed man who started the tradition of leaving 3 red roses and a bottle of Cognac at the grave of Edgar Allan Poe in Baltimore, MD, USA each 19 January, in 1949, has died. He passed his secret annual visits to his sons, who have maintained this tradition and continue with the same brand of Cognac. The brand, of course, remains secret. (IHT20/01/00,Torula News)
07/02/00 Recent product inquiries at www.cognacnet.com : Paillard Cognac Grande Champagne"Clos Del Aumonnerie" 1896 Reserve, where to buy Hine VSOP in the USA (a surprise inquiry), Alfred Rothschild Extra Rare Brandy, Cognac Denis Mounie and Co. Grand Champagne, 1893.
05/02/00 A long awaited Index to our Guide - Cognac, an independent guide to the people, the product and the region is now available. Barnes&Noble in New York sells the Guide through a special order department. Click here.
04/02/00 Stubborn as they are, BNIC continues down the mindless path of co-sponsoring Thriller Film  Festival 2000 in Cognac (6-9/04/00). See BNIC web site. Other co-sponsors are City of Cognac and the regional government which, of course, are free to spend tax payers money as they wish or until the next elections. BNIC, however, spends Cognac industry money. The industry that is far from recovering from the recent crisis. And yet, the leaders of the Cognac industry are allowing BNIC to continue this frivolous (estimate is that less than 1000 visitors from outside of the region visited the Festival last year comparing to some 5000+ during Blues Passion Festival) and irrelevant to Cognac activity. After many years of putting this expensive show (this year it is estimated that BNIC will spend about F11 million) consumption in France remains in low single digit percentage points. The money spend on this Festival could be spend on advertising or retaining 10 laid off BNIC employees, for example. This weekend, BNIC and French Association of Barmen are spending two days in Cognac to come up with an official cocktail of the Festival. Why does the Cognac industry not react? The answer in short is that it is divided, has no leadership, no overall game plan. And yet, there are smart and capable people managing number of Cognac houses. A Cognac paradox? (Sud-Ouest 04/02/00, Torula News)
04/02/00 Our recent story on Glenmorangie's Cognac Matured Malt created considerable email traffic. We did call Glenmorangie who told us they are sold out of this malt. We have tracked down a shop, The Vintage House in London (phone:44-171-437-2592), that has a few bottles left at £129.95 plus shipping.
02/02/00 In a recently published guide that rates the popular and the premium spirits edited by Alan S. Dikty of the Beverage Testing Institute of Chicago, USA titled "buying guide to spirits" you may have difficulty finding Cognac. It is not in the Table of Contents. But it is there under the title of Brandy, Eau de Vie, and Grappa and in the subsection on French Brandies on page 24. The "great" promotional efforts by the BNIC obviously missed Chicago or as our USA correspondent wrote: "Press dinners in Chicago are not cool". For more click here.
02/02/00 The imaginative and hard working importer for Cognac Prunier in Germany,  together with Robert Heymel of www.calvados.de have got Prunier to create a Cognac especially for Internet sales and exclusively available on www.calvados.de This Cognac is a 60 year old "single vat" brut de fût Grande Champagne, limited to 100 bottles, each bottle numbered with a certificate. The price is DM 309 (about F1000) plus shipping (e.g. DM20 to France). To order, what probably is the first Cognac made for Internet sales, email contact@calvados.de Great idea, great initiative!
01/02/00 Glenmorangie's Cognac Matured Malt is a limited edition of 850 bottles at £85 per bottle scotch malt whisky that was matured  in Merrain oak casks used previously for Cognac for 14 years. This maturing in Cognac cask is in addition to sherry, port and Madeira single malts wood finishes from Glenmorangie. What will be the response of the Cognac industry to the relentless and effective marketing superiority of Scotch whisky? Is there a legal issue for the BNIC? It makes Hennessy, with their Irish whisky, looking very good, indeed. (Drinks International, 01/00, Torula News)
01/02/00 RémyCointreau, parent of Rémy Martin, confirmed Torula News reported results for the first nine months of their fiscal year. Led by champagne increased sales, the Group reported much improved Cognac results (+23.9%). Asian markets recovery and the strong USA market were the main contributors. Now is the good time to keep cutting the costs as the investor confidence has not fully returned. The stock is stuck in the E20-23 range on the Paris market.
01/02/00 In October '98 during the famous viticulteurs siege of Cognac, Jean-Claude Baudet was on his tractor on the outskirts of the town. A female journalist speaking French asked for a ride and an interview. He obliged. A few weeks later The New York Times published her report. Gary Klesch, an American working in London read the article... and the rest is history. His company, KCP, bought Cognac A. Hardy 16 months later. (L'Agriculture Charentais 21/01/00, Torula News)
01/02/00 7th Cognac Blues Passions Festival (27-30/07/00) that has become the biggest such event in Europe under the guidance of Michel Rolland will feature this year Ray Charles with Robert Lockwood, Chris Thomas, Rosie Ledet, Big Rude Jake, Steve Bigman, Candy Kane and Cyndee Peters among others. And of course, Cognac!
01/02/00 The French tradition of sending New Year cards has come to an end. The best of this year was Jean-Pierre Chevenement, Minister of Interior, iconoclastic official card. A colorful, Rabelaisian French history presented as an allegory in this pop collage. Napoleon with Joan d'Arc, Clemenceau, Gambetta, de Gaulle, Marianne and the Minister himself kicking behinds of soccer player and profiteers. And that is one of the reasons that we love France. (IHT13/01/00, Torula News)
01/02/00 After December '99 storm in the Cognac region, when we managed without water, phone/Internet access and no electricity and still produced regular Torula News, the illness defeated us in mid-January. We apologize. But now all is on track and the Torula News is returning with regular updates.

.Torula News logo courtesy of Marie Claire Pajeile.

   
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2000 January February March April May June July August September October November December
1999 January February March April May June July August September October November December
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