Foster's Group Limited today announced the appointment of Mr Walt Klenz to head its global wine operation, Beringer Blass Wine Estates.
Mr Klenz, 56, is currently CEO of Beringer Blass Trade U.S.A, and will replace Mr Terry Davis who is leaving to take up the position of chief executive of Coca-Cola Amatil Limited. The changes will take effect as of 1 October, 2001.
Foster's President and CEO, Mr Ted Kunkel said Mr Klenz was ideally qualified and has the knowledge and credentials to drive the next stage of Foster's global wine strategy.
"Walt is a highly respected and experienced wine industry executive with a track record in successfully managing a premium branded wine business," Mr Kunkel said.
"Through the success of Beringer Wine Estates and his leadership of our global wine brand strategy since the formation of Beringer Blass, Walt has developed a strong understanding of the international wine market."
Mr Klenz joined Beringer Vineyards in 1976 and was Chairman and CEO when Foster's announced its acquisition last year. Under Mr Klenz's leadership, Beringer grew into a market leading company with a strong stable of premium brands, culminating in a successful public float on the U.S. market in 1997.
Mr Kunkel thanked Mr Davis for his significant contribution in the development and growth of Foster's successful global wine strategy and said that he respected his decision.
"Terry has made a great contribution and we wish him well for the future," he said. Mr Kunkel said that Mr Davis would remain at Foster's until the end of the month to ensure a smooth transition.
"Our wine business is strongly placed to continue to grow and has the depth and breadth of management to drive its successful strategy," he said.
Mr Kunkel said Mr Klenz would remain based in the U.S., reflecting the global nature of the wine business and the importance of the US wine market. Mr Klenz will report direct to Mr Kunkel and form part of the Foster's senior management team.
Foster's wine division recorded total revenue of nearly $1.6 billion in the latest year to June 2001, with more than 60% of wine volume now sold in North America. Foster's purchased Beringer Wine Estates in October, 2000 for $2.9 billion, transforming the company into a global beverage powerhouse with annual revenues of more than $4 billion.
Foster's combined wine operations, Beringer Blass, is now the third most profitable wine company in the world. Foster's wine division recently reported earnings before interest and tax of $342.1 million for the year to June 2001.
Further information:
Media
Lisa Keenan
Tel: +613 9633 2233
Email: lisa.keenan@fostersgroup.com
Investor Relations
Trevor Ohoy
Foster's Group
Tel: +613 9633 2053
Email: trevor.ohoy@fostersgroup.com
Domenic Panaccio
Foster's Group
Tel: +613 9633 2641
Email: domenic.panaccio@fostersgroup.com
