Castle Brands Inc. (NYSE Amex: ROX) announced today that it has partnered with Grand Cru Selections (“Grand Cru”), a New York City fine wine distributor, to expand its premium wine business. The venture brings together several high-profile figures in the wine industry and offers significant opportunities for both Castle Brands and Grand Cru. Under the terms of the agreement, Castle Brands will act as U.S. importer and national distributor and Grand Cru will act as the wholesaler for New York and New Jersey for a select range of fine wines. Castle Brands will assign Betts and Scholl wines -- Grenache, Syrah and Riesling from Australia, Syrah from California, and Hermitage Blanc and Rouge from France -- to Grand Cru for New York and New Jersey, and Castle Brands will represent the Cerbaie Brunello di Montalcino brand, throughout the United States, except New York and New Jersey. Roy Welland, a prominent wine collector and owner of the Cerbaie winery in Tuscany and Robert Bohr, former wine director for widely acclaimed Cru restaurant, are both principals in GC Wine Consulting, a wine consulting firm that advises Grand Cru and other private clients. Messrs. Welland and Bohr will now be working with Master Sommelier Richard Betts, Vice President of Castle Brands and head of its fine wine division, to implement the Company’s fine wine distribution strategy. “We are very pleased to formalize our relationship with Grand Cru as it creates synergies that will allow us to maximize our competitive advantage in the marketplace,” commented Mr. Betts. “Primarily, the preeminence of the Grand Cru team in the New York market will offer the most well-placed distribution for all of our brands. Additionally, the strength of our relationships with fine wine producers and our cooperation in recruiting them creates a formidable team and an exciting option for high quality wine distribution nationwide."
Castle Brands and Grand Cru have selected additional premium wine brands to include in the U.S. distribution venture, including Copain, a California producer of highly-rated Pinot Noir and Syrah, and Roulot, a leading Meursault producer. In addition, Messrs. Betts, Welland and Bohr are in negotiations to acquire distribution rights for several other premium wine brands.To better service its growing roster of premium wine brands, Castle Brands has bolstered its sales force with the addition of Beth Gustafson and Michele Parent. Ms. Gustafson, who previously served as brand manager for 36 wines at Vintage Wines LLC, and Ms. Parent, who previously served as national sales manager at Evening Land Vineyards and Once Wines, will assist Mr. Betts in the Company’s expanded sales effort. About Castle Brands Inc. Castle Brands is an emerging developer and international marketer of premium beverage alcohol brands, including Boru® Vodka, Gosling's Rum®, Pallini® Limoncello TM, Raspicello TM and Peachcello TM, Knappogue Castle Whiskey®, Clontarf® Irish Whiskey, Jefferson's TM, Jefferson's Presidential Select TM and Jefferson's Reserve® Bourbon, Betts & Scholl TM wines, Celtic Crossing® Liqueur, Brady's® Irish Cream and Tierras TM tequila. Additional information concerning the company is available on the company’s website, www.castlebrandsinc.com. Forward Looking Statements This press release includes statements of our expectations, intentions, plans and beliefs that constitute "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and are intended to come within the safe harbor protection provided by those sections. These statements, which involve risks and uncertainties, related to the discussion of our business strategies and our expectations concerning future operations, margins, profitability, competition and to analyses and other information that are based on forecasts of future results and estimates of amounts not yet determinable. You can identify these and other forward-looking statements by the use of such words as "may," "will," "should," "expects," "intends," "plans," "anticipates," "believes," "thinks," "estimates," "seeks," "expects," "predicts," "could," "projects," "potential" and other similar terms and phrases, including references to assumptions. These forward looking statements are made based on expectations and beliefs concerning future events affecting us and are subject to uncertainties, risks and factors relating to our operations and business environments, all of which are difficult to predict and many of which are beyond our control, that could cause our actual results to differ materially from those matters expressed or implied by these forward looking statements. More information about these and other factors are described under the caption "Risk Factors" in Castle Brands' Annual Report on Form 10-K, as amended, for the year ended March 31, 2009, filed with the Securities and Exchange Commission.
When considering these forward looking statements, you should keep in mind the cautionary statements in this press release and the documents incorporated by reference. New risks and uncertainties arise from time to time, and we cannot predict those events or how they may affect us. We assume no obligation to update any forward looking statements after the date of this press release as a result of new information, future events or developments, except as required by the federal securities laws.