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Fosters to retain Wine Business

Foster’s to retain and reshape its Wine business (not appropriate time to sell or demerge)
• Wine and BCS divisions in Australia to be separated and supply operations integrated with
demand regions
• New and experienced operational leadership team in Wine and BCS
• Extensive operational performance improvement program to drive growth and aggressively reduce
costs in Wine (and the Group)
• Australian tail brand rationalisation, vineyard divestments and further optimisation of the winery
network
• Estimated financial impact of outcomes and initiatives:
– Net pre-tax cost savings exceeding $100 million per annum in F11
– Transfer of approximately $60 million per annum of overhead costs from BCS to Wine
– One-off write downs and restructuring costs of $330-415 million ($130-165 million cash)

You can read the full Fosters Group Wine Presentation here:

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Friday, September 22, 5:00 pm

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