Seguin Moreau Upgrades Cooperage, Launches New Product Lines; Major Cooperage Improvements Will Increase Customer Service, Oak Barrel Quality and Consistency.

NAPA, Calif. -- Seguin Moreau, the world's leading supplier of oak wine barrels, announced the completion of major upgrades to its barrel cooperage here. The renovation, which will be officially dedicated at a grand opening event today, includes machinery replacements, assembly line restructuring and order-fulfillment improvements which will increase volume output by up to 20 percent without the need for new coopers. The upgrades will better serve Seguin Moreau's customer base and its increasing demand for Napa-coopered American oak products.

Machinery upgrades at the cooperage include a new Schoolhill hoop press as well as various finishing machines. "The new machinery enhances our manufacturing flexibility, improving Seguin Moreau's ability to meet the specific design needs of individual winemakers while ensuring consistent quality control," said Lance Spears, President and CEO of Seguin Moreau. "The reconfigured assembly process at the cooperage will also shift manufacturing to a 'flow' model whereby different barrel types can be produced side-by-side without deteriorating productivity. These improvements decrease production times and increase customer satisfaction."

Additionally, three new product lines are being introduced by Seguin Moreau USA, including a new barrel made from oak harvested in the Appalachia region of Eastern Tennessee exclusive to Seguin Moreau. "In 2004 there was a 16 percent increase in American oak sales, and we see the market for these products on the rise," said Spears. "With its distinct flavor profile and regional heritage, we believe this new product line will help satisfy the rising demand for distinctive American oak."

A second new product line from Seguin Moreau, called the Convergence Barrel, is built from sessile oak from Eastern Europe and includes American oak barrel heads. "The Convergence Barrel uses our exclusive 'U-Stave' process which gives wines a unique level of tannins and a rich aromatic quality," said Seguin Moreau's Vice President of Sales John Forster.

The third new barrel line, called the Concordance Barrel, is made from 150-200 year-old French oak trees harvested exclusively from a sustainable national forest in France. This barrel type has a medium-fine grain allowing for greater oxidation of the wine and aromatic complexity that is unique to the oak types of this region.

About Seguin Moreau

Seguin Moreau USA was established in 1995 with the completion of the Napa Cooperage in Napa, California. The company employs approximately 50 people, 30 in Napa and 20 in Perryville, Missouri, where the company owns and operates a wood yard. The U.S. subsidiary is part of Seguin Moreau France, based just outside of Cognac. What began as a union of two family cooperages during the 1850s has become one of the world's largest, and most prestigious, quality oak barrel makers, selling to wineries throughout the world. Seguin Moreau is part of the barrel division of OENEO, a global leader in supplying value-added products to winemakers worldwide.