Treasury Wine Says U.S. Hurt 1st Half Results

Treasury Wine Estates sales rose 8% in the fiscal first half, but they would have risen even more except for two facts, Michael Clark, CEO, said.  Those two factors are unexpected charges in American leadership, “resulting in a loss of execution momentum though the first half,” and a 15% growth in U.S. private label.  That private label growth itself is a result of “suppliers trying to move surplus wine across the market at lower prices.”  As a result, TWE “walked away from just under a half-million cases of Commercial volume in the U.S. due to private label growth, aggressive market pricing and our higher cost of goods sold.’