Global
- February 28, 2001

WineVision's Globalization Task Force will initiate development of a
report outlining the strategic imperatives for expanding total U.S.
packaged wine exports. The report will examine, among other aspects,
issues surrounding long-term and short-term export necessity in the light
of a growing grape supply and increased competition in the U.S.
marketplace from imported wines.

Additionally, the task force decided at its Friday meeting to set up two
sub-"action" groups--one to advise consultants on development, research
and production of what should be a seminal white paper on U.S. wine
exports, and the second to initiate ways to facilitate export workshops.

Eric Morham, CEO of Delicato Family Vineyards, will chair the
Globalization Advisory Group on Export Imperatives. A chair is being
sought for the second sub-committee. Input from academic research, case
studies and other material will be gathered as the first step toward
compilation of the white paper. Sonoma State University and San Francisco
State University both attended Friday's meeting and offered academic
assistance.

WineVision's Communications/Coordination/Information Task Force will work
with the Globalization Task Force to encourage increased participation and
continuity of all of the Globalization Task Force's efforts.

Friday's meeting was the first in a series of regular quarterly meetings
planned by the four task forces of WineVision, which is creating a
blueprint for continued growth and success of the U.S. wine business over
the next 20 years. The San Diego-based consulting firm of Nuffer, Smith,
Tucker will continue to provide administrative oversight in the coming
year. The Communications Task Force is planning a meeting this Wednesday
at the Napa offices of Winetasting.com; the Sustainability and American
Culture task forces both plan meetings on Monday, March 12 at the Lodi
Wine and Visitors Center.

For more information on WineVision, please visit the Web site:
http://www.winevision.org. For additional information on task force
meetings or other information, please contact Waunice Orchid by phone at
707.255.9222 by fax at 707.255.2044; or by email at admind@winevision.org.

_________________________________

Here is a transcription of the actual meeting provided by Delicato. Our
thanks go to Sue Cortese, executive administrator.

Purpose of Meeting
Develop Action Plan for Globalization Task Force

Discussion Points
1. Review the original task list and discuss what has been accomplished to
date.
2. What comes next in order to further WineVision's Globalization objectives?
3. How can we bring new people into the task force?
4. How can we establish a sense of continuity for the task force?

Meeting Commenced at 11:00 a.m.
Meeting Held at Delicato Family Vineyards
Chairperson: Eric Morham, CEO & President

Updates
* David Freed provided an update on the relationship between WineVision
and Nuffer Smith Tucker and the role Cynthia Carson plays in supporting
WineVision's strategic efforts. Able to retain Cynthia who will act as an
Administrator and attend meetings as a facilitator of communication
between the committees on a part-time basis. Keep in mind Cynthia needs a
lead time of 10 days advance notice in order to attend committee
meetings. Cynthia and Rich Cartiere will work to spearhead the
integration and communication of the committees.
* David Freed updated the committee on the current status of the bank
accounts. Need to have priorities of the Global Committee in terms of
seed money to match to other funding measures to present to the Steering
Committee as well as a list of initiatives that require funds to initiate
the work.
* Rich Cartiere announced the development of e-groups for each committee
that are interactive sites and a means to facilitate discussions, report
progress on initiatives, and to advise of the current strategic focus for
each individual group. Additionally, the groups will be able to interact
on initiatives and strategy. The challenge is to work cohesively to reach
common strategic goals, work towards results, and not become inundated
with too much information.

Discussion Points
* How to Position U.S. Wine Globally/Export
Murray Silverman discussed the export survey that he and his group at San
Francisco State University completed last Spring. The focus of the survey
was to solicit what the export needs are from wineries. Since the
completion, several presentations have been made about the results of the
survey including the Wine Industry Symposium and another presentation will
be made at the upcoming Central Coast Seminar.

Results: Non-exporting wineries would like training in the basics,
assistance in understanding the fundamentals, and processes. Would like
to have web based training and workshops. Exporting wineries would like
to be able to network and talk to other wineries about their export
experiences.

Discussion ensued about other organizations that have historically
provided support and how current regional groups strongly advocate
networking. Joe Rollo stated that historically The Wine Institute
supported such efforts for non-exporting wineries but no longer have the
time or resources to provide the training. The focus is now on exporting
wineries. Dr. Thach noted that the Wine Visitors Center in Sonoma helps
to promote wine abroad and has in the past assisted small wineries in
their exporting efforts. All agreed that the need exists and the focus
is on disseminating this information to the wineries.

Strategy: to develop a comparative argument for exporting with an
economic and strategic why wineries should export with a focus on
profitability as the cornerstone. Some issues to be analyzed are
currency, surplus, long-term vision, commitment and an emphasis on
allocation of resources and not commodity driven. Priority markets would
be the United Kingdom, Canada, and Japan. "Whitepaper" could then lead
into workshops, press releases, web-based training, and database support.

* Work with communications group
* Interest in developing winery resource database
* Publication of economic/strategic argument
* Modules/seminar schedules
* Target both non-exporting and exporting wineries
* Build infrastructure for wineries who want to grow their business
* Information is presented from a sales standpoint (why export) with
selling and basic information
* Involve both success and unsuccessful scenarios
* Utilize winery leaders and universities to research and publish "Whitepaper"

Resources: utilizing academic and wine industry professionals. Similar
report would be The Marketing Decade produced in Australia that states the
rationale and movement to export business.

Approach: needs to be tangible, practical, use academia to develop
position but user-friendly, how to take first steps and why, succinct easy
piece.

* U. S. Wine Image
Discussion ensued regarding a wine positioning strategy. It was decided
that the Global Committee would attack this strategy once the Domestic
Committee have developed at lease a "draft" strategy in order to be
consistent. California wineries has resisted a U.S. strategy and having
the U.S. as a "category" due to the advantages of the California
appellations and diversity of regions. The Global Committee understands
that the focus would not detract from the work which has been created in
terms of diversity and appellation but work to more strategically position
wines in foreign markets. Issues tabled pending wine positioning strategy
from Domestic Committee.

* July Annual Meeting
Both Kathy Archer and Waunice Orchid would like Global Committee member
thoughts on who should receive the Wine Visionary Award (last year's
recipient was Robert Mondavi).

Do you wish to have a Global speaker either inside or outside of the
industry and who would it be? Need to know as soon as possible, any
recommendations.

What topics do you want your panel to discuss at the July 12th meeting (to
be held at the Doubletree in Rohnert Park)?

* Other Topics Needing Discussion but Tabled
* Improve distribution
* Reduce trade barriers
* New participation
* Continuity through the Committees

ACTION ITEMS

Whitepaper Action Group
Chairperson: Eric Morham

Group Members: Sally Bach (San Francisco State University), Dr. Liz Thach
(Sonoma State University), Rich Cartiere, Joe Rollo)

Other interested parties, please contact Sue Cortese at Delicato (707)
265-1718.
Report Published: Prior to July Annual Meeting (target: May, 2001)
Sue Cortese to contact Action Group to calendar meeting for March.

Module/Training/Networking Action Group
Need to develop an Action Group to work towards implementation of ideas
from Whitepaper.

Interested parties, please contact Sue Cortese at Delicato (707) 265-1718.

Closing Thought
This is a grassroots program and needs to be with each of us going out to
the regions and figuring out how to bring life to the strategy of WineVision.

Meeting Adjourned: 1:45 p.m.