MESSAGE FROM THE CHAIRMAN

2014 MESSAGE FROM THE CHAIRMAN THE GROUP’S FOUNDERS Bruno PAILLARD Chairman of the LANSON-BCC Group Philippe BAIJOT Chairman of Champagne LANSON...
Author: Asher Flowers
0 downloads 0 Views 2MB Size
2014

MESSAGE FROM THE CHAIRMAN THE GROUP’S FOUNDERS

Bruno PAILLARD

Chairman of the LANSON-BCC Group

Philippe BAIJOT

Chairman of Champagne LANSON

Dear Shareholders, After falling for the previous two years, Champagne started to pick up again in 2014, with a modest increase in volume terms (+0.7%) and better value growth confirmed outside of France. The Champagne wine market has seen a clear upturn in shipments for Europe, as well as good performances for exports further afield. France, which is still the leading market for Champagne wines, accounting for 52.8% of volumes shipped, is the only market to have contracted and it has continued to be deeply affected by the weak economy. In this environment, LANSON-BCC has continued moving forward with its value development strategy that has been applied for years, while focusing on the essential defense of its pricing positions, a vital condition for sustainable development. More specifically, the Group’s Houses have achieved encouraging performances on several export markets, although without offsetting the marked slowdown in sales in France.

LANSON-BCC has continued to further strengthen its financial structure. Despite these challenges, LANSON-BCC’s results for 2014 highlight their resilience. Our operating margin came to 12.0%, compared with 13.7% in 2013, with this change reflecting the strong level of competition on volumes and pricing, particularly in France and neighboring European countries, as well as the cost of ongoing commercial investments in the Group’s Houses. Our net margin rate is stable at 5.8%, thanks to the significant reduction in our financial expenses, with the most expensive credit facilities set up in 2006 maturing, combined with a drop in variable rates. LANSON-BCC has continued to further strengthen its financial structure. The Group has capitalized 90% of consolidated net income on average since 2006, helping

improve the gearing ratio, which came to 1.95 for 2014, down from 5.68 at the end of 2006 following the acquisition of BURTIN and Champagne LANSON. The objective to move back down to less than 2, a normal position for the Champagne industry due to its high levels of stocks, has been achieved. The remaining senior debt, which primarily concerns vine purchases, represents only 11.8% of overall debt, focused primarily on financing for the ageing of stocks. LANSON-BCC is moving forward, confident in the efficiency of its business model and the quality of its fundamentals. The strong level of competition on all its markets highlights the benefits of an ongoing policy, moving in the right direction, to not ignore any segment. The complementary features of our Houses, the increasingly widely recognized quality of their wines, our efficient production facilities and our effective management will drive our future development. Despite the current sluggish consumption trends in France, LANSON-BCC is once again confirming its long-term value development strategy and continuing to make major investments in the Group’s Houses, particularly Champagne DE VENOGE in Epernay, which will be moving into its magnificent new headquarters midway through 2015, as well as Champagne LANSON in Reims, which has just opened an outstanding tour circuit, the second phase in a five-year program. I would like to thank our customers, our partners, our teams and our shareholders for their confidence, trust and loyalty.

Bruno PAILLARD Chairman and Chief Executive Officer

THE ORIGINAL CHAMPAGNE STYLE SINCE 1760

To strengthen its value development strategy, LANSON is rolling out a major investment program, paving the way for the House to further improve the quality of its wines.

Extensive investments focusing on quality The new facilities, built in 2014, are magnificent. A further 55 stainless steel tanks have been added, along with entirely new wooden cellars, made up of barrels and casks. All with a view to further increasing the complexity of LANSON’s Champagnes thanks to a single-plot wine-making approach. The Pinots Noirs and Chardonnays, selected from over 500 hectares, come from plots located in the Champagne region’s best vineyards. With this new single-vineyard cuverie opening up a range of options, the Cellar Master now has an unrivalled selection for developing unique blends.

LANSON has crafted its wines in the original Champagne style since 1760 In the House’s new wooden cellars, certain oak casks contain reserve wines. Aged for many years, these wines will also bring greater complexity and continuity for LANSON’s Black Labels.

New Black Label presentation The Black Label owes its emblematic name to Victor Lanson who, in 1937, wanted to pay tribute to the British market and particularly the Court of England, for which LANSON Champagne has held a Royal Warrant continuously since the reign of Queen Victoria. With this Champagne’s strong Pinot Noir features, the black color, a symbol of refinement, naturally stood out.

Today, the House is launching a new presentation for its iconic Champagne. It is revitalizing its Black Label, while upholding the values and magnificent history of a House founded more than 250 years ago.

New Cellar Master, Hervé Dantan The son of a wine grower, Hervé Dantan has always found the world of wine particularly appealing. Following various experiences in the most renowned wine-producing regions of France then California, he returned to the region where his heart truly lies, devoting himself to his passion for Champagne. Recognized by his peers, he joined LANSON in July 2013, to support Jean-Paul Gandon, who had been the House’s Cellar Master since 1986. Following two years of sharing, Hervé Dantan has now taken on full responsibility as Cellar Master.

— www.lanson.com —

HOUSES WITH CLEAR IDENTITIES,

respecting their heritage

2014

Champagne LANSON, in Reims www.lanson.com

REVENUES

276.1 € million

EBIT

33.1 € million

NET INCOME

16

€ million

EMPLOYEES

450

House founded in 1760 LANSON is one of the oldest Champagne Houses. It crafts its wines in the traditional Champagne style, avoiding malolactic fermentation during the wine-making process. This choice, guaranteeing a full body, fruitiness and freshness, increases the cellaring potential and predestines the cuvees for ageing, enabling them to fully express their rich aromatic palette. Present on the five continents, the House enjoys strong positions, particularly in the UK, where its Rosé Label cuvee is the top seller. LANSON Champagnes are distributed across all channels - mass retail stores, wine stores, gourmet food stores, restaurants, bars, hotels - in France and internationally. In 2015 : LANSON is moving forward with its long-term value strategy, harnessing the House’s know-how and resources to expand its international footprint. The House’s brand image, the efficiency of its production facilities, the dedication of its teams and the thoroughness of its management represent the foundations for its development. A major multi-year investment program (2013-2017) will further improve the quality of its wines, its commercial responsiveness and the reach of its brand.

Champagne CHANOINE FRÈRES, in Reims www.champagnechanoine.com // www.tsarine.com

House founded in 1730 Founded under the reign of Louis XV, CHANOINE FRÈRES was the first House to be authorized by the city of Epernay to dig a cellar in Champagne. The second oldest Champagne House, CHANOINE FRÈRES, now established in Reims, successfully blends modernity with tradition, with its high-quality, functional production facilities. CHANOINE FRÈRES Champagnes are present in all leading retail stores, with the classic CHANOINE FRÈRES cuvees and the prestigious TSARINE range, a brand that is often in the cinema spotlight. In 2015 : CHANOINE FRÈRES is confirming the commercial success of its TSARINE cuvee both in France and internationally. The House’s value strategy is reflected in the development of its high-end listing TZARINA. This has been combined with dynamic communications and increased listings across traditional networks. To embody its impeccable refinement, TSARINE has unveiled its very latest ambassador, Adriana Karembeu, to be celebrated shortly with the launch of a “Tsarine by Adriana” cuvee.

Champagne BOIZEL, in Epernay www.boizel.com

House founded in 1834 “One Family, one House, one Tradition”: for over 180 years, the BOIZEL Family have devoted themselves with passion to ensuring the highest standards and crafting outstanding vintages, renowned for their elegance and balance. Distributed in the UK from as early as the 19th century, BOIZEL Champagne has built up a certain renown on this market. It also has a presence in Japan, a country that is home to many enthusiasts of the Brut Rosé and the magnificent Joyau de France. France’s leading mail-order Champagne, BOIZEL Champagne is also distributed through traditional channels for export. In 2015 : BOIZEL is consolidating the House’s positions in France and developing its presence internationally on the best-valued segments. After celebrating its 180th anniversary last year with the 1834 cuvee, BOIZEL has continued to enhance its range of Champagnes with the release of a new vintage, the Grand Vintage 2007. The House is also developing dynamic and daring marketing actions: in particular, new labels will be gracing the Joyau de France collection.

Champagne DE VENOGE, in Epernay www.champagnedevenoge.com

House founded in 1837 DE VENOGE cultivates a policy of quality and innovation in the purest champagne tradition. Recommended by many prestigious institutions, DE VENOGE is one of the most decorated Champagnes of its generation. Available through selected retail outlets, its extensive range of Champagnes expresses all the region’s rich heritage, the unique features of its grape varieties and the possibilities for marrying blends together. From the Cordon Bleu to the Louis XV cuvee and the Champagne Grand Vin des Princes, the House’s hallmark is easily identifiable through its slogan: “Noblesse Oblige”. In 2015 : DE VENOGE is focusing the House’s development on high-end markets, both domestically and for export. This value strategy is being supported by the launch of the new “Cuvée Grand Vin des Princes”, available in Chardonnay, Blanc de Noirs and Rosé. Luxurious new presentations are being rolled out for the Louis XV prestige cuvee, now a firmly established name in the world of fine dining. To further strengthen and value its image, DE VENOGE is moving into the House’s prestigious new headquarters on Avenue de Champagne in Epernay.

Champagne PHILIPPONNAT, in Mareuil-sur-Aÿ www.champagnephilipponnat.com

House founded in 1910 While PHILIPPONNAT’s current House was founded in 1910, the PHILIPPONNAT family have been established in Aÿ since 1522, and have devoted themselves since the Second Empire to producing outstanding Champagne wines. From the Brut Royale Réserve, the House’s ambassador, to the prestigious Cuvee du Clos des Goisses, Champagne PHILIPPONNAT offers full-bodied, structured wines, reserved exclusively for fine restaurants, traditional channels and wine enthusiasts. Champagne PHILIPPONNAT is one of the first Champagne vineyards to be awarded the “high environmental quality” label. Its subsidiary PHILIPPONNAT-Les Domaines Associés distributes Domaines Barons de Rothschild (Lafite) wines in France. In 2015 : PHILIPPONNAT is carrying out in-depth work on wine quality, focusing in particular on wine-growing, wine-making and blending. Two single-vineyard cuvees, in small volumes, are being unveiled in 2015 to demonstrate the House’s know-how. Alongside this, the House’s ongoing work on sustainable development has paved the way for it to be “Viticulture Durable en Champagne” sustainability certified, a natural step following on from its HQE label. Champagne PHILIPPONNAT’s premiumization is enabling it to consolidate its high-end strategy for exports.

Champagne ALEXANDRE BONNET, in Les Riceys www.alexandrebonnet.com

House founded in 1973 The leading Champagne House in the village of Les Riceys, the Champagne region’s largest and most southerly plot, ALEXANDRE BONNET, with its 47 hectares of vines and above all its major grape purchasing contracts, actively contributes towards the supplies for the Group’s Houses. It is particularly renowned for its celebrated AOC label still wine, the Rosé des Riceys, as well as its collection of Champagnes covering a wide range of palates, both white and rosé, distributed in France and for export. A new rare vintage is also enabling it to stand out: “Trésor Caché”, a special blend to celebrate the discovery of four hundred and ninety seven 20 US dollar gold coins in 2012. In 2015 : ALEXANDRE BONNET is moving forward with the House’s commercial development for export, while consolidating its positions on its traditional markets. The development of a museum to preserve the old Champagne grape varieties is consolidating its ability to offer truly original vintages for discerning consumers. Extensive work is being carried out to grow the vineyard’s value and develop sustainable wine production, notably replanting old varieties and restoring cadoles, small dry-stone buildings, connected with scenic routes for walkers.

Champagne BESSERAT DE BELLEFON, in Epernay www.besseratdebellefon.com

House founded in 1843 BESSERAT DE BELLEFON has continued to uphold the House’s tradition of impeccable quality, crafting wines reserved exclusively for the fine dining, hotel, wine store and gourmet food store sectors. In this quest for excellence, Victor Besserat created an exceptionally light Champagne in 1930: the renowned Cuvée des Moines, the jewel in the House’s crown. The BESSERAT DE BELLEFON “Sensation” reflects a unique production process within the region. Compared with a traditional champagne, the House’s Champagnes are characterized by 30% finer bubbles and a creamy mousse. BESSERAT DE BELLEFON is owned by BURTIN - www.maisonburtin.com-. BURTIN is one of the leading suppliers for French and European retailers. In France, it handles production and distribution for ALFRED ROTHSCHILD & Cie. champagne. In 2015 : BESSERAT DE BELLEFON is continuing to roll out its value strategy. Communication and marketing are being further strengthened to accompany the ramping up of the Cuvée des Moines. The new B de B prestige cuvee, a further oenological success, consecrates the House’s authentic and inimitable style. These developments will help further strengthen BESSERAT DE BELLEFON’s positions both in France and internationally.

www.lanson-bcc.com

P L E A S E D R I N K R E S P O N S I B LY

Profil Design - Calyptus - © Photos D.R

Allée du Vignoble - 51100 Reims - France Tel. : +33 (0)3 26 78 50 00 - Fax : +33 (0)3 26 78 53 88 [email protected]

Suggest Documents