The Remy Cointreau Group announced that it had tasked the Crédit Agricole-IPC in order to start the procedure of sale of its champagne Division, which includes among other things the famous brands Piper-Heidsieck and Charles Heidsieck. The conclusion of an agreement of sale will be subject to the prior information procedure, for consultation and approval in accordance with regulations. In the period 2009 the Group had accused major record sales of perdit champagne. In February had announced a restructuring of the sta Division. In the first half sales of Piper-Heidsieck and Charles Heidsieck you are shooting, but to an extent deemed not sufficient compared to heavy losses of 2009.
Champagne Piper-Heidsieck refers to an area of 65 hectares of vineyards for the production of 9 millions of bottles, referred 80% intended for export. The Group has paid heavily for the crisis, perhaps due to a strategic error; While some operators have managed to limit the damage of last year, by lowering prices or widening the offer with cheap champagne (selling in some cases less than 10 Euro bottle in some hypermarkets), Remy Cointreau has refused to sell the bottles of own brands at promotional prices. The band recorded a good increase in sales of cognac. Remy then gives priority to the cognac sector and decided to sell the champagne sector that includes the brands Piper-Heidsieck and Charles Heidsieck.
For several months the situation is tense in the House of Piper-Heidsieck. Last February the Group had announced the abolition of 45 positions (a quarter of its workforce in Reims), citing a fall of 42% of its sales between March and September 2009. The employees of the House of champagne had begun an all-out strike to protest the conditions of application of this social plan. With this restructuring, Piper-Heidsieck hoped to recover its profitability. In the first half of the fiscal year 2010-2011, sales of the brands Piper-Heidsieck and Charles Heidsieck rose 15,7% (+11,9% organic), Thanks to France and Great Britain. But this shoot was not considered satisfactory, also in relation to the much more decided the industry cognac. In the first half sales of cognac increased by 29,6% (+20,7% organic growth), towed from China, even with an improvement in the United States, in Russia and in the Nordic countries (www.remy-cointreau.com/fr/information-financiere/communiques/2010/communiques-2010/ ).