STZ CONTINUES CONSOLIDATIONS
Constellation is working towards wrapping up its consolidation of West coast operations, which includes discontinuing bottling and barrel-aging operations at R.H. Phillips winery, where “custom farming” vineyard operations will also be limited. The consolidation will be completed by the end of February.
The R.H. Phillips’ Toasted Head and the R.H. Phillips wines, acquired with the Vincor deal, will be bottled and also have their finished case goods stored at Constellation’s Lodi distribution center. The R.H. Phillips wines, however, will continue being produced at the R.H. Phillips Winery.
As a part of the consolidation, Constellation will let 30 employees go, but will add 27 positions to the upgraded Robert Mondavi Woodbridge facility and its associated Lodi distribution center, raising the number of workers to 227.
All affected R.H. Phillips workers will be offered severance and outplacement services, while vineyard workers still finishing up harvest activities will remain on the payroll through the end of December. Employees in bottling, warehousing and production-related positions will be paid through February 28.
Operational shift include:
Bottling work now done at the R.H. Phillips Winery will go to Woodbridge, but all Phillips wines will continue to be produced in Esparto.
Warehousing and distribution of R.H. Phillips cased goods will move to Lodi and its barrel-aging operation will shift to Woodbridge Winery.
R.H. Phillips will reduce the amount of vineyard acreage it manages from 3,260 to 2,600 acres. That will primarily leave the winery to focus on producing fruit for its own wines
What’s the reason for the shift in operations? For one thing, the R.H. Phillips bottling line produces about 140 bottles a minute while Woodbridge can produce 450 bottles per minute. Trucking availability and rates are also more favorable in the Lodi-Stockton area than in Esparto, west of Woodland. As for barrel-aging storage, operational changes at the Woodbridge Winery had created extra space in the barrel warehouse, while R.H. Phillips barrels were being kept at extra expense in a leased facility in Woodland.
The R.H. Phillips’ Toasted Head and the R.H. Phillips wines, acquired with the Vincor deal, will be bottled and also have their finished case goods stored at Constellation’s Lodi distribution center. The R.H. Phillips wines, however, will continue being produced at the R.H. Phillips Winery.
As a part of the consolidation, Constellation will let 30 employees go, but will add 27 positions to the upgraded Robert Mondavi Woodbridge facility and its associated Lodi distribution center, raising the number of workers to 227.
All affected R.H. Phillips workers will be offered severance and outplacement services, while vineyard workers still finishing up harvest activities will remain on the payroll through the end of December. Employees in bottling, warehousing and production-related positions will be paid through February 28.
Operational shift include:
Bottling work now done at the R.H. Phillips Winery will go to Woodbridge, but all Phillips wines will continue to be produced in Esparto.
Warehousing and distribution of R.H. Phillips cased goods will move to Lodi and its barrel-aging operation will shift to Woodbridge Winery.
R.H. Phillips will reduce the amount of vineyard acreage it manages from 3,260 to 2,600 acres. That will primarily leave the winery to focus on producing fruit for its own wines
What’s the reason for the shift in operations? For one thing, the R.H. Phillips bottling line produces about 140 bottles a minute while Woodbridge can produce 450 bottles per minute. Trucking availability and rates are also more favorable in the Lodi-Stockton area than in Esparto, west of Woodland. As for barrel-aging storage, operational changes at the Woodbridge Winery had created extra space in the barrel warehouse, while R.H. Phillips barrels were being kept at extra expense in a leased facility in Woodland.
posted at 3:35 PM
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