PERNOD STAYS COY ON STOLI REPORTS

Despite reports yesterday that the French company is close to purchasing the full rights to Stoli vodka brand for $1.45 billion, the company said nothing has changed. Pernod said it still awaits final approval from the Russian government, among other steps. As you’ll recall, Pernod acquired the rights to Stoli outside Russia when it bought the brand from Allied Domecq in 2005. The agreement with SPI, owners of Stoli, expires Dec. 31, 2010.

Shares of Pernod were up 1.7%, or $3.69 to $219.79 today (Dec. 17) in Paris after a report by British publication The Mail said that Pernod was planning to acquire the full rights to Stoli by next May.

Patrick Ricard has said in the past that Pernod would either acquire Stoli or Absolut, but not likely both. Pernod is currently considered a front-runner for Absolut.

“Stoli is the company's number one priority,” said a source close to the company to The Mail. “Pernod believes its future depends at all costs on owning a leading vodka brand.”