Scheid Vineyards, Inc. offers premium varietal wine grapes and bulk wine. The company operates approximately 5,700 acres of wine grape vineyards on the Central Coast of California. Of this total, approximately 4,300 acres are operated for the company’s own account and 1,400 acres are operated under management contracts for others. All of the properties that the company operates are located in Monterey and San Benito counties.
The company produces 17 varieties of premium wine grapes, primarily C...
Scheid Vineyards, Inc. offers premium varietal wine grapes and bulk wine. The company operates approximately 5,700 acres of wine grape vineyards on the Central Coast of California. Of this total, approximately 4,300 acres are operated for the company’s own account and 1,400 acres are operated under management contracts for others. All of the properties that the company operates are located in Monterey and San Benito counties.
The company produces 17 varieties of premium wine grapes, primarily Chardonnay, Cabernet Sauvignon, Merlot, Pinot Noir, Sauvignon Blanc and Syrah. The majority of the company’s wine grapes are sold under short and long-term grape purchase agreements to a variety of winery clients.
The company, in 2005, sold approximately 53% of its wine grapes under such purchase agreements to approximately 30 different wineries. It also converts a portion of its grapes, approximately 36% in 2005, to premium bulk wine which is sold pursuant to wine purchase agreements or on the open bulk market. The company also sells a portion of its grapes, approximately 11% in 2005, pursuant to an acreage contract whereby the winery client purchases the entire grape production from specified acreage for a set price per acre.
The company, in September 2005, completed construction of a winery facility located at the company’s vineyard headquarters near Greenfield, California. The facility has the capacity to process approximately 11,000 tons of grapes into wine during any one harvest, as well as to process additional grapes into juice. The facility is being used to produce wine for the company’s own bulk wine production, as well as process and store bulk wine for third party customers.
Bottled Wine Production and Sales
The company produces its own varietal wines under the Scheid Vineyards label. Its tasting room is located at the company’s vineyard headquarters compound located on U.S. Highway 101 (a major north-south thoroughfare between San Francisco and Los Angeles) just south of Greenfield and north of King City in Monterey County. It produced approximately 3,825 cases in the year 2005, of ultra premium varietal wines, including Chardonnay, Cabernet Sauvignon, Merlot, Pinot Noir, Syrah and Sauvignon Blanc, using company-grown grapes.
Customers
The company’s customers include Diageo Chateau & Estate Wines Company, a division of Diageo plc (Diageo). It also has long-term grape or bulk wine purchase agreements with other producers of wines, including Don Sebastiani & Sons, Niebaum-Coppola Estate Winery, Canandaigua Wine Company, Purple Wine Company, David Bruce Winery, and Morgan Winery.
History
Scheid Vineyards, Inc. was founded in 1971.