? Wine as an investment: What’s the point of drinking wine when you can invest in it? None, actually, but that hasn’t stopped people with entirely too much money from treating wine as if it was real estate. In 2007, reports Reuters, the main British stock index rose by less than four percent. The main index on Liv-ex, where fine wine is traded, ended the year up 40 percent. At the risk of sounding much too curmudgeonly, let me say two two things: First, wine is not an asset like a house or shopping center, but an intangible with no intrinsic value. It is made to be drunk, not traded like soybeans. Second, those who do not know history are doomed to repeat it — see the 17th century Dutch tulip bubble.
? More wine company buyouts: The Wine Group, which already owns Big House, Glen Ellen, and Mogen David (among many others), has bought the Almaden and Inglenook brands from Constellation Brands. The transaction makes the Wine Group California’s second- and the world’s third-largest wine producer by volume. Almaden and Inglenook, though not much more than jug wine brands now, were once some of the most prestigious labels in the country. Their purchase solidifies the Wine Group’s hold on its share of the largest portion of the U.S. market — wines that cost from $3 to $9 a bottle.
? More from Champagne? The French are expanding the area in the Champagne wine region, so that more sparkling wine can be labeled champagne. The government will redraw the 1927 boundaries for the region (what the French call an AOC or appellation d’origine contr l e) to include up to 40 villages. The motive? Increased international demand for bubbly, which can only be called champagne if it’s from the champagne region of France. Quality shouldn’t suffer, though, since many of the villages that will be added didn’t want to be included when the boundaries were drawn 80 years ago.