Wine continued to take share from beer and spirits in the 4 weeks to August 8, according to SymphonyIRI tracked channels. Morgan Stanley reports in a research note that wine sales grew 4.8%, while spirits grew 1.6% and beer gained 0.9%. Volumes of wine grew 3.4%, while spirits gained 1.8% and beer declined -1.3%.

Barclays Capital’s Alex Oldroyd is taking a “less negative view” of the spirits industry on a global scale as companies boost marketing and the promotional environment improves.

The likelihood of Diageo acquiring the remaining 66% of Moet-Hennessy it doesn’t already own is “extremely low,” said Deutsche Bank analyst Jamie Isenwater in a research note. Although it “is probably the most rumoured and speculated event in Global spirits,” there are plenty of negatives to outweigh the positives.

North Carolina has received some negative press this year regarding local ABC boards – one story involving large salaries for a father and son management team, and another involving an expensive dinner in Charlotte paid for by Diageo. That led to a lot of speculation that North Carolina might privatize spirits sales, much like what Washington and Virginia is considering doing at the moment.

Out of the wines with the biggest dollar share in food, drug and convenience stores, Barefoot, Cavit Collection from Italy and Menage a Trois were fast growing superstars in the four-weeks to July 11, according to SymphonyIRI scan data. Keep in mind that this four-week period covers the Fourth of July holiday. In terms of dollar sales, Barefoot grew 24%, Cavit gained 19.3% and Menage a Trois rose 51%. In terms of volume, Barefoot was up 25.8%, Cavit 36.8% and Menage a Trois 57.8%. Note that Barefoot and Cavit both fall in the $5-$8 range, while Menage a Trois is priced between $8 and $11.

We spoke with Bill Newlands, president of Beam Global Spirits & Wine US, this week about some of the company’s new innovations, including Red Stag by Jim Beam and Maker’s Mark 46…

There’s a theory that once the on-premise bounces back, the industry will follow. We don’t have to tell you (but we’re going to anyways) that softness at the on-premise has been a big drag on the industry since 2008…

Fourth of July did not give the spirits industry a big boost in sales, according to Nielsen scan data in food, drug, c-store and major market liquor stores. In fact momentum we saw in June did not carry over, but some of that growth in June was also due to timing issues with Memorial Day. But back to July. Dollar sales in the four-weeks to July 24 grew 1.4% while volumes grew 1.1%. The average price per 750ml bottle declined by -4 cents compared to the same period last year.

The Specialty Wine Retailers have appealed the decision made by the Fifth Circuit Court of Appeals regarding Siesta Village Market v Steen. They are again asking for an en banc hearing, which means the case would be heard by all the judges on the court if it is approved. It was announced in July that the court denied the SWRA’s first request for a rehearing, made in February.

The convenience store channel is still relatively new to the wine industry and promising a lot of growth opportunities for certain brands. For example, Sutter Home grew 16.6% in dollar sales and 20.7% in volume in the four weeks to July 11, according to scan data from Symphony IRI. That beats its growth in food and drug stores, where Sutter Home grew 7.4% in sales and 4.3% in volume. And although Barefoot is posting double-digit growth in all the IRI-tracked channels, it is doing especially well in c-stores….

Tequila Avion is a new, ultra-premium tequila to hit the stage, currently available in California through Young’s Market and New York through Empire Distributing (part of Charmer Sunbelt). If you watch HBO’s Entourage, you may have heard of it because the brand is a major part of the storyline so far this season. Ken Austin is the founder and chairman of Tequila Avion, and is returning to the spirits industry after spending the last 10 years in aviation. (Ken is still executive vice chairman of Marquis Jet). Ken started his career at E&J Gallo, where he spent 2 years. Then he worked for the Seagram Company for 13 years. “So for the first 15 years of my working career I was in the beverage business and have had a major affinity for the business for a long time,” he told us. After Seagram was sold he joined Marquis Jet, a start-up with founder Kenny Dichter and others and partnered with Warren Buffett’s NetJets in a similar manner as beverage distributors and their supplier partners. Here’s what else Ken had to say as you, dear reader, are a fly on the wall:

Campari revealed in their earning results today that they signed an agreement with Cabo Wabo on July 30 to purchase the remaining 20% stake for $11 million. Based on the agreement, Campari said in addition that “an estimated earn-out of US$ 4.0 million is expected to be paid to the selling shareholder in the three years following the closing of the deal.” Recall that Campari bought the controlling 80% stake in Cabo Wabo in 2008.

We’ve heard from the supplier tier and the wholesaler tier regarding HR 5034. Now here’s a word from the Specialty Wine Retailers Association’s director Tom Wark. The SWRA represents brick and mortar and online wine retailers, which are in a unique position because they are left out of the bill entirely. So the big question is: if HR 5034 was passed, would states be allowed to discriminate against online wine retailers? Tom says yes. “The bill doesn’t say that there can be no non-facial discrimination against retailers, just producers,” he told us. Here’s what else he had to say as you, dear reader, are a fly on the wall.

Now that both privatization proposals will appear on Washington’s November ballot, groups are drawing a line in the sand by coming out in support or opposition of either I-1100 or I-1105. So far, Initiative 1100 seems to be getting the most attention and is also the most controversial, largely because it would allow distillers to self-distribute. It has the support of Costco, Northwest Grocery Association, Washington Restaurant Association and Seattle Nightlife and Music Association, among others.

Beam Global saw US spirits net sales grow low- to mid-single digits in the second quarter ended June 30, while depletions grew 4% ytd. Overall bourbon grew at a low-single digit rate, helped by promotions and a strong performance for Jim Beam in the US. Red Stag, Jim Beam Black and Jim Beam Rye all contributed to share gains in the US. Meanwhile, Maker’s Mark experienced “solid growth” and Knob Creek grew at a double digit rate.