For the 3d time, the Supreme Court opted not to take a case about cross-border wine shipments from retailers. The high ct denied to consider further the appeal of a NC district ct ruling last yr that upheld a state law barring wine shipments from out-of-state retailers. The case appeared alongside dozens of other cases that didn't make the cut, NBWA's Alcohol Law Review blog pointed out yesterday. The order showed up just as we wrote about advocates taking a legislative route to open up retailer shipments in WA in yesterday's issue. While disappointed in this outcome, advocates for retail shippers feel confident that a more positive ruling will come from the 7th circuit, Wine-Searcher shared, while a handful of lower court cases continue apace.

"We are tremendously confident in the upside and long-term growth trajectory" of Modelo, said Constellation's EVP & Chief Growth, Strategy & Digital Officer Mallika Monteiro at BBD Summit yesterday. Brand is still in "discovery phase" in most mkts, aiming to close "gap" on brand awareness and household penetration vs Corona and big domestic beers. And co sees "a lot of opportunity" for distribution beyond CA, along with brand equity and mktg investment to capture "#1 share of voice in the industry."

While STZ already expects Modelo brand family to eventually become the biggest in all of beer, Mallika was asked if co also expects Modelo Especial to pass Bud Light as #1 individual brand in beer. Especial currently #2 beer brand in US, she said, and the "trajectory would suggest that we are mathematically going in that direction." But co isn't putting "a bullseye on someone else," focusing on execution and "driving our business" and "we'll see what happens."

Modelo Oro will be first big Modelo innovation since Cheladas 12 yrs ago, a "12-year overnight success," Mallika quipped. And one of main takeaways from launch of Corona Premier was the "importance of educating consumers about what the product is," since they're not calling it "Modelo Light." Meanwhile, Fresca Mixed is now national after launching last fall. Still "early days" and "gearing up for the spring selling cycle," said Mallika, as brand just kicked off mktg campaign with Bravo's Andy Cohen. It's a "really interesting time to be in this industry," she added, noting that everybody seems to have "a couple of dance partners, so to speak."

Beer ended calendar 2022 on a stronger note in scans, posting 7% $$ growth for 1-week ending Jan 1 in IRI multi-outlet + convenience data. Volume improved too tho down nearly 2% for period. Modelo and Corona family showed more signs of getting back on track: $$ surged +23% and +16% respectively for the week, posting largest $$ (and volume) growth among all brand fams. Then too, Twisted Tea family (+38%) surpassed Heineken for the week. Fireball malt bevs posted fastest $$ growth (+133%) among top-50 fams, followed by Topo Chico hard seltzer (+79%), Pacifico (+63%) and Cayman Jack (+54%). Three hard seltzer brands posted steepest $$ declines for the week, Truly (-17%), Bud Light Seltzer and Vizzy (each down ~28%). Bud/Bud Light family lost most volume (-8%) even as $$ grew near 2%. Net-net, 36 of top-50 brand families grew $$ but just 15 of top-50 grew volume for 1-wk.

Leo Kiely, who joined Coors as chief operating officer in 1993 and then led the company through a series of remarkable transformations, passed away at 75. As Coors ceo he grew the company and made Coors an international brewer with the deal to buy Carling in the UK over 20 yrs ago, then the merger with Molson in 2005 and Miller in 2008. Leo became ceo of Miller Coors before retiring in 2011. He and his team created billions in value along the way, but just as impressive were his enduring friendships and humanity. "Leo was a fantastic leader and the best of men," said Molson Coors board chair Pete Coors. "He was strategic, tactical and good-humored all at the same time. He was a special friend and cohort. I have missed him deeply since he retired." In years after retiring from beer biz, Leo had focused on restaurant development; it was prospect of one such venture in Austin in 2021 that led instead to creation of intriguing mineral-rich play called Rambler Sparkling Water (BBI, Nov 12 2021). As we observed at time, Kiely was practiced hand at romancing special qualities of water after his years touting Rocky Mountain source used in Coors beers.

Over past coupla years, Uncle Arnie's THC bev brand has come on strong in launch market of Calif, claiming 30% share of high-dosage segment, while moving into Oregon and landing production and distribution partners for Mich this qtr and Nev next qtr. It's in negotiations for expansion into Colo, Ariz and NM in latter half of year. With ongoing crowdfunding initiative via SeedInvest, it's offering intriguing glimpse both of its own growth and ambitions as well as broader THC bev landscape. Uncle Arnie's ceo Theo Terris comes from ad-tech realm via co called Solavid from which is cofounder, Assaf Hershlikovich, serves as Uncle Arnie's chief revenue officer.

Fast-expanding drivethru coffee purveyor Dutch Bros may be glomming a lot of the headlines, but Fort Worth-based drivethru tea player HTeaO has quietly been making headway on its own. The growth, to 68 units currently, has just been rewarded with investment of undisclosed magnitude from pair of Dallas-based PE shops. The pair, Crux Capital and Trive Capital, together have acquired minority stake in tea player that just celebrated its 68th grand opening and awarded its 426th franchise licensee, with 93 units currently under construction. Founded in Amarillo in 2009 by ceo Justin Howe and Gary Hutchens, HTeaO mainly operates in Sun Belt states so far, with footprint that spans Texas, Florida, Kansas, NM and Okla. It offers range of 27 sweetened and unsweetened recipes made using proprietary water filtration system and natural flavors, including likes of Root Beer, Sweet Mango Fresco and Sweet Turbo Citrus energy tea, as well as secret menu, Dutch Bros-style, that this month is The Cowboy (Sweet Blueberry Green + Ryan Palmer). As part of transaction, Crux' Wayne Moore and Trive's Shravan Thadani will take board seats.

With his ambitious plan to create $4 bil (sales) empire stalled because of slow progress on cannabis dereg, Tilray Brands ceo Irwin Simon is getting more creative in navigating way forward - yesterday venturing possibility of turning pot-growing facilities over to produce farming as interim step to improve capacity utilization. (But we're not hayseeds, he emphasized.) He'll continue to accumulate cannabis-adjacent enterprises, as with recent purchase of Long Island craft player Montauk Brewing, and perhaps more on non-alc wellness side. And the innovation will flow. Next up: new CBD wellness bev called Happy Flower that will ride wine & spirits giant Southern Glazer's DTC platform early this year, with further expansion in CBD-friendly states anticipated as year progresses. No details yet on item. "In short, we continue to build out our wellness business of hemp foods and beverages with more to come," he assured investors on earnings call yesterday.

The indignity of it all: Group Danone, which has long heralded its progressive stance on ESG, has found itself challenged in civil court in Paris by several environmental groups that accuse co "of failing to sufficiently account for all the plastic used along its production lines," per Reuters and other reports. It's part of a trend noted by wire service of a "growing number of non-governmental organizations" in France that are challenging large cos under 2017 law that established a "duty of care" requirement along supply chains "to avoid harm to human rights and the environment." Danone told Reuters it was "very surprised by this accusation, which we firmly refute." Co pushed back further, noting it "has long been recognized as a pioneer in environmental risk management" and has reduced its use of plastic by 12% from 2018-2021" as it works towards goal for all its packaging to be reusable, recyclable or compostable in 2025. A judge will review the complaint and decide if it warrants opening a case, noted Reuters. Also, "unlike a similar case" filed against oil co TotalEnergies, Surfrider, Client Earth and Zero Waste France environmental groups, are not looking to launch criminal charges against Danone. "We want Danone to re-publish its compulsory duty of care report and specifically account for its plastic use, including a concrete strategy to reduce it," demanded Antidia Citores, a rep for Surfrider Foundation Europe. Adam Weiss, Client Earth climate dir for Europe, told NY Times that French statute's vague requirements might seem to render it toothless but "the teeth are in the lawsuits."

Working with incubation partner LA Libations, Molson Coors Beverage has thrown its hat into alc-alternative ring with canned zero-proof cocktail line called Roxie that's initially going out as DTC-only item. Not identified in consumer-facing messaging as being from beer giant, Roxie appears to eschew nootropics and other newfangled components in favor of simple ingredient bill of water, cane sugar, and veggie and fruit juices, to tune of about 21-22 g of sugar (90 calories) per 355-ml can, per newly live website. It's being offered in Ripe with Passionfruit, Forbidden Pineapple and Lost in Mango versions, along with "a hint of intrigue, and a whole lot of attitude," per marketing copy. MC innovation vp Jamie Wideman cited its "layers of flavorful complexity." It's being offered in 4-pks priced at $18 as well as a variety 12-pk for $43. Brewer indicated it's groundbreaking in another way, as only Molson Coors brand sold exclusively online.