V&S Group
Encyclopedia
V&S Group founded in 1917, is an international producer and distributor of alcoholic beverage
s. The group is currently owned by Pernod Ricard
. Headquartered in Stockholm
, the capital of Sweden, the group employs approximately 2,500 people.
Until 1994, the group had the position of a national monopoly
for production and distribution, but this was abolished when Sweden joined the European Union
in 1995. However, the Swedish alcohol retailing monopoly, operated by Systembolaget
, is still in force. On March 31, 2008 it was announced that the Swedish government intended to sell V & S Group to Pernod Ricard
for 5.626 billion euro
, corresponding to 55 billion Swedish kronor
. The deal was approved and finalized on July 24, 2008 at an estimated value of 5.69 billion euro.
The acronym V&S comes from the name Vin & Sprit, literally meaning "Wine & Spirits."
, Denmark
, Great Britain
, and St. Croix, U.S. Virgin Islands
. Production of their local and regional spirits takes place primarily in Sweden, Denmark, Finland
, Germany
, and Poland
. In Northern Europe, V&S Group is the largest importer and distributor of wine. The group offers their own brands of wine and also produces brands by well-known international companies.
Distribution in the Nordic area is primarily handled through the group's distribution centers in Sweden, Denmark, and Finland. V&S Group is represented by the subsidiary V&S Norway in Norway
, by V&S Eesti in Estonia
, and by the company V&S Luksusowa Zielona Góra in Poland. In the United States
, distribution is handled by Future Brands, of which the group owns a 49% share. In most other regions of the world, distribution is handled by Maxxium, also partly owned by the group.
is their largest selling spirit, in which Absolut holds the highest sales figures. Geographically, North America
is the group's single biggest market, accounting for 43% of total sales in 2007. The Swedish market accounts for one-sixth (approximately 15%) of sales. As volume is concerned, the group sold 158.4 million liter
s of spirits and 83.7 million liters of wine, totaling 242.1 million liters of product.
Alcoholic beverage
An alcoholic beverage is a drink containing ethanol, commonly known as alcohol. Alcoholic beverages are divided into three general classes: beers, wines, and spirits. They are legally consumed in most countries, and over 100 countries have laws regulating their production, sale, and consumption...
s. The group is currently owned by Pernod Ricard
Pernod Ricard
Pernod Ricard is a French company that produces distilled beverages. The company's eponymous products, Pernod Anise and Ricard Pastis, are both anise-flavoured liqueurs and are often referred to simply as Pernod or Ricard...
. Headquartered in Stockholm
Stockholm
Stockholm is the capital and the largest city of Sweden and constitutes the most populated urban area in Scandinavia. Stockholm is the most populous city in Sweden, with a population of 851,155 in the municipality , 1.37 million in the urban area , and around 2.1 million in the metropolitan area...
, the capital of Sweden, the group employs approximately 2,500 people.
Until 1994, the group had the position of a national monopoly
Monopoly
A monopoly exists when a specific person or enterprise is the only supplier of a particular commodity...
for production and distribution, but this was abolished when Sweden joined the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...
in 1995. However, the Swedish alcohol retailing monopoly, operated by Systembolaget
Systembolaget
Systembolaget is a government owned chain of liquor stores in Sweden. It is the only retail store allowed to sell alcoholic beverages that contain more than 3.5% alcohol. Systembolaget also sells non-alcoholic beverages. To buy alcoholic beverages at Systembolaget one has to be 20 years of age or...
, is still in force. On March 31, 2008 it was announced that the Swedish government intended to sell V & S Group to Pernod Ricard
Pernod Ricard
Pernod Ricard is a French company that produces distilled beverages. The company's eponymous products, Pernod Anise and Ricard Pastis, are both anise-flavoured liqueurs and are often referred to simply as Pernod or Ricard...
for 5.626 billion euro
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...
, corresponding to 55 billion Swedish kronor
Swedish krona
The krona has been the currency of Sweden since 1873. Both the ISO code "SEK" and currency sign "kr" are in common use; the former precedes or follows the value, the latter usually follows it, but especially in the past, it sometimes preceded the value...
. The deal was approved and finalized on July 24, 2008 at an estimated value of 5.69 billion euro.
The acronym V&S comes from the name Vin & Sprit, literally meaning "Wine & Spirits."
Organization and brands
V&S Group is divided into three main areas:- V&S Absolut Spirits handles Absolut VodkaAbsolut VodkaAbsolut Vodka is a brand of vodka, produced near Åhus, Skåne, in southern Sweden. Since July 2008 the company has been owned by the French firm Pernod Ricard who bought V&S Group from the Swedish government....
and the other international spirits brands, such as Level VodkaLevel VodkaLevel Vodka, a brand of vodka from the makers of Absolut was launched in 2004. Made in Åhus, Sweden, the vodka is made from winter wheat and is marketed as "perfectly balanced" due to the use of two distinct distillation methods - a continuous distillation process to remove congeners, creating the...
, Frïs VodkaFrïs VodkaFRÏS is a Danish vodka brand owned by The Absolut Company , part of Pernod Ricard group.-History:FRÏS vodka was launched in the US in 1989 by Danish Distillers and is distilled in Aalborg, Denmark, at the country’s oldest distillery – renowned for its aquavit tradition...
, Plymouth GinPlymouth GinPlymouth Gin is a style of gin that by law can only be produced in Plymouth, England, it being a Protected Geographical Indication within the European Union. The Plymouth Gin Distillery is the only gin distillery located in Plymouth in what was once a Dominican Order monastery built in 1431 and...
, and Cruzan RumCruzan RumCruzan Rum is a rum producer located in Saint Croix, U.S. Virgin Islands. It is owned by Beam Inc.. Their distillery was founded in 1760 and claims the distinction of "the most honored rum distillery in the world." Weekday tours of the distillery in Frederiksted are given...
. - V&S Distillers handles spirits on the NorthernNorthern EuropeNorthern Europe is the northern part or region of Europe. Northern Europe typically refers to the seven countries in the northern part of the European subcontinent which includes Denmark, Estonia, Latvia, Lithuania, Norway, Finland and Sweden...
and CentralCentral EuropeCentral Europe or alternatively Middle Europe is a region of the European continent lying between the variously defined areas of Eastern and Western Europe...
EuropeEuropeEurope is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...
an markets. - V&S Wine handles wineWineWine is an alcoholic beverage, made of fermented fruit juice, usually from grapes. The natural chemical balance of grapes lets them ferment without the addition of sugars, acids, enzymes, or other nutrients. Grape wine is produced by fermenting crushed grapes using various types of yeast. Yeast...
s and fortified wineFortified wineFortified wine is wine to which a distilled beverage has been added. Fortified wine is distinguished from spirits made from wine in that spirits are produced by means of distillation, while fortified wine is simply wine that has had a spirit added to it...
s in the Nordic region.
Production and distribution
The production of the group's international spirits takes place in SwedenSweden
Sweden , officially the Kingdom of Sweden , is a Nordic country on the Scandinavian Peninsula in Northern Europe. Sweden borders with Norway and Finland and is connected to Denmark by a bridge-tunnel across the Öresund....
, Denmark
Denmark
Denmark is a Scandinavian country in Northern Europe. The countries of Denmark and Greenland, as well as the Faroe Islands, constitute the Kingdom of Denmark . It is the southernmost of the Nordic countries, southwest of Sweden and south of Norway, and bordered to the south by Germany. Denmark...
, Great Britain
Great Britain
Great Britain or Britain is an island situated to the northwest of Continental Europe. It is the ninth largest island in the world, and the largest European island, as well as the largest of the British Isles...
, and St. Croix, U.S. Virgin Islands
United States Virgin Islands
The Virgin Islands of the United States are a group of islands in the Caribbean that are an insular area of the United States. The islands are geographically part of the Virgin Islands archipelago and are located in the Leeward Islands of the Lesser Antilles.The U.S...
. Production of their local and regional spirits takes place primarily in Sweden, Denmark, Finland
Finland
Finland , officially the Republic of Finland, is a Nordic country situated in the Fennoscandian region of Northern Europe. It is bordered by Sweden in the west, Norway in the north and Russia in the east, while Estonia lies to its south across the Gulf of Finland.Around 5.4 million people reside...
, Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
, and Poland
Poland
Poland , officially the Republic of Poland , is a country in Central Europe bordered by Germany to the west; the Czech Republic and Slovakia to the south; Ukraine, Belarus and Lithuania to the east; and the Baltic Sea and Kaliningrad Oblast, a Russian exclave, to the north...
. In Northern Europe, V&S Group is the largest importer and distributor of wine. The group offers their own brands of wine and also produces brands by well-known international companies.
Distribution in the Nordic area is primarily handled through the group's distribution centers in Sweden, Denmark, and Finland. V&S Group is represented by the subsidiary V&S Norway in Norway
Norway
Norway , officially the Kingdom of Norway, is a Nordic unitary constitutional monarchy whose territory comprises the western portion of the Scandinavian Peninsula, Jan Mayen, and the Arctic archipelago of Svalbard and Bouvet Island. Norway has a total area of and a population of about 4.9 million...
, by V&S Eesti in Estonia
Estonia
Estonia , officially the Republic of Estonia , is a state in the Baltic region of Northern Europe. It is bordered to the north by the Gulf of Finland, to the west by the Baltic Sea, to the south by Latvia , and to the east by Lake Peipsi and the Russian Federation . Across the Baltic Sea lies...
, and by the company V&S Luksusowa Zielona Góra in Poland. In the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
, distribution is handled by Future Brands, of which the group owns a 49% share. In most other regions of the world, distribution is handled by Maxxium, also partly owned by the group.
Sales
About three-quarters of the group's sales come from spirits, whereas the remaining quarter comes from wine. VodkaVodka
Vodka , is a distilled beverage. It is composed primarily of water and ethanol with traces of impurities and flavorings. Vodka is made by the distillation of fermented substances such as grains, potatoes, or sometimes fruits....
is their largest selling spirit, in which Absolut holds the highest sales figures. Geographically, North America
North America
North America is a continent wholly within the Northern Hemisphere and almost wholly within the Western Hemisphere. It is also considered a northern subcontinent of the Americas...
is the group's single biggest market, accounting for 43% of total sales in 2007. The Swedish market accounts for one-sixth (approximately 15%) of sales. As volume is concerned, the group sold 158.4 million liter
Litér
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s of spirits and 83.7 million liters of wine, totaling 242.1 million liters of product.