HARDY WINE COMPANY

Closure Statement

NATURAL CORK

Reference One

· 49mm natural cork

· Super premium and Prestige wines

· Long-term cellaring

Reference one corks are premium quality, hand selected, natural corks sourced from a limited number of approved suppliers. Quality standards are very strict with regards to physical performance and appearance. A good quality Reference one natural cork is still considered as the best closure for red wines in the portfolio.

Reference Two

· 44mm natural cork

· Premium and regional range products

· Medium to long-term cellaring

Reference two corks are high-grade natural corks sourced from a limited number of approved suppliers. Over the past two years, the Company has seen a marked reduction in the instances of cork taint as a consequence of advances made in supplier’s cork selection, washing and treatment processes.

Technical Cork - Table Wines

· 41 - 44mm corks with agglomerate body and natural cork discs at each end

· Budget and commercial products (where appropriate)

· Immediate to short-term cellaring

Historically, Reference three natural corks have been used on budget and commercial wines. Recent trials have shown that technical corks outperform Reference three natural corks on physical performance (ie less risk of leakage), retention of wine aroma and reduction of cork taint.

Technical corks are semi-manufactured natural cork product, combining natural cork discs and a composite body made of agglomerate cork particles. The cork discs are treated to minimise the risk of cork taint. These closures can be identified by their likeness to the widely used and proven sparkling wine cork.

Technical Cork – Sparkling Wines

· Agglomerate body with two discs

· All world sparkling wine styles and champagne

· Immediate consumption to medium-term cellaring

Since 2002, the Company has been trialing maturation of premium sparkling wines using technical cork and crown seal closures. To date, results show an ongoing preference for wine that is matured on good quality cork as it improves wine aromas, complexity and befits the Company's sparkling house style.

Synthetic Closures

· Synthetic materials sourced from approved suppliers

· Budget and Buyer’s Own Brand as requested

· Wines for immediate consumption

Synthetic closures are chosen based on favourable trial results with respect to SO² retention and preservation of wine aromas. These closures are designed for immediate consumption styles and those wines with a high stock turnover.

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SCREWCAP CLOSURES

· 30 x 60mm Aluminium ROTE screwcap lined with tin/saran

· Commercial and popular wines

· Short to long-term cellaring

For all global markets, the Hardy Wine company has adopted screwcapsule as the preferred closure for bottled wines in its commercial and popular wine portfolios.

This decision follows extensive research by both the Company and the Australian wine industry (notably the Australian Wine Research Institute) which concluded that wines bottled with a screwcap closure retain higher levels of aromatics, freshness and fruit character, without being subject to the potential impact of cork taint.

The Company's rosés and prestige white wines, including Eileen Hardy Chardonnay and Yarra Burn Bastard Hill Chardonnay are also sealed with this closure, however application for the Company's premium and prestige red wines is still under review.

This statement has been developed as a result of closure trials performed by both Hardy Wine Company and the Australian Wine Research Institute (AWRI). The information contained herewith is to be used as a guideline only as it is continually under review according to the information and research available.

Peter Dawson

Chief Winemaker - Hardy Wine Company