Schafer & Associates

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What is Allied Grape Growers Allied Grape Growers is a California winegrape marketing cooperative with over 500 grower members located from all major winegrape regions of California including the North Coast, Central Coast, Lodi and the San Joaquin Valley. The association exists for the purpose of efficient and competitive marketing of its members' grapes as well as offering marketing ( brokering ) services for non-members. We maintain direct lines of year round communication with our growers and vintners for the better understanding of market conditions and opportunities. When looking at the benefits of Allied Grape Growers, you should know that Allied markets winegrapes to over eighty outlets. This wide range of vintners, buyers, and processors to which Allied sells means that we are subject to much more first hand market information than any one single grower. It also means that we have established relationships with multiple buyers which provide our growers with the most marketing opportunities possible. We continue a dialogue with the vintners and growers through our management and field staff on a year round basis, not just during harvest. Our field staff helps to keep growers abreast of current market conditions from a grower's standpoint. We constantly evaluate winegrape market data for the purpose of identifying market trends and pass that information on to our members for their benefit in decision making. You can see why we stress to our growers that marketing means making the most of available opportunities. In addition to market interpretation, Allied benefits its membership simply by the diversity of varieties which it has available to market. Because of the many varieties Allied markets in various categories both red and white, varietal and generic, and wine and concentrate, we are able to efficiently "package" different varieties and or categories for sale to various buyers. As you know, market demand for grapes can change rapidly and in many cases we are able to successfully market various varieties and categories because of the fact that we offer a diverse selection for vintners. Allied also offers growers the ability to have an association watching over their contractual interests regarding grape sales. In times of changing markets this can be a very important aspect of our service. Allied's payment schedule to growers is very timely. Allied pays 90% of the established base price within 30 days of the completion of deliveries by variety. The remaining 10% plus any price adjustment is then paid no later than 45 days after the first of the year. Allied deducts a service fee from our growers' grape payments to fund the operation, and our buyers pay Allied 1% for our services offered them. Our service fee to growers has traditionally been between 1%-2% in any given year. Any profits which the association shows after paying operating expenses annually are then allocated back to the membership. Allied Grape Growers also offers members the ability to take harvest advances and/or defer payments. As an Allied member you also have the ability to participate in group insurance programs such as our workers' compensation program, a grower's health insurance program for employees and dependents, and a crop insurance program. Allied is also active in wine industry affairs through its affiliations and memberships in numerous organizations such as the Agricultural Council of California,, Family Winemakers of California, the Wine Institute, and numerous regional grape grower associations. Our cooperative understands that the success of our membership depends on our interaction with all segments in this exciting business.