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W.J. Deutsch & Sons and Adult Beverage Company Forming New Joint Venture

Combined efforts to drive sales and marketing for category-innovator Adult Chocolate Milk™


News provided by

W.J. Deutsch & Sons, Ltd.

Jul 15, 2011, 11:48 ET

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WHITE PLAINS, N.Y., July 15, 2011 /PRNewswire/ -- W.J. Deutsch & Sons, Ltd. (Deutsch), a leading wine and spirit supplier of more than 25 award-winning brands from around the world, and Adult Beverage Company (ABC), creator of the hot new spirit brand and category-innovator Adult Chocolate Milk™, announced today that they will form a joint venture and become equity partners in the new entity, Adult Beverage Co., LLC.  

Featuring the flavors of real cream and rich chocolate, Adult Chocolate Milk is a proprietary blend of premium ingredients made with vodka. At 40 proof, Adult Chocolate Milk is a product for adults and will be marketed as such. Since its introduction two years ago, Adult Chocolate Milk has enjoyed unprecedented growth and widespread appeal as the premium pour-and-serve cocktail of choice for sophisticated consumers.

"W.J. Deutsch has a long track record of successful brand-building and has an excellent network of distributors committed to driving their brands," said Nikki Halbur, Co-Founder, Adult Beverage Company. "Deutsch also has the resources and industry credibility to help drive our products through the 3-tier system and achieve nationwide availability.  Because of those strengths, and the fact that they are a family-run, people-first company, W.J. Deutsch is a natural fit for us and our corporate philosophy."

"My Dad and I built this business by partnering with other private companies that produce high-quality products that fulfill consumer needs," said Peter Deutsch, CEO of W.J. Deutsch & Sons. "In developing Adult Chocolate Milk and urging adults to relive a simple pleasure of their youth, Tracy and Nikki have forged a unique and powerful connection with their consumers. We are thrilled to have the opportunity to help them take this amazing brand to new heights and work with them to offer other flavors to a much larger audience."

In 2009, Deutsch announced the formation of a spirits division, seeking to parlay the company's recognized brand building expertise and exceptional distributor network to promote innovative, premium products for today's consumer.  Adult Chocolate Milk, with its universal appeal, will be a complement to the Deutsch Spirit portfolio, which includes Landy Cognac, Luksusowa Vodka, The Original MOONSHINE and Villa Massa.  

Adult Beverage Company was launched in 2009 after two high school friends, Tracy Reinhardt and Nikki Halbur, reconnected on Facebook.  The two collaborated on a beverage concept that combined a classic favorite with an adult twist.  What began in a kitchen, quickly spread through celebrity circles and is now available in 40 states.

"Adult Beverage Company was founded for the consumer, by the consumer. We're thrilled to partner with W.J. Deutsch and tap their sales and marketing expertise to introduce millions of new consumers to Adult Chocolate Milk," said Tracy Reinhardt, Co-Founder of Adult Beverage Company. "Together, we will grow the new Adult Beverage Company to become a market leader in bringing innovative, quality products to consumers supported by creative non-traditional marketing that Nikki and I will continue to lead."

"Tracy  and Nikki have created a brand with real consumer appeal as evidenced by the brand's instant success, and that success is in no small part attributable to the innovative means by which the brand has reached its consumers," said Tom Steffanci, President of W.J. Deutsch & Sons. "Facebook is where consumers are turning to reconnect with friends and discover products that meet their needs, and Tracy and Nikki found a genuine way to use Facebook to interface with adult consumers.  They will continue to lead the brand's social networking marketing efforts going forward."

Adult Chocolate Milk™ is available in 750 ml ($18.99) and 1 L ($23.99). Prices may vary by market.

About Adult Beverage Company

Launched in 2009 by high school friends and busy working moms Tracy Reinhardt and Nikki Halbur – who re-connected on Facebook – Adult Beverage Company (ABC) is a stand-out enterprise in a male-dominated industry.  Co-Founders Reinhardt and Halbur leveraged their significant operations and sales expertise to build a company with the consumer in mind.  ABC prides itself on its commitment to quality and innovation; the founders maintain a close eye on day-to-day operations, honing an artisanal approach to developing products inspired by the flavors of youth with the most up-to-date production methods.  

Adult Chocolate Milk is the signature product in Adult Beverage Company's portfolio.  The retro-inspired, forward-thinking Adult Chocolate Milk has become an instant classic and has reinvigorated the pour-and-serve category with its premium ingredients and affordable price point.  The unconventional and creative way that co-founders Tracy Reinhardt and Nikki Halbur run their company has precipitated unparalleled growth and brand recognition. The product has gained the company brand awareness from distributors, retailers and consumers alike – an unprecedented industry feat.  Product distribution has grown from four states to 40 in just seven months and has enjoyed 200 percent quarter-over-quarter growth.  Adult Chocolate Milk is available at local liquor stores and major retailers throughout the United States including select Costco, Kroger and Sam's Clubs.  A premium product offered at a value price -- $17.99 to $19.99 per bottle – Adult Chocolate Milk is the "wherever, whenever, however" spirit brand due to its versatility and accessibility.  For additional information, please visit www.AdultChocolateMilk.com.

About W.J. Deutsch & Sons

W.J. Deutsch & Sons, Ltd. was founded in 1981 by Chairman Bill Deutsch to market quality wines produced by prestigious families from major wine regions of the world. In 2009 Deutsch announced the expansion of the award-winning company to include a separate Spirits Division, W.J. Deutsch Spirits LLC. Deutsch's wines and spirits are sold to the trade with well-planned marketing support and are offered to U.S. consumers at fair market prices. Today the company is renowned for its brand building prowess and its ability to meet the needs of the modern consumer. Bill's son Peter Deutsch is CEO; thus two generations of the Deutsch family work side by side in their continuous quest to build strong brands and relationships throughout the wine and spirit industry.

The W.J. Deutsch & Sons portfolio includes award-winning wines from Australia: [yellow tail], [yellow tail] The Reserve, [yellow tail] Bubbles; California: Girard Winery, Windsor Sonoma, Sonoma Coast Vineyards, Kunde Family Estate, Joseph Carr, Josh Cellars; France: Andre Lurton, Georges Duboeuf, Hob Nob Vineyards, Patch Block, Pierre Sparr, Sauvion et Fils, Vidal Fleury; Italy: Barone Fini, Castello di Monastero, Coldisole, Poggio alle Sughere, Lionello Marchesi, Villa Pozzi; New Zealand: The Crossings; Portugal: Quinta Do Vale Meao; Spain: Mar De Frades (Rias Baixas), Cruz de Alba (Ribera del Duero), Ramon Bilbao Vinos Y Vinedos (Rioja), and Volteo (Castilla); Chile: Llai Llai; Argentina: Ruta 22, and award-winning spirits from Landy Cognac (France), Luksusowa Vodka (Poland), The Original MOONSHINE and Adult Chocolate Milk (USA) and Villa Massa (Italy). www.wjdeutsch.com.    

SOURCE W.J. Deutsch & Sons, Ltd.

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