Ann: Distribution Arrangements in California and F25 Outlook, page-13

This is a case of the market fearing the worst about a stock because of intense selling, leading everyone to worry about what someone else knows that they don't. Times like this are really tricky for an investor because they don't know whether it is best to hold or dump.

It's usually after the share price has been dumped that the news comes out. Although, the loss of the distributer is not fantastic news, its not really that problematic either. Obviously, any distributer is going to jump at the chance to sell a well-known brand, because the marketing required by them is basically zero. The only question is whether the margin is high enough to make it worth the trouble.

This is a case where the fears look much worse than reality.

Although, TWE has not done well in recent years for shareholders, I'm not sure that it is fair to put that squarely at the feet of mismanagement. Management has had to deal with China tariffs, a wine glut, and decreasing alcohol consumption, none of which are a result of their mismanagement. My view (for what it's worth) is that management has done a pretty good job, in trying times and I would not like to see a cleanout of management.