Constellation Brands Makes Minority Investment in Rochester Craft Distiller Black Button Distilling

VICTOR, NY – Feb. 5, 2019

Constellation Brands, Inc. (NYSE: STZ and STZ.B), a leading beverage alcohol company, announced today it acquired a minority stake in craft spirits maker Black Button Distilling. The investment was made through Constellation’s venture capital group that identifies and invests in premium, emerging brands in categories that provide strong scalability, consumer appeal, and a unique niche or point of differentiation in the market. Black Button will continue to manage, produce, market and sell its high-performing, award-winning spirits such as its Straight Bourbon Whiskey, Citrus Forward Gin, seasonal Lilac Gin and Bespoke Bourbon Cream. 

Black Button, the first grain-to-glass craft distillery in Rochester since Prohibition, was founded in 2012 by Jason Barrett, a fourth-generation entrepreneur. Less than two years later, Black Button Distilling opened a tasting room and retail store to the public, offering spirits tastings, distillery tours and craft cocktails. Every batch of Black Button’s world-class spirits is distilled from New York State grains, and then aged, bottled and labeled in Rochester.  

“For us to continue the growth rate we believe we are capable of, it was time to find an equity partner. But we didn’t want just any equity partner. We wanted someone who understood our business, our culture and our goals,” said Barrett. “We found that partner right in our back yard. Constellation shares our love of Western NY and they are also committed to the agricultural roots that are so important to Black Button. This partnership is great for our employees, our ownership, our farmers and our consumers because we will be able to bring more great Black Button products to our community.” 

Sales have more than tripled since 2014, and in 2017 Black Button expanded and opened a tasting room and bottle shop in Buffalo, N.Y. Black Button Distilling has won multiple awards including USA TODAY’s “10 Best Craft Distilleries,” the TheFiftyBest.com’s 2018 Silver Medal for its Straight  

Bourbon Whiskey in the Best Bourbon Category, and NASDAQ Stock Market’s 2016 list of “Next Great Consumer Brands.” 

 “As a company headquartered in the Greater Rochester region, we’re especially proud to make this investment in this local favorite,” said Constellation’s President and Chief Operating Officer, and incoming Chief Executive Officer Bill Newlands. “Black Button has a proven track record of producing premium craft spirits that resonate with consumers and they have a variety of products that are aligned to consumer trends and fill white space within Constellation’s spirits portfolio. With our shared knowledge, experience and guidance, we will work together to help Black Button grow and expand the brands that craft spirits enthusiasts have come to know and love.”  

Black Button Distilling’s spirits are currently distributed throughout New York State, in select markets in the Northeast and MidAtlantic, most notably New York, New Jersey, Maryland and DC and can also be found in regional on and off premise accounts.  

Terms of the transaction were not disclosed. 

About Black Button Distilling 

Since 1922, Jason Barrett’s family has provided some of the finest men’s suit buttons available. For four generations these buttons have closed suits worn by Presidents, Popes, Kings, and businessmen the world over. From a young age, Jason went to work in his grandfather’s factory, but it was clear he was meant for a different path. He broke tradition and decided to make whiskey.  

Black Button Distilling is the first grain-to-glass craft distillery in Rochester, NY since prohibition. Founded in 2012 near Rochester’s historic Public Market, Black Button Distilling specializes in farm to still products, using unique and all-natural ingredients from local farms to craft 115,000 bottles of award-winning spirits each year, distributed in 11 states and Japan. As a New York State Farm Distillery, Black Button Distilling is deeply committed to crafting high quality spirits with New York State grown and produced ingredients.  

Over 90% of ingredients in Black Button Distilling spirits are grown or produced in New York State. All corn, wheat, rye and barley are sourced locally from Edgewood Farms in Groveland, a nearly 1,600-acre farm south of Rochester. Dairy cream for Bespoke Bourbon Cream liqueur is sourced from New York State farms and apple cider for Apple Pie Moonshine comes from LynOaken Farms in Medina.  

To learn more, visit www.blackbuttondistilling.com.  

Media Contact: Whit Bowers, Director of Marketing at whit@blackbuttondistilling.com  

About Constellation Brands 

Constellation Brands (NYSE: STZ and STZ.B), a Fortune 500® company, is a leading international producer and marketer of beer, wine and spirits with operations in the U.S., Mexico, New Zealand, Italy and Canada. Constellation is the No. 3 beer company in the U.S. with high-end, iconic imported brands such as Corona Extra, Corona Light, Modelo Especial, Modelo Negra and Pacifico. The company’s beer portfolio also includes Ballast Point, one of the most awarded craft brewers in the U.S., and Funky Buddha Brewery. In addition, Constellation is the world leader in premium wine, selling great brands that people love, including Robert Mondavi, Clos du Bois, Kim Crawford, Meiomi, Mark West, Black Box, Ruffino and The Prisoner. The company’s premium spirits brands include SVEDKA Vodka, Casa Noble Tequila and High West Whiskey. 

Based in Victor, N.Y., the company believes that industry leadership involves a commitment to brand building, our trade partners, the environment, our investors and to consumers around the world who choose our products when celebrating big moments or enjoying quiet ones. Founded in 1945, Constellation has grown to become a significant player in the beverage alcohol industry with more than 100 brands in its portfolio; about 40 wineries, breweries and distilleries; and approximately 10,000 talented employees. We express our company vision: to elevate life with every glass raised. 

To learn more, follow us on Twitter @cbrands and visit www.cbrands.com.

MEDIA CONTACTS: Mike McGrew 773-251-4934  |  Amy Martin 585-678-7141 

INVESTOR RELATIONS CONTACTS: Patty Yahn-Urlaub 585-678-7483  |  Bob Czudak 585-678-7170  |  Tom Conaway 585-678-7503