Treasury Wine to offload Wolf Blass, Lindeman’s, Yellowglen

Penfolds owner Treasury Wine Estates will sell its more affordable wine brands, including Wolf Blass, Lindeman’s, Yellowglen and Blossom Hill, as that segment suffers from an exodus of budget-strapped drinkers.

The company announced on Tuesday that as part of a structural review that it has been working on for six months, it will exit its commercial wine brands, which sell for around $10 a bottle. The ensuing $354 million impairment, related to goodwill and the labels’ carrying value, is equivalent to $290 million after tax.