Economic sustainability

Preliminary thoughts

Pouilly Fuisse: 3rd century AD

Putting sustainability in prospective

Include pictures of the Mosel and the Rhone valley – vineyards but also people – restaurants - businesses

Mosel Valley: 2nd century AD

Preliminary questions

1. What do we want our regions to be looking like in 1,800 years?

2. Is it important that our children and their descendants have a quality of life similar or higher than ours?

3. Do we feel that we have a system in place to achieve a perennial Washington Wine industry?

Are those questions bringing any emotion?

Economic sustainability

Pacific Rim prospective

What is the question?

How can we make a difference as a business to make the world a better place?

The fundamental principlesPaul Dolan’s E3

• Attain superior Economic bottom line

• Commit to the Environment

• Build an Equitable community

Defining Pacific Rim’s message

Defining Pacific Rim’s values

What about the consumer? part 1

We cannot get to our economic bottom line without the consumer behind us

What about the consumer? Part 2

Fair prices

Healthy Do the right thing

We believe that all consumers have three fundamental behaviors that affect us:

• Offer a fair price: Offer a wine at a competitive price

• Do the right thing: Focus on recyclable and recycled materials because consumers understand Recycling

• Provide wines that are good for your health: Eliminate dangerous chemicals from our farming practices

Our proposition that would satisfy our principles, our values, our mission and the consumer

But we can push the envelop a bit more…

What do we do to kick it a bit further

Pacific Rim winemaking map to reduce waste and energy usage

ShippingTartaric stability

Final filtration

Blending Clarification Fermentation and protein stability

SettlingHarvesting Pressing

Lees filtration

Bottling

Waste reduction

Energy saving

Energy and waste reduction

Other issues that we are entertainingFood for thought

• Energy conservation – How do we reduce our energy use?• Carbon exchange - Is it important to be carbon neutral?• Sustainable Energy source – Solar, Wind, Methane production – Where does that leave hydropower?• Transportation and logistics: Are our wines efficiently delivered to the end user? Could we do bulk transportation of wines?• Zero Waste: How can we make as little of an impact on our sewers and landfills?• Sustainable package: Tetrapacks? Bottle weight?

With all of those options, how do you get started?

• Define your company and your goals.• Find your quest. Example: Is it Zero waste (Fetzer) or Renewable energy (100% Solar as Grgich) or Carbon Neutral status (Parducci through offsets).• Articulate your strategy. • Start with small changes (recycling).• Get your people behind an idea. Example: biodesel for employees – (Willamette Valley Vineyard).• Ask questions and be creative. Example: Soy base ink for your labels (Mendocino Wine Company).• Define your milestones.

Call for Leadership in Washington

Assumption: Our consumers will require us to raise the sustainability bar in the future

Assumption: We need to keep differentiating ourselves to compete in the world of wine (China)

Assumption: We, also want to do the right thing

We can be #1 in the country, why let CA run with this?