IBG Buys WTN Services Division of 1-800-flowers.com, Creates WineDirect

For Immediate Release

September 6, 2011

New Company Provides One-Stop Solution for Direct-to-Consumer
Wine Fulfillment, Ecommerce and Marketing

(Napa, California) — Inertia Beverage Group (IBG) and 1-800-flowers.com, Inc. today announced a strategic alliance designed to enhance both company’s position in the wine business. As part of the agreement, IBG has purchased the WTN Services division of 1-800-flowers.com, which provides marketing and fulfillment services to wineries.

The newly formed company, WineDirect, will combine the fulfillment and  e-commerce technologies of IBG with the consumer outreach capabilities and customer service expertise of WTN Services. Under the agreement, WineDirect will now manage all facets of the direct-to-consumer (DTC) fulfillment and telesales, and it will have access to WTN Services affiliates such as major direct-to-consumer retailers, 1-800-flowers.com and Fannie May Chocolates.

As WineDirect, this new partnership opens potential opportunities to the existing and future winery clients of WineDirect, providing them with increased access to new consumer markets and channels, like WineTasting.com, while leveraging a fulfillment and direct sales platform that is scaled and optimized for handling and shipping direct wine orders seamlessly and most efficiently. Combined with the telesales power of subsidiary Call For Wine and ecommerce partner Vin65, WineDirect creates a new enterprise in the field of direct wine sales focused on expanding access to new markets, and increasing sales and profits for all of its winery clients.

The operational systems of IBG will continue to serve as the platform for all winery and consumer transactions. “We know how important the fourth quarter is to all of our winery clients and we are all committed to making a seamless transition with no disruption for clients of either company,” said WineDirect president Joe Waechter. “Operationally, nothing will change for our customers. And we recognize how important it is to keep their customer service team on staff as well.”

As part of the new relationship, the WTN Services warehouse on the East Coast will now become part of the new WineDirect network, allowing winery clients to store and ship wine on the East Coast with the most advanced DTC platform in the wine business.

About WineDirect

WineDirect provides technology and services that enable wineries to sell wine through direct-to-consumer channels. Headquartered in the Napa Valley, WineDirect offers a broad range of logistics solutions including a technology driven fulfillment system, compliance tools, and an extensive 3-Tier network which provides access to new markets and consumers. In addition, the company offers an ecommerce and wine club processing platform with integrated marketing capabilities, and telesales services to help wineries grow their businesses profitably. Each of the company’s services is offered on a standalone basis, or as part of an integrated, end-to-end solution. For further information, visit www.winedirect.com.

Contact:
Tiffany van Gorder, Balzac Communications
tvangorder@balzac.com
(707) 255-7667

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