The return of Absinthe to the U.S. market.

Independent Consulting Group

Our Mission: To use the power of public information to protect public health and the environment.

Organizational Goals:

To protect consumers from health problems attributed to toxic contaminants.

To provide consultation services.

Our Objectives

To protect the reputation of S t. George S pirits.

To ensure A bsinthe in the U.S . market is consumer safe.

To advise the B OD of S t. George S pirits.

Company’s Overview

Owner Operated since 1982.

First B outique Distillery in U.S .

International reputation as one of the world’s great distillers.

In 2007, S t’ George is the first A merican A bsinthe producer.

Absinthe: A Brief History A green liquor-Wormwood; Thujone.A green liquor-Wormwood; Thujone.

In the 19th, this beverage was popular In the 19th, this beverage was popular in Europe and America.in Europe and America.

The liquor was outlawed. The liquor was outlawed.

In 1980’s – legalized in Europe.In 1980’s – legalized in Europe.

In November 2007 - Absinthe is In November 2007 - Absinthe is legalized in the United States.legalized in the United States.

Main Issues

Misconception Issue: M any absinth producers misuse the fascinating history of absinth to promote the products.

People perceive absinth as a drug which provides hallucinatory effects.

This misconception would bring various problems to the company.8. S ome S takeholders have a negative perspective on S t’ George.9. S ome people try to excessively drink absinthe to have a hallucination.10.I llegal and irresponsible distribution through the internet.

Today the studies show that absinthe does not cause hallucinations.

Harmful Ingredient Issues : A bsinthe contains the dangerous ingredient, Thujone, which has had

adverse affects on people health.

Consumption in large quantities may lead to serious illness. The issue is raised; how can S t. George prevent people from experiencing the terrible consequences of absinthe?

S elf-production of absinthe can lead to severe renal failure.

Government Related Issues :

Negative externalities

S pecial taxes and excess application fee costs

Recent legalization in A merica

Under U.S . regulation, absinthe must contain less than 10ppm of Thujone

S olution 1 : Consumer

Media campaign aimed at consumer’s awareness of Thujone

Enhance customer’s knowledge of A bsinthe

Constituency-B uilding S trategy: build coalitions with other alcoholic industries and consumers

Solution 2 : Publicity

Responsible marketing campaign. Public knowledge program of drug

effects.

S t. George S pirits should place a warning label on its product.

Solution 3 : Government Political A ctions

R& D expanding

1. Information strategy2. Financial-Incentive strategy3. Constituency-B uilding

strategy

Summary

Establish an early brand name in a emerging market.

Think of long-term profit in decision making.

Follow the maturing market.

Reference

www.stgeorgespirits.com

www.wormwoodsociety.org

www.thujone.com

http://www.craftdistillers.com/html/S G_A P_profile.html

At this point we will be happy to answer any questions you may have.

Thank you for your time!