To Kalon: Land or Brand?

Constellation Brands, the company behind brands such as Robert Mondavi, Kim Crawford, The Prisoner, Corona Extra, and SVEDKA Vodka, is currently engaged in a Goliath-versus-David battle to overturn the creek-naming iniative of the MacDonald brothers and, in so doing, strengthen its argument that "To Kalon is a brand, not a place." In this post I provide some background to this 'conflict."

I like to say that I have written the second best history of Oakville's To Kalon Vineyard, with Matt Stamp's effort on Guildsomm being demonstrably the best. What both efforts have in common, though, are the testimonies and documents on the vineyards provided by the MacDonald brothers, Alex and Graeme. In addition to providing 90% of the fruit for the Robert Mondavi To Kalon label, a large portion of the fruit for the Mondavi Reserve, and the fruit for their limited-production wine, the MacDonalds are avid preservationists and curators of the history of the land on which they ply their trade.

The MacDonalds believe that "... there is a genealogy of the land and that we have a responsibility to preserve that history for future generations." Towards that end they have conducted extensive research on the origin, owners, and utilization of the To Kalon Vineyard through the ages and have freely shared their findings with all interested parties.

In addition, they have:

• Registered the creek running through the vineyard as To Kalon Creek with the US Board of Geographic Names
• Published the To-Kalon Vineyard Historic American Landscape Survey
• Submitted a To-Kalon Vineyard National Register of Historic Places nomination with the National Park Service

Constellation has appealed the creek-naming effort on the grounds that To Kalon Vineyard is a brand and not a place.

The To Kalon name has been embroiled in a number of legal battles over the years. Robert Mondavi registered the name To Kalon in 1988 and To Kalon Vineyard in 1994, trademarks that came into the possession of Constellation with its purchase of Robert Mondavi in 2004. The first of the trademark battles was with Andy Beckstoffer.

Beckstoffer requires that winemakers purchasing his fruit designate the vineyard of origin on the wine label.  Schrader Cellars followed this dictate and placed the To Kalon name on the label of its 2000 Cabernet Sauvignon which was made from Beckstoffer-sourced grapes. Robert Mondavi promptly filed suit against Schrader and Beckstoffer for infringement of copyright.  After a year of back and forth the suit was settled with Mondavi granting a perpetual, royalty-free trademark license to Beckstoffer allowing him to use the To Kalon Vineyard designation for grapes grown on his part of the original Crabb estate.

In 2011 Constellation applied for three new trademarks -- To Kalon Wine Company, To Kalon Vineyard Company, and Rooted in To Kalon -- but abandoned those applications in the face of staunch opposition from Andy Beckstoffer "who argued that To Kalon is 'geographically descriptive.'"

More recently, Vineyard House Winery filed a claim to gain the right to use the To Kalon name based on (i) its small plot being in the original Crabb holdings, (ii) large portions of the current To Kalon Vineyard falling outside of those original holdings, and (iii) an assertion that the original trademark names were obtained fraudulently because To Kalon has always been a place name and, as such, is not "trademark-able." This case is still pending before the courts (The To-Kalon Vineyard Historic American Landscapes Survey stipulates that Crabb had purchased 165 hillside acres in Oakville, proximate to present-day Harlan Estate, but that his probate specified this land as used for timber production rather than being planted to vines.).

In an attempt to lure the brothers into their camp, the Constellation legal team, in a meeting at their New York offices, offered them the rights to use the To Kalon designation on their label in exchange for support of the removal of the To Kalon Creek name. In other words, to trade in their integrity for future monetary benefits (as the use of the word To Kalon on their label would allow the brothers to immediately increase the price of their wines into the range of current To Kalon offerings). The brothers demurred.

The MacDonalds' efforts to memorialize To Kalon as a place has received broad-based support, with 9 of 11 owners signing on for the National Register nomination and Constellation being the sole dissenter in the To Kalon Creek appeal. On a more global level, Antonio Galloni has spoken out in an Instagram post in support of To Kalon as a place:

What is at stake is not just the legacy of To Kalon but the entire concept of place in American wine... My position is clear: To Kalon is a place not a brand, no matter what might be written on some legal document somewhere. Napa Valley and the US need to protect the integrity of our sites ...

I also believe in To Kalon as a place and had provided Constellation with a path-forward to leveraging the brand acquired with the purchase of Schrader while further entrenching To Kalon as a place. In 2017 Schrader Vineyards sold its business to Constellation Brands for a little less than $50 million dollars (even though it owned no vineyard or winery). Schrader was a brand built on the marketing prowess of Schrader, the winemaking reputation and skills of Thomas Brown, and the quality of fruit and name recognition of the Beckstoffer Vineyard.

My thought process at that time was that Constellation intended to leverage the Schrader name into creating new branded products with fruit obtained from its own vineyards. Much as I had proposed in my discussion of the Vietti sale, Constellation could create a number of high-end vineyard designates from fruit that is "underutilized" today based on the prices that Beckstoffer To Kalon wines command.

In this model, Constellation would treat To Kalon as a cru with multiple owners (much as is done in Burgundy and Barolo), each practicing its own discipline but leveraging the reputation of the vineyard into ever-increasing rewards from the marketplace. The current commercial owners of To Kalon land are Andy, the Macdonald Family, the Detert Family, Opus One, and Constellation.

If Constellation focused on delivering premium lines from the property it owns in the historic vineyard -- the two large plots on either side of the Beckstoffer et al block -- it could designate a number of sub-cru plots and label the products as Schrader Alpha To Kalon, Schrader Beta To Kalon, etc., and these would line up seamlessly with the naming convention established with the Schrader Beckstoffer To Kalon wine.

This opportunity is still available to Constellation.

©Wine -- Mise en abyme

Walking the Beckstoffer To Kalon Vineyard with Andy Beckstoffer and Tor Kenward (Tor Kenward Family Wines)

According to Esther Mobley of the San Francisco Chronicle:

Andy Beckstoffer is a legend in California wine ... The grape grower owns what is certainly California's most famous, and probably most expensive, vineyard: To Kalon, in the heart of Napa Valley. To Kalon is a vineyard with an aura. Winemakers speak in hushed tones about the prospect of handling its Cabernet; wines that bear the vineyard's name drown in 100-point scores.

And we were scheduled to visit this vineyard on the Tuesday of PNV week on a tour organized by Tor Kenward -- for the Wine on the Way team -- and led by the selfsame Andy Beckstoffer.

Tor had provided us with directions to the meeting point (shown on the map below) and we all mostly arrived at the same time. It was cold and spitting but we were oblivious to the elements; we were warm with anticipation.

While we awaited Andy's arrival, Tor provided us with his perspective on the vineyard:

Tor Kenward Family Wines has worked with eight different blocks since 2005 and has gravitated to the leaner soils in the western back blocks higher on the bench. We have worked with all the clones except clone 7, and have two blocks of rare Cabernet Franc. Our goal is to keep all the blocks separate and each year simply make the best wines we can from the diversity of the different clones, blocks and varieties present.

The picture below shows some of the more well-known Beckstoffer To Kalon producers and the vineyard blocks from which they source grapes.

Tor Kenward (center) warming up for Andy

And then Andy arrived. He was genial and quick with a smile. He welcomed each of us with a warm handshake and an apology for the weather. He was dressed as though he had just stepped off the farm tractor but the twinkle in his eye signaled that he might be wearing monogrammed underwear beneath the farmer gear.

Andy Beckstoffer on point

After some catching up, we headed off along the path indicated on the first vineyard map in this post and displayed in the picture below.

Heading out to traverse the vineyard

As noted by Esther Mobley, Beckstoffer To Kalon wines receive high scores and demand a premium in the marketplace. But when you speak to the winemakers, the conversation eventually comes around to a discussion of Andy's pricing mechanism for grapes sourced from this vineyard. As described by Alder Yarrow, "His contracts with customers specify three pricing scenarios for the grapes: a fixed price per ton, a fixed price per acre, and a fixed multiplier of the winery's suggested retail price per bottle, with a required minimum bottle price." According to Yarrow, the per acre price is insurance against a winemaker restricting the crop to "unusually" low levels.

That pricing mechanism reflects Andy's feeling about the primacy of this vineyard in the construction of high-quality wines. As he explained it during our walk, when he started out, he had the option of providing the fruit to a single winemaker. But, under that scenario, all of the talk would be about a great winemaker. If, however, he provides fruit to 20 winemakers, and they all make great wines, then the dialogue is about a great vineyard. And that is why he wants to speak to the winemaker prior to providing fruit to a producer. He wants to make an evaluation as to whether that winemaker can truly represent the vineyard.

Back in the 1980s, he continued, the better wines were reserve wines, the product of winemaking. Today the the best wines are expressions of terroir and he has brought every modern approach to viticulture to the vineyard in order to ensure that he is producing absolutely the best grapes. In the current partnership model, the winery is responsible for yields and harvest timing while he is responsible for all other aspects of viticulture. The vineyard is managed sustainably.

Andy mentioned that they will be initiating a replanting of the vineyard, an effort that will unfold over a 10-year period. He will be replacing the current rootstock -- 039-16 -- with a UC-Davis-developed derivative with the nomenclature GRN 1 and GRN 3. The current rootstock is too vigorous and is not as nematode-resistant as he would like. The nematode problem in the vineyard results in production levels of 1.6 tons/acre in some areas versus an average of 3.5 tons/acre overall. The replacement rootstock has lower vigor, higher nematode resistance, and a higher level of Phylloxera resistance.

The replanting plan is complex and will require some pain-sharing among the fruit purchasers. They were recently informed of the plan by mail. Andy's plan is that when a buyer's plot (or portion of a plot) is designated for replanting, his/her neighbor will be asked to share a portion of their fruit with the affected party. The upshot of this plan is that both parties will be subjected to reduced grape totals until that replanted plot becomes productive again (3 - 5 years in Andy's estimation, 5 - 7 years in mine).

By this time we had spent over an hour discussing the vineyard, pricing philosophy, grower-winemaker relationships, and the replant. It was time to begin heading back and we fell naturally into two groups. Tor and Andy went ahead of us (Tor now had quality time to bend Andy's ear) while we followed at a more measured pace giddily discussing the things that we had heard and learned. This had been a very enlightening visit.

Note: The configuration of the vineyard has been described in a previous post.

©Wine -- Mise en abyme

Beckstoffer To Kalon Vineyard: History, configuration, and vineyard management

When my good friend Adam Chilvers of Orlando-based online retailer Wine on the Way invited me to accompany his PNV 2017 group on a tour of the Beckstoffer To Kalon Vineyard -- said tour to be led by Tor Kenward of Tor Kenward Family Vineyards -- I jumped at the opportunity. When Adam called me again a few weeks later and said that Andy Beckstoffer -- proprietor of the named vineyard -- would be accompanying us on the walk-through, I jumped even higher.

Having previously written on the history of the broader To Kalon Vineyard, I saw this as an opportunity to walk on the hallowed ground that had supported the production of exceedingly high-quality grapes for well over a century as well as to hear from one of the legends who had maintained and brightened the flame. Before I describe the tour, I would like to provide some background on the subject vineyard.

The figure below summarizes the history of the Beckstoffer To Kalon vineyard.

Deriving from the original plots purchased by Hamilton Crabb in the latter part of the 19th Century, this specific component was first broken out when it was sold to Beaulieu Vineyard where it was given the designation Vineyard #4 and gained renown as the home of the great Georges de Latour Cabernet Sauvignons created by Andre Tchelistcheff. The vineyard was acquired by Andy Beckstoffer in 1993 where it today has pride of place in his stable of Heritage Vineyards.

The Beckstoffer To Kalon Vineyard, illustrated graphically in the map below, is located on the western edge of the Oakville AVA. The table below the map shows the distribution of varieties and clones in the vineyard today. The current distribution was arrived at in a replanting program that was rolled out between 1994 and 1997.

Table 1: Distribution of Varieties and Clones in Beckstoffer to Kalon Vineyard

Variety	Clone	Rootstock	Acres	Cab Sauv %	Cab Franc%
Cabernet Sauvignon	4	039-16	37.9	48
	357	039-16	31.92	31.92
	7	039-16	4.3	6
	6	039-16	4.29	5
Total			78.41	100
Cabernet Franc	1	039-16	4.63		100

According to information gleaned from Beckstoffer Vineyards, the soils are 60% Bale loam and 40% Bale clay loam. These soils provide quality drainage and adequate rooting depth as a result of loam in the first 24 inches and a gravelly loam in the subsequent 24 inches.

Vineyard management is the purview of the Beckstoffer team (the winemaker has responsibility for pick date and yields) and they have opted for the following management configuration:

Trellis System:      Vertical shoot positioning
Row Orientation:  Northwest by Southeast
Vine Spacing:        82% 6 x 7 (1037 vines/acre)
                               18% 8 x 7 (778 vines/acre)
Pruning:                Spur-Pruned to a bi-lateral cordon system

The actual vineyard tour will be discussed in a subsequent post.


©Wine -- Mise en abyme

Premiere Napa Valley 2017: First-Day activities

Premiere Napa Valley (PNV) is the Napa Valley Vintners annual, invitation-only, barrel auction for wine retailers, wholesalers, restaurateurs, and members of the press.  Auction proceeds go towards the trade association's promotional and other activities on behalf of valley winemakers. The 2017 edition of event concluded on Saturday last with the barrel auction at Greystone which raised a total of $4.2 million. 

For many attendees, time spent with winery owners and winemakers prior to the start of the officially sanctioned events is a critically important aspect of the week's activities. I arrived in Yountville on the Tuesday of the week and, shortly after depositing my luggage at the hotel, hightailed it over to Oakville to meet up with the Wine on the Way team for a walkthrough of the Beckstoffer To Kalon Vineyard. This visit had been organized by Tor Kenward — Tor Kenward Family Vineyards —  both as a gesture to his good friend Adam Chilvers — proprietor of Wine on the Way — and as a reward to the team for purchasing the TOR PNV lot in the prior year.

The intersection just prior to the Oakville Grocery (as you head towards St. Helena on Highway 29) is called Walnut Drive. If you turn left into Walnut Drive from Highway 29, Beckstoffer To Kalon is to your right. We gathered at the first path on the right to begin our walk through the vineyard. It was rainy and somewhat cold but the excitement of the moment overrode any discomfort brought on by the elements. Once Andy showed up, we embarked on what turned out to be an intriguing and exciting tour and discussion. I will cover the trip in greater detail in a subsequent post.

Andy Beckstoffer (3rd from left) and Tor Kenward (2nd from
right) were our hosts on the tour of the To Kalon Vineyard

At the conclusion of the tour, we drove to Cindy’s Back Street Kitchen for lunch and a promised treat from Tor of tasting a range of his 2015 barrel samples. Shortly after we settled in, Tor pulled out clear bottles of his 2015 To Kalon Cabernet, Oakville Propriety Blend,  and Black Magic, a Cabernet Sauvignon that is only produced in special years. These wines were all loaded with promise. Tor also brought along a bottle of his 2012 Beckstoffer To Kalon and a bottle of a 2004 wine that he had made while still an employee at Beringer. 

After a long, leisurely lunch we traveled up to Pritchard Hill to visit the Colgin IX estate, a 20-acre vineyard located on the upper reaches of the famed Pritchard Hill. While on the way up we gained an impressive reminder of the current water state of the region as demonstrated by the release of water from Lake Hennessey through a highly active spillway.

Later that evening I was a guest at the Wine on the Way BYOB party, a party famous both for the wines that are opened as well as the attendee list. This is a great annual event that is held at the home that the group rents for PNV week. My wife and I had so much fun that we were among the last to leave. Guests included Donald Patz (Patz and Hall), Robin Lail (Lail Vineyards), Sam Kaplan (Arkenstone), and Michelle Baguette (Alpha Omega) among others.

Photo credit: Erin Shay

So by the end of the first day, I had collected material for three blog posts and had made a number of contacts/tentative arrangements for future winery visits.

©Wine -- Mise en abyme