Louisville, Ky., Jul. 24 - At their annual meeting today, Brown-Forman stockholders celebrated a record financial year and another successful milestone in the company's leadership succession, as Geo. Garvin Brown IV officiated at his first annual meeting – and Brown-Forman's 75th since the company went public in 1933 – as presiding chairman of the board of directors. Brown, a fifth generation family shareholder, became a director in 2006 and assumed the additional role of presiding chairman of the board in September, 2007.
In his remarks to shareholders, Brown commended former Chairman and Chief Executive Officer Owsley Brown II, a fourth generation family shareholder, for his exemplary service to the company as he completed the final term of his 37-year tenure on the company’s board of directors. “It is hard to express in words or events the gratitude felt for Owsley's many contributions over his illustrious career. One thing that stands out for me is that he has consistently advocated taking a long-term perspective at our company on a wide range of topics - from succession planning to independence, performance, brand equity, and total shareholder return,” said Garvin Brown.
Brown-Forman Chief Executive Officer Paul Varga lauded the men and women who comprise the Brown-Forman workforce for posting record results for fiscal 2008, with net sales of nearly $3.3 billion, diluted earnings per share from continuing operations up 10% to $3.55, and operating income growth of 14%, to $685 million for the fiscal year.
“This excellent performance came in the wake of difficult economic conditions in the U.S. and other important markets and I congratulate all of our employees for their outstanding work that produced these results, and I thank both our board and our long-term shareholders for their support of the company,” stated Varga.
Varga also emphasized the company’s excellent long-term performance as evidenced by Brown-Forman’s superior total shareholder return relative to the S&P 500 and the company’s competitive set over one, three, five, and 10-year periods. In addition, in fiscal 2008 Brown-Forman achieved several important milestones: sales revenue eclipsed $3 billion for the first time in the company’s 138-year history; international markets contributed more than 50% of total net sales for the first time; Jack Daniel’s family of brands surpassed the drinks equivalent of 10 million nine-liter cases; Finlandia was recognized by a U.K.-based magazine as the “fastest growing global spirits brand”; and Woodford Reserve exceeded 100,000 cases.
In formal business of the meeting, shareholders elected the following people to the Brown-Forman Board of Directors: Patrick Bousquet-Chavanne, Barry D. Bramley, Geo. Garvin Brown IV, Martin S. Brown, Jr., Donald G. Calder, Sandra A. Frazier, Richard P. Mayer, William E. Mitchell, Matthew R. Simmons, William M. Street, Dace Brown Stubbs, Paul C. Varga, and James S. Welch, Jr.
At its meeting, the board of directors approved a regular quarterly cash dividend of $0.34 cents per share on Class A and Class B Common Stock. Stockholders of record on September 8, 2008 will receive the cash dividend on October 1, 2008. Brown-Forman has paid regular quarterly cash dividends for 63 consecutive years.
Brown-Forman Corporation is a producer and marketer of fine quality beverage alcohol brands, including Jack Daniel’s, Southern Comfort, Finlandia Vodka, Tequila Herradura, el Jimador Tequila, Canadian Mist, Fetzer and Bolla Wines, and Korbel Champagne.