2. Tim Allen bio: Deloitte & Touche, audit & tax, wine clients1992 – 1996 La Crema, controller1996 – 1997 Sonoma-Cutrer, CFO1997 – 2002 Arrowood (Mondavi), operations director2002 – 2004 Rosenblum Cellars, CFO2004 – 2008 Kuleto Estate, president & CFO2008 – 2009 Allen Wine Group2009 – present

3. staff accountantcontroller CFO 1.accounts payable & purchasing 2.accounts receivable & sales 3.payroll & human resources administration 4.inventory reconciliations 5.DTC sales reporting 6.credit card sales reconciliations 1.cost accounting 2.financial reporting and management reporting 3.bank reporting 4.internal controls 5.CPA review support 6.tax return support 7.treasury management 8.fixed assets & depreciation 9.risk management & insurance 10.bank reconciliations 11.sales tax & excise tax 1.budgeting & forecasting 2.strategy 3.bank relationships 4.investor relations 5.human resources 6.information technology

4. staff accountant: 1.accounts payable & purchasing 2.accounts receivable & sales 3.payroll & human resources administration 4.inventory reconciliations 5.DTC sales reporting 6.credit card sales reconciliations

5. departments #description 110farming 210winemaking 220bottling 310facilities 410national sales, marketing & PR 420direct to consumer 430events 510finance & administration

9. controller: 1.cost accounting 2.financial reporting and management reporting 3.bank reporting 4.internal controls 5.CPA review support 6.tax return support 7.treasury management 8.fixed assets & depreciation 9.risk management & insurance 10.bank reconciliations 11.sales tax & excise tax

11. 1Primary statements: a.Balance sheet b.Income statement c.Statement of cash flows 2Case sales reports, by SKU and channel 3Inventory balance reports a.Bulk wine b.Cased goods 4AP & AR subledger reports 5Budget v. actual reports a.Vineyard b.Winery c.Facilities d.Sales & marketing e.Finance & administration 6Capital expenditures report set regular reporting dates and close dates well ahead of bank dates. for example: - month closed by day 15 - financial statements issued to management by day 20 - budget and forecast completed by November 30

14. cfo: 1.budgeting & forecasting 2.strategy 3.bank relationships 4.investor relations 5.human resources 6.information technology

18. SBPNCS vineyardgrapes, per ton $ 1,200 $ 1,800 $ 2,400 grapes, per case60 20.00 30.00 40.00 winemakingbarrels$1,000 - 10.00 12.00 months61518 per month 1.50 cellar overhead 9.00 22.50 27.00 packaging 14.00 18.00 22.00 bottling 2.50 total cost per case $ 45.50 $ 83.00 $ 103.50 target (50% FOB equivalent) $ 45.00 $ 84.00 $ 108.00 (over) / under $ (0.50) $ 1.00 $ 4.50 bottle price: $ 15 $ 28 $ 36 Your COGS / cost per case should not determine price. You should charge as much for your wine as you can, given your channels and growth strategies. Work backward from your distributor FOB price to a budgeted amount you can spend to make any given SKU.