Malibu Newton-Canyon Press Release

NEW VITICULTURAL AREA ESTABLISHED IN MALIBU-NEWTON CANYON

Rancho Escondido Estate Vineyards Receives Appellation

(Los Angeles, CA, August 2, 1996) A new viticultural area, aptly named Malibu-Newton Canyon, has been established consisting of approximately 850 acres within Newton Canyon, a bowl-shaped valley facing the south side of the Santa Monica Mountains.

Based on a petition filed by George I. Rosenthal, Chairman and CEO of Raleigh Enterprises and President of Rancho Escondido, Inc., the Bureau of Alcohol, Tobacco and Firearm's (ATF) final ruling became effective June 13, 1996. According to the ATF, the establishment of viticultural area names as appellations of origin in wine labeling and advertising allows wineries to designate the specific areas where the grapes used to make the wine were grown and enables consumers to better identify the wines they purchase.

Presently, there are no wineries within this new viticultural area, and the only vineyards are located on Rosenthal's Rancho Escondido Estate. The ranch comprises 157 acres in the exclusive Malibu Hills and approximately 14 of these acres are planted with premium wine-producing vineyards. Varietals include Cabernet Sauvignon, Merlot, Cabernet Franc, and Petite Verdot. The first varietal grapes were planted in 1987. As production and quality increased, Rosenthal - The Malibu Estate was created.

In the tradition of great wines, the vineyard grapes are hand-harvested, crushed, and processed all on the same day. The wine is then aged in French oak barrels at the Malibu Hills Winery in San Luis Obispo under the watchful eyes of Winemaker Christian Roguenant. To date, two limited-quantity Cabernet Sauvignon vintages have been released, 1991 and 1992 with a third, 1993, to be released in September 1996. All have earned a national reputation for high quality premium wines.

With the continuing success of Rosenthal - The Malibu Estate, plans are currently underway to produce and bottle the wines on the same property where the vineyards are planted, then store them in a specially produced cave.

The goal of Rosenthal - The Malibu Estate is simple--to produce small quantities of the highest quality wines from an extraordinary property-a taste of the "good life" from the hills of Malibu. For more information, call the vineyards at 800-814-0733.

NEWLY DESIGNATED AMERICAN VITICULTURAL AREA "MALIBU - NEWTON CANYON"

(LOS ANGELES, CA, AUGUST 30, 1996) -- On June 13, 1996, the Bureau of Alcohol, Tobacco and Firearms (BATF), a unit of the United States Department of the Treasury, approved the establishment of the first viticultural area ever approved in Malibu, California.

"Viticultural area" is the place name (or "appellation"), which appears on every bottle of vintage wine, produced, and designates the exact locale where the grapes were grown. The use of appellations was adopted from France, which has very specific rules as to how place names may be used in wine labeling.

Notable viticultural areas in California include Napa Valley, Sonoma, Alexander Valley, and Carneros, among others. Outside of Santa Barbara, however, there have been few viticultural areas in Southern California. Not since the 1800's has any significant wine been produced in Los Angeles County, when Spanish missionaries took advantage of the ideal local climate.

The name designated by BATF is "Malibu - Newton Canyon”. A petition was filed for the establishment of this viticultural area by George Rosenthal and Malibu Hills Vineyards encompassing Newton Canyon, a small valley in the hills above Malibu, just off Kanan Dume Road.

Mr. Rosenthal is the pioneer behind a premium Cabernet Sauvignon launched two years ago named, aptly, "Rosenthal - The Malibu Estate." The grapes that go into the wine are grown on the Malibu Estate in Newton Canyon. The grapes are hand-harvested, crushed and processed all on the same day, and aged in French oak barrels at the Malibu Hills Winery. The wine is crafted by noted winemaker Bruno D'Alfonso.

The release in 1994 of the first vintage (1991) of "Rosenthal - The Malibu Estate" was one of the most successful new wine launches in recent history, garnering top reviews from Wine Spectator, The Underground Wine Journal, Dan Berger and Anthony Dias Blue, among others.

The wine is carried by the finest wine shops in Los Angeles, including the Duke of Bourbon, Wally's, and the Wine House, as well as some of the best restaurants, such as Valentino, Morton's, Spago, and Le Dome.

With the high praise for his wine, and proof that excellent, world-class wines can be produced in Malibu, Mr. Rosenthal is looking to expand the vineyard plantings to 22 acres. He hopes eventually to produce up to 2,500 cases per year and release a Merlot as well as the current Cabernet Sauvignon.

CONTACT: Neil McNally at 310.463.9532

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