Lobbying group attacks Wegmans over wine sales

By Julie Sherwood  2010-1-17 11:04:45

Canandaigua, N.Y. — Calling Wegmans a “greedy grocer,” a lobbying group opposed to wine sales in groceries today accused the Rochester-based regional chain of giving New York wines “second-class treatment.” It also lodged a personal attack against Wegmans CEO Danny Wegman.

A review of the wine list at Wegmans' new restaurant Next Door Bar & Grill, across from Pittsford Wegmans, “reveals that less than 5 percent of the choices of wines are from New York state,” stated The Last Store on Main Street, a coalition of liquor store owners and others opposed to a proposal to allow wine sales in groceries.

It is “the latest evidence of the hypocrisy from Big Box stores that claim they will promote New York wines if wine sales in grocery stores are legalized,” stated a release from the coalition.

Last month, leaders of another powerful lobbying group, the state Farm Bureau, voted unanimously to support proposed legislation that would allow the state's 20,000 grocery and convenience stores to sell wine. Thirty-eight other states allow wine sales in grocery stores. "We want to level the playing field," said Peter Gregg, Farm Bureau spokesman.
At the vote, which took place at Riverside Convention Center in Rochester, a representative from Wegmans said the grocery chain would "follow through on its promise" to promote New York wines, Gregg said.

According to Last Store on Main Street, Next Door Bar & Grill offers just 12 selections from six New York wineries out of 274 choices —  or less than 5 percent of the wine list — while promoting dozens of out-of-state and overseas wines.

"New restaurant, same hypocrisy from Danny Wegman, who, like all greedy grocers, cares only about squeezing out more corporate profits," stated Jeff Saunders, president of the Retailers Alliance and founder of the Last Store Coalition. "These desperate Big Box stores want winery owners and legislators to believe they have the state's best interests at heart, but in reality will offer only token support to New York wines while promoting cheap out-of-state wines to maximize profits."

When asked to respond to the specific allegations, Wegmans director of media relations, Jo Natale, issued the following statement:
“One need only walk into Wegmans stores to know our company’s support for NY agriculture and small producers, to the tune of tens of millions of dollars each year. It’s unfortunate that the group opposed to wine in supermarkets has decided to single us out in such a negative and personal way.”

“Wegmans will fail in its effort to destroy our businesses and put thousands of New Yorkers out of work," stated Stefan Kalogridis, president of the State Liquor Store Association and a Coalition leader. "New Yorkers know a phony idea when they see one and nothing is phonier than a Big Box store claiming they will help small businesses. New York wineries will not be fooled, and neither will New York legislators."

The coalition also attacked Yates County winery, Fox Run Vineyards, for being one of the handful of New York wineries featured on Next Door's wine list.

Fox Run supports legalizing wine sales in groceries. Winery owner Scott Osborn began drawing fire from opponents last year when he came out in favor of it.

"It's clear why Fox Run is such a big supporter of this bad plan," stated Michael Correra, a coalition leader and executive director of the Metropolitan Package Store Association. "It's just as clear the hypocrisy doesn't stop with Wegmans."

Legislation allowing wine sales in grocery stores never made it out of committee last year. But between the state's budget crisis and looming unemployment figures, it has a good chance of passing this year, according to the state Farm Bureau and others who believe it would create jobs and generate tax revenue for the state.

“Big Box stores have been waging a long, but failed campaign to legalize the sale of wine in their stores in hopes of driving up more corporate profits, with little regard for the small businesses it would destroy, the people that would lose their jobs or the high social costs New Yorkers would pay,” stated Last Store on Main Street. “In fact, the convenience store chain 7-Eleven recently announced that it is entering the discount wine market — a foreshadowing of the cheap out-of-state wine that would dominate in New York if the grocery and convenience stores begin selling wines in their stores.
“In addition to the loss of thousands of jobs across the state, this bad plan would make alcohol more accessible to teenagers, leading to an increase in underage drinking and drunk driving. In its Sept. 30 report, the Law Review Commission determined that ‘the SLA is unable to make prevention of underage drinking a statewide priority’ and noted that it has just 38 enforcement officials dealing with 70,000 license holders. If wine is sold in the state's grocery stores, the number of underage drinking and drunk driving will skyrocket,” claimed the coalition.


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