California Grapes International, Inc. Announces the Launch of Its “Broker Alliance Program”

California Grapes International, Inc. (OTCPINK: CAGR) a leading provider of full service export, marketing, promotions, distribution and sales for the CA Wine Industry internationally, has launched its new Broker Alliance Program “BAP”.

The “BAP” specifically targets the convergence of the California Wines Industry’s Export Brokers. The international markets pose a significant challenge for the current export broker’s efforts when faced with the competition of the well organized, well support and often subsidized wine producing countries that are currently holding a majority of the “import” market share. Today’s Export Brokers are primarily a commission driven group that depend on the corporative efforts of the winery, buyer, logistics providers, import customs officials and federal agencies involved with export compliance in order to succeed. Portfolio options, order sizes, an inconsistent export process and lack of in-market presence are all major contributors to underperforming sales results.

The “BAP” is the solution for providing a more consolidated international sales effort. With no changes to an existing broker’s compensation, the value of partial shipments, expanded portfolio offerings, uniformed export documents and policies, an in-market presence and the assurance of complying with the proper import procedures and customs registration, offer greater protections to their wineries and their brands as well as an increased level of service to their buyers that will foster substantially stronger relationships and greater sales

Members of the “BAP” will also become owners of California Grapes International, Inc. through a stock base incentive program designed to reward performance and build long-term value. The “BAP” members will also have access to direct market sales through the “CGI” Retail and Direct to Venue sales channels. This access will generate more opportunities for their wineries to participate in direct promotional and event driven activities in-country allowing them more visibility into the consumer base of the international market.

Independent Brokers account for approximately 20-25% of the export revenue. Transactional direct purchases account for approximately 5% of the export revenue. CGI projects that in the next 6 months, we will acquire 2% of this market segment and we expect a 7% realization in the next 12 months. The consolidation through Joint Venture and or Acquisition is targeted to generate consolidated export revenues of 15-20 million dollars after the 1st 12 months.

“With Export Revenue of $900 Million for CA Wine for 2011, the continued growth of export sales will become much greater and more efficient with the consolidated solution offer by the BAP from Californian Grapes International, Inc. With our initial of Brokers already progressing, we project a 5% acquisition rate by the end of 2012. This is a revolutionary solution for the CA Wine Industry and we are excited about growth potential and strength we will create internationally!” – Jeffrey Crittenden – CEO California Grapes International, Inc.

Safe Harbor Statement

Information in this press release may contain 'forward-looking statements.' Statements describing objectives or goals or the Company's future plans are also forward-looking statements and are subject to risks and uncertainties, including the financial performance of the Company and market valuations of its stock, which could cause actual results to differ materially from those anticipated. Forward-looking statements in this news release are made pursuant to the 'Safe Harbor' provisions of the United States Private Securities Litigation Reform Act of 1995.

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