1. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 Cork Industry Perspective Peter Weber Cork Quality Council

2. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 Unintended Consequences Unforeseen variables increase with the length of time the control package has been used Magnitude increases with length of evaluation

3. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 Unintended Consequences Elapsed Time - As Related to Closures Cork, as a sealing material, extends beyond ancient Greece. It has been used in its current form with wine for over 300 years. It has been the default component in the development of traditional wine making practices. Dom Perignon Agoston Haraszathy

4. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 Unintended Consequences Variables Evaluated - As Related to Closures 1.Off Aromas - TCA 2.Oxygen Permeability 3.Flavor Effects 4.Efficiency and Cost 5.Consumer Perceptions

5. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 Sources of TCA in Natural Corks Bioconversion of 2,4,6 Trichlorophenol (TCP) Primarily by fungi Bioconversion through the production cycle has been virtually eliminated. Studies of forest samples show TCA present at levels between 1% and 3% Wood Near the Ground Yellow Stain (Armillaria Mellea) Harvesting Protocols require the avoidance of wood with these characteristics 1 - Cork Closures and Off Aromas

6. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 TCA Reductions in Corks Received CQC Members’ TCA Screening Results show an 82% Reduction in TCA over the Last Ten Years. Currently test 30K Samples/year Graph includes over 200,000 data points. Last Quarter 90% of Samples were less than our MDL of 1ppt. Statistics record less than 1ppt as 0.5ppt. 1 - Cork Closures and Off Aromas

7. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 Cork Closures and Off Aromas Screening for TCA with Group Cork Soaks AVF/ETS Independent Study Demonstrates Effectiveness Compare to what happened in 60 bottles after 20 months in wines bottled with corks from each of these bales Replicates of 50-Cork Soak SPME Scores

8. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 Cork Closures and Off Aromas Screening for TCA with Group Cork Soaks Same Results Evaluated by CQC Screening Compare to what happened in 60 bottles after 20 months in wines bottled with corks from each of these bales Replicates of 50-Cork Soak SPME Scores

9. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 So What is the Rate of TCA in Natural Corks? Current CQC screening statistics 90% below the minimum reporting level of 1ppt. 7% are between 1-2% 3% are rejected Interpolating the AVF study of bottled wine at 20 months translates to well under 1% taint Observations - Christian Butzke “TCA No Longer a Major Problem for the U.S. Wine Industry” (Christian Butzke – 2011 - less than 1%) Higher estimates often have broader definitions 1 - Cork Closures and Off Aromas

10. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 Methods Used to Measure Oxygen Ingress Mocon Optical Density at 420 nm Free SO 2 / Total SO 2 Fluorescence Quenching Colormetric Indigo Carmine +Sodium Dithionite Reduced…………..……………………….Oxidized 2 - Oxygen Permeability

11. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 2 - Oxygen Permeability Colormetric Method (Bordeaux 2006) Screwcap Natural Cork Synthetics ReducedOxidized

12. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 2 - Oxygen Permeability Variation between Corks Air volume in 44mm cork estimated at 3.4 to 3.6 mL Compression during bottling is estimated to create internal air pressure of 6-9 atm. Sets up an environment for diffusion from high pressure air in cork cells connected by Plasmodema (60 nm) Pressure is subject to variation in cork structure and bottling action Variances seen to expand over the first six months with gradual flattening after 12 months Indicates moderate ingress by diffusion, and does not show the steady ingress seen with permeability Diffusion of Oxygen Due to Bottling ?

13. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 2 - Oxygen Permeability Routes of Oxygen Ingress – for Two Closures Lopes, P.; Saucier, C.; Teissedre, P.L., Glories, Y. Main routes of oxygen ingress through different closures into wine bottles. J. Agric. Food Chem. 2007,55, 5167-5170. In this 24 month study - closures were tested with two levels of impermeable coverage… 1.Results for cork were similar under all scenarios indicating oxygen originating inside the cork with slight diffusion 2.Results are consistent with estimates of air displaced by cork compression during bottling 3.The uncovered Synthetic appeared to be permeable through the center of the closure body Natural Cork Extruded Synthetic

14. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 2 - Oxygen Permeability Wine is a Four Dimension Product In a survey of 100 wineries we asked respondents to estimate the average bottle age of their wine production before consumption 17% >24 Months 23% 12 -24 Months 36% 3-12 Months 24% 0-3 Months

15. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 2 - Oxygen Permeability Summary of Findings Tested Synthetics showed steady permeability Natural Corks showed initial diffusion slowing at six months and flattening after twelve months Variation of OTR for Natural Corks range between that seen for tested Synthetics and Screwcaps Technical Corks had similar OTR performance to that seen with Screwcaps Screwcap with saran tin had the lowest level of oxygen ingress Both Synthetics and Screwcaps have developed alternatives to improve performance.

16. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 3 - Flavor Effects Comparisons need better consistency Studies favoring cork include parameters of “developed”, “buttery”, “balanced”, and “complex” Studies favoring alternatives include parameters of “fruit”, “fresh”, “lively” Better integration with traditional evaluations

17. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 3 - Flavor Effects Reduction - Dimethyl Sulfide In a market study of Sauvignon Blancs, cork closures had significantly lower DMS levels than wines finished with screwcaps – by a ratio of 2.2 to 1

18. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 3 - Flavor Effects Continued Flavor Research DMS Example – mixed reviews at different concentrations REDOX properties effect more flavor components than can be listed here This is a great opportunity to study wine chemistry But these flavor components are interconnected and express themselves in a living wine over time Can we control compounds that were developed in the vineyard and fermentation tanks with targeted post bottling Oxygen permeation ?

19. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 4 - Efficiency and Cost Opportunities and Challenges Higher Consistency = Less Adaptability Glass Tolerances +/- 2.5mm for corks Less for synthetics +/- 0.25mm for threads Cost Difference Alternatives and Technical Corks are significantly less costly

20. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 4 - Efficiency and Cost Technical Corks 1+1 Corks Agglomerate very low in TCA Disk Quality controls TCA transfer Excellent Physical Consistency Low Oxygen Ingress Micro Agglo Very low levels of TCA Excellent Physical Consistency Low Oxygen Ingress Low Cost

21. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 5 - Consumer Perceptions Flavor Considerations for the Consumer US Consumers have traditionally viewed cork closures to be associated with quality 2011 Updated Survey shows 93% of consumers perceiving High or Very High Quality

22. An Industry Perspective for Natural Cork WineFlavor 101 - Dec. 6, 2012 5 - Consumer Perceptions Sustainable Attributes are a Consumer Plus Promoted by International Environmental Groups Supported by regional recycling programs Viewed a a model for sustainable industries Appeals to the natural attributes of the grape and vineyard