For Immediate Release:

May 11, 1999

 

SCHEID VINEYARDS INC. REPORTS FIRST QUARTER RESULTS

 

MARINA DEL REY, CA - May 11, 1999 - Scheid Vineyards Inc. (NASDAQ-NMS - SVIN)announced today its financial results for the first quarter ended March 31, 1999.

For the three months ended March 31, 1999, revenues decreased 16% to $437,000 from $520,000 in the 1998 period. Net loss decreased to $423,000, or $.07 per share, for 1999 as compared to $478,000, or $.07 per share, for 1998.

Commenting on the results, Mr. Alfred G. Scheid, Chief Executive Officer of Scheid Vineyards, said, "First quarter results are very much in line with our expectations. The wine grape business is extremely seasonal, and Scheid Vineyards recognizes substantially all of its crop sale revenues at the time of its annual harvest in September and October."

Scheid Vineyards Inc. is a leading independent producer of premium wine grapes and operates approximately 6,000 acres of vineyards, primarily in Monterey County, California. The Company sells most of its grape production under long-term contracts to wineries producing primarily premium quality table wines, and the Company also produces a small amount of ultra premium wine under its own labels.

SVIN Reports First Quarter Results

Page 2

May 11, 1999

-------------------------------------------------------------------------------------------------------------------------------------------

SCHEID VINEYARDS INC. AND SUBSIDIARY

Consolidated Statements of Operations

(In thousands, except per share data)

 

 


(Unaudited)----------------------------------------------------------------Three Months Ended March 31,

Revenues:

Sales

Vineyard management, services and other fees

Total revenues

Cost of sales

Gross profit

General and administrative

Interest expense (income), net

Income before income tax benefit

Income tax benefit

Net loss

 

Basic and diluted net loss per share 1

 

 

Weighted average shares outstanding

 

1999

$ 250

187

437

158

279

992

(8)

(705)

282

$ (423)

$ (0.07)

 

6,116

 

1998

$ 307 213

520

131

389

1,202

(15)

(798)

320

$ (478)

 

$ (0.07)

 

 

6,700

       
                 

 

 

 

 

1 There is no difference between basic and diluted net loss per share.