MARINA DEL REY, CA- May 12, 1998 -Scheid Vineyards Inc. (NASDAQ-NMS: SVIN) awarded $10,000 in scholarship money to the King City High School winners of its annual writing contest. Scheid Vineyards has conducted the Scheid Writing Contest for 10 years and has awarded over $85,000 to scholarship recipients.

Participants of the Scheid Writing Contest must write an essay on a given topic. This year's topic was to discuss the recent developments in cloning technology and their possible impact on society.

"Companies need to support the communities they operate in," said Alfred G. Scheid, President and CEO. "This contest gives local area students a chance to earn money for college and is our way of giving something back to our community." The Company also sponsors a similar contest in Bridgeport, Ohio, Al Scheid’s hometown.

Scheid Vineyards Inc. is a leading independent producer of premium wine grapes and operates 5,280 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 wines under its own labels.