Diageo maintains half of top 10 'Brandz Most Valuable Global Brands'

Smirnoff holds number-one spot

MIAMI, FL:

DIAGEO has held its strong position with five of the top 10 spirits brands in The BrandZ Global Brands rankings. Smirnoff again took first place, Johnnie Walker third and José Cuervo in fourth place, rounding out the top five. Compiled by Millward Brown Optimor, the rankings are an authoritative report about the most valuable brands in the world. They are based on economic and market data and the proprietary consumer research from BrandZ - the world's largest study of consumers and business-to-business users' brand preferences.

Brand values with increase or decrease since 2009:

1. Smirnoff - 6 per cent

3. Johnnie Walker - 5 per cent

4. José Cuervo - 10 per cent

7. Baileys - 5 per cent

10. Gordon's Gin - 5 per cent

Despite the world-wide economic downtown, spirits brand experienced less than expected impact. According to the report: "The global spirits brands relied on closer coordination between product innovation and marketing to drive sales. They focused quarter-to-quarter on ways to win consumer attention, shifting focus from high-end offerings to the mid-market core of the business, as the brand value for the category declined by three per cent. Johnnie Walker continued its successful 'Keep Walking' campaign, associating the brand with progress and incorporating social networking using its 'Striding Man Society'.

For vodka brands like SMIRNOFF, most innovations took the form of brand extension, such as new flavours". The full results can be viewed at: http://www.brandz.com

Of special note is the organisation's projections for the future of the sprits industry, which reflect activities that Diageo is already strongly involved in: "Producers will increasingly attempt to associate their brands with social values and environmental responsibility. The use of social networking to raise brand awareness will increase...and more discovery brands will be introduced".

"We are delighted that our premium global brands have maintained a strong showing in this prestigious independent study" said Ed Pilkington, senior vice president of marketing and innovation for Diageo Latin America and Caribbean Hub. "For Latin America and the Caribbean the continued growth of Smirnoff and Johnnie Walker across the region is something we're very proud of."

How the Rankings are Measured:

Millward Brown Optimor helps companies to measure and understand the ROI from their brand strategy and marketing investment. They measure both the short and long-term effects of marketing activities and link them to the financial impact on the business and the rankings are the most comprehensive and authoritative brand valuation available. This economic approach to brand valuation uses a methodology similar to that employed by analysts and accountants.

The brand value published is based on the intrinsic value of the brand - derived from its ability to generate demand. The dollar value of each brand in the ranking is the sum of all future earnings that brand is forecast to generate, discounted to a present day value. Given the high volatility of financial markets over the past 12 months, the brand value is in some cases high relative to current market capitalisation, reflecting true value rather than current market swings.

Diageo is the world's leading premium drinks business with an outstanding collection of beverage alcohol brands across spirits, wine and beer. These brands include Johnnie Walker, Buchanan's, Guinness, Baileys, Old Parr, Smirnoff, J&B, Tanqueray, Red Stripe, Captain Morgan, Pampero and Navarro Correas wine. The company is listed on both the New York Stock Exchange (DEO) and the London Stock Exchange (DGE). For more information about Diageo, its people, brands, and performance, visit us at www.diageo.com.