Vol. 1 No. 4…a visit to Schram’s – berg…(updated 2/22)

A little play on words. As it was the writer’s intention to cover more obscure wine regions and their wineries, this seems to be a good time to do so. Since beginning this blog, Schram is the first winery I have interviewed. There will be more, interspersed with other columns. Hope you find it interesting.

Schram Vineyards was started in 2008, as a result of Ashley and Aaron Schram’s passion for wine.
Establishing and operating the vineyard was no easy task with both working full-time. As if that wasn’t enough they soon had a baby, and then a second (she quit her corporate job on that child’s second birthday), and became the full-time manager with the equally important additional task of being a full-time mom. It is their passion that brought me to the winery in 2013, and why they are included in this blog (book?).

It is great fun to own a vineyard and winery (more so if you are a millionaire or more likely a billionaire). Sexy, romantic, and you establish yourself as an esthetic. After all, you can hire people, most of them fairly inexpensively…with the exception of a winemaker. However, you get to take the bows. Still the Schram’s are having fun. TB could name a few gentlemen vintners but instead would rather focus on those who put ‘sweat equity’ as well as real money into their endeavor. The obvious places are California, Oregon, and Washington. Since wine is produced to some degree in all 50 states), and living in Minnesota I decided to look at wineries here, in Wisconsin, and also in New York. TB even had a bottle of wine once from New Mexico, La Bombe, the winemaker being a scientist at Los Alamos who made the wine in his garage. The label showed a mushroom cloud…and the wine was pretty good too!
I took note of the Schram name because of the similarity to Schramsburg ( founded by Jacob Schram in 1862), the California producer of sparkling wine. Although Schramsburg is made to closely match French Champagne, the French sued and now the appellation can only be used for those wines made in the Champagne region.  Considering some of the ‘plonk’ that was passed off with ‘champagne’ on the label, who can blame them? Schramsburg became world-famous when then-President Nixon decreed that all wine served at the White House would be American-produced (this did not stop him from having a bottle of Chateau Margaux on the floor beside him…what did you expect from the man? It’s good to be president!

The Minnesota Schram’s first harvest was in 2011 but they sold all the grapes to other local producers. Their wines are now produced with about one-third of the grapes from the ‘estate’; other Minnesota growers; and from Yakima, Washington.

They use screw cap bottles, which some of you may be surprised to learn, are as expensive as bottling with corks. The Kiwi’s and Aussie’s were the first to do this with Randall Grahm (Bonny Doon), being the first well-known producer to adopt it. Take the romance out of it, and screw caps are more reliable. Ah, but what about the aging, you say? Did you know that if you store the wine long enough the bottles will probably have to be re-corked (Mouton Rothschild does this for its wine for free when they come to the U.S.). There is also the possibility of a ‘corked’ bottle (not a pleasant taste), not to mention some people saying they don’t like a wine and declaring it corked. Either way it is expensive for the winery.

They were assisted in the beginning by enologist Nick Smith, who teaches Enology at the University of Minnesota, where many varietals have been improved or created. Aaron, who has been making wine since he turned 21, learned well and fine-tuned his winemaking skills.

The Schrams have ten acres of land suitable for vineyards, of which six are gently sloping, southerly facing, and have plans to plant the other four acres soon. Their sales (increasing them for a young winery is always difficult) gradually grew and last year expanded by 200%, quite a feat and made possible by adding beer last year!

Schram produces wine from eight different Minnesota varieties — Marquette, Frontenac Gris, Sabrevois, Petit Pearl, Prairie Star, Brianna.  In addition, they use Chardonnay, Pinot Gris, and Cabernet from Washington.  From these they produce seven wines including their signature wine Marquette also available as a Reserve wine that is barrel-aged for 14 months. In December, they released their first sparkling wine, moving them somewhat in the direction of the California Schramsburg.

All is going well with Schram’s new community room (tasting room), and as if that was not enough they added a brewery. That is not as far-fetched as it may sound because you use much of the same equipment that is idle after the harvest is completed. There are a few other wineries in the U.S. doing this but Schram may be the first to do so in Minnesota. The advantage is that if one person in a couple only likes to drink craft beers, and the other only wine, they can provide both and make the thought of a visit more attractive to them. As TB has found over the years, it is not a far stretch to transform a beer drinker to a wine drinker, especially when there are several wines, both red, white, and a sparkler, as well as eight craft beers on tap!

From Spring through Fall they have wine tasting and fun events, making use of their beautiful outdoor space. Beginning this Valentine’s Day, they are offering dancing lessons one Saturday night a month; Case Club activities, ‘Paint and Sip’ nights, and many other events. They also serve as a venue for parties, weddings, etc., but Ashley made it clear this will not be their focus, as it is at some wineries.

If you are in the Twin Cities region, TB highly recommends taking the drive out Hwy 5 to Waconia and visiting the Schrams as well as some of the other vintners in the area. You might be surprised and you won’t be disappointed.

TB

©Copyright 2015 TBOW, all rights reserved.

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How did Trader Bill originate? It was conceived by me as a way of providing information summaries of global financial markets so that friends and associates could bring themselves up to speed on events and changing market conditions upon their arrival at work. In addition, it provides information on speakers and economic releases that day with consensus estimates and level of last release so that the reader is prepared to react, or knows how the market might react upon the release of information. Who is Trader Bill? Initially any reference to me was as ‘i’. This is to remove the aura of ego and to suggest that i am but a humble reporter, albeit with 35 years of investment experience. Investments are demanding of ego, however, or one would not feel that he was qualified to manage someone else’s money in the first instance. Therefore i needed an ‘alter-ego’. Like Winchell and Mahoney, Edgar Bergen and Charlie McCarthy and especially Trader Vic and Mai Tai’s! Why Trader Vic? Because he was a likeable man who delivered pleasure to his customers and knew exactly what their desires were. The reason for the alter ego became obvious once I introduced Trader Bill into my commentaries: people started asking what Trader Bill thought. They had never asked me what I thought before, but suddenly they wanted to know what TB thought! Now mind you they KNEW that I was Trader Bill but for some reason he became bigger than life. Maybe it was the small ‘I’? What does Trader Bill try to do?His goal is to educate from his years of experience. Consider that most of the traders and people managing investments weren’t even around in 1987 for the crash! Consider that Graham and Dodd, and even Warren Buffet are not relevant to them, too old hat. Their historical perceptions of markets and fundamentals (earnings, price/earnings ratios, bonds, debt service coverage) are irrelevant in this fast moving world. This is the NEW ECONOMY, or is it? How did your style originate?Years ago i found that i had a knack and talent for writing. In addition, i developed an ability to analyze market news about 15 years ago. It took the Crash of ‘87. Prior to that i was just listening to what others said about the economy. But bond yields had been soaring in ‘87 yet the stock market just kept hitting new highs. That was when i began to learn about markets. i have both a dry and witty sense of humor (some call it inane!). Therefore i attempt to make even the worst news somewhat amusing: whether it is the absurdity of an economic release, or the comments of a CEO. This is trading desk humor (or gallows humor). It isn’t politically correct but it does ease tension. Ironically, it is seeing the light at the end of the tunnel (in the Navy they say: it’s always darkest before it’s pitch black!), that allows you to be more objective in your analysis, as bad as a situation is there will still be a tomorrow! You will see that i practice three-dot journalism, a style made famous by San Francisco reporter Herb Caen, whom i idolized. At least to me it is effective. What is so special about your analysis?Frankly, i don’t know that it is special, but at least it beats “the market closed down today on profit taking.” What i do know is that most of what you read is spat out without considering whether or not it is rational, like the above statement. Is it right? Sometimes yes and sometimes no, and that is the key to what is different about my analysis: it is meant to make you think. Is Dan Rather right or is Trader Bill right? If it causes you to stop and think about it, regardless of whether you agree, i win! Because THAT is my goal…not to have you think i am a guru, got that? Bet you never heard that ANYWHERE before in my business! Instead they want you to think just how smart they are but remember in this business if you are right 60% of the time you ARE a genius! Another thing that is different is when i am wrong on an analysis i will tell you, not hope you forget what i said. So now you have the tools to do what the speculators and hedge funds do: challenge authority, and if you make money it is because YOU did it not me. i was just a tool, your flunky to do the grunt work and let you decide…course you could be wrong too but at least you looked at the big picture. But the goal is also to have fun! This shouldn’t be a business of hushed tones and grim faces. It is a living, breathing thing and nowhere else in the world do you have the odds as much in your favor as here. Just beware of the guy who wants to put his arm around you and tell you he is your friend. So there you have it. I hope you select me as one of your sources for market information. If you do I promise to work my best for your financial success. Trader Bill

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