2003_halfyear

T H E I N T E R N AT I O N A L W I N E I N V E S T M E N T F U N D H A L F - Y E A R R E P O RT 2 0 03
c o n t e n t s
SECTIONSECTIONSECTIONSECTIONSECTION PAGE NO.PAGE NO.PAGE NO.PAGE NO.PAGE NO.
Key Financial Information ........................................................... 1
Key Investment Assets ............................................................... 2
Chairman’s Report ................................................................. 3-9
Directors’ Report .....................................................................10
Consolidated Statement of Financial Performance .........................11
Consolidated Statement of Financial Position ...............................12
Consolidated Statement of Cash Flows ........................................13
Notes to the Consolidated Financial Statements ...................... 14-15
Directors’ Declaration ................................................................16
Independent Audit Report ..........................................................17
Corporate Directory ..................................................................18
Photo courtesy of Constellation Brands.
PhotocourtesyofBibendum.

1997 1998 1999 2000 2001 2002 2003 2004
Final 3.00 3.50 4.00 4.50 5.50 6.00 6.25
Interim 2.00 3.00 3.50 3.50 4.00 4.75 4.75 4.00
DISTRIBUTION HISTORY
Cents/Unit
12.0
11.0
10.0
9.0
8.0
7.0
6.0
5.0
4.0
3.0
2.0
1.0
0.0
1
T H E I N T E R N AT I O N A L W I N E I N V E S T M E N T F U N D H A L F - Y E A R R E P O RT 2 0 0 3
2003 2002 2001 2000 1999
($’000) ($’000) ($’000) ($’000) ($’000)
SUMMARY OF FINANCIAL PERFORMANCE
Investment Income ( Income + Capital) 8,324 6,589 6,089 3,794 2,570
Profit before Income Tax Expense 5,777 (439) 2,369 2,492 1,742
Takeover / SRE Expenses - - - - (403)
Income Tax (Expense) / Benefit (569) 201 (135) (44) -
Profit after Income Tax (Expense) / Benefit 5,208 (238) 2,234 2,448 1,339
Transfer from Capital Profit Reserve to Unitholders’ Funds 23 1,390 1,302 - -
Total Reportable Profit 5,231 1,152 3,536 2,448 1,339
Cents / Unit Distributed 4.00 4.75 4.75 4.00 3.50
SUMMARY OF FINANCIAL POSITION
Total Assets 234,209 243,959 286,313 188,833 170,177
Total Liabilities 72,817 96,848 55,732 15,857 4,907
Total Equity 161,392 147,111 230,581 172,976 165,270
K e y F i n a n c i a l I n f o r m a t i o n
The International Wine Investment Fund
For the half-year ended 31 December 2003
DELIVERING RETURNS
7 YEAR ASSET POSITION
300.0
250.0
200.0
150.0
100.0
50.0
0
1997 1998 1999 2000 2001 2002 2003
Net Assets 91 115 165 173 231 147 161
Gross Assets 102 119 170 189 286 244 234
$Millions
$9,000
$8,000
$7,000
$6,000
$5,000
$4,000
$3,000
$2,000
$1,000
$0
$‘000
1998 1999 2000 2001 2002 2003
Year
Investment IncomePAT Underlying Business Profit
6 YEAR PERFORMANCE
Photo courtesy of Vintage Nurseries.

2
K e y I n v e s t m e n t A s s e t s
2003 2002 2001 2000
Shares Value Shares Value Shares Value Shares Value
(‘000) ($‘000) (‘000) ($‘000) (‘000) (‘$000) (‘000) ($‘000)
AUSTRALIAN WINE ASSETS
BRL Hardy shares & options - - 23,005 $140,967 20,539 $226,435 18,875 $149,642
Foster’s Group shares & options 5,216 $21,522 3,188 $14,911 3,144 $15,597 560 $2,643
McGuigan Simeon Wines shares 866 $3,925 540 $2,640 NA $8,445 NA $6,526
Evans & Tate shares & convertible notes 9,160 $10,273 1,490 $1,329 1,490 $1,678 $2,064
Reynolds Wines preference shares - $7,501 - -
National Vineyard Fund of Australia convertible notes $7,273 $7,155 $7,155 $3,067
Other Australian Wine Assets shares & notes - $828 $4,456 $9,786
Total Australian Wine Assets $42,993 $175,331 $263,766 $173,728
CONSTELLATION BRANDS
Constellation Brands ordinary shares 100 $4,385 50 $2,098 - -
Constellation Brands preference shares 437 $17,995 - - - - - -
Constellation Brands CHESS depository instruments 8,250 $35,475 540 - - - - -
Total Constellation Wine Assets $57,855 $2,098 - -
INTERNATIONAL WINE ASSETS
Gabriel Meffre shares & convertible notes $11,336 $11,961 $11,634 -
Hawesko shares 330 $11,464 308 $9,311 35 $1,013 -
Vintage Nurseries convertible notes $5,752 $7,138 $20 -
Bibendum shares & convertible notes $6,780 $7,363 - -
Vinoceros shares & convertible notes $2,506 $2,806 - -
Laroche shares 70 $2,086 70 $2,463 35 $1,124 35 $1,331
Oeneo shares 40 $161 - -
Total International Wine Assets $40,085 $41,042 $13,791 $1,331
OTHER ASSETS
Cash, Other Current Assets $92,636 $22,974 $3,991 $2,210
Berri Limited 320 $640 $2,514 $2,578 $2,578
Other Non-wine Assets - - $2,187 $8,986
Total Other Assets $93,276 $25,488 $8,756 $13,774
Total Assets $234,209 $243,959 $286,313 $188,833
THE WINE FUND
December 2003
McGuigan - 1.7%
NVFA - 3.1%
Other - 0.3%
Cash, Other
39.6%
International
17.1%
Foster's - 9.2%
Evans & Tate - 4.4%
Hawesko
28.6%
Meffre
28.3%
Vintage
14.3%
Laroche
5.2%
Other
NVFA
McGuigan
Foster's
Cash, Other
InternationalEvans & Tate Constellation
Southcorp
LarocheHawesko
VintageMeffre
Bibendum
16.9%
Vinoceros
6.3%
Vinoceros
Bibendum
Oeneo
Oeneo
0.4%
Constellation
24.7%
Reynolds
Reynolds - 0.0%
Southcorp - 0.0%

3
Wednesday 25 February 2004
Dear Unitholder
I am pleased to report on the
performance of The International
Wine Investment Fund (“the
Wine Fund”) for the half-year
ended 31 December 2003.
Highlights for the half-year
ended 31 December 2003:
1. Two Unitholder meetings
confirming the strategic
direction of the Wine Fund;
2. Final and special
distributions totaling
$1.0625 cents per unit;
3. Investment of $8.7 million
in a 10.1% interest in
Evans & Tate;
4. An acceptable Underlying
Business Profit of $2.71
million during a time of
adverse market conditions
in the wine industry; and
5. A higher than expected
interim distribution 4.00
cents per unit to be paid
on 28 February 2004.
During the period, Berren has
continued to focus on building
the value of the Wine Fund,
however this has not been
without considerable distraction
in dealing with unsuccessful
attempts by a group of dissident
Unitholders to wind up the Wine
Fund.
We hope to provide further new
investments during the course of
2004. These will be both
Australian and International.
THE BUSINESS OF WINE
Economic Review
The world wine industry will
remember 2003 as a difficult
year. Intense price competition
and currency movements have
impacted on all wine companies,
particularly Australian wine
exporters. Existing price
competition was exacerbated by
increased wine production from
several New World countries
after the large 2002 and 2003
Vintages, and the increasing
power of the world wine retailers
able to extract lower prices from
wine producers. While the
United States economy, and
demand for wine, has begun to
strengthen, the fall in the US
Dollar has reduced the
competitiveness of Old World
and New World wine imports into
that country. Despite this, sales
(by volume) of Australian wine
to the US increased by 59%
during 2003.
Consolidation and
Rationalisation
The consolidation of the
Australian wine industry has
continued apace at all levels of
the wine industry. Hess acquired
control of Peter Lehmann Wines
and McGuigan Simeon Wines
acquired Miranda Wines.
Woolworths and Coles Myer
continue to increase their power
in the Australian wine retail
business by acquiring existing
liquor chains and opening new
stores. Woolworths recently
acquired the South Australian
independent liquor chain, Baily
and Baily and immediately
expanded the number of outlets
under the brand name.
Consolidation, joint ventures and
strategic alliances in the
international wine industry also
continue, but new acquisitions
and relationships announced
over the past 6 months have
been relatively small. We
continue to see the importance
of “route-to-market” in the US
market with the launch of the
new Australian Black Swan brand
by industry heavyweight, E&J
Gallo. Sales of that brand are
estimated to have grown from
zero in May 2003 to over 1.0
million cases at the end of
December 2003.
The Wine Fund continues to take
a medium to long-term investment
approach, while taking advantage
of short term trading opportunities
when they arise.
C h a i r m a n ’ s R e p o r t
Photo courtesy of Evans & Tate.

4
Our Investments
We currently have 12
investments divided (by value)
between Australia (58%),
Constellation Brands (25%) and
International investments (17%)
- below our international
investment limit, excluding
Constellation, of 20% of total
tangible assets.
In the last half-year, the Wine
Fund has profitably traded
securities in Constellation,
Foster’s Group and McGuigan
Simeon Wines.
While wine stocks have been out
of favour for much of the last 18
months, Berren believes each of
the Wine Fund’s investments
have the opportunity to be solid
performers in the medium term.
Constellation Brands is the
largest wine company in the
world, by value and volume, and
is one of the world’s few ‘Mega’
wine companies. Since
Constellation’s merger with BRL
Hardy was completed in April
2003, its US share price has
undergone a stunning rise from
USD23.33 to a high of
USD34.88, an increase of 50%.
However, due to the Australian
Dollar appreciating by 29.5%
over the same period,
Constellation’s Australian CDI
price has increased 16% from
$3.91 to around $4.55.
As the Wine Fund holds
Australian Constellation shares,
it cannot neutralise foreign
exchange movements by
hedging without significant costs
and risks involved to
Unitholders.
During the period, the Wine Fund
sold approximately 400,000
ordinary shares in Constellation
and reinvested the proceeds by
purchasing approximately
530,000 newly issued preference
shares, with a dividend yield of
up to 5.75% of their cost.
The Wine Fund also earned
income from trading in options
in Constellation. The trading
was conducted at a profit and
was undertaken in substitution
for income previously received
from BRL Hardy dividends.
Foster’s Group is categorised
as an international Mega wine
group, notwithstanding its focus
on premium and above wines.
Its shares have traded in a
narrow range due to the
restrained financial performance
of its US Wine division, the sale
of its hotel and leisure division
and their share buy-back. We
remain confident that the
company’s strong cash flows and
diverse alcoholic beverages
businesses across several
countries will enable Foster’s to
perform well in the medium
term. We continue to profitably
trade Foster’s shares and options
and receive a good dividend
stream from this Group.
Evans & Tate has emerged as
a new National wine group with
a market capitalisation of $100
million, since its merger with
Cranswick. During the period,
the Wine Fund invested a further
$8.8 million to acquire a 10.1%
interest in the group. Berren
believes that Evans & Tate has
the potential to provide solid
returns to the Wine Fund over
the next few years.
McGuigan Simeon is one of the
leading National wine groups in
Australia and has continued to
perform strongly since its
merger, although its share price
has trended down in line with the
general sentiment for wine
stocks over the past six months.
We continue to actively and
profitably trade in shares in the
company for the benefit of
Unitholders.
Foster’s, McGuigan Simeon and
Evans & Tate are all
consolidating their existing
operations while (as shown
recently by McGuigan Simeon’s
acquisition of Miranda Wines)
still being active in acquiring
businesses that are
complementary to their brand
portfolios, distribution and price
positioning.

5
We continue to monitor the
performance of Southcorp but
have no investment in the
company at this time. The
quality of Southcorp’s new
management and their current
strategy has changed our long-
term view of the company, and
at the appropriate time we may
reinvest in the company.
Our unlisted investments in
Australia include National
Vineyard Fund of Australia
(“NVFA”) and Reynolds Wines.
NVFA is expecting a reasonable
commercial crop in all vineyards
from the 2004 Vintage. Subject
to normal agricultural vagaries,
including water restrictions, we
expect it will report a profit in
excess of 8%. The Wine Fund
is seeking to convert 50% of its
convertible notes into preference
shares in NVFA to allow them to
increase the size of their
business and further improve
their profitability. The
conversion of the convertible
notes into preference shares
would make the Wine Fund the
largest equity holder in NVFA
with around 26% of the group.
We believe that, at this point in
the grape supply cycle, there are
excellent opportunities for NVFA
to expand and become a leading
supplier of grapes to Australia’s
largest wine groups.
Reynolds Wines, which was
fully written-off in June 2003,
has since been placed in
liquidation. We assisted two
parties in their attempts to
purchase Reynolds as a going
concern and restore the value to
our investment but the sale
process was unsuccessful due to
a breakdown in negotiations with
Hawesko AG has reported its
profit for the full-year was up
approximately 5%, despite
difficult trading conditions in the
German and Austrian markets.
They have indicated their
dividend will be at least the same
as 2002, but may be higher
pending finalisation of their
annual accounts. Hawesko’s
share price has risen from
17.00 to 21.00 as at 31
December 2003, and in February
reached 24.10, which is now
above our average entry price.
Gabriel Meffre have not yet
finalised their accounts for the
full year 2003, but the Company
has indicated their 2003 financial
results are ‘on-par’ with the
previous year on the back of
sales of their joint venture “Fat
Bastard” brand in the UK and
USA. These sales have been
achieved despite a consumer
backlash against French
products resulting from that
country’s political stance on the
Iraq War. On 1 January 2004,
the Wine Fund exchanged its
shareholder loan in the group for
new ordinary shares, thereby
increasing its shareholding from
25% to 38.2%, and
strengthening the company’s
balance sheet and allowing
Meffre to pursue further
expansion and acquisition
opportunities.
During the period, Berren
assisted Meffre in reviewing
potential new acquisition
opportunities in France. While
one large transaction did not
proceed, the company did buy
ultra-premium Vineyards in
Gigondas and Vacqueras.
Bibendum have indicated the
group had a difficult trading
period due to continued intense
competition in the UK “Off-
trade” (wine stores,
supermarkets etc) market in the
nine months to December 2003.
However, trading in the “On-
trade” (hotels, restaurants etc)
has been solid. It believes that
tough conditions will continue
while financial and economic
indicators are depressed.
Despite this average year,
Bibendum is regarded as one of
the premier independent
distributors in the UK. During
the last 8 months, the Wine Fund
has assisted Bibendum in
establishing two new and
exciting distribution joint
ventures - one with the super
premium wine and alcoholic
beverages group, Lion Nathan
Group Ltd, and the other with
one of the pre-eminent French
wine groups, Boisset.
Among its extensive brand
portfolio, Bibendum distributes
McGuigan Simeon’s “Miranda”
brand and Michel Laroche wines.
its US distributor/joint venture
partner, Trinchero Family
Estates. Any potential recovery
of the Wine Fund’s investment
is now only likely through
possible legal action by
shareholders and the receivers
against the company, its officers
or professional advisers.
Photo courtesy of Groupe Laroche.

6
Business Opportunities
Berren believes the wine industry is approaching the bottom of its
cycle, when good investments at realistic prices will provide significant
opportunities for the Wine Fund as it moves forward.
THE FINANCIAL REVIEW
The Wine Fund’s financial performance has been both positive and
negative in the first half of the year when compared with last year.
On 15 July 2003 we paid a special distribution to Unitholders of
$1.00 per unit ($58.5 million), reducing the Wine Fund’s net assets
by approximately 30%. On a like for like basis, there has been a
maintenance in revenue over the period, driven by continued
investment fees, share and option trading returns and interest from
cash holdings. Annual operating costs increased due to the expenses
associated with holding Unitholder meetings on the future of the
Wine Fund in both July and October, and the cost of professional
services relating to the proposed conversion of the Wine Fund to a
public company. Berren’s remuneration increased from $0.67 to
$0.72 million based on the performance of the Wine Fund’s unit
price during the six-month period.
The Wine Fund’s Total Reportable Profit (“TRP”) in the six months to
31 December 2003 increased to $5.23 million from $1.15 million in
the previous comparable period.
Profit from Ordinary Activities
after income tax expense 5,208 (238)
Profit from Capital Profits Reserve 23 1,390
Total Reportable Profit 5,231 1,152
Adjustment - Profit/(Loss)
on foreign exchange 293 911
Adjustment - Unrealised Profit/(Loss)
on trading securities (2,812) 1,484
Underlying Business Profit 2,712 3,547
Groupe Laroche has published
their accounts for the 9 months
to December 2003 with results
showing that they have had a
reasonable year in a difficult
trading environment. The full
year profits will be available after
31 March 2004, and should see
a dividend similar to last year.
Despite improving profit results,
their share price continues to
lag, in part due to the backlash
against French products since
the Iraq War, and part due to a
lack of liquidity on the Marche
Libre stock exchange on which
the shares trade.
Vintage Nurseries have not
finalised their accounts for the
full-year to December 2003, but
have indicated they are likely to
achieve a similar financial result
to the previous year. The new
and replacement vine market in
California and other parts of the
USA is currently the most
difficult in 20 years. They are
the market leader in the
Californian and US markets for
vineyard services businesses
with a dominant market share
of in excess of 35%.
Vinoceros have indicated the
group has performed reasonably
despite difficulties with the
economic conditions and some
changes to their “New World”
brand portfolio. During the
period, the Wine Fund has
worked with Vinoceros to
cement their long-term
relationship with McGuigan
Simeon and assisted in the
acquisition of a leading Spanish
distributor in the UK to improve
both groups penetration of the
“Off-trade” and “Independent”
routes to markets in the UK.
2003
($’000’s)
2002
($’000’s)
Financial Performance & Analysis
6 months ended
December
We have recovered a charge against our share and options trading
portfolio of $2.81 million. This is largely due to the increase in the
market price of Constellation and Fosters’ shares and the exercise of
options in those companies during the half-year ended 31 December
2003.
We realised a net profit of $0.51 million from foreign exchange gains
which offset our smaller profit (due to foreign exchange) from the

7
sale of some US Constellation
Brands shares. During the
period, the Australian Dollar
strengthened substantially
against the US Dollar, and the
Euro and Pound were slightly
weaker against the Australian
Dollar. As explained in previous
reports, the Wine Fund’s
international investments are
funded by borrowing in the
currency of the investment.
However unrealised currency
gains or provisions for unrealised
losses are included in the
financial reports as required by
the accounting standards.
Unrealised foreign exchange
gains showed a loss of $0.29
million. To assist in
understanding the Wine Fund’s
financial performance for any
given period, unrealised currency
gains or losses are excluded in
the calculation of the Underlying
Business Profit, as are unrealised
profits or losses on trading
securities.
Taken together, this recovery to
income has increased Profit from
Ordinary Activities after
Taxation for Unitholders
As previously advised the
interim distribution to
Unitholders is unable to be
classified into franked,
unfranked, capital gains or
discounted capital gains for
taxation purposes, until the full
year distribution, anticipated to
be in August 2004.
We can advise however that the
distribution will be either fully
franked or franked to a high
level, and also have discounted
capital gains attached. All
Unitholders should seek their
own individual tax advice.
Unit Price & Discount
The market price of the Wine
Fund units has remained in a
tight range since 1 July 2003
when the unit price was $1.88.
At 31 December 2003 the unit
price was $1.84 compared to
$1.90 at the close of the
previous half-year. During the
6-month period, the unit price
ranged from $1.82 to $1.99.
Berren has continued its efforts
to decrease the discount at
which the unit market price
trades to NTA, with the discount
fluctuating between 21-27%
during the period.
Net Tangible Assets
The Net Tangible Assets (“NTA”)
of the Wine Fund at 31
December 2003 were $2.53 per
unit, which is nearly identical to
the $2.52 per unit at 31
December 2002. This is
particularly pleasing considering
the payment of the special
distribution of $1.00 per unit in
July 2003.
tax by $2.52 million. With these
adjustments, Underlying
Business Profit is $2.71 million,
this compares to an Underlying
Business Profit of $3.54 million
in the 2002 half year. The
adjusted figure of $3.54 million
(e.g. 70% is $2.48 million)
compares to the Wine Fund’s
current half-year profit of $2.71
million when allowance is made
for the 30% reduction in assets
under management after the
special distribution of $1.00 paid
to Unitholders in July 2003.
Distribution
The directors of Berren have
declared an interim distribution
of 4.00 cents per unit payable
on 28 February 2004. This is
below the first half distribution
in 2002, but is comparable to
an effective 20% increase on
last year’s interim distribution
when the decrease in the assets
under management, due to the
payment of the special
distribution, is taken into
account. The distribution will
total $2.52 million.

8
Capital Management
During July 2003, the Wine Fund
issued 7,218,651 units to
Unitholders who participated in
the Distribution Reinvestment
Plan (“DRP”) for the special
distribution. A further 464,451
units were issued in September
to participants in the DRP for the
final distribution. The DRP is not
currently in operation, but may
operate for future distributions.
The Wine Fund commenced an
“on-market” unit buy-back on 21
July 2003. No units were
purchased back until all material
information had been disclosed
to the market by 10 September
2003. At 31 December,
2,338,884 units have been
purchased under the current unit
buy-back. The Wine Fund
currently has 63,785,954 units
on issue.
Borrowing for Investments
The Wine Fund has slightly
increased its total borrowings
during the half-year from $48.8
to $51.9 million. While cash
reserves are sufficient to repay
total borrowings, foreign
currency borrowings have been
retained to provide a natural
hedge in the currency of each
international investment. If all
borrowings were repaid, the
Wine Fund would have in excess
of $30 million to meet any other
liabilities and make new
investments.
At 31 December, our ratio of
borrowings to total assets
(excluding cash reserves) was
approximately 22% (borrowing
limit 30%).
As announced, a wide ranging
search for a replacement has
commenced and is now well
developed, with an
announcement of a new CEO
likely to be made in the near
future. Chris has agreed to
remain in his position until a
replacement has been appointed
and allow for an orderly
transition.
Chris leaves with the Wine Fund
in great shape and well poised
to achieve its future goals during
the next phase of growth. The
Board has certainly appreciated
his commitment and enthusiasm
and wishes him well in his future
endeavours.
THE WINE FUND GOING
FORWARD
Resignation of Chief
Executive Officer
As announced on 23 January
2004, it is with regret the Board
has accepted the resignation of
the CEO of Berren, Chris Day. He
is well known to many
Unitholders for his knowledge
and passion for the Australian
and international wine industry,
and his tireless efforts on behalf
of Unitholders for the last three
and a half years, a period of
considerable change and of
considerable growth and
development of the Wine Fund.
Chris leaves to spend more time
with his young family and pursue
his private business interests in
the wine industry.
Photo courtesy of Foster’s Group.
Photo courtesy of Hawesko.

9
a time when the industry cycle
is approaching its low point,
provides the best opportunities
for the Wine Fund at any time
over the last five years.
CONTACT WITH BERREN
Berren will continue to improve
the Wine Fund’s website at
www.iwif.com.au and continue
to update it with ASX
announcements, financial
information and other
information relevant to
Unitholders.
I would like to close by
encouraging Unitholders and
potential Unitholders to contact
Berren to discuss any matters of
interest they may have. It is
important the owners of the
Wine Fund have the opportunity
to communicate with the Board
and management of Berren, and
learn more about the Wine Fund
and its progress.
M.J. TerletM.J. TerletM.J. TerletM.J. TerletM.J. Terlet AOAOAOAOAO
Chairman
Berren Asset Management Limited
Responsible Entity for
The International Wine
Investment Fund
Conversion to a Public
Company
Due to the resignation of Chris
Day, and because the proposed
conversion of the Wine Fund to
a public company is so
important, the Board of Berren
has decided to postpone the
Unitholder meeting to vote on
the conversion until a
replacement CEO has been
appointed and settled into the
role.
The Board remains committed to
Unitholders voting on the
proposed conversion and the
date of the meeting will be
announced as soon as known.
Importantly, the efforts of
management and its
professional advisors have not
been wasted, and Berren will be
able to recommence
preparations for the meeting
with little interruption at a later
date.
OUTLOOK
The Wine Fund looks forward to
continuing success this year and
into the future. The changing
wine landscape around the world
continues to be challenging, and
Australian wine companies must
negotiate the current minefield
of consolidation in the retail
sector and a higher Australian
Dollar.
We continue to strive to
maximise the wealth of each
Unitholder over the medium
term. We continue to develop
investment and development
opportunities around the world,
including Australia, Europe and
the Americas capable of earning
an acceptable level of income
and capital returns for
Unitholders. These opportunities
are increasingly available across
the whole of the wine industry,
from wine services and
vineyards, to branded wine
companies, to retail and
distribution.
Berren remains confident that
the consolidating international
wine industry has outstanding
prospects for continued growth
despite the prevailing sentiment
towards the wine industry and
uncertainty at this time. The
Board and Management believe
investing in the wine industry at
Structure of the Board
The Board of Berren is
committed to the Wine Fund’s
current strategies and is
confident it has the quality of
assets and people to achieve its
future performance targets. In
addition to the appointment of a
new CEO, Berren is currently
assessing the structure of its
Board to ensure it has the
appropriate skills and experience
necessary for the next stage of
the Wine Fund’s growth.
Photo courtesy of McGuigan Simeon.
Photo courtesy of Foster’s Group.

D i r e c t o r s ’ R e p o r t
10
The directors of Berren Asset Management Limited
(“Berren”) the responsible entity of The International Wine
Investment Fund (“The Wine Fund”), present their report
together with the financial report of The Wine Fund and
it’s controlled entity for the half year ended 31 December
2003.
Directors
The following persons were directors of Berren during
the whole of the half-year and up to the date of this
report:
M.J. Terlet AO (Chairman)
W.T. Baylis
J. Bourland
J. Caddy
R.G. Chabrel
M.R. Davison
D.R. McCallum
Review of operations
A summary of consolidated revenues and results for the
half-year is set out below:
Consolidated
2003 2002
($’000) ($’000)
Profit / (Loss) from ordinary activities
before income tax (expense) / benefit 5,777 (439)
Income tax (expense) / benefit (569) 201
Profit / (Loss) from ordinary activities
after income tax (expense) / benefit 5,208 (238)
Profit from Capital Profit Reserve 23 1,390
Comments on the operations and results of those
operations are as follows:
(a) Profit from ordinary activities
The Wine Fund’s total investment income increased
markedly from that of the previous corresponding
period albeit from a smaller total asset base. The
investment income is mainly attributable to interest
income, dividends, options trading income and gains
from reversal of write-down of trading securities.
(b) Investments
During the half year ended 31 December 2003, the
Wine Fund invested in Evans & Tate Limited and
Constellation Brands, Inc. USA. The $8.7 million
investment in Evans & Tate was through the initial
purchase of 7.5 million ordinary shares followed by
another 750,000 shares in a rights issue. The
investment in 530,000 depository preference shares
issued by Constellation Brands, Inc. amounted to
$21.1 million. At the same time, the Wine Fund sold
down its holding in Constellation Brands, Inc. USA
by 400,200 ordinary shares.
(c) On Market Unit buy-back
The buy-back came into force on 21 July, 2003 and
during the six month period under review, the Wine
Fund bought back 2,338,884 units.
(d) Distribution
The Wine Fund announced a distribution of 4 cents
to unitholders for the half-year ended 31 December
2003. The distribution reinvestment plan will not
operate for the interim distribution period.
Management Expense Ratio (MER)
The MER for each of the last four (half) years for the
Consolidated Entity is shown in the following table:
2003 2002 2001 2000
% % % %
Ratio 0.61 0.50 0.55 0.49
The MER is calculated in accordance with IFSA Standard No.
4.00.
Significant changes in state of affairs
In the opinion of the Directors, there have been no
significant changes in the state of affairs during the
half-year ended 31 December 2003.
Event occuring after reporting date
On 1 January 2004, the Wine Fund exchanged part of its
investment in Grands Vin Gabriel Meffre (“Meffre”) from
shareholders’ loan to shares in the company. Under the
terms of the investment, the shareholders’ loan was repaid
and the proceeds used to purchase an additional 18,182
shares in Meffre. This takes the Wine Fund’s ownership of
Meffre from 25% to approximately 38.2%.
Fees paid to and interests held in the consolidated
entity by the Responsible Entity or its Associates
Fees paid to the Responsible Entity, Berren and its
associates during the half-year under review are disclosed
in the consolidated statement of financial performance.
No fees were paid to the Directors of Berren in their capacity
as directors during the six months ended 31 December
2003 by the consolidated entity.
Rounding of amounts to the nearest thousand dollars
The Wine Fund is a registered scheme of a kind referred to
in Class Order 98/1000 issued by ASIC relating to the
“rounding off” of amounts in the Directors’ report and
financial statements. Amounts in the Directors’ report and
financial statements have been rounded to the nearest
thousand dollars in accordance with that Class Order, unless
otherwise indicated.
Auditor
PricewaterhouseCoopers continues in office in accordance
with section 327 of the Corporations Act 2001.
This report is made in accordance with a resolution of
Directors of the Responsible Entity, Berren Asset
Management Limited.
M. J. TERLET AO - Director
Adelaide, South Australia, 25 February 2004

C o n s o l i d a t e d S t a t e m e n t o f F i n a n c i a l P e r f o r m a n c e
The International Wine Investment Fund and its Controlled Entity
Half-year
2003 2002
($’000) ($’000)
INVESTMENT INCOME
Dividends 967 3,000
Interest 2,985 1,055
Net realised gains on disposal of trading securities 259 477
Underwriting and placement fees 245 251
Foreign exchange gain 148 -
Income from Options trading 876 350
Reversal of write-down of trading securities 2,812 -
Other 9 27
Total Investment Income from Ordinary Activities 8,301 5,160
EXPENSES
Responsible entity’s fees 717 670
Custodian’s fees 23 16
Auditor’s remuneration 57 30
Borrowing costs 1,277 2,367
Write-down of trading securities - 1,484
Foreign exchange loss - 876
Special meetings and project costs 296 -
Other expenses 154 156
Total Expenses from Ordinary Activities 2,524 5,599
Profit / (Loss) from Ordinary Activities
Before Income Tax (expense) / benefit 5,777 (439)
Income tax (expense) / benefit (569) 201
Profit / (Loss) from Ordinary Activities
After Income Tax (expense) / benefit 5,208 (238)
Non-owner Transaction Changes in Equity
Increase / (Decrease) in asset revaluation reserve
Fair value adjustment 1,300 (50,201)
Total changes in equity from non-owner related transactions
attributable to the members of the parent entity 6,508 (50,439)
STATEMENT OF DISTRIBUTION
Net operating income / (loss) 5,208 (238)
Transfer from Capital Profit Reserve to Unitholders funds 23 1,390
Cents Cents
Basic earnings per unit 0.081 (0.004)
Diluted earnings per unit 0.081 (0.004)
The above Statement of Financial Performance should be read in conjunction with the accompanying notes.
11

C o n s o l i d a t e d S t a t e m e n t o f F i n a n c i a l P o s i t i o n
12
31 December 30 June
2003 2003
($’000) ($’000)
CURRENT ASSETS
Cash assets 88,688 144,576
Receivables 4,435 1,152
Trading securities 32,309 29,186
Prepayments 175 126
Other 85 141
Total Current Assets 125,692 175,181
NON-CURRENT ASSETS
Investments 108,517 105,317
Total Non-Current Assets 108,517 105,317
Total Assets 234,209 280,498
CURRENT LIABILITIES
Payables 3,789 3,517
Interest-bearing liabilities 34,256 41,861
Current tax liabilities 14,603 14,245
Provisions 2,552 65,658
Total Current Liabilities 55,200 125,281
NON-CURRENT LIABILITIES
Interest-bearing liabilities 17,617 6,998
TOTAL NON-CURRENT LIABILITIES 17,617 6,998
Total Liabilities 72,817 132,279
Net Assets 161,392 148,219
EQUITY
Contributed equity 89,038 79,821
Reserves 67,497 66,220
Retained Profits 4,857 2,178
Total equity 161,392 148,219
The above Statement of Financial Position should be read in conjunction with the accompanying notes.
Photo courtesy of NVFA.Photos courtesy of Bibendum.

C o n s o l i d a t e d S t a t e m e n t o f C a s h F l o w s
Half-year
2003 2002
($’000) ($’000)
CASH FLOWS FROM OPERATING ACTIVITIES
Payment to suppliers (1,534) (2,056)
Dividends received 930 798
Interest received 2,340 1,067
Interest and other costs of finance paid (2,261) (2,460)
Other 1,591 518
Tax paid (211) -
Net cash inflow / (outflow) from operating activities 855 (2,133)
CASH FLOWS FROM INVESTING ACTIVITIES
Payments for investments (33,257) (39,477)
Proceeds from sale of investments 25,162 50,920
Net cash (outflow) / inflow from investing activities (8,095) 11,443
CASH FLOWS FROM FINANCING ACTIVITIES
Distribution paid (48,305) (2,459)
Proceeds from borrowings 7,535 10,158
Repayment of borrowings (2,023) -
Payments for units bought back (4,575) -
Net cash (outflow) / inflow from financing activities (47,368) 7,699
Net (decrease) / increase in cash (54,608) 17,009
Effects of exchange rate changes on cash (1,280) 54
Cash at the beginning of the reporting period 144,576 1,952
Cash at the end of the reporting period 88,688 19,015
The above Statement of Cash Flows should be read in conjunction with the accompanying notes.
13
Photos courtesy of Evans & Tate.

N o t e s t o t h e C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s
1. BASIS OF PREPARATION OF HALF-YEAR FINANCIAL REPORTS
This general purpose financial report for the interim half-year reporting period ended 31 December 2003 has been
prepared in accordance with Accounting Standard AASB 1029; Interim Financial Reporting, other mandatory professional
reporting requirements (Urgent Issues Group Consensus Views), other authoritative pronouncements of the Australian
Accounting Standards Board, the Corporations Act 2001 and The Wine Fund’s constitution.
This interim financial report does not include all the notes of the type normally included in an annual financial report.
Accordingly, this report is to be read in conjunction with the annual report for the year ended 30 June 2003 and any
public announcements made by The International Wine Investment Fund and its Single Responsible Entity, Berren
Asset Management Limited during the interim reporting period in accordance with the continuous disclosure requirements
of the Corporations Act 2001.
Unless otherwise stated, the accounting policies adopted are consistent with those of the previous financial year and
corresponding interim reporting period. Comparative figures have been reclassified, where appropriate to enhance
comparability.
2. SEGMENT INFORMATION
The consolidated entity operates predominately in Australia. In presenting information on the basis of geographical
segments, segment revenue and assets are based on the geographical location of the investment or assets. Liabilities
are allocated to segments based on the underlying geographical location of the investment asset that gives rise to the
liability. Segment revenues, assets and liabilities are those directly attributable to a segment. Results have not been
allocated on the basis that expenses can not be attributable to individual segments on a reasonable basis.
Revenue Assets Liabilities
Half-year 2003 ($’000) ($’000) ($’000)
Location
International 2,163 113,169 44,947
Domestic 6,138 121,040 27,870
Total 8,301 234,209 72,817
Revenue Assets Liabilities
Half-year 2002 ($’000) ($’000) ($’000)
Location
International 732 43,139 45,410
Domestic 4,428 200,820 51,438
Total 5,160 243,959 96,848
3. EARNINGS PER UNIT
Half-year
2003 2002
Cents Cents
Basic earnings per unit 0.081 (0.004)
Diluted earnings per unit 0.081 (0.004)
(Australian equivalent)
Number Number
Weighted average number of units used as the denominator
Weighted average number of units used as the denominator
in calculating basic earnings per unit 64,406,498 57,979,198
4. DISTRIBUTIONS
Cents Cents
Distributions paid per unit 106.25 6.00
Distributions payable per unit 4.00 4.75
110.25 10.75
14

15
N o t e s t o t h e C o n s o l i d a t e d F i n a n c i a l S t a t e m e n t s
5. INVESTMENTS IN CONTROLLED ENTITIES
Percentage
Cost of Held by
Country Class of Investment Economic
Name of Entity of Incorporation Shares Held Entity
$ %
International Wine Investment Fund Pty Ltd Australia Ordinary 39,865,087 100
6. EVENTS OCCURING AFTER REPORTING DATE
On 1 January 2004, the Wine Fund exchanged part of its investment in Grands Vin Gabriel Meffre (“Meffre”) from
shareholders’ loan to shares in the company. Under the terms of the investment, the shareholders’ loan was repaid
and the proceeds used to purchase an additional 18,182 shares in Meffre. This takes the Wine Fund’s ownership of
Meffre from 25% to approximately 38.2%.
7. EQUITY SECURITIES ISSUED
Half-year Half-year
2003 2002 2003 2002
Units Units $’000 $’000
Issues of units during the half-year
Distribution reinvestment plan issues 7,683,012 452,018 13,792 1,003
Photo courtesy of Groupe Laroche.
Photo courtesy of Vinoceros.
Photo courtesy of Vintage Nurseries.
Photo courtesy of McGuigan Simeon.

16
The Directors of the responsible entity declare that the financial statements and notes
set out on pages 11 - 15:
(a) comply with Accounting Standards, the Corporation Regulations 2001 and other
mandatory professional reporting requirements, and
(b) give a true and fair view of the consolidated entity’s financial position as at
31 December 2003 and of its performance, as represented by the results of its
operations and its cash flows, for the half-year ended on that date.
In the Directors’ opinion:
(a) the financial statements and notes are in accordance with the Corporations
Act 2001, and
(b) there are reasonable grounds to believe that the consolidated entity will be able
to pay its debts as and when they become due and payable.
This declaration is made in accordance with a resolution of the Directors.
M.J. Terlet AO
Director
Adelaide, South Australia
25 February 2004
D i r e c t o r s ’ D e c l a r a t i o n
Photo courtesy of Evans & Tate.
Photo courtesy of
Bibendum.

17
Independent audit report to the Unitholders of The International Wine
Investment Fund
Matters relating to the electronic presentation of the audited financial report
This audit report relates to the financial report of The International Wine Investment Fund for the financial period ended 31 December 2003 included on The
International Wine Investment Fund’s web site. The directors of Berren Asset Management (the responsible entity) are responsible for the integrity of The
International Wine Investment Fund’s web site. We have not been engaged to report on the integrity of this web site. The audit report refers only to the
financial report identified below. It does not provide an opinion on any other information which may have been hyperlinked to/from the financial report.
If users of this report are concerned with the inherent risks arising from electronic data communications they are advised to refer to the hard copy of the
audited financial report to confirm the information included in the audited financial report presented on this web site.
Audit Opinion
In our opinion, the financial report of The International Wine Investment Fund:
• gives a true and fair view, as required by the Corporations Act 2001 in Australia, of the financial position of The International Wine Investment Fund
Group (defined below) as at 31 December 2003 and of its performance for the half-year ended on that date, and
• is presented in accordance with the Corporations Act 2001, Accounting Standard AASB 1029: Interim Financial Reporting and other mandatory financial
reporting requirements in Australia, the Corporations Regulations 2001 and The International Wine Investment Fund’s constitution.
This opinion must be read in conjunction with the rest of our audit report.
Scope
The financial report and directors’ responsibility
The financial report comprises the statement of financial position, statement of financial performance, statement of cash flows, accompanying notes to the
financial statements, and the directors’ declaration for The International Wine Investment Fund Group (the consolidated entity), for the half-year ended 31
December 2003. The consolidated entity comprises both The International Wine Investment Fund (the fund) and the entity it controlled during that half-year.
The directors of Berren Asset Management (the responsible entity) are responsible for the preparation and true and fair presentation of the financial report
in accordance with the Corporations Act 2001. This includes responsibility for the maintenance of adequate accounting records and internal controls that are
designed to prevent and detect fraud and error, and for the accounting policies and accounting estimates inherent in the financial report.
Audit approach
We conducted an independent audit in order to express an opinion to the unitholders of the fund. Our audit was conducted in accordance with Australian
Auditing Standards, in order to provide reasonable assurance as to whether the financial report is free of material misstatement. The nature of an audit is
influenced by factors such as the use of professional judgement, selective testing, the inherent limitations of internal control, and the availablility of
persuasive rather than conclusive evidence. Therefore, an audit cannot guarantee that all material misstatements have been detected.
We performed procedures to assess whether in all material respects the financial report presents fairly, in accordance with the Corporations Act 2001,
Accounting Standard AASB 1029: Interim Financial Reporting, the Funds constitution and other mandatory financial reporting requirements in Australia, a
view which is consistent with our understanding of the fund’s financial position, and its performance as represented by the results of its operations and
cash flows.
We formed our audit opinion on the basis of these procedures, which included:
• examining, on a test basis, information to provide evidence supporting the amounts and disclosures in the financial report, and
• assessing the appropriateness of the accounting policies and disclosures used and the reasonableness of significant accounting estimates made by the
directors.
When this audit report is included in an Annual Report, our prodedures include reading the other information in the Annual Report to determine whether
it contains any material inconsistencies with the financial report.
While we considered the effectiveness of management’s internal controls over financial reporting when determining the nature and extent of our
procedures, our audit was not designed to provide assurance on internal controls.
Our audit did not involve an analysis of the prudence of business decisions made by directors or management.
Independence
In conducting our audit, we followed applicable independence requirements of Australian professional ethical pronouncements and the Corporations Act 2001.
PricewaterhouseCoopers
Chartered Accountants
AG Forman 25 February 2004
Partner Adelaide
Liability is limited by the Accountant’s Scheme under the Professional Standards Act 1994 (NSW)
PricewaterhouseCoopers
ABN 52 780 433 757
91 King William Street
ADELAIDE SA 5000
GPO Box 418
ADELAIDE SA 5001
DX 77 Adelaide
Australia
www.pwcglobal.com/au
Telephone +618 8218 7000
Facsimile +618 8218 7999
Direct Phone (08) 8218 7404
Direct Fax (08) 8218 7466

18
Responsible Entity Berren Asset Management Limited
ABN: 86 008 273 470
Registered Office Ground Floor
62 Greenhill Road
Wayville, South Australia 5034
Post / Mail PO Box 496
Unley, South Australia 5061
Telephone 1800 638 790
Facsimile 1800 638 791
Email admin@iwif.com.au
Web Site www.iwif.com.au
Managed Investment Scheme The International Wine Investment Fund
ARSN: 093 223 253
Controlled Entity International Wine Investment Fund Pty Limited
ABN: 66 056 436 812
Board of Directors Mike Terlet AO (Chairman)
Will Baylis
Jean Bourland
Jim Caddy
Rob Chabrel
Mark Davison
Doug McCallum
Company Secretary Malcolm Mowat
Group Counsel / Company Secretary
Executive Chris Day
Chief Executive Officer
Rupert Clifton-Bligh
Group Investment Manager
Jerry Lim
Group Financial Controller
Consultants International Wine Consultants Pty Ltd
Sydney, London, Paris, New York & the Napa Valley
Bankers Bank SA (A division of St George Limited)
GPO Box 399
Adelaide, South Australia 5001
National Australia Bank Limited
Auditors PricewaterhouseCoopers
Legal Advisors Johnson Winter & Slattery
GPO Box 2649
Adelaide South Australia 5001
Registry Computershare Investor Services Pty Limited
Level 5, 115 Grenfell Street, Adelaide SA 5000
GPO Box 1903, Adelaide South Australia 5001
Telephone: (08) 8236 2300
1300 556 161
Facsimile: (08) 8236 2305
C o r p o r a t e D i r e c t o r y
Proudly designed and produced by Major Look Graphic Design and Dirty Chook Advertising
PhotocourtesyofGabrielMeffre.

2003_halfyear

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Similar to 2003_halfyear

Similar to 2003_halfyear (20)

2003_halfyear