Local liquor distributors Gosling Brothers Limited have announced that they will merge with their subsidiary Cosmopolitan Liquors in a move to consolidate and expand business in Bermuda and overseas.

In a statement last week, the directors of the Goslings said the two companies would merge on May 1, 2002 and that Elis Frazzoni will become director of operations of Gosling Brothers Ltd. and will be managing director responsible for guiding the wholesale and retail sales personnel.

The statement said: "In this ever-changing environment, we have decided to consolidate the resources of both companies in order to focus on our customer service, which we believe will be greatly enhanced in the months to come."

Since 1975, Cosmopolitan has been a wholly owned subsidiary of Goslings Ltd. but the two operated as separate entities due to the two companies using different agencies as suppliers.

However, president and chief executive officer of Gosling Brothers Ltd. Nancy Gosling said the situation had changed during the past 20 years and the split between the two companies was no longer required.

She said the split meant there was a duplication of staff and resources and it made business sense to merge the two companies.

Ms Gosling said customer service would improve as resources would now work in unison rather than as separate entities - for example, deliveries could be coordinated from a single point rather than two.

Ms Gosling added that rather than staff being laid off, the business is more likely to grow and additional staff may be taken on so that the company could become more focused.

She said her brother Malcolm Gosling, who was in charge of sales, would now be devoted exclusively to the growing export business, namely Black Seal rum, one of the Island's few exports.

And she said a marketing manager was now in place to handle the split between the products that were offered by the two companies as well as to expand the wine sales division.

The premises currently occupied by Cosmopolitan will also be incorporated into the Goslings assets - although the spaces are rented - and Ms Gosling said it was likely that the Goslings premises would also be expanded as business developed.

The products and services that were supplied by Cosmopolitan Liquors Limited will be available from that company until April 30, 2002 and thereafter from Gosling Brothers Limited. The Cosmopolitan name will no longer be used after April 30.

Cosmopolitan are agents for many brands of wines from California, New Zealand, Chile, Italy, France, Australia, and Germany including Kendall-Jackson, The Monterey Vineyards, Dom Perignon, Moet and Chandon, as well as St Pauli Girl beer, Absolut Vodka and Jim Beam.

Agents for Goslings in the US are Marie Brizard Wines and Spirits, and in Canada, the agents are Charton Hobbs premium wines, spirits and beers.