Diageo Shifts to Upscale Tequila After Cuervo Pact Ends

Diageo Shifts to Upscale Tequila After Cuervo Pact Ends

Susana Gonzalez/Bloomberg

Bottles of Jose Cuervo Tradicional move along the production line at the Tequila Cuervo La Rojena S.A. de C.V. bottling factory in Guadalajara, Mexico. With U.S. consumption of the fiery Mexican tipple climbing and more drinkers shifting upmarket, Diageo last month said it would terminate a distribution deal with Jose Cuervo after 16 years.