Boosted by strong indications of investors support, Foster's Group planned demerger of its wine businesses and brewery operations appeared to be picking up steam as the company declared that once shareholder gives the green light, the separation could be realised by the first half of 2010.

Foster's chairman David Crawford informed the company's shareholders on its annual gathering that not only investors were supportive of the move, research works conducted by the company pointed to a solid assumption for the operational streamlining of Foster's two divisions.

The research, according to Foster's, showed that a demerger of the company's wine business and brewery operations would be beneficial as the two divisions currently function and operate in different markets.

Completed in 2009, Mr Crawford added that the study underpinned the possibility that Foster's shareholders would receive stocks from both new businesses.

The annual meeting also saw the introduction of a company resolution that aims to modify Foster's dividends policy which Mr Crawford said would pave the way for an immediate release of 15.25 cents per share when approved, compensating for its failure to issue dividends when the financial year 2009/10 ended earlier.

In addition, Foster's chief executive Ian Johnston told the shareholders that the company is well on its way to achieve savings of up to $100 million in fiscal 2011, coming from the $83 million it saved from the previous financial year.

Mr Johnson attributed the gains to Foster's improving wine business in the months to come as he added that Australia's beer market has seen considerable volume growth in during the past two years, which was largely caused by the federal stimulus programs.

He cautioned though that the overall market would only experience steady growth in the months to come as market dynamics were adjusted for corrections and total market volume dwindles.

Foster's expressed confidence that a steady but long term growth trend would be seen at the start of calendar year 2011 but not before the onset of relatively softer period for the beer market in the remaining months of the current year.