Winemaker Mike Grgich had gained international recognition at the historic Paris Wine Tasting of 1976 when the Chardonnay he produced at Chateau Montelena won first prize among white wines. Grgich and Austin Hills (of Hills Brothers Coffee) soon became business partners and established Grgich Hills Cellar on July 4, 1977. The name "Grgich Hills" does not describe a geographical feature but is instead a combination of the names of the winery's founders.