________________________________________________________________________________

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                    FORM 10-Q

    (MARK ONE)

    [  ]     QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
             SECURITIES EXCHANGE ACTS OF 1934

                  For the quarterly period ended March 31, 2003

                                       OR

    [  ]     TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
             SECURITIES EXCHANGE ACTS OF 1934

       For the transition period from                to

                         Commission file number: 0-13406


                          THE CHALONE WINE GROUP, LTD.

             (Exact Name of Registrant as Specified in Its Charter)




             California                                  94-1696731
   (State or Other Jurisdiction of
   Incorporation or Organization)           (I.R.S. Employer Identification No.)

              621 Airpark Road
              Napa, California                                  94558
  (Address of Principal Executive Offices)                   (Zip Code)

Registrant's Telephone Number, Including Area Code: 707-254-4200
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days.
                                          Yes      X         No
                                              ___________       ___________

Indicate  by check mark  whether  the  registrant  is an  accelerated  filer (as
defined in Rule 12b-2 of the Act).
                                          Yes                No    X
                                              ___________       ___________

The number of shares  outstanding of  Registrant's  Common Stock on May 12, 2003
was 12,075,503.

________________________________________________________________________________

<PAGE>


                          The Chalone Wine Group, Ltd.

                         PART I. - FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS                                                PAGE

         Consolidated Balance Sheets as of March 31, 2003,
         and December 31, 2002.                                               3

         Consolidated Statements of Income for the
         three-month  periods ended March 31, 2003 and 2002.                  4

         Consolidated Statements of Cash Flows for the
         three-month  periods ended March 31, 2003 and 2002.                  5

         Notes to Consolidated Financial Statements.                          6

ITEM 2. MANAGEMENT'S  DISCUSSION  AND ANALYSIS OF FINANCIAL
        CONDITION AND RESULTS OF OPERATIONS                                   9

ITEM 3. QUANTITATIVE  AND  QUALITATIVE  DISCLOSURES  ABOUT
        MARKET RISK                                                           12

ITEM 4. CONTROLS AND PROCEDURES                                               16




                          PART II. - OTHER INFORMATION

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K


<PAGE>
<TABLE>
<CAPTION>

                          THE CHALONE WINE GROUP, LTD.

                           CONSOLIDATED BALANCE SHEETS
                  (All amounts in thousands, except share data)

                                     ASSETS
                                                                    March 31,         December 31,
                                                                      2003                2002
                                                                   _____________      ______________
                                                                    (UNAUDITED)
<S>                                                                <C>                <C>
Current assets:
  Accounts receivable, net                                         $      11,843      $       15,770
  Note receivable                                                            210                 190
  Income tax receivable                                                      223                 223
  Inventory                                                               77,244              81,272
  Prepaid expenses and other current assets                                1,034               1,000
                                                                   _____________      ______________
    Total current assets                                                  90,554              98,455
Investment in Chateau Duhart-Milon                                        10,371              10,067
Non-current note receivable                                                  375                 447
Property, plant and equipment, net                                        77,471              77,953
Goodwill                                                                   8,582               8,582
Trademarks                                                                 2,872               2,875
Other assets                                                               1,686               1,815
                                                                   _____________      ______________
    Total assets                                                   $     191,911      $      200,194
                                                                   =============      ==============

                      LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:
  Current maturities of long-term obligations                      $       2,862      $        2,295
  Current portion of obligations under capital lease                         716                 716
  Revolving bank loan                                                     21,097              18,523
  Accounts payable and accrued liabilities                                 8,445              18,935
                                                                   _____________      ______________
    Total current liabilities                                             33,120              40,469
Long-term obligations, less current maturities                            46,171              46,753
Long-term obligations, convertible subordinated debt                      11,000              11,000
Obligations under capital lease, less current maturities                   1,134               1,329
Liability on interest rate swap contract                                   1,307               1,355
Deferred income taxes                                                        977                 923
                                                                   _____________      ______________
    Total liabilities                                                     93,709             101,829

Minority interest                                                          2,961               3,572

Shareholders' equity:
  Common stock - authorized 15,000,000 shares no
    par value; issued and outstanding: 12,075,503
    and 12,075,101 shares                                                 76,476              76,474
  Retained earnings                                                       21,854              21,790
  Accumulated other comprehensive loss                                    (3,089)             (3,471)
                                                                   _____________      ______________

    Total shareholders' equity                                            95,241              94,793
                                                                   _____________      ______________

    Total liabilities and shareholders' equity                     $     191,911      $      200,194
                                                                   =============      ==============
</TABLE>

          SEE ACCOMPANYING NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

                                       3
<PAGE>
<TABLE>
<CAPTION>

                          THE CHALONE WINE GROUP, LTD.

                        CONSOLIDATED STATEMENTS OF INCOME
               (All amounts in thousands, except per share data)

                                                                    Three months ended
                                                              March 31,           March 31,
                                                             ______________________________
                                                                2003                2002
                                                             __________          __________
                                                             (UNAUDITED)         (UNAUDITED)
<S>                                                          <C>                 <C>
Gross revenues                                               $   13,925          $   15,960
  Excise taxes                                                     (417)               (460)
                                                             __________          __________
Net revenues                                                     13,508              15,500
Cost of wines sold                                               (8,913)            (10,150)
                                                             __________          __________
  Gross profit                                                    4,595               5,350
Other operating expense, net                                         (5)               (407)
Selling, general and administrative expenses                     (3,120)             (3,178)
                                                             __________          __________
  Operating income                                                1,470               1,765
Interest expense, net                                            (1,375)               (908)
Other income                                                         53                  20
Equity in net income of Chateau Duhart-Milon                          -                 148
Minority interests                                                  (39)               (206)
                                                             __________          __________
  Income before income taxes                                        109                 819
Income taxes                                                        (45)               (341)
                                                             __________          __________
  Net income                                                 $       64          $      478
                                                             ==========          ==========

Earnings per share - basic and diluted                       $     0.01          $     0.04

Weighted average number of shares outstanding:
  Basic                                                          12,075              12,068
  Diluted                                                        12,079              12,111

</TABLE>


           SEE ACCOMPANYING NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

                                       4
<PAGE>
<TABLE>
<CAPTION>

                          THE CHALONE WINE GROUP, LTD.

                      CONSOLIDATED STATEMENTS OF CASHFLOWS
                           (All amounts in thousands)
                                                                         Three months ended
                                                                      March 31,        March 31,
                                                                    ____________________________
                                                                        2003             2002
                                                                    ____________    ____________
<S>                                                                 <C>             <C>
Cash flows from operating activities:                                (UNAUDITED)     (UNAUDITED)
  Net income                                                        $        64     $        478
  Adjustments to reconcile net income to net cash provided
    by operating activities:
      Depreciation and amortization                                       1,492            1,507
      Equity in net income of Chateau Duhart-Milon                            -             (148)
      Increase in minority interests                                         39              205
      Deferred income taxes                                                  54               15
      Other                                                                   -                1
    Changes in:
      Accounts and other receivables                                      3,927             (510)
      Inventories                                                         4,028            5,558
      Prepaid expenses and other assets                                      95             (427)
      Accounts payable and accrued liabilities                          (10,490)         (15,569)
                                                                    ____________    ____________
    Net cash used in operating activities                                 (791)          (8,890)
                                                                    ____________    ____________
Cash flows from investing activities:
  Capital expenditures                                                     (977)          (1,296)
  Proceeds from disposal of property and equipment                            -                7
  Net changes of notes receivable                                            52               49
                                                                    ____________    ____________
    Net cash used in investing activities                                  (925)          (1,240)
                                                                    ____________    ____________
Cash flows from financing activities:
  Borrowings on revolving bank loan-net                                   2,574           10,356
  Distributions to minority partner                                        (650)               -
  Net change in capital lease obligation                                   (195)            (184)
  Repayment of long-term debt                                               (15)             (19)
  Proceeds (re-purchase of) from issuance of common stock                     2              (23)
                                                                    ____________    ____________
    Net cash provided by financing activities                             1,716           10,130
                                                                    ____________    ____________
Net increase (decrease) in cash and equivalents                               -                -
Cash and equivalents at beginning of period                                   -                -
                                                                    ____________    ____________
Cash and equivalents at end of period                               $         -     $          -
                                                                    ============    ============
Other cash flow information:
  Interest paid                                                     $     1,311     $      1,177
  Income taxes paid                                                          62              832
Non-cash investing & financing activities:
  Unrealized foreign currency gain (loss)                           $       304     $       (142)
  Interest swap fluctuation, net                                             48              192

</TABLE>

           SEE ACCOMPANYING NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

                                       5

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS



NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES


BASIS OF PRESENTATION

      The unaudited consolidated financial statements of the Chalone Wine Group,
Ltd.  ("the  Company") are prepared in  conformity  with  accounting  principles
generally  accepted  in the  United  States of  America  for  reporting  interim
financial  information,  and the rules and  regulations  of the  Securities  and
Exchange Commission. In the opinion of management, all adjustments necessary for
a fair presentation of the financial  position and results of operations for the
periods  presented  have been  included.  All such  adjustments  are of a normal
recurring nature.  These unaudited  consolidated  financial statements should be
read in conjunction with the audited consolidated  financial statements included
in the Company's Form 10-K for the year ended December 31, 2002.

      The consolidated balance sheet at December 31, 2002, presented herein, has
been derived from the audited  consolidated  financial statements of the Company
for the year then ended, included in the Company's annual report on Form 10-K.


USE OF ESTIMATES IN PREPARATION OF FINANCIAL STATEMENTS

      The preparation of the financial  statements in conformity with accounting
principles   generally  accepted  in  the  United  States  of  America  requires
management to make estimates and assumptions that affect the reported  financial
statement  amounts  and  related  disclosures  at  the  date  of  the  financial
statements. Actual results could differ from these estimates.

EARNINGS PER SHARE

      Basic  earnings  per share  ("EPS")  excludes  dilution and is computed by
dividing net income  available to common  stockholders  by the weighted  average
number of common  shares  outstanding  for the period.  Diluted EPS reflects the
potential  dilution that could occur if  securities or other  contracts to issue
common stock (e.g.  stock options) were exercised and converted into stock.  For
all periods  presented,  the  difference  between  basic and diluted EPS for the
Company reflects the inclusion of dilutive stock options, the effect of which is
calculated using the treasury stock method.


DERIVATIVE FINANCIAL INSTRUMENTS

      The Company uses  derivative  instruments to manage  exposures to interest
rate  risks in  accordance  with  its  risk  management  policy.  The  Company's
objectives  for holding  derivatives  are to  minimize  the risks using the most
effective  methods  to  eliminate  or  reduce  the  exposure  to  interest  rate
fluctuations.  The Company formally  documents the relationship  between hedging
instruments  and  hedged  items as well as its  risk  management  objective  and
strategy for undertaking its hedging activities. The Company formally designates
derivatives  as  hedging  instruments  on the date the  derivative  contract  is
entered  into.  The Company  assesses,  both at inception of the hedge and on an
ongoing  basis,  whether  derivatives  used as  hedging  instruments  are highly
effective  in  offsetting  the changes in the fair value or cash flows of hedged
items. If it is determined that a derivative is not highly  effective as a hedge
or ceases to be highly  effective,  the Company  discontinues  hedge  accounting
prospectively.

     Changes in the fair value of derivative instruments designated as cash flow
hedges,  to the extent the hedges are highly  effective,  are  recorded in other
comprehensive income, net of related tax effects. The ineffective portion of the
cash flow  hedge,  if any,  is  recognized  in  current-period  earnings.  Other
comprehensive  income is relieved  when  current  earnings  are  affected by the
variability of cash flows relating to the derivative hedged.  During the quarter
ended March 31, 2003, the Company's  derivative  contracts  consisted only of an
interest rate swap used by the Company to convert a portion of its variable rate
long-term debt to fixed rate.

                                       6

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


      The  Company  does not enter into  financial  instruments  for  trading or
speculative purposes.  Payments or receipts on interest rate swap agreements are
recorded in interest  expense.  Forward  exchange  contracts  are used to manage
exchange  rate  risks on  certain  purchase  commitments,  generally  French oak
barrels,  denominated in foreign  currencies.  Gains and losses relating to firm
purchase  commitments are deferred and are recognized as adjustments of carrying
amounts of assets acquired or in income when the hedged transaction  occurs. The
nominal amounts and related foreign currency  transaction gains and losses,  net
of the impact of hedging,  were not significant for the three months ended March
31, 2003 and 2002.


NOTE 2 - COMPREHENSIVE INCOME

      Comprehensive income includes unrealized foreign currency gains and losses
related to the Company's  investment in Chateau Duhart-Milon and gains or losses
relating to derivative  instruments.  The following is a  reconciliation  of net
income and comprehensive income (IN THOUSANDS):

<TABLE>
<CAPTION>

                                                                  Three months ended
                                                                       March 31,
                                                             ___________________________
                                                                 2003            2002
                                                             ____________  _____________
                                                              (Unaudited)    (Unaudited)
<S>                                                          <C>           <C>
 Net income                                                  $        64   $        478
 Changes in fair value of derivatives; net of tax effect              28            113
 Reclassification adjustment; net of tax effect                       50             20
 Foreign currency translation gain (loss)                            304           (142)
                                                             ____________  _____________
 Comprehensive income                                        $       446   $        469
                                                             ============  =============
</TABLE>


NOTE 3 - INVENTORIES

Inventories  are  stated at lower of cost  (first-in,  first-out)  or market and
consist of the following (IN THOUSANDS):

                                          March 31,      December 31,
                                       _________________________________
                                            2003             2002
                                       ________________ ________________
                                         (Unaudited)
 Bulk wine                             $        45,361  $        48,312
 Bottled wine                                   31,084           32,171
 Wine packaging supplies                           384              415
 Other                                             415              374
                                       ________________ ________________
 Total                                 $        77,244  $        81,272
                                       ================ ================



NOTE 4 - RECLASSIFICATION

      In July 2002,  the Company  shifted a major  distribution  channel  from a
broker to a  distributor.  Commissions  and shipping costs incurred for sales to
the broker were recorded as selling,  general and administrative  expenses. Case
prices charged to the distributor  have been reduced by an amount equal to these
commission and shipping costs. This caused a reduction in gross revenues for the
three  months  ended March 31,  2003,  when  compared to previous  periods.  For
comparability  purposes,  for the three  months ended March 31, 2002 the Company
reclassified  $698,000 of commissions  and shipping costs from selling,  general
and administrative expenses to gross revenues.

                                       7

<PAGE>

                          THE CHALONE WINE GROUP, LTD.



NOTE 5 - SUBSEQUENT EVENTS

      In April 2003, the Company  purchased  approximately  52 acres of vineyard
land in the Carneros District in Napa, California for $1.1 million. The property
was previously  maintained and operated by the Company under an operating  lease
for the purpose of producing grapes used in the Acacia brand products.







                                       8

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


ITEM 2.    MANAGEMENT'S DISCUSSION AND ANALYSIS
           OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS


INTRODUCTION

      In the  ordinary  course of  business,  the  Company  has made a number of
estimates and assumptions relating to the reporting of results of operations and
financial condition in the preparation of its financial statements in conformity
with accounting  principles  generally accepted in the United States of America.
Actual results could differ  significantly  from those estimates under different
assumptions and conditions.  The Company believes that the following  discussion
addresses the Company's most critical accounting policies,  which are those that
are most  important to the  portrayal of the Company's  financial  condition and
results. The Company constantly re-evaluates these significant factors and makes
adjustments where facts and circumstances dictate. Historically,  actual results
have not  significantly  deviated  from  those  determined  using the  necessary
estimates  inherent in the  preparation of financial  statements.  Estimates and
assumptions include, but are not limited to, customer receivables,  inventories,
assets held for sale,  fixed asset  lives,  contingencies  and  litigation.  The
Company has also chosen certain accounting policies when options were available,
including:

          o    The first-in,  first-out (FIFO) method to value a majority of our
               inventories;
          o    The intrinsic value method, or APB Opinion No. 25, to account for
               our common stock incentive awards; and
          o    We record an  allowance  for credit  losses based on estimates of
               customers'  ability to pay.  If the  financial  condition  of our
               customers  were  to  deteriorate,  additional  allowances  may be
               required.

      These  accounting  policies  are  applied  consistently  for  all  periods
presented.  Our operating  results would be affected if other  alternatives were
used.


FORWARD LOOKING STATEMENTS

      From time to time, information provided by the Company, statements made by
its employees,  or  information  included in its filings with the Securities and
Exchange Commission  (including this Form 10-Q) may contain statements which are
not historical facts, so called "forward looking  statements" that involve risks
and  uncertainties.  Forward-looking  statements  are made  pursuant to the safe
harbor provisions of the Private Securities  Litigation Reform Act of 1995. When
used in  this  Form  10-Q,  the  terms  "anticipates,"  "expects,"  "estimates,"
"intends,"  "believes," and other similar terms as they relate to the Company or
its management  are intended to identify such forward  looking  statements.  The
Company's  actual future results may differ  significantly  from those stated in
any forward-looking statements. Factors that may cause such differences include,
but are not  limited to (i)  reduced  consumer  spending or a change in consumer
preferences, which could reduce demand for the Company's wines; (ii) competition
from  numerous  domestic  and foreign  wine  producers  which  could  affect the
Company's ability to sustain volume and revenue growth; (iii) interest rates and
other business and economic  conditions which could increase  significantly  the
cost and risks of  borrowings  associated  with  present and  projected  capital
projects;  (iv) the price and  availability in the marketplace of grapes meeting
the  Company's  quality  standards  and other  requirements;  (v) the  effect of
weather,  agricultural  pests and  disease and other  natural  forces on growing
conditions  and, in turn,  the quality  and  quantity of grapes  produced by the
Company;  and (vi)  regulatory  changes which might  restrict or hinder the sale
and/or  distribution of alcoholic  beverages.  Each of these factors,  and other
risks pertaining to the Company,  the premium wine industry and general business
and economic  conditions,  are more fully discussed herein and from time to time
in other  filings with the  Securities  and Exchange  Commission,  including the
Company's annual report on Form 10-K for the year ended December 31, 2002.

                                       9

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


DESCRIPTION OF THE BUSINESS

      The Company produces, markets and sells super premium,  ultra premium, and
luxury-priced white and red varietal table wines, primarily Pinot Noir, Cabernet
Sauvignon,  Merlot, Syrah,  Chardonnay and Sauvignon Blanc. The Company owns and
operates  wineries in various  counties of California and Washington  State. The
Company's wines are made primarily from grapes grown at Moon Mountain  Vineyard,
Edna Valley Vineyard, Chalone Vineyard,  Company-owned vineyards adjacent to the
Acacia(TM)  Winery,  Hewitt Vineyard and Suscol Creek Vineyard in California and
the Canoe Ridge Vineyard in Washington State, as well as from purchased grapes.

      The wines are primarily sold under the labels "Provenance  Vineyards(TM),"
"Chalone  Vineyards(R)," "Moon Mountain  Vinyards(R),"  "Dynamite  Vinyards(R),"
"Edna  Valley  Vineyard(R),"  "Acacia(TM),"  "Canoe  Ridge(R)  Vineyard,"  "Jade
Mountain(R)," "Sagelands Vineyard(R)," and "Echelon(TM)."

      In France, the Company owns a minority interest in fourth-growth  Bordeaux
estate Chateau  Duhart-Milon  ("Duhart-Milon")  in partnership with Les Domaines
Barons de Rothschild (Lafite) ("DBR"). The vineyards of Duhart-Milon are located
adjacent  to  the  world-renowned  Chateau  Lafite-Rothschild  in  the  town  of
Pauillac.

      The Chalone Wine Group, Ltd. was incorporated  under the laws of the State
of California  on June 27, 1969.  The Company  became a publicly held  reporting
company as the result of an initial public offering of common stock in 1984.



RESULTS OF OPERATIONS - FIRST QUARTER OF 2003 COMPARED TO FIRST QUARTER 2002

The following  table  represents  financial data as a percentage of net revenues
for the indicated periods:

<TABLE>
<CAPTION>

                                                             Three months ended                Percent change
                                                        March 31,            March 31,        Increase/(decrease)
                                                       ___________________________________________________________
                                                          2003                2002               2003 vs 2002
                                                       _____________        ___________       ____________________
<S>                                                         <C>                 <C>                       <C>
Net revenues                                                100.0%              100.0%                       0.0%
Cost of wines sold                                          (66.0)%             (65.5)%                      0.8%
                                                       ____________         ___________
    Gross profit                                             34.0%               34.5%                      (1.4)%
Other operating expense, net                                  0.0%               (2.6)%                   (100.0)%
Selling, general and administrative expenses                (23.1)%             (20.5)%                     12.7%
                                                       ____________         ___________
    Operating income                                         10.9%               11.4%                      (4.4)%
Interest expense, net                                       (10.2)%              (5.9)%                     72.9%
Other income                                                  0.4%                0.1%                     300.0%
Equity in net income of Chateau Duhart-Milon                  0.0%                1.0%                    (100.0)%
Minority interests                                           (0.3)%              (1.3)%                    (76.9)%
                                                       ____________         ___________
    Income before income taxes                                0.8%                5.3%                     (84.9)%
Income taxes                                                 (0.3)%              (2.2)%                    (86.4)%
                                                       ____________         ___________
    Net income                                                0.5%                3.1%                     (83.9)%
                                                       ============         ===========
</TABLE>


NET REVENUES

      Net  revenues  for the  three  months  ended  March  31,  2003,  decreased
$1,992,000  or 13%,  reflecting a 9% decrease in case sales when compared to the
same period in the prior year and higher than normal sales discounts  granted to
stay consistent with industry sales and marketing trends.

                                       10

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


GROSS PROFIT

      Gross profit  margin for the three months ended March 31, 2003,  decreased
by  $755,000  or 14% when  compared  to the same  period in the prior  year.  As
discussed  above,  the  decrease  was due to slowed  case  sales  and  continued
pressure to provide competitive case sales discounts within the marketplace.

SELLING, GENERAL AND ADMINISTRATIVE EXPENSES

      Selling,  general and  administrative  expenses for the three months ended
March 31, 2003, decreased approximately $58,000 or 2% over the comparable period
in the prior year.  This change  resulted from the Company's  continuing  strict
operating   expense  control  in  response  to  the   economically   challenging
marketplace.

OPERATING INCOME

      Operating  income for the three  months  ended March 31,  2003,  decreased
$295,000 or 17% from  $1,765,000  for the three months ended March 31, 2002. The
decrease occurred due to the factors discussed above.

INTEREST EXPENSE

      Interest  expense for the three  months  ended March 31,  2003,  increased
$467,000  or 51% over the  comparable  period in the prior  year.  The  increase
occurred as a result of several factors, primarily the accrued interest recorded
for the  three  months  ended  March  31,2003,  on the  $11,000,000  convertible
subordinated  promissory  notes,  incurred in August 2002.  In addition,  higher
interest  rates  charged for the Senior  Secured  Notes and debt  renewal  costs
approximate the balance of the increase over the prior comparable period.

EQUITY IN NET INCOME OF DUHART-MILON

      The  Company's  23.5%  equity  interest in the net income of  Duhart-Milon
("DBR") for the three months ended March 31, 2003,  decreased  $148,000 over the
same period in 2002.  The decrease was a function of timing based on the release
and shipment of wines.

      The Company monitors its investment in Duhart-Milon  primarily through its
on-going  communication  with DBR.  Such  communication  is  facilitated  by the
presence  of the  Company's  chairman  on DBR's  Board of  Directors,  and DBR's
representation  on the Company's Board of Directors.  Additionally,  various key
employees  of the Company make  periodic  visits to  Duhart-Milon's  offices and
production facilities.

      Since the investment in Duhart-Milon is a long-term investment denominated
in a  foreign  currency,  the  Company  records  the gain or loss  for  currency
translation  in  other   comprehensive   income  or  loss,   which  is  part  of
shareholders' equity.

MINORITY INTEREST

      The financial  statements of Edna Valley Vineyard ("EVV") are consolidated
with the Company's  financial  statements.  The interest in EVV  attributable to
parties  other than the Company is accounted for as a "minority  interest".  The
minority  interest in the net income of EVV for the three months ended March 31,
2003,  was  approximately   $39,000.  The  decrease  in  minority  interest  was
approximately  $167,000 when compared to the same period last year. The decrease
was due to the  reduced  net income of EVV as compared to the same period in the
prior year.  Principally,  competitive  case sales discounts  contributed to the
reduction in EVV's net income.

NET INCOME AND EARNINGS PER SHARE

      As a result of the factors  discussed above,  reported net income amounted
to $64,000, or $.01 per diluted share, compared to $478,000, or $.04 per diluted
share a year ago.

                                       11

<PAGE>

                          THE CHALONE WINE GROUP, LTD.



LIQUIDITY AND CAPITAL RESOURCES

      Net working capital  remained  essentially  unchanged for the three months
ended March 31, 2003. The Company has  historically  financed its growth through
increases in borrowings and cash flow from operations.  Management  expects that
the Company's working capital needs will grow  significantly to support expected
future growth in sales volume.  Due to the lengthy aging and  processing  cycles
involved in premium wine production, expenditures for inventory and fixed assets
need to be made one to three years or more in advance of anticipated sales.

      The  Company  expects  to  finance  these  future  capital  needs  through
operations,  securities  offerings and  additional  borrowings.  There can be no
assurance  that the  Company  will be able to  obtain  this  financing  on terms
acceptable to the Company.



ITEM 3.    QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

      The following  disclosures should be read in conjunction with Management's
Discussion and Analysis of Financial Condition and Results of Operations.  These
disclosures  are intended to discuss  certain  material  risks of the  Company's
business as they appear to  management at this time.  However,  this list is not
exhaustive. Other risks may, and likely will, arise from time to time.




      OUR REVENUES AND OPERATING RESULTS FLUCTUATE SIGNIFICANTLY FROM QUARTER TO
      QUARTER

      We believe  period-to-period  comparisons of our operating results are not
necessarily  meaningful,  and  cannot be  relied  upon as  indicators  of future
performance.  In addition, there can be no assurance that our revenues will grow
or be  sustained  in  future  periods  or  that  we will  maintain  our  current
profitability   in  the   future.   Significant   factors  in  these   quarterly
fluctuations,  none of which are within our  control,  are  changes in  consumer
demand for our wines,  the affect of weather and other natural forces on growing
conditions  and, in turn,  the quality  and  quantity of grapes  produced by us,
interest rates,  inventory  levels and the timing of releases for certain wines,
among other factors.  Consequently,  we have experienced, and expect to continue
to experience, seasonal fluctuations in revenues and operating results.

      Large  portions of our  expenses  are fixed and  difficult  to reduce in a
short period of time. In quarters  when  revenues do not meet our  expectations,
our  level of fixed  expenses  tends to  exacerbate  the  adverse  effect on net
income.  In quarters when our operating  results are below the  expectations  of
public  market  analysts  or  investors,  the price of our  common  stock may be
adversely affected.


      REDUCED  CONSUMER  SPENDING COULD LESSEN DEMAND FOR OUR WINES AND HARM OUR
      BUSINESS

      Consumer  spending trends and changes in consumer tastes has a substantial
impact on the wine industry and our business.  To the extent that wine purchases
are negatively  impacted by economic and other factors, or wine consumers reduce
consumption  of wine in favor of other  beverages,  demand  for our wines  could
decrease.

      OUR BUSINESS IS SEASONAL, WHICH COULD CAUSE OUR MARKET PRICE TO FLUCTUATE

      Our business is subject to seasonal as well as quarterly  fluctuations  in
revenues and operating  results.  Our sales volume tends to increase  during the
summer months and the holiday season and decrease after the holiday season. As a
result,  our sales and earnings are typically highest during the fourth calendar
quarter and lowest in the first calendar  quarter.  Seasonal factors also affect
our level of borrowing.  For example, our borrowing levels typically are highest
during winter when we have to pay growers for grapes harvested and make payments
related to the grape harvest.  These and other factors may cause fluctuations in
the market price of our common stock.

      WE WILL NEED MORE WORKING CAPITAL TO GROW

      The premium wine industry is a capital-intensive  business, which requires
substantial capital expenditures to develop and acquire vineyards and to improve
or expand wine production.  Further, the farming of vineyards and acquisition of
grapes and bulk wine require  substantial amounts of working capital. We project
the  need  for  significant  capital  spending  and  increased

                                       12

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


working capital requirements over the next several years, which must be financed
by cash from operations and, by additional borrowings or additional equity.

      OUR  ACQUISITIONS AND POTENTIAL  FUTURE  ACQUISITIONS  INVOLVE A NUMBER OF
      RISKS

      Our  acquisition  of Provenance  Vineyards,  Hewitt  Ranch,  Suscol Ranch,
Staton Hills Winery  (renamed  Sagelands  Vineyard),  the Jade  Mountain  brand,
enlarging Canoe Ridge Vineyard and buying out our partners, and expansion to the
recently  acquired  winery for the Provenance  Vineyards  (and potential  future
acquisitions)  involve risks associated with assimilating  these operations into
our Company;  integrating,  retaining and motivating key personnel;  integrating
and managing geographically-dispersed  operations integrating the technology and
infrastructures  of disparate  entities;  risks  inherent in the  production and
marketing  wine and  replanting of existing  vineyards from white wine grapes to
red wine grapes.

      We relied on debt financing to purchase Hewitt Ranch, Suscol Ranch, Staton
Hills Winery, the Jade Mountain brand, enlarging Canoe Ridge Vineyard and buying
out our partners and other  vineyard  land and related  assets during the fiscal
year ended December 31, 2001.  Consequently our debt-to-equity  ratio is high in
relation to our historical  standards,  even after the successful  completion of
our rights  offering in November 2001. The interest costs  associated  with this
debt will increase our operating expenses and the risk of negative cash flow.

      OUR  PROFITS  DEPEND  LARGELY ON SALES IN  CERTAIN  STATES AND ON SALES OF
      CERTAIN VARIETALS

      In the three months ended March 31,  2003,  approximately  89% of our wine
sales were  concentrated in 19 states.  Changes in national consumer spending or
consumer  spending in these states and other regions of the country could affect
both the  quantity  and price  level of wines  that  customers  are  willing  to
purchase which could harm our business.

      Approximately  90% of our  consolidated  net  revenues in the three months
ended March 31,2003 were  concentrated  in our four top selling  varietal wines.
Specifically,  sales of Chardonnay,  Cabernet Sauvignon,  Pinot Noir, and Merlot
accounted for 41%, 18%, 16% and 16% of our net revenues,  respectively.  Changes
in consumer  preferences  with respect to these varietal  wines could  adversely
affect our business.

      COMPETITION MAY HARM OUR BUSINESS

      The  premium  table wine  industry  is  intensely  competitive  and highly
fragmented.  Our wines  compete in all of the premium wine market  segments with
many other  premium  domestic  and,  increasingly,  with  imported  wines coming
primarily  from the  Burgundy  and  Bordeaux  regions of France and, to a lesser
extent,  Italy,  Chile,  Argentina,  South Africa and Australia.  Our wines also
compete with  popular-priced  generic wines and with other  alcoholic  and, to a
lesser degree, non-alcoholic beverages, for shelf space in retail stores and for
marketing focus by our independent  distributors,  many of which carry extensive
brand portfolios.

      The wine industry has experienced significant  consolidation.  Many of our
competitors have greater  financial,  technical,  marketing and public relations
resources  than we do.  Our sales may be harmed to the extent we are not able to
compete successfully against such wine or alternative beverage producers.


                                       13

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


      OUR BUSINESS IS SUBJECT TO A VARIETY OF AGRICULTURAL RISKS

      Winemaking  and grape  growing  are  subject to a variety of  agricultural
risks.  Various diseases,  pests, fungi,  viruses,  drought,  frosts and certain
other weather conditions can affect the quality and quantity of grapes available
to  us,  decreasing  the  supply  of  our  products  and  negatively   impacting
profitability.

      Many  California  vineyards  have  been  infested  in  recent  years  with
phylloxera. Our vineyard properties are primarily planted to rootstocks believed
to be  resistant to  phylloxera.  However,  there can be no  assurance  that our
existing vineyards, or the rootstocks we are now using in our planting programs,
will not become susceptible to current or new strains of phylloxera.

      Pierce's  Disease is a vine bacterial  disease that has been in California
for more than 100 years. It kills  grapevines and there is no known cure.  Small
insects  called   sharpshooters  spread  this  disease.  A  new  strain  of  the
sharpshooter,  the glassy winged,  was discovered in Southern  California and is
believed to be migrating  north.  We are actively  supporting the efforts of the
agricultural  industry  to  control  this pest and are making  every  reasonable
effort to prevent  an  infestation  in our own  vineyards.  We cannot,  however,
guarantee that we will succeed in preventing contamination in our vineyards.

      Future government restrictions regarding the use of certain materials used
in grape growing may increase vineyard costs and/or reduce production.

      Grape growing  requires  adequate water supplies.  We generally supply our
vineyards'  water needs through wells and reservoirs  located on our properties.
We believe that we either have,  or are currently  planning to insure,  adequate
water supplies to meet the needs of all of our vineyards. However, a substantial
reduction in water supplies  could result in material  losses of grape crops and
vines.


      WE MAY NOT BE ABLE TO GROW OR ACQUIRE ENOUGH QUALITY GRAPES FOR OUR WINES

      The adequacy of our grape supply is influenced by consumer demand for wine
in relation to  industry-wide  production  levels.  While we believe that we can
secure  sufficient  supplies of grapes from a combination  of our own production
and from grape supply contracts with independent  growers,  we cannot be certain
that grape  supply  shortages  will not occur.  A shortage in the supply of wine
grapes could  result in an increase in the price of some or all grape  varieties
and a corresponding increase in our wine production costs.

      AN OVERSUPPLY OF GRAPES MAY ALSO HARM OUR BUSINESS

      Current  trends in the domestic and foreign wine  industry  point to rapid
plantings of new vineyards and replanting of old vineyards to greater densities,
with the expected  result of  significantly  increasing the worldwide  supply of
premium wine grapes and the amount of wine which will be produced in the future.
This expected  increase in grape  production has resulted in an excess of supply
over demand and forces us to reduce, or not increase, our prices.

      WE DEPEND ON THIRD PARTIES TO SELL OUR WINE

      We sell  our  products  primarily  through  independent  distributors  and
brokers for resale to retail  outlets,  restaurants,  hotels and  private  clubs
across the United States and in some overseas  markets.  To a lesser degree,  we
rely on direct sales from our wineries,  our wine library and direct mail. Sales
to our  largest  distributor  and  to  our  ten  largest  distributors  combined
represented  approximately  35% and 64% of our net revenues for the three months
ended March 31,  2003.  Sales to our ten largest  distributors  are  expected to
continue to represent a  substantial  portion of our net revenues in the future.
Effective  July  1,  2002,  the  Company  switched  from a  single  broker  to a
distributor in California.  The laws and  regulations of several states prohibit
changes of distributors,  except under certain limited circumstances,  making it
difficult to terminate a distributor  for poor  performance  without  reasonable
cause, as defined by applicable statutes. Any difficulty or inability to replace
distributors,  poor  performance of our major  distributors  or our inability to
collect accounts receivable from our major distributors could harm our business.

                                       14

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


      NEW REGULATIONS OR INCREASED REGULATORY COSTS COULD HARM OUR BUSINESS

      The wine industry is subject to extensive regulation by the Federal Bureau
of Alcohol,  Tobacco and Firearms  and various  foreign  agencies,  state liquor
authorities  and local  authorities.  These  regulations  and laws  dictate such
matters  as  licensing  requirements,  trade and  pricing  practices,  permitted
distribution  channels,   permitted  and  required  labeling,   advertising  and
relations  with  wholesalers  and  retailers.  Any  expansion  of  our  existing
facilities or development of new vineyards or wineries may be limited by present
and  future  zoning  ordinances,  environmental  restrictions  and  other  legal
requirements.  In addition,  new  regulations  or  requirements  or increases in
excise taxes, income taxes,  property and sales taxes or international  tariffs,
could reduce our profits. Future legal or regulatory challenges to the industry,
either individually or in the aggregate, could harm our business.

      ADVERSE PUBLIC OPINION ABOUT ALCOHOL MAY HARM OUR BUSINESS

      A number of research  studies  suggest  that various  health  benefits may
result from the moderate  consumption of alcohol, but other studies suggest that
alcohol  consumption  does not have any health benefits and may in fact increase
the risk of stroke,  cancer and other  illnesses.  If an  unfavorable  report on
alcohol  consumption gains general support,  it could harm the wine industry and
our business.

      WE USE PESTICIDES AND OTHER HAZARDOUS SUBSTANCES IN THE OPERATION OF OUR
      BUSINESS

      We use pesticides and other  hazardous  substances in the operation of our
business. If hazardous substances are discovered on, or emanate from, any of our
properties,  and their release presents a threat of harm to public health or the
environment, we may be held strictly liable for the cost of remediation. Payment
of such costs could have a material  adverse  effect on our business,  financial
condition and results of operations.  We maintain  insurance against these kinds
of risks, and others,  under various insurance policies.  However, our insurance
may not be adequate or may not  continue to be  available at a price or on terms
that are satisfactory to us.

      CONTAMINATION OF OUR WINES WOULD HARM OUR BUSINESS

      We are subject to certain  hazards and product  liability  risks,  such as
potential  contamination,  through  tampering or otherwise,  of  ingredients  or
products.  Contamination  of any of our  wines  could  result  in the need for a
product  recall,  which could  significantly  damage our  reputation for product
quality,  which we believe is one of our principal  competitive  advantages.  We
maintain  insurance  against  these kinds of risks,  and others,  under  various
general  liability  and  product  liability  insurance  policies.  However,  our
insurance  may not be adequate or may not continue to be available at a price or
on terms that are satisfactory to us.

      THE LOSS OF KEY EMPLOYEES WOULD DAMAGE OUR REPUTATION AND BUSINESS

      Our success depends to some degree upon the continued services of a number
of key  employees.  Although some key employees are under  employment  contracts
with us for specific  terms,  the loss of the services of one or more of our key
employees  could harm our business and our  reputation,  particularly  if one or
more of our key  employees  resigns to join a competitor  or to form a competing
company. In such an event, despite provisions in our employment contracts, which
are designed to prevent the unauthorized disclosure or use of our trade secrets,
practices or procedures by such personnel under these  circumstances,  we cannot
be certain  that we would be able to enforce  these  provisions  or prevent such
disclosures.


      SHIFTS IN FOREIGN EXCHANGE RATES OR THE IMPOSITION OF ADVERSE TRADE
      REGULATIONS COULD HARM OUR BUSINESS

      We conduct some of our import and export  activity for wine and  packaging
supplies in foreign currencies.  We purchase foreign currency on the spot market
on an as-needed  basis and engage in limited  financial  hedging  activities  to
offset the risk of exchange rate  fluctuations.  There is a risk that a shift in
certain foreign exchange rates or the imposition of unforeseen and adverse trade
regulations  could adversely impact the costs of these items and have an adverse
impact on our operating results.

      In addition,  the imposition of unforeseen  and adverse trade  regulations
could have an adverse  effect on our  imported  wine  operations.  Export  sales
accounted  for  approximately  2% of total  consolidated  revenue  for the three
months ended March 31, 2003. We expect the volume of international  transactions
to  increase,   which  may  increase  our  exposure  to  future   exchange  rate
fluctuations.

                                       15

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


      INFRINGEMENT OF OUR TRADEMARKS MAY DAMAGE OUR BRAND NAMES OR OUR BUSINESS

      Our wines are branded consumer products, and we distinguish our wines from
our  competitors'  by enforcement of our  trademarks.  There can be no assurance
that  competitors  will refrain from  infringing our marks or using  trademarks,
tradenames or trade dress which dilute our intellectual property rights, and any
such actions may require us to become  involved in  litigation  to protect these
rights.  Litigation  of this  nature can be very  expensive  and tends to divert
management's time and attention.


      THE MARKET PRICE OF OUR COMMON STOCK FLUCTUATES

      All of the  foregoing  risks,  among others not known or mentioned in this
report,  may have a  significant  effect on the market price of our shares.  The
stock markets have  experienced  extreme price and volume trading  volatility in
recent months and years.  This  volatility  has had a substantial  effect on the
market prices of securities of many companies for reasons  frequently  unrelated
or disproportionate  to the specific company's  operating  performance and could
similarly affect our market price.

      DECREASED CASH FLOW COULD LIMIT OUR ABILITY TO SERVICE OUR DEBT

      As a result of  incurring  debt,  we are  subject  to the  risks  normally
associated  with  debt  financing,  including  the  risk  that  cash  flow  from
operations  will be  insufficient  to meet  required  payments of principal  and
interest.  Our ability to satisfy our  obligations  to pay interest and to repay
debt is dependent on our future performance.  Our performance  depends, in part,
on prevailing  economic  conditions  and  financial,  business and other factor,
including factors beyond our control.



      OUR DEBT FINANCING AGREEMENTS CONTAIN RESTRICTIVE  COVENANTS WITH WHICH WE
      MAY NOT BE ABLE TO COMPLY

      Our  existing  line of credit  and  long-term  debt  financing  agreements
contain restrictive financial covenants. These covenants require us, among other
things, to maintain  specified levels of net income,  working capital,  tangible
net worth and financial ratios. Our ability to comply with restrictive financial
covenants  depends upon our future operating  performance.  Our future operating
performance  depends,  in part, on general industry conditions and other factors
beyond our control.


     ITEM 4.  CONTROLS AND PROCEDURES

      Within the 90-day  period  prior to the date of this  report,  the Company
carried out an evaluation,  under the supervision and with the  participation of
the  Company's  management,  including  its Chief  Executive  Officer  and Chief
Financial  Officer,  of the  effectiveness  of the design and  operation  of the
Company's  disclosure  controls and procedures.  Based on that  evaluation,  the
Chief Executive Officer and Chief Financial Officer concluded that the Company's
disclosure  controls and  procedures  are  effective in a timely manner to alert
them to material  information  relating to the Company,  which is required to be
disclosed  by the  Company in the  reports  that it files or  submits  under the
Securities  Exchange Act of 1934. There have been no significant  changes in our
internal  or other  factors  that  could  significantly  affect  these  controls
subsequent to the evaluation date,  including any corrective actions with regard
to significant deficiencies and material weaknesses.


                                       16

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


PART II. - OTHER INFORMATION

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

      (a) Exhibits.

          99.1 Certification Pursuant to 18 U.S.C. Section 1350, as Adopted
          Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
          99.2 Certification Pursuant to 18 U.S.C. Section 1350, as Adopted
          Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

      (b) Reports on Form 8-K.

          During the first quarter ended March 31, 2003, the Company filed the
          following Current Reports on Form 8-K:

          March 10, 2003 (Item 5). The Company issued a press release announcing
          its 2002 financial results.

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

DATED:  MAY 12, 2003               THE CHALONE WINE GROUP, LTD.
____________________               ____________________________
                                           (Registrant)


                                      /s/ THOMAS B. SELFRIDGE
                                   __________________________________________
                                   Thomas B. Selfridge
                                   President and Chief Executive Officer




DATED:  MAY 12, 2003                 /s/ SHAWN M. CONROY BLOM
____________________               __________________________________________
                                   Shawn M. Conroy Blom
                                   Vice President and Chief Financial Officer


                                       17

<PAGE>

                          THE CHALONE WINE GROUP, LTD.


I, SHAWN M. CONROY BLOM, certify that:
   ____________________

1.   I have  reviewed  this  quarterly  report on Form 10-Q of The Chalone  Wine
     Group;

2.   Based on my knowledge,  this  quarterly  report does not contain any untrue
     statement of a material fact or omit to state a material fact  necessary to
     make the statements  made, in light of the  circumstances  under which such
     statements  were made, not misleading with respect to the period covered by
     this quarterly report;

3.   Based on my  knowledge,  the  financial  statements,  and  other  financial
     information  included  in this  quarterly  report,  fairly  present  in all
     material respects the financial  condition,  results of operations and cash
     flows of the  registrant  as of, and for,  the  periods  presented  in this
     quarterly report;

4.   The  registrant's  other  certifying  officers  and I are  responsible  for
     establishing and maintaining disclosure controls and procedures (as defined
     in Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

          a)   designed such  disclosure  controls and procedures to ensure that
               material  information  relating to the registrant,  including its
               consolidated  subsidiaries,  is made known to us by others within
               those  entities,  particularly  during  the  period in which this
               quarterly report is being prepared;

          b)   evaluated  the  effectiveness  of  the  registrant's   disclosure
               controls and  procedures as of a date within 90 days prior to the
               filing date of this quarterly report (the "Evaluation Date"); and

          c)   presented  in this  quarterly  report our  conclusions  about the
               effectiveness of the disclosure  controls and procedures based on
               our evaluation as of the Evaluation Date;

5.   The registrant's other certifying  officers and I have disclosed,  based on
     our most recent  evaluation,  to the  registrant's  auditors  and the audit
     committee of registrant's  auditors and the audit committee of registrant's
     board of directors (or persons performing the equivalent function):

          a)   all  significant  deficiencies  in the  design  or  operation  of
               internal  controls which could adversely  affect the registrant's
               ability to record,  process,  summarize and report financial data
               and have  identified for the  registrant's  auditors any material
               weaknesses in internal controls; and

          b)   any fraud,  whether or not material,  that involves management or
               other employees who have a significant  role in the  registrant's
               internal controls; and

6.   The  registrant's  other  certifying  officers and I have indicated in this
     quarterly report whether or not there were significant  changes in internal
     controls  or in other  factors  that could  significantly  affect  internal
     controls  subsequent to the date of our most recent  evaluation,  including
     any corrective actions with regard to significant deficiencies and material
     weaknesses.


DATED:  MAY 12, 2003                 THE CHALONE WINE GROUP, LTD.
____________________                 ____________________________
                                            (Registrant)


                                       /s/ SHAWN M. CONROY BLOM
                                     __________________________________________
                                     Shawn M. Conroy Blom
                                     Vice President and Chief Financial Officer


                                       18

<PAGE>

                          THE CHALONE WINE GROUP, LTD.



I, THOMAS B. SELFRIDGE , certify that:
   ___________________

1.   I have reviewed this  quarterly  report on  Form 10-Q of The  Chalone  Wine
     Group;

2.   Based on my knowledge,  this  quarterly  report does not contain any untrue
     statement of a material fact or omit to state a material fact  necessary to
     make the statements  made, in light of the  circumstances  under which such
     statements  were made, not misleading with respect to the period covered by
     this quarterly report;

3.   Based on my  knowledge,  the  financial  statements,  and  other  financial
     information  included  in this  quarterly  report,  fairly  present  in all
     material respects the financial  condition,  results of operations and cash
     flows of the  registrant  as of, and for,  the  periods  presented  in this
     quarterly report;

4.   The  registrant's  other  certifying  officers  and I are  responsible  for
     establishing and maintaining disclosure controls and procedures (as defined
     in Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

          a)   designed such  disclosure  controls and procedures to ensure that
               material  information  relating to the registrant,  including its
               consolidated  subsidiaries,  is made known to us by others within
               those  entities,  particularly  during  the  period in which this
               quarterly report is being prepared;

          b)   evaluated  the  effectiveness  of  the  registrant's   disclosure
               controls and  procedures as of a date within 90 days prior to the
               filing date of this quarterly report (the "Evaluation Date"); and

          c)   presented  in this  quarterly  report our  conclusions  about the
               effectiveness of the disclosure  controls and procedures based on
               our evaluation as of the Evaluation Date;

5.   The registrant's other certifying  officers and I have disclosed,  based on
     our most recent  evaluation,  to the  registrant's  auditors  and the audit
     committee of registrant's  auditors and the audit committee of registrant's
     board of directors (or persons performing the equivalent function):

          a)   all  significant  deficiencies  in the  design  or  operation  of
               internal  controls which could adversely  affect the registrant's
               ability to record,  process,  summarize and report financial data
               and have  identified for the  registrant's  auditors any material
               weaknesses in internal controls; and

          b)   any fraud,  whether or not material,  that involves management or
               other employees who have a significant  role in the  registrant's
               internal controls; and

6.   The  registrant's  other  certifying  officers and I have indicated in this
     quarterly report whether or not there were significant  changes in internal
     controls  or in other  factors  that could  significantly  affect  internal
     controls  subsequent to the date of our most recent  evaluation,  including
     any corrective actions with regard to significant deficiencies and material
     weaknesses.

DATED:  MAY 12, 2003               THE CHALONE WINE GROUP, LTD.
____________________               ____________________________
                                          (Registrant)


                                      /S/ THOMAS B. SELFRIDGE
                                   ___________________________________________
                                   Thomas B. Selfridge
                                   President and Chief Executive Officer

                                       19