One Of The Nation’s Oldest Wine Distributors Blames Lack Of Drinking For Its Bankruptcy

One of nan nation’s oldest wine distributors has blamed Americans' deficiency of drinking for its bankruptcy.

The Republic National Distributing Company announced Sunday that it had revenge for bankruptcy to “explore imaginable waste transactions successful tribunal and instrumentality an orderly upwind down of our remaining operations.”

The company, which distributes vino and spirits astir nan country, said its determination to record for bankruptcy “was not made lightly.”

“Over time, our manufacture has evolved, user preferences person shifted and nan wholesale situation has grown progressively challenging,” nan institution said successful a statement.

A Gallup canvass released past summertime recovered that conscionable 54 percent of adults opportunity they portion alcohol, nan lowest number successful nan astir 90 years since nan analytics patient has collected nan data.

“This coincides pinch a increasing belief among Americans that mean intoxicant depletion is bad for one’s health, now nan mostly position for nan first time,” Gallup wrote successful a merchandise of its findings.

Of those who do drink, beer is much popular. Thirty-eight percent of U.S. drinkers said they portion brew astir often, compared to 30 percent who said liquor and 29 percent who said wine.

National vino income are down to their lowest level successful much than 20 years arsenic Americans are drinking little and galore young drinkers are turning to canned cocktails aliases nonalcoholic beers, according to The New York Times.

In California, which produces astir 80 percent of nan country’s wine, vineyards are being burned connected intent because it’s often cheaper to discard nan grapes than harvest them pinch a surplus of unsold bottles, nan Times reported Thursday.

The Republic National Distributing Company, which sewage its commencement earlier nan Prohibition era, whitethorn not past nan diminution of drinking much than a period later.

The institution said it has already made changes complete nan past respective months that “preserved complete 5,000 jobs and allowed our businesses successful those markets to proceed serving their customers and suppliers.”

In precocious May, nan Reyes Beverage Group acquired Republic National Distributing Company’s operations successful Arizona, Colorado, Florida, Hawaii, Louisiana, Maryland, Oklahoma, South Carolina, Texas, Virginia and Washington, D.C.

Nearly a twelvemonth before, Republic National Distributing Company decided to unopen down its operations successful California.

“We’ve made nan difficult business determination to retreat from California which affects galore of nan roles successful nan state,” CEO Bob Hendrickson told BevNET successful June 2025.

“We are complying pinch each regulatory obligations and are committed to handling each modulation thoughtfully and smoothly and ensuring everyone is treated reasonably and respectfully. We are grateful for nan support of these labor and will do our champion to support them during this time.”

The bankruptcy process will let nan institution to proceed to activity pinch entities that “have expressed an liking successful acquiring our different markets,” Sunday’s connection read.

“We convey our suppliers and customers for their patience and support. We are incredibly grateful to our associates for their dedication and committedness to our company, our suppliers, our customers and each other,” nan institution said.