Jobs at risk as RNDC exits California
The Republic National Distributing Company (RNDC) will close shop out west after losing major producers Tito’s and Brown-Forman in California.
RNDC will close its California operations effective 1 September. Additional information will be provided on the state of the business and next steps, but interim CEO Bob Hendrickson has issued a preliminary statement following a company town hall meeting held yesterday (2 June).
“We’ve made the difficult business decision to withdraw from California, which affects many of the roles in the state,” Hendrickson said. “We are complying with all regulatory obligations and are committed to handling every transition thoughtfully and smoothly and ensuring everyone is treated fairly and respectfully. We are grateful for the support of these employees and will do our best to support them during this time.”
Hendrickson replaced Nick Mehall as CEO in late February after the company lost Tito’s and Brown-Forman to Reyes Beverage Group in California. The state is one of the single largest markets for spirits in the US.
Last week, Brown-Forman announced it would be changing distribution partners in additional states. The firm has opted for Johnson Brothers in Indiana, Minnesota, Nebraska, North Dakota, South Dakota, and Texas, and Southern Glazer’s Wine & Spirits in Louisiana and New York. Further states will be covered by other distributors.
Breakthru Beverage Group is now Brown-Forman’s largest national distributor partner, covering 14 key markets across the US and Canada – a title that was previously held by RNDC.
In May, RNDC announced it was making a ‘strategic reinvestment’ in its workforce with a focus on Texas, creating more than 100 new roles in the state. At the time, it described Texas as one of its ‘cornerstone markets’.
It is not yet known how many roles will be impacted in California.
RNDC remains in search of a permanent CEO.
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