Posted on 08/06/2025 3:03:09 AM PDT by dennisw
A wave of American whiskey distilleries are collapsing under the weight of mounting debt, falling demand, and rising global tensions — signaling a crisis for the once-booming industry.
The latest to fall the owner of the Luca Mariano Distillery in Danville, Kentucky, which filed for Chapter 11 bankruptcy last month with an estimated $25 million in debt.
Owner Francesco Viola said he hopes the business can 'emerge successfully, ideally with the support of its employees, customers, community and creditors.'
Luca Mariano follows the high-profile collapse of Garrard County Distilling, a $250 million independent Kentucky distillery that was placed into receivership and shut down in April after defaulting on debt.
And in late 2023, the iconic Kentucky Owl, founded in 1879, also filed for bankruptcy — citing slumping sales and a crippling cyberattack that halted operations.
Sales are drying up as price-sensitive and health-conscious American consumers pull back on spirits.
Campari-owned Wild Turkey saw an 8 percent decline in US sales during the first half of 2025, while Jack Daniel’s dropped 6 percent year-over-year.
In January, Jack Daniel's parent company Brown-Forman announced layoffs affecting 12 percent of its workforce and the closure of a major barrel-making facility in Louisville.
Jack Daniel's Tennessee Whiskey also fell 6 percent year-over-year, its latest report revealed.
'This has been an extremely difficult time for distillers across the country who are dealing with increased production costs, a slowdown in spirits sales in the U.S. marketplace, and a significant disruption to spirits exports due to threat of tariffs and retaliation related to ongoing trade disputes,
Another major hurdle for this industry is that Canada, the US spirits second largest export market, is keeping whisky off its store shelves in protest at Trump's punitive trade policies against the nation.
(Excerpt) Read more at dailymail.co.uk ...
Also, the younger generation do not like the dark atmosphere of old fashioned bars where Hard liquor is sold.
They tend to go to trendy places.
____________________
Heck I spent a lot of time in trendy bright fern bars in the 70s and 80s. We all drank hard liquor.
The younger generation is not as able socially. Lots of public social venues will close.
Make Drinking Great Again.
If you really want to explore , make your own wine or beer. You’ll make some mistakes, have some duds, but when you get it right , it’s wonderful.
every niche distiller thinks their crap is worth 3x industry standards...it’s usually not.
If you mean borrowing at the discount window, you need collateral.
I don’t know...my son (Gen Z’er) stood on line for a hour today at a chance to buy Blanton’s, Eagle Rare and Col EH Taylor...he said it was like Black Friday and customers were limited to # of bottles they could purchase. No disrespect to Jack Daniel’s and Evan Williams lovers. Actually Evan Williams is a good tasting bourbon for the price.
Unscientific, agree. I’m in Florida...I see the opposite.
Redd Foxe ripping on Aunt Esther was great TV and Archie Bunker was next Up.
My Wasted Youth.
.
Oh Randy. Like Randy from the Jackson 5? 😎
Don’t forget the Jefferson’s. That makes the trinity of political incorrectness. 🕺
Muslims will be happy, too.
Actually, a lot of Muslims drink (and do all sorts of drugs). They are a lot like Southern Baptists in that regard (and ONLY that regard).
Actually, a lot of Muslims drink (and do all sorts of drugs). They are a lot like Southern Baptists in that regard (and ONLY that regard).
LOL, why should you always invite two Muslims on a fishing trip?
Whiskey distilleries.
Don’t forget there are a lot of maxed out credit cards floating around... High dollar bourbon is not a necessity for most people...
Yep, the high prices is more of the reason for the slowdown.
Not only booze, but soft drinks and snacks are absurdly high.
The minute a equity company buys out a company, its’s days are numbered.
Weed companies are starting to have issues. After paying all the taxes, they are way too high.
Mixed drinks are stupid high and have been for years.
I rarely drink. I had one drink at a restaurant about 15 years ago and it was more expensive than the steak meal I ate.
God only knows what they charge now.
Having more women in the workforce killed a lot of things.
Yep, everything is trying to hang with the covid pricing. And it is killing their own markets...
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.