More layoffs are coming. Which Kentucky bourbon distillers could be hit this time?
Another Kentucky bourbon maker is considering laying off workers.
Campari Group, based in Italy, announced last week that after disappointing third-quarter sales, the company will be restructuring. An Italian newspaper reported the company is looking to cut 10% of its workforce, around 500 jobs.
Campari owns Wild Turkey Distillery in Lawrenceburg, as well as the Wilderness Trail Distillery in Danville. Both are large-scale bourbon distilleries that produce premium brands including Wild Turkey, Rare Breed, Russell’s Reserve, Longbranch, Wilderness Trail bourbon and rye.
Campari’s Skyy Vodka also is bottled at the Lawrenceburg plant.
Campari said that the company needs to make some “tough decisions” to return to financial health.
No specifics were provided on where or when the job cuts will come. The company could sell off some brands, it said.
A spokesman did not respond to a request for comment on whether any Kentucky workers will be laid off.
Campari bought Wild Turkey in 2009 for a reported $582 million and since invested $161 million to build a second distillery on the campus that is to be completed in July 2025.
Campari bought 70% stake in Wilderness Trail in October 2022 for $420 million; the company plans to acquire the remaining 30% in 2031.
In a statement, a Campari spokesperson said “The global external context has significantly evolved in recent months, prompting industry-wide reflections. ... This is a wide and ongoing process that includes the implementation of a new operational model; therefore, it is currently difficult to provide a specific global number and we cannot give any details at this stage.”
According to Reuters, the company reported an 18.2% drop in third-quarter earnings and warned that fourth-quarter results also would be challenged. The company is due to report full year results next month.
What’s causing bourbon industry problems
The spirits industry has been under pressure with the threat of new tariffs as part of President Donald Trump’s trade war. While the global market is strong for American whiskey, sales in the U.S. have weakened from COVID-era highs.
Other Kentucky distillers also have been affected by the economic uncertainty:
▪ In January, Brown-Forman, the parent of Jack Daniel’s and Woodford Reserve, announced plans to lay off hundreds and close its Louisville cooperage.
▪ Diageo, the parent of Bulleit and Blade & Bow bourbons, decided to consolidate their bottling operations and close the line at the historic Stitzel-Weller Distillery in Louisville and lay off about 33 people.
“We have made the difficult decision to consolidate the site’s bottling operations within other U.S. Diageo facilities,” Diageo officials said in a statement.
“This decision is part of a broader multi-year program to strengthen Diageo’s supply chain by improving productivity, resilience and agility. As such, over the next 2-3 years we will also be shifting the majority of maturing and warehousing operations from Stitzel-Weller to Diageo’s other Kentucky facilities in Shelbyville and Lebanon.”
▪ Constellation Brands, which bought Copper & Kings brandy distillery in Louisville in 2018, lowered its annual sales and profit forecasts in January.
This story was originally published February 25, 2025 at 8:10 AM.
