Molson Coors to Shutter Leinenkugel’s, the Seventh-Oldest Brewery in America

The Leinenkugel’s brewery in Chippewa Falls, Wis., dated Sept.9, 2014. (Photo: AP Photo/Jim Mone)

On Thursday, WTMJ Radio reported that the historic Leinenkugel’s Brewery in Chippewa Falls, Wisconsin, will close its doors after 157 years of service. The decision was made at the behest of parent company Molson Coors in an apparent cost-cutting measure.

Former brewery president Dick Leinenkugel, the great-great-grandson of the brand’s founder, claims that his family was not consulted or notified of the closure prior to the announcement.

According to the Molson Coors website, the Leinenkugel brewery is staffed by 120 employees and produces 185,000 barrels of beer per year. That number represents a precipitous drop from its output just a decade prior when it reached one million barrels annually, per BrewBound. In addition to its lineup of German ales and lagers, the brand is best known for its brightly flavored shandies available across the country.

The brewery reportedly donates $200,000 per year to the surrounding town of Chippewa Falls, a community of just over 14,600 residents. Leinenkugel is not only the oldest business in Chippewa Falls but also the seventh-oldest brewery in the U.S.

“It’s a sad day for our family and our fans. In 2017, we came together in Chippewa Falls to celebrate our brewery’s 150th anniversary,” Dick Leinenkugel told WTMJ. “It was the defining moment of my career in beer. Alongside my brothers, Jake and John, and members of our fourth, fifth, and sixth generations of family, we proudly toasted our beer drinkers, retail customers, and distributors to thank them for their loyalty and support. Today, on behalf of the Leinenkugel family, I thank them again and will toast them this evening with a Leinenkugel’s Original and a tear in my eye.”

The main Leinenkugel facility is slated to close Jan. 15. The smaller Leinie Lodge location and its pilot brewery will stay open year-round and continue to brew the brand’s products.

Following a string of acquisitions and mergers throughout the early 2000s, Molson Coors became the sole owner of Leinenkugel’s in 2016. Other brands in the company’s portfolio include its titular Coors and Miller Lite as well as Blue Moon, Vizzy, Carling and Keystone. Molson Coors recently posted an annual profit of $4.67 billion for the year ending on June 30.

Chief Supply Chain Officer Brian Erhardt said in a statement:

“Following the end of a large contract brewing agreement and amid an ongoing canning line investment project at our Milwaukee brewery, we’ve made the decision to close two of our smaller brewing operations in Wisconsin and centralize statewide production at our main site in Milwaukee. While never easy, these choices are made with much thought and consideration to position Molson Coors for continued success in Wisconsin and beyond.”

Molson Coors made headlines in September when it scrapped its diversity, equity and inclusion initiatives.