RNDC, Once the Second Largest Alcohol Distributor In America, Files for Bankruptcy

(Photo: RNDC/Facebook)

The Republic National Distributing Company filed for Chapter 11 bankruptcy on Sunday, signaling the end of what was once America’s second-largest alcohol distributor. The process will allow the company to find buyers for its remaining operations, cumulatively responsible for over 14,000 employees across 39 states and the District of Columbia.

“This decision was not made lightly,” RNDC wrote in a statement. “Over time, our industry has evolved, consumer preferences have shifted and the wholesale environment has grown increasingly challenging.”

In its filing, RNDC reported between $500 million and $1 billion in assets and $1 billion to $10 billion in liabilities. The filing indicates that over 100,000 creditors are involved, many of whom are prominent alcohol industry heavyweights.

The company’s largest unsecured debt is $93.9 million to Proximo Spirits, the distributor of Jose Cuervo tequila and Proper No. Twelve whiskey. The filing also lists $4.7 million in debt to Anheuser-Busch, maker of Bud Light; $4.1 million to Pernod Ricard, owner of Jameson and Absolut; and $1.9 million to Gallo, owner of ready-to-drink seltzer High Noon.

The majority of the distributors’ joint ventures were not covered by the filing, including those in New York, Illinois, Ohio, Michigan, Indiana and Kentucky. RNDC’s joint venture in Alaska, recently inked with rival Columbia Distributing, was the lone exception.

The move follows a full year of sell-offs and exits from the country’s most lucrative alcohol markets. The extent of RNDC’s struggles was first made known to the public in June 2025, when the company announced that it was leaving California and subsequently laid off 1,700 employees. By April, the distributor filed notices for 2,744 potential layoffs across multiple states tied to a pending transaction with Reyes Beverage Group. In the months since, RNDC has announced several rounds of layoffs in Washington, South Dakota, Michigan and Alaska, many of which were connected to potential mergers with fellow spirits distributors.

The Atlanta-based distributor says it preserved 5,000 jobs thanks to mergers in various markets. If its remaining operations find new owners,e thousands more jobs could possibly be saved.

The how and why of RNDC’s collapse has been the subject of much debate. Formed in 2007 through the merger of Republic Beverage Company and National Distributing Company, the firm was responsible for an estimated $12 billion in annual revenue at its peak. It was the backbone of liquor stores across the nation, distributing myriad household names like Jack Daniel’s and Buffalo Trace to tens of millions of consumers.

Reported disputes over high fee percentages and unpaid invoices triggered a cascade of brand defections in early 2025. Insiders speculate that RNDC may have overleveraged itself, accruing hundreds of millions in debt as it pursued an aggressive westward expansion plan.

What’s left of the company will either be liquidated or sold to rival distributors like Southern Glazer’s or Breakthru Beverage Group.