The maker of Ezra Brooks bourbon, Exotico tequila and other whiskey and spirits brands plans to idle a pair of Kentucky distilleries beginning next month, company officials announced.
MGP Ingredients said that distilling operations would halt for at least 12 months at the Limestone Branch Distillery in Lebanon, Kentucky, and Lux Row Distillers in Bardstown, Kentucky. Company officials said that the decision aims to adjust its production levels to align with its inventory.
The move will affect 33 employees in total.
“The American whiskey market continues to be structurally oversupplied, with excess capacity and elevated inventory,” MGP President and CEO Julie Francis said in a statement. “Like many companies across the industry, we are navigating a challenging environment and taking steps to better align our operations with current inventory levels while supporting our efficiency and productivity goals.”
Warehousing, bottling and barrel programs, along with the visitor centers at both sites, will remain operational, and MGP will continue distilling at its largest facility in Lawrenceburg, Indiana.
