The owner of Stoli brand vodka and Kentucky Owl bourbon has filed for Chapter 11 bankruptcy protection.
The U.S. arm of Story Group, which owns 12 spirits and wine brands, listed assets of more than $100 million and debts of between $50 million and $100 million in a bankruptcy filing filed in Texas. According to its website, Stori Vodka is distilled in Riga, Latvia.
Stoli Group (U.S.) is “in financial distress,” according to the filing. Chapter 11 allows a company to continue operating and restructure its finances by reaching an agreement with its creditors.
Story Group did not respond to requests for comment.
The company is not the first major alcohol provider to make this move this year. California’s Vintage Wine Estates filed for bankruptcy in July, but the company is one of the major wine producers in the U.S., pointing to a drop in demand following pandemic lockdowns.
However, a new study finds that the increase in stress-related drinking associated with COVID-19 does not stop once life returns to normal, with higher levels of alcohol use continuing. Toward 2022.
