Republic National Distributing Company has said it expects to close its facilities in Illinois with “no financing available” to keep them running.
The embattled US distributor has given staff notice of the potential move. “RNDC is currently contemplating changes to its Illinois operations in light of the fact that there currently is no financing available to continue RNDC’s Illinois operations,” the company said in a statement. “RNDC currently expects to permanently close its Illinois facilities, which will impact individuals employed at or reporting to our Illinois facilities.” The business, which did not disclose how many employees could be affected by a closure, added: “At this time, there are no immediate changes to day-to-day operations, and RNDC remains focused on serving customers, supporting supplier partners, and meeting its commitments in the market.” Meanwhile, RNDC has also indicated it could be reaching a deal over its operations in Michigan
In April, the company said it was working with its “joint venture partners” in New York, Illinois, Kentucky, Indiana and Michigan around “the best paths forward” for its operations in the states. The company confirmed it has issued “conditional WARN notices” to staff in Michigan. “The notice is being provided in accordance with applicable legal requirements and does not indicate that any transaction has been completed. Any potential transaction remains subject to ongoing negotiations, regulatory approvals and other customary closing conditions,” RNDC said. “No final employment decisions have been made, and there are no immediate changes to associates’ roles, compensation, benefits or day-to-day responsibilities. “Because discussions remain ongoing, we are unable to comment further on potential outcomes or speculate on future business decisions.” Earlier this month, RNDC agreed to sell its operations in Arkansas to local firm Moon Distributors.
Last month, Breakthru Beverage Group signed an LOI to buy RNDC’s…