Popular vodka and gin brand files for Chapter 11 bankruptcy

The spirits distilling industry has faced economic challenges that have led to business closings and, in some cases, bankruptcy filings this year.

Spirits supplier sales in the U.S. declined 1.1% in 2024 to $37.2 billion, the Distilled Spirits Council of the United States reported in its Annual Economic Briefing in February 2025. Slower sales led to financial issues and sometimes bankruptcy for companies.

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Financial problems forced a major global distillery affiliate to file for bankruptcy late last year, as Stoli USA, a subsidiary of vodka giant Stoli Group, filed for Chapter 11 protection on Nov. 27, 2024, after financial distress led to a default on $78 million in secured debt owed to Fifth Third Bank NA.

Related: Popular whiskey brand files Chapter 11 bankruptcy

Following Stoli’s bankruptcy, slower sales carried over into 2025 and resulted in several smaller U.S. spirits distillers marching into bankruptcy court to file for Chapter 11.

Craft spirits producer Boston Harbor Distillery, which makes whiskey, rum, gin, liqueurs, and distilled beer, on March 31, 2025, filed for Chapter 11 bankruptcy protection, seeking to reorganize its business.

Samuel Adams brewer Boston Beer Company’s co-founder Rhonda Kallman, a leader in the craft beverage industry, established the Dorchester, Mass.-based distiller in 2012.

More whiskey distillers file for bankruptcy

The maker of Westward Whiskey, House Spirits Distillery LLC, filed for Chapter 11 bankruptcy, suffering from financial distress after over-expanding just before the liquor market contracted.

House Spirits filed its Subchapter V petition in the U.S. Bankruptcy Court for the District of Delaware on April 6, 2025, listing $1 million to $10 million in assets and debts.

Devils River Distillery LLC and an affiliate filed for Chapter 11 bankruptcy protection on May 1 to reorganize their business and continue operating. 

The San Antonio-based distiller of Devil’s River Whiskey, which opened for business in 2017, makes five different bourbon whiskeys and a rye whiskey. The company distributes its liquor to 36 states, five countries, and cruise lines, offering premium and craft bourbons.

JJ Pfister Distilling files bankruptcy after closing down

Finally, Sacramento-based spirits manufacturer JJ Pfister Distilling Co. has filed for Chapter 11 bankruptcy protection to reorganize about $1.6 million in debts six months after closing its business operations.

Related: Popular liquor brand files for Chapter 11 bankruptcy

The organic craft spirits distiller filed its petition in the U.S. Bankruptcy Court for the Eastern District of California, listing up to $50,000 in assets and $1 million to $10 million in debts.

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The debtor’s largest creditors include Fite Bypass Trust, owed over $453,000; Bank of America, owed over $86,000; Overton Funding, owed over $76,000; and various tax authorities.

The liquor distiller opened its business in April 2018 and manufactured several spirits, including vodka, gin, rum, rye whiskey, rye bourbon, drakas, apple brandy, and pear brandy.

JJ Pfister’s liquor was distributed in Arizona, California, and Nevada and sold at retailers, such as Total Wine, BevMo, Nugget Markets, Raley’s stores, Young’s Market, and Vin Sauvage stores.

The company closed its distillery and tasting room in November 2024 and plans to market its assets for sale, the Sacramento Business Journal reported.

Representatives of JJ Pfister could not be reached for comment as the distiller’s phone number and website were not operational on May 7.

Related: Another popular whiskey brand files for Chapter 11 bankruptcy

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