What's going on at Glenglassaugh?

What's going on at Glenglassaugh?

Brown-Forman’s single malt Scotch whisky distillery Glenglassaugh has confirmed it will make redundancies and share production with sibling distillery Benriach, as the Jack Daniel’s maker continues to make cuts

News | 28 Jan 2025 | By Kristiane Sherry

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Whisky making at Highland single malt Scotch distillery Glenglassaugh has been halted until “towards the end of the year” and production staff made redundant, as parent company Brown-Forman continues to implement cuts.

 

According to an Instagram post from former distillery worker Tijay Salhotra, the move comes amid a “decline in the whisky industry” and a “change in the corporations [sic] activities”.

 

The news follows a statement released by Brown-Forman less than two weeks ago where it said it will axe 12 per cent of its global workforce. It also announced the closure of its cooperage in Louisville.

 

Half-year results published in December showed that Brown-Forman’s sales had fallen by 5 per cent to US$2 billion. Its “rest of whiskey” portfolio — Brown-Forman’s whisky brands outside of Jack Daniel’s, Woodford Reserve, and Old Forester — posted 22 per cent declines over the six-month period.

 

“Growth from Woodford Reserve and Old Forester in the United States was more than offset by declines of the other super-premium Jack Daniel’s expressions, the Glendronach, and Glenglassaugh,” the results filing read.

 

The cuts mean that Glenglassaugh will now share a production team with Speyside single malt distillery Benriach. A spokesperson for Brown-Forman said that there would be “periods of production” alongside “occasional” silent seasons.

 

Brown-Forman has yet to respond to a request for clarification regarding the length of this first period of closure, which will reportedly see it shut down until late 2025. It is understood that the new shared team will oversee production from that point. It is unclear whether or not the move amounts to a mothballing of the distillery.

Glenglassaugh Distillery will ‘close for rest of year’ and make distillery redundancies in a shift to shared production

"Glenglassaugh Distillery is not shutting down,” the Brown-Forman spokesperson stated. “We operate a shared production model with Benriach, which will involve periods of production alongside occasional silent seasons, as has been the case traditionally. This allows us to optimise resources and expertise across both distilleries.

 

"This shared production model, and our ongoing demand planning process, resulted in a small number of redundancies. We deeply value the contributions of those impacted and are committed to providing support to them throughout this process.

 

"Our commitment to crafting exceptional whiskies remains as strong as ever, and we are grateful for the continued support and enthusiasm of our customers and markets worldwide."

 

Brown-Forman acquired Glenglassaugh, Benriach, and Glendronach in 2016, a £281-million deal that also included their trademarks, a bottling line, and the company’s Edinburgh headquarters.

 

The BenRiach Distillery Company — as it was known — was formerly owned by Billy Walker. He gradually acquired the three distilleries over time, with Glenglassaugh completing the trio in 2013. It was reopened shortly after, following more than two decades of closure.

 

After the sale to Brown-Forman, Walker went on to buy the GlenAllachie from Pernod Ricard in 2017.

 

Glenglassaugh unveiled its three-strong core range of single malts in 2023. The trio comprises a 12-year-old age statement, the multi-award-winning no-age-statement Sandend, and lightly peated Portsoy.

 

Brown-Forman isn’t the only whisky company to face economic headwinds. The Scotch Whisky Association said in September 2024 that exports for the first half the year had fallen by 18 per cent.

 

Diageo, which owns Johnnie Walker, the Singleton, Lagavulin and many more, saw its organic sales for Scotch fall by 10 per cent in its 2024 financial year. Pernod Ricard doesn’t give a breakdown of its Scotch whiskies, but The Glenlivet’s sales slipped by 6 per cent last year, with the Chivas Regal brand down by 1 per cent.

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