June 5, 2025 — By now, you’ve heard the news that RNDC will exit the California market, effective September 2, 2025. We want to provide context around this difficult decision, share an update on our Brown-Forman partnership, and outline how we’re moving forward with renewed focus and strategic clarity.
First, California. This decision was driven by rising operational costs, industry headwinds, and supplier changes that made the market unsustainable. It’s important to emphasize this is not a reflection of our California team’s performance or dedication, and we thank them for all they’ve done over the years. We are committed to supporting all impacted associates with respect and care throughout the transition.
Regarding Brown-Forman, their decision to end partnerships across all open markets, effective August 1, is part of a broader strategic shift—not performance-related. While this brings change, we are actively evaluating the impact and charting a path to emerge stronger. We’ve faced challenges before and grown through them—we’ll do so again.
Moving forward, we are using this moment to sharpen our focus and reinvest in the markets where we’re best positioned to grow. We’re also reigniting our purpose-driven culture—grounding our work in the value we bring as a wholesaler, and the integrity with which we operate.
Our Three Pillars
- Reinvesting in Our Markets: We’re proactively deploying resources to strengthen supplier relationships and increase market share. We’ve already taken initial steps, like adding roles in Texas and in Kentucky—moves which have already resonated positively with suppliers and within the industry.
- Prioritizing our People: The changes we’re making are designed to strengthen the long-term health of the business and create new opportunities for our people. As part of our reinvestment strategy,we are opening doors for growth, career development, and expanded teams where we’re seeing strong momentum.
- Winning Supplier Market Share: Our objective is straightforward—actively growing our suppliers’ business and earning their partnership through RNDC executional excellence and growing market share.
Regards,
Bob
