Pernod Ricard’s US division has updated on a “market-by-market approach” to its distribution arrangements in the country in light of the recent troubles that have impacted Republic National Distribution Co.
The unit said earlier today (20 March) that the following changes, which are lined up to take effect “in the coming months”, have been agreed for what it calls Pernod Ricard’s “mainline and RTD portfolio”:
- Southern Glazer’s Wine & Spirits to take on Oklahoma and Texas, plus just the “mainline” portfolio in Louisiana
- Johnson Brothers to distribute to the Dakotas and Nebraska, plus just the “mainline” brands in Indiana, and
- Reyes Beverage Group to handle Maryland and Washington DC, pending the distributor’s move to buy RNDC’s operations in Florida, Hawaii, Illinois, Maryland, South Carolina, Virginia and Washington DC.
When contacted by Global Drinks Intel, a spokesperson for Pernod Ricard US defined the mainline portfolio as the group’s “core” spirits marks, including the likes of Absolut, Jameson and Kahlua.
According to Southern Glazer’s, the revisions bring the number of US states it handles Pernod Ricard’s distribution in to 37.
“These updates reflect a deliberate, market‑by‑market approach to distribution, grounded in execution capability and customer needs,” said Pernod Ricard USA’s CEO, Conor McQuaid. “In a changing distributor landscape, our priority is to stay focused on what drives performance: consistent execution, strong partnerships and exemplary service for our customers and consumers, all while positioning our portfolio for sustained growth.”
Created in 1997 through the merger of Julius Schepps and Tarrant Co, Republic Beverage Co combined with National Distributing Co to form RNDC in 2006. The distributor has been in the headlines for much of the last year, after both Brown-Forman and Tito’s Handmade Vodka decided to take their Californian distribution elsewhere. Subsequently, RNDC decided in June to shutter its operations in the state, forcing a raft of alcohol brand owners to switch distributors in California.
In January, RNDC secured financing from its lending partners in order to help “support operations”.
