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Gallo Wines Closes In-House Distributor, Lays-Off 350 Workers
Modesto, CA-based E. & J. Gallo Winery, the largest winery by sales volume in the U.S., is shutting down its in-house distributor and outsourcing operations to Texas-based Republic National Distributing Company (RNDC). L.A. Business First reports the move will result in hundreds of layoffs across California and the shuttering of facilities as well.
The winery’s distribution arm, Gallo Sales Co., which was established in 1933, plans to cease operations in March. “Gallo Sales Co. is optimistic that the majority of employees will have the opportunity to interview and be offered similar opportunities with RNDC, and may also apply for roles at E. & J. Gallo Winery,” commented the distributor in a statement.
The closure will effect 355 employees among several facilities in the state, including San Diego, Commerce, Ontario, Bakersfield, Modesto, West Sacramento and Hayward. Forbes estimates Gallo had about $5 billion in sales in 2019, and features more than 130 brands including Apothic and Black Box wines and New Amsterdam Vodka. The company also owns 23,000 acres of vineyards.
- ◦Economy
