Sapporo USA reportedly plans to lay off 220 workers at three Stone Brewing locations in Escondido, California, as production of the craft beer brand shifts to facilities elsewhere in California and Missouri.
The layoffs will begin with 58 workers on Oct. 19, according to Worker Adjustment and Retraining Notification letters filed by Sapporo with the state.
FOX Business has reached out to Sapporo USA for comment and confirmation of the total number of employees expected to be affected.
The workforce cuts follow Sapporo’s sale of the Stone Brewing brand and select hospitality locations to Firestone Walker Brewing Company and Duvel Moortgat USA. The transaction was announced in April and closed May 15.
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Under the deal, Stone beer production is transitioning from Escondido to Firestone Walker’s brewery in Paso Robles, California, and Duvel USA’s Boulevard brewery in Kansas City, Missouri.
The acquisition included Stone Brewing World Bistro & Gardens at Liberty Station in San Diego, along with taprooms in Little Italy, Oceanside and Pasadena. Stone’s Escondido brewery and bistro were not included in the transaction.
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When the deal was announced, Sapporo said it would continue producing Stone beer at its Escondido and Richmond, Virginia, breweries during a transition period. It also said it would continue operating the Escondido bistro while evaluating “long-term strategic options” for the site.
Sapporo USA CEO Zach Keeling told the Los Angeles Times that the company is now winding down the Escondido brewery in phases after failing to find a “viable long-term solution” for the property.
“This is an understandably difficult time for our Escondido employees and community, and we’re committed to supporting them through this transition,” Keeling said in a statement reported by the newspaper.
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Firestone Walker and Duvel said in April that they expected to offer jobs to a significant number of Stone employees in hospitality, sales and marketing, while production roles would be evaluated as brewing shifted to the companies’ other facilities.
Stone Brewing was founded in Southern California in 1996 and became one of the best-known brands associated with the West Coast craft beer movement. Sapporo acquired the brewer in 2022 before selling the Stone brand this year as it moves to concentrate its U.S. resources on its namesake beer.
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The Stone brand will continue under Firestone Walker and Duvel USA, while the Liberty Station location will remain both a hospitality venue and an active brewery, according to the companies’ acquisition announcement.
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