Nearly 400 Terminated As CA Wine Company Files For Bankruptcy

SANTA ROSA, CA — A California wine company has filed for bankruptcy and plans to terminate nearly 400 employees across four counties in the state.

Vintage Wine Estates announced the bankruptcy filing Wednesday, noting it had about $310 million in outstanding loans and commitments, and had recently sold its Cosentino Winery for $10.5 million to pay down debt.

While the bankruptcy announcement said the company expected commercial operations to continue as usual during the proceedings, Vintage Wine Estates the same day disclosed its plan for mass terminations to California's Employment Development Department.

There will be 377 jobs lost due to permanent closures across Mendocino, Napa, San Luis Obispo and Sonoma counties, with the majority in Mendocino and Sonoma counties, according to a state Worker Adjustment and Retraining Notification. The terminations will be effective Sept. 27, the notification said, although the San Francisco Chronicle reported they could occur up to 14 days later.

If a buyer for the company’s assets is approved, the company would stop operations and all employees would be terminated, according to the Chronicle.