Stoli Group USA and its Kentucky Owl American Whiskey unit filed, voluntarily, for Chapter 11 bankruptcy on 27 November, as the legal process allows the business to continue operating normally, reorganise debts and become profitable while placing a pause on creditor payments.
According to court papers filed by the company with its bankruptcy claim, the group is “experiencing financial difficulties” and lists between USD$50m and USD$100m in liabilities.
Stoli Group chief executive Chris Caldwell said in a statement, reported by CNN, that Stoli’s global operations have been a “victim of a malicious cyber attack” that has forced the company to operate “entirely manually while the systems are rebuilt.”
Stoli vodka and Kentucky Owl bourbon will continue to be sold in the US while the company navigates the Chapter 11 process.
In 2022 the company changed its name from Stolichnaya to Stoli following the Russian invasion of Ukraine and the subsequent boycotts against its namesake brand.
For several decades, under the ownership of exiled Russian billionaire Yuri Shefler, Stoli has been produced and distributed from Latvia.
