San Antonio, Texas, February 10, 2026
Local distillers in San Antonio express concerns regarding Republic National Distributing Co.’s (RNDC) future due to operational difficulties, including delayed payments and layoffs. The Texas Legislature has enacted Senate Bill 1355 to assist small businesses facing financial strain from delinquent invoices. RNDC’s loss of major contracts and exit from the California market has created uncertainty for both distillers and industry stakeholders, prompting calls for legislative action to ensure a fair distribution landscape.
San Antonio Distillers Question Future of Republic National Distributing Co.
San Antonio, Texas – Local distillers are expressing growing concerns over the stability of Republic National Distributing Co. (RNDC), one of the nation’s largest alcohol distributors. Recent operational challenges, including delayed payments and significant layoffs, have raised questions about the distributor’s future viability.
Delayed Payments and Legislative Response
Distillers in San Antonio have reported issues with unpaid invoices from RNDC. In response, the Texas Legislature passed Senate Bill 1355, allowing distillers to report delinquent wholesalers to the Texas Alcoholic Beverage Commission (TABC). This legislation aims to protect small businesses from financial instability caused by such delays. The TABC has been facilitating communication between distillers and RNDC to address these concerns.
Operational Challenges and Layoffs
RNDC has faced significant operational difficulties, including the loss of major contracts and the need for structural adjustments. In early February 2026, the company confirmed layoffs across several states, citing the need to align operations with current market conditions. These layoffs have affected employees in various roles, raising concerns about the company’s financial health and its ability to maintain consistent service to clients.
Background on RNDC’s Recent Struggles
Founded in San Antonio, RNDC has a long history in the alcohol distribution industry. However, in January 2023, the company lost a major partnership with Sazerac Co., which owns brands like Fireball and Southern Comfort. This was followed by the loss of other significant contracts, including Tito’s Handmade Vodka and Jack Daniel’s. In June 2025, RNDC announced its exit from the California market, affecting over 2,500 producers and 1,700 employees. These developments have led to speculation about the company’s future, with some industry observers suggesting that bankruptcy could be a potential outcome. Despite these challenges, RNDC has secured new financing to support ongoing operations, though the long-term outlook remains uncertain.
Impact on San Antonio Distillers
Local distilleries, such as Dorcol Distillery, have been directly affected by RNDC’s operational issues. Dorcol’s owner, Kalusevic, reported receiving only a portion of the payments owed, prompting him to seek assistance from the TABC. The situation has created uncertainty for small distilleries that rely on distributors like RNDC to reach broader markets. The lack of alternative distribution options has left many producers in a precarious position, highlighting the need for a more resilient distribution network in the industry.
Industry Outlook
The challenges faced by RNDC underscore broader issues within the alcohol distribution sector, including consolidation and the financial stability of major distributors. Distillers and industry stakeholders are closely monitoring the situation, advocating for legislative measures to protect small businesses and ensure a fair and competitive marketplace. The outcome of these developments will likely have lasting implications for the distribution landscape in Texas and beyond.
Frequently Asked Questions (FAQ)
What is Senate Bill 1355?
Senate Bill 1355 is a Texas law that allows distillers to report delinquent wholesalers to the Texas Alcoholic Beverage Commission (TABC), aiming to protect small businesses from financial instability caused by delayed payments.
How has RNDC’s exit from California affected the industry?
RNDC’s exit from California in June 2025 left over 2,500 producers without a distributor in the state and resulted in the loss of 1,700 jobs, highlighting the distributor’s operational challenges and raising concerns about its future stability.
What impact have RNDC’s issues had on San Antonio distilleries?
San Antonio distilleries, such as Dorcol Distillery, have experienced delayed payments from RNDC, leading some to seek assistance from the TABC. The situation has created uncertainty for small distilleries that rely on distributors like RNDC to reach broader markets.
What is the current outlook for RNDC?
Despite recent challenges, RNDC has secured new financing to support ongoing operations. However, the long-term outlook remains uncertain, with industry observers speculating about potential bankruptcy and the company’s ability to recover from its current difficulties.
How are industry stakeholders responding to RNDC’s challenges?
Industry stakeholders are closely monitoring the situation, advocating for legislative measures to protect small businesses and ensure a fair and competitive marketplace. The outcome of these developments will likely have lasting implications for the distribution landscape in Texas and beyond.
Key Features of the Situation
| Feature | Details |
|---|---|
| Delayed Payments | Distillers report unpaid invoices from RNDC, leading to financial instability. |
| Legislative Action | Texas Legislature passed Senate Bill 1355 to allow reporting of delinquent wholesalers to TABC. |
| Operational Challenges | RNDC has lost major contracts and announced layoffs across several states. |
| Impact on San Antonio Distilleries | Local distilleries like Dorcol Distillery face uncertainty due to RNDC’s issues. |
| Industry Outlook | Stakeholders are advocating for measures to protect small businesses and ensure a fair marketplace. |
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Author: STAFF HERE SAN ANTONIO WRITER
The SAN ANTONIO STAFF WRITER represents the experienced team at HERESanAntonio.com, your go-to source for actionable local news and information in San Antonio, Bexar County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Fiesta San Antonio, San Antonio Stock Show & Rodeo, and Dia de los Muertos. Our coverage extends to key organizations like the Greater San Antonio Chamber of Commerce and United Way of San Antonio and Bexar County, plus leading businesses in retail, insurance, and energy that power the local economy such as H-E-B, USAA, and Valero Energy. As part of the broader HERE network, including HEREAustinTX.com, HERECollegeStation.com, HEREDallas.com, and HEREHouston.com, we provide comprehensive, credible insights into Texas's dynamic landscape.
