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Republic National Distributing Co. to Lay Off 500 Workers as Georgia Operations Wind Down

Republic National Distributing Co. is initiating an orderly wind-down of its Georgia operations, resulting in the layoff of more than 500 workers. The company, which filed for Chapter 11 bankruptcy protection in July, is liquidating assets to manage over $1 billion in debt owed to more than 100,000 creditors. Despite a $1 billion cash infusion from a sale of 11 markets to Reyes Beverage Group, the distributor struggled with declining sales and rising labor costs following the pandemic. To preserve capital, the company is systematically rejecting unexpired leases and abandoning personal property. Chief Restructuring Officer John R. Castellano noted that the company is seeking to maintain critical supplier relationships while reducing its physical footprint. The bankruptcy process allows the company to continue operations in markets where buyers are found while winding down those without prospective buyers. The company remains focused on supporting its customers and suppliers throughout the restructuring process.

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