David J. Kozlowski Discusses RNDC Bankruptcy and Industry Impact in Inc.

Morrison Cohen Bankruptcy, Restructuring & Governance Partner David J. Kozlowski was quoted in Inc. discussing the Chapter 11 bankruptcy filing of Republic National Distributing Company (RNDC), formerly one of the nation's largest wine and spirits distributors, and the potential impact the filing could have across the industry.

The article examines RNDC's decision to wind down its remaining operations through Chapter 11 after months of restructuring efforts and explores what the bankruptcy could mean for suppliers, creditors and the broader beverage distribution market.

Dave explained that the filing could have significant consequences for smaller suppliers with outstanding claims against RNDC. As he noted, “Smaller suppliers who don't have leverage to get critical vendor status (which would see them paid some or all of their pre-bankruptcy debt), could be in real financial distress, as any significant prepetition exposure could put them in a hole that's simply too deep to climb out of. A spate of smaller bankruptcies in the industry could follow over the next twelve months.”

Read the full article in Inc.

Additional coverage of Dave's analysis also appeared in the Daily Mail.