Brown-Forman (BF.A, BF.B) said Tuesday it will restructure its executive team, reduce its global workforce by about 12%, and close its Louisville, Kentucky barrel-making facility to streamline operations and support growth.
As part of new leadership appointments, the company said it named Jeremy Shepherd as chief marketing officer and Chris Graven as chief strategy officer.
The workforce reduction includes 210 employees from the barrel-making facility, which is set to close by April 25, Brown-Forman said, adding that it plans to source barrels from external suppliers.
The changes are expected to save $70 million to $80 million annually, with some savings reinvested for growth, the company said. Brown-Forman expects to sell the barrel-making facility for more than $30 million.
The company expects to incur costs of between $60 million and $70 million for severance and related expenses.
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