Molson Coors has announced the impending closure of its iconic Leinenkugel’s brewery in Chippewa Falls, Wisconsin, marking the end of a storied chapter for one of the oldest brewing sites in the United States. Founded in 1867 by Jacob Leinenkugel, the brewery became an integral part of the region, drawing on its rich soil ideal for growing hops and grains and catering to the local lumber industry.
This decision, which will affect approximately 56 workers, comes as Molson Coors shifts production to its main brewery in Milwaukee. Brian Erhardt, Molson Coors’ Chief Supply Chain Officer, explained that the closure follows the end of a significant contract brewing agreement and the ongoing investment in a canning line at the Milwaukee site. “These choices are made with much thought and consideration to position Molson Coors for continued success in Wisconsin and beyond,” Erhardt said.
The Leinenkugel’s brewery has a long and rich history, growing from a two-man operation with its head Jacob Leinenkugel, to becoming a regional powerhouse. Surviving through significant challenges such as Prohibition—during which it produced non-alcoholic beverages like "Leino" and sodas—the brewery continued to adapt and expand over generations. Even after being acquired by Miller Brewing Company in 1988, and later becoming part of Molson Coors, the brewery maintained its heritage with the Leinenkugel family still involved in management up until today. In January 2023, Tony Bugher, a member of the Leinenkugel family in the 6th generation, took over the position of President of the Jacob Leinenkugel Brewing Company from his uncle Dick Leinenkugel, who had served as President since 2014 (inside.beer, 10.2.2022).
The closure is part of a broader strategic shift by Molson Coors to consolidate operations in Milwaukee to optimize performance and cut costs amid declining sales. The company reported a 7.3% decline in brand volumes during its last quarterly earnings call, signaling tough times for the beer industry as inflation impacts consumer spending. Molson Coors is not alone in making tough decisions; AB InBev also closed a distribution center in Massachusetts earlier this year, leading to significant job losses.
While the Chippewa Falls brewery will cease production, Molson Coors reassured that the Leinenkugel brand and its flagship products, including the popular Summer Shandy, will remain integral to its portfolio. Additionally, the Leinie Lodge and an adjacent pilot brewery will stay open for visitors, preserving a piece of the legacy that began more than 150 years ago.
Molson Coors has initiated discussions with impacted employees and their representatives, pledging support through the transition. Despite the closure, the company maintains that Leinenkugel’s heritage will continue to be celebrated as part of its premiumization strategy, ensuring that the spirit of the brand lives on even as its home brewery doors close.