LOUISVILLE, Ky. — Whiskey giant Brown-Forman announced significant restructuring plans Tuesday, including staff cuts and closing its Louisville-based cooperage. 

The company said it plans to lay off approximately 12% of its 5,400 employees worldwide. The April 25 closure of its Louisville barrel-making operation, located on MacLean Avenue near the Louisville Muhammad Ali International Airport, will affect approximately 210 hourly and salaried employees and is part of the overall workforce reduction. Employees affected will receive severance, outplacement services and appropriate benefits, the company added. 

Brown-Forman said moving forward, it will "source barrels from an external supplier to ensure a steady supply of the same high-quality barrels at a competitive price." 

"I want to express my sincere gratitude to our employees, particularly those impacted by these changes, for their dedication and contributions to Brown-Forman," said Lawson Whiting, president and chief executive officer. "We are committed to supporting them through this transition and are confident that these strategic initiatives will ensure the company endures for generations to come." 

These changes are projected to save Brown-Forman approximately $70 to $80 million yearly while the sale of the Louisville cooperage could bring it approximately $30 million, the company said. 

"In 2025, Brown-Forman celebrates 155 years of delivering 'Nothing Better in the Market,'" Whiting said. "We have achieved this impressive milestone in part because of our relentless focus on evolving our strategy, our portfolio and our organization to grow and thrive. Today's announcement will ensure we have the structure and teams in place to continue on this path while also making investments that we believe will facilitate growth for generations to come."

As part of the restructuring, Brown-Forman also announced changes to its executive leadership team, including the following:

• Jeremy Shepherd has been named as Chief Marketing Officer. Shepherd previously led the company's USA and Canada commercial division.
• Michael Masick has been named President, Americas. Masick will continue commercial leadership for Mexico, South and Central America and the Caribbean and will add the U.S. and Canada to his remit in his expanded role.
• Yiannis Pafilis has been named President, Europe, Africa, Asia Pacific. Pafilis leads teams across Europe and will add Africa, the Asia-Pacific region and global travel retail in his expanded role.
• Chris Graven has joined the executive leadership team as Chief Strategy Officer. She has served in the company for 20 years, previously holding roles in its HR, finance, marketing and commercial organizations.

Established in 1870, Brown-Forman is the largest American-owned global spirits company, with its portfolio including Jack Daniel's, Woodford Reserve, Herradura, el Jimador and Old Forester.