Stoli Group USA files for Chapter 11 bankruptcy following cyber attack and legal disputes with Russia

Stoli Group USA, the maker of Stoli vodka, has filed for Chapter 11 bankruptcy in Dallas. This follows a significant cyber attack in September that disrupted operations and ongoing legal disputes with Russia over brand ownership, with liabilities estimated between $50 and $100 million. The company, previously known as Stolichnaya, rebranded to distance itself from Russia amid the Ukraine conflict. Owner Yuri Shefler, an exiled billionaire, has faced accusations from Russia, which claims the brand is owned by a state-backed firm. The bankruptcy occurs as alcohol sales decline in the U.S., with spirits consumption down 3% in the first half of 2024. Stoli Group is a subsidiary of SPI Group, which also owns Kentucky Owl bourbon.