Blog•Feb 10, 2026
Iconic Bourbon, Vodka Brands Spared From Chapter 7 Liquidation
A Texas bankruptcy judge ordered Chapter 11 trustees to take over Stoli USA and its bourbon affiliate Kentucky Owl, halting a planned conversion to Chapter 7 liquidation. The move followed objections from senior lender Fifth Third Bank and a negotiated settlement among creditors, the Stoli Group, and the court. While the arrangement still leads to a wind‑down, it allows an orderly Chapter 11 liquidation rather than an immediate asset dump. The decision separates the U.S. operations from the global Stolichnaya brand, preserving potential value for creditors.
