Molson Coors closing historic Leinenkugel's brewery in Wisconsin

Leinenkugel's, a once-independent brewery based in Chippewa Falls, Wisconsin, will cease operations at its location used for 157 years and shift production of its line of beverages to Milwaukee in January.

Molson Coors, which produces Leinenkugel's, will also close the company's Tenth Street Brewery in Milwaukee on Jan. 17, according to Jacob Leinenkugel Brewing Co. President Tony Bugher.

"I am just incredibly sorry that this is happening. I'm sorry for our family. I'm sorry for this community, and most importantly, I'm really sorry to the employees who have done so much for us over the past, you know, several decades," Bugher told The Chippewa Herald on Wednesday afternoon.

Bugher said Leinenkugel's would end production at its historic Chippewa facility and shift brewing for Leinenkugel's branded products to the main Molson Coors plant in Milwaukee.

"Following the end of a large contract brewing agreement and with major investment at our Milwaukee brewery, we've made the decision to close two of our smaller brewing operations in Wisconsin, the Tenth Street and Chippewa Falls breweries, and centralize statewide production at our main site in Milwaukee," a statement from the Jacob Leinenkugel Brewing Co. said.

"These choices are never easy, but they're made with much thought and consideration to keep positioning Molson Coors for success in Wisconsin and beyond. Fortunately, we will be keeping the Leinie Lodge open year-round for guests to enjoy and experience Leinenkugel's beer and the brand's history."

Bugher said he did not support the decision but said he understands the business rationale behind the consolidation.

"We had every intention to be here for another 157 years. However, that was an unfortunate decision," he said about the pending move.

Molson Coors' Chief Supply Chain Officer Brian Erhardt also released a statement Wednesday.

"Following the end of a large contract brewing agreement and amid an ongoing canning line investment project at our Milwaukee brewery, we've made the decision to close two of our smaller brewing operations in Wisconsin and centralize statewide production at our main site in Milwaukee," Erhardt said.

He said the decision has been tough.

"While never easy, these choices are made with much thought and consideration to position Molson Coors for continued success in Wisconsin and beyond."

Bugher said Summer Shandy and other Leinenkugel brands will still be commercially available, "it just won't be brewed here in Chippewa Falls."

The brewery has faced trouble before.

In July 2023, several dozen Leinenkugel employees went on strike, carrying signs that said "stop the war on workers" and "end corporate greed."

Secretary-Treasurer of Union Local 662 Tom Strickland said the group refused to work until a better contract was negotiated. The strike involved about 45 brewing staff and ended when an agreement with Molson Coors was reached Aug. 30.

Teamsters Union Local 662 agent Dan Boley said at the time the agreement was a "move in the right direction."

It was not clear how many employees will be affected by the closure of the two Leinenkugel's breweries or whether workers would have an opportunity to work at the main brewery in Milwaukee.

The Chippewa Falls brewery reported in 2022 that it had about 120 employees.

Leinenkugel's is a well-known brand across the Midwest and beyond. Founded in 1867 and in its sixth generation of family leadership, the brewery is one of the oldest in the country and known for classic offerings as well as seasonal flavors such as Summer Shandy.

Leinenkugel's joined Miller Brewing in 1988 which incorporated into Molson Coors. Then Molson Coors purchased Leinenkugel's in 2016.

Bugher took over the company in 2023 from his uncle Dick Leinenkugel who ran it for 8 years.

He said he doesn't want people to worry that Leinenkugel will disappear from Chippewa Falls. The Leinie Lodge will remain open in Chippewa Falls with its new pilot brewing system and it will remain active with community events like Oktoberfest.

"It doesn't mean we're going to remove ourselves from this community and go away," Bugher said. "We're still going to continue the same support that we have for this community, that we have given it the past 157 years. None of that's going away."