My 21st, 2025: DIAGEO to cut costs and other news
DIAGEO's reaction to Trump's tariffs, International Beverage's new warehouse in Scotland, a new pause among the Irish distilleries and more...
Here we are, first midweek press review.
I find that waiting from Monday to Friday for the second review of the week is a bit too much. A midweek update could instead be useful, so here it is.
DIAGEO to cut costs by about $500m over the next three years, to face Trump’s tariffs
This came out short after I sent my press release on Monday. The company estimates an impact of $150m each year if the current tariff policy on imports into the US remains. The company released a trading update on Monday morning. The company is planning to save around $500m over the next three years in costs cuts. This may also mean job cuts among the company’s plants around the world.
Here is the news reported by Lauren Almeida on The Guardian:
Johnnie Walker owner Diageo says Trump tariffs could hit profits by $150m
And this is by Nicola Carruthers on The Spirits Business:
Diageo faces $150m annual tariff impact
Dean Best takes it less smoothly on Just Drinks, focusing on the cut the company is planning over the next three years.
Diageo embarks on $500m of cost cuts
If you prefer, you can read the official and complete trade update on the company’s website here.
Just a remind: DIAGEO had already started to cut costs. Last year, the company announced the closure of the Santa Vittoria d’Alba plant in Italy, Piedmont, by 2025. Here is the news in English by EFA News:
Diageo leaves Italy - Confirmated by Kerry Easter, Operation Manager: the company will close the Alba plant
A new buyer for the plant has been announced in recent days. Here is the news by Daniela Scavino on La Stampa:
Diageo, c’è l’offerta d’acquisto per mantenere produzione e posti di lavoro a Santa Vittoria d’Alba
Meanwhile, someone is completing an investment programme in Scotland.
International Beverage completing new warehouse in Scotland: up to about 700,000 casks
International Beverage currently owns five Scottish distilleries (Balblair, Old Pulteney, Balmenach, Knockdu and Speyburn) and is itself owned by ThaiBev.
Here is Global Drinks Intel’s article:
International Beverage completes scotch whisky maturation increase
And there is a third distillery halting production in Ireland
Dublin Liberties Distillery pauses production
The distillery is currently owned by Quintessential Brands This and this is the third pause after Midleton (Pernod Ricard) and Tullamore Dew (Willian Grant & Sons). Nicola Carruthers reported the news yesterday on The Spirits Business:
Dublin Liberties Distillery halts production
The last reading is intended to lighten up today's press review a bit.
The resurrection of the London Distillery Company
This is an exclusive interview with Matt Mckay by Mark Jennings on Whisky Magazine:
Matt McKay on the resurrection of the London Distillery Company
That’s all for today, see you on Friday with more readings for the weekend.
Than you for reading.