Oldest California Family Winery Files For Chapter 11 Bankruptcy
California's oldest family winery, Gundlach Bundschu, has filed for Chapter 11 bankruptcy with nearly $40 million in debt, citing post-pandemic industry struggles.
The oldest family-owned winery in California, USA, has filed for Chapter 11 bankruptcy protection after accumulating nearly $40 million in debt, highlighting ongoing struggles within the wine industry, the Los Angeles Times reports.
Gundlach Bundschu, established in Sonoma County in 1858, stated it could not reach an agreement with lenders to restructure its obligations. Jeff Bundschu, the winery president and a member of the founding family, noted that the debt crisis stemmed from acquiring a 240-acre estate in February 2020 just before the COVID-19 pandemic struck.
Despite surviving major historical trials over 150 years—including Prohibition, earthquakes, and the 1906 San Francisco earthquake—the winery now seeks a new owner while hoping to remain involved in the business amidst declining demand and trade tensions.
