Dear Friends and Fans in Dallas/Forth Worth,
Yesterday afternoon we made the difficult decision to discontinue our DFW distribution operations. Since our expansion last year, Live Oak has been on a growth trajectory that none of us could have imagined. This year, we planned to repeat the 50% growth we did in 2016 and continued with operations with the expectation that all normative growth trajectories would remain in place. If there was any concern that the craft beer industry might be slowing, we’re certainly not seeing it.
In fact, even with recent increases in production capacity, we are up against our maximum production threshold and we find ourselves in a position where we can’t make enough beer to satisfy demand in all our territories. If we continue at our current pace, Live Oak will produce upwards of 30,000 barrels this year. That is 100% more beer than we made last year. That is also approximately 10,000 more barrels than we currently have cellar capacity for.
We hope that by temporarily withdrawing from DFW to grow our capacity and shore up our home markets, we will be able to re-enter twice as strong with adequate supply of beer and with local distributor support. In the meantime, you can still find our beers in Waco, Austin, Houston and San Antonio. Our taproom is always open and we plan to be back as soon as we can.
Thank you all for your impeccable taste.
Live Oak Brewing Company
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