Fair State Brewing Cooperative Files for Bankruptcy

February 16, 2024 – Fair State Brewing Cooperative, Minnesota’s first unionized craft brewery and one of the largest brewer cooperatives in the country, filed for bankruptcy this week, stemming from issues the company says were pandemic-related.

“We have a solid plan to get through this together so we can continue making the great beer you know and love,” said CEO Evan Sallee in a statement. “We’re extremely lucky to be part of this community, and being part of a community means asking for support when you need it.”

According to Chapter 11 bankruptcy filings, Fair State has less than $50,000 of cash on hand, with over $5 million in debt owed to over 100 creditors. The filings also state that the company is owed over $400,000 in revenue from its distributors.

Fair State Brewing was founded in 2013 by Sallee and co-founders Niko Tonks and Matt Hauck, after the trio visited Black Star Co-Op in Austin, Texas and saw the potential for a cooperatively run brewery. To date, the company has over 2,000 member-owners, and distributes to sixteen states throughout the midwest and beyond.

Sallee said the company has no plans to shut down, and urged Fair State’s supports to help the company emerge from bankruptcy by purchasing the product and evangelizing the brand.