Sapporo USA is laying off 220 workers at three Stone Brewing locations in Escondido, California, as production shifts out of state following the brand’s recent sale. According to Worker Adjustment and Retraining Notification (WARN) letters filed with the state and reported by Fox Business, the workforce reductions begin with 58 employees on October 19. The cuts impact production, warehouse, packaging, quality assurance, and bistro operations across sites located at 1999 Citracado Parkway, 2865 Executive Place, and 2005 Harmony Grove Road.
Worker Adjustments and Phased Escondido Shutdown
The downsizing marks the winding down of Stone Brewing’s primary production hub after Sapporo USA failed to find a viable long-term buyer for the property. According to statements given by Sapporo USA CEO Zach Keeling to the Los Angeles Times and the San Diego Union-Tribune, the company is shuttering the Escondido brewery and bistro operations in phases.
The initial October 19 cuts will be followed by further reductions, with non-hospitality operations expected to cease by mid-November. Meanwhile, according to San Diego Beer News reporting, the Stone Brewing World Bistro & Gardens in Escondido is slated to stay open through the holiday season before permanently closing.
Corporate Ownership Changes and Brand Sale
The layoffs arrive on the heels of Sapporo’s sale of the Stone Brewing brand and select hospitality assets to Firestone Walker Brewing Company and Duvel Moortgat USA. Announced in April and finalized on May 15, that transaction transferred Stone’s beer portfolio and major hospitality venues—including the Liberty Station bistro in San Diego, alongside taprooms in downtown San Diego, Oceanside, and Pasadena—to the new buyers.
Under the transition, commercial production of Stone beer is moving away from Escondido to Firestone Walker’s brewery in Paso Robles, California, and Duvel USA’s Boulevard brewery in Kansas City, Missouri. While Firestone Walker and Duvel offered jobs to a significant number of hospitality, sales, and marketing personnel during the buyout, production workers at the Escondido facility remained Sapporo employees, leaving them outside the acquisition.
Distribution Shifts and Regional Infrastructure History
The closure of the Escondido facility continues a multi-year dismantling of the independent infrastructure built during Stone’s meteoric rise in the West Coast craft beer movement. Founded in Southern California in 1996 by Koch and Wagner, Stone grew into a massive national brand before Sapporo acquired the brewer for roughly $165 million in 2022.
That trajectory saw prior divestitures, including the 2025 sale of the historic Stone Distributing Company—along with Classic Beverage of Southern California—to the Tennessee-based Hand Family Companies, where the assets were merged into Sunset Distributing. With production now relocated to Paso Robles and Kansas City, Sapporo is shifting its U.S. resources strictly toward its namesake beer brand.
Pro Tip: Tracking WARN Notices
State WARN act filings serve as a primary public record for tracking major corporate restructuring and impending mass layoffs.
Frequently Asked Questions
When do the Stone Brewing layoffs in Escondido begin?
According to state WARN filings, the layoffs begin with 58 workers on October 19, with additional workforce reductions continuing through mid-November.
Which locations are affected by the Escondido closures?
The closures affect Stone facilities at 1999 Citracado Parkway, 2865 Executive Place, and 2005 Harmony Grove Road, impacting brewing, packaging, logistics, and bistro staff.
Did Firestone Walker and Duvel buy the Escondido brewery?
No. The Escondido brewery and bistro were excluded from the sale to Firestone Walker and Duvel Moortgat USA, remaining under Sapporo USA’s control while the property is wound down.
Where is Stone beer produced now?
Production has transitioned from Escondido to Firestone Walker’s facility in Paso Robles, California, and Duvel USA’s Boulevard brewery in Kansas City, Missouri.
Did you know? Stone Distributing Company was originally founded in 1999 because founders Koch and Wagner struggled to find distributors willing to carry Stone’s aggressively hopped beers.
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