The long-time third-party distributor for Red Bull has shuttered its operations on Long Island after losing its contract with the energy drink giant.
The Beverage Works NY, Inc., which has been a third-party distributor of Red Bull for the past 24 years, has laid off 44 workers here, part of 166 layoffs at its facilities in Brooklyn, Peekskill and on Long Island, according to the New York State Department of Labor. The company recently closed its 24,000-square-foot warehouse and distribution operations at 16 Dubon Court in East Farmingdale.
An executive of The Beverage Works has yet to respond to a request for comment.
In April, The Beverage Works, headquartered in Wall, N.J., sued Red Bull North America Inc. in New Jersey federal court claiming that the company unfairly terminated its distribution contract for the New York and New Jersey area. That suit is still pending and an attorney for the plaintiff declined comment.
After doing away with its third-party distributor, Red Bull has now taken over the territory and will be distributing the company’sproducts itself.
Towards that end, a Red Bull affiliate has leased about 50,000 square feet of warehouse and distribution space at the newly built, 178,134-square-foot Bristol Logistics Center at 49 Mall Drive in Commack, according to real estate sources. Red Bull is currentlyadvertising job opportunities on employment websites for warehouse workers and drivers at its new Commack facility.
Red Bull is owned by the Austrian company Red Bull GmbH. The company sold over 12 billion cans of its energy drinks last year with 2023 net sales of $10.9 billion, according to published reports.
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